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HomeMy WebLinkAbout29-06 RESOLUTIONRESOLUTION NO. 29-06 A RESOLUTION APPROVING A CONSTRUCTION CONTRACT WITH CROSSLAND HEAVY CONTRACTORS, INC. IN THE AMOUNT OF $1,591,426 20 FOR WATER AND SEWER RELOCATION FOR HIGHWAY IMPROVEMENTS TO WEDINGTON DRIVE; APPROVING A PROJECT CONTINGENCY IN THE AMOUNT OF $160,000.00, AND APPROVING A BUDGET ADJUSTMENT IN THE AMOUNT OF $252,837.00. BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF FAYETTEVILLE, ARKANSAS: Section 1. That the City Council of the City of Fayetteville, Arkansas hereby approves a contract with Crossland Heavy Contractors, Inc. in the amount of $1,591,426.20 for water and sewer relocation for highway improvements to Wedmgton Drive A copy of the contract, marked Exhibit "A" is attached hereto, and made a part hereof Section 2. That the City Council of the City of Fayetteville, Arkansas hereby approves a project contingency in the amount of $160,000.00. Section 3. That the City Council of the City of Fayetteville, Arkansas hereby approves a budget adjustment in the amount of $252,837.00. PASSED and APPROVED this 7th day of February, 2006. ATTEST: 44) By: d dal C SO DRA SMITH, City Clerk APPROVED By: - r,' DAN COODY, Mayor d 111 — : FAVLI I EVILLE: =/a Zee •4` T';s 1 'KANSPS,) — City of Fayetteville, Arkansas Budget Adjustment Form /lis- 4q -o6 Budget Year 2006 Department: Water & Wastewater Division: Water & Sewer Maintenance Program: Capital Water Mains Date Requested 2/7/2006 Adjustment Number Project or Item Added/Increased: $252,837 is requested in the Wedington Utility W/S Relocations capital project. • Project or Item Deleted/Reduced: $147,945 from the Water & Sewer Use of Fund Balance. $104,892 from the State of Arkansas AHTD. Justification of this Increase: The additional funding is needed due to the awarding of a construction contract with Crossland Heavy Contractors ($1,591,426.20), Project Contingency ($160,000), and Engineering Contra ($15,000). • Justification of this Decrease: Sufficient cash and investments exist to fund this project. Increase Expense Budget (Decrease Revenue Budget) Account Name Account Number Amount Project Number Water line improvements 5400 5600 5808 00 Account Name 252,837 05015 1 Decrease Expense Budget (Increase Revenue Budget) St Hwy -utility relocation Use of fund balance Account Number Amount Project Number 5400 0940 4303 00 104,892 05015 5400 0940 4999 99. 147,945 Approval Signatures Requested B Date /-30- 06 Budget Manager Date �---- -r l I - 06 epartment Director . Date Finance & IntemafServic- Director Mayor Date Date Budget Office Use Only Type: A B C Date of Approval Posted to General Ledger Posted to Project Accounting Entered in Category Log E Initial Date Initial Date Initial Date Initial Date DOCUMENT 00500 CONTRACT THIS AGREEMENT, made and entered into on the 8th day of February, 2006, by and between Crossland Heavy Contractors, Inc.. Columbus, KS herein called the Contractor, and the City of Fayetteville, Arkansas, Owner: WITNESSETH: That the Contractor, for theconsideration hereinafter fully set out, hereby agrees with the City of Fayetteville as follows: I . That the Contractor shall furnish all the materials, and perform all of the work in manner and form as provided by the following enumerated Drawings, Specifications, and Documents, which are attached hereto and made a part hereof, as if fully contained herein and are entitled Wedington. Drive Water and Sewer Main Replacement, dated August, 2005. Advertisement for Bids Instructions to Bidders Bid and acceptance thereof Performance Bond Payment Bond SHEE Maintenance Bond General Conditions Supplemental Conditions Specifications Drawings (See Sheet Index below) 2. That the City of Fayetteville hereby agrees to pay to the Contractor for the faithful performance of this Agreement, subject to additions and deductions as provided in the Specifications or Bid, in lawful money of the United States, the amount of: - _.. One Million Five Hundred Ninety One Thousand Four Hundred Twenty Six &20 /100 Dollars ($1,591 426.20) 3. The Work will be completed and ready for final payment in accordance with the General Conditions within 180 calendar days after the date when the Contract Time commences to run, as provided in the Notice to Proceed. FY042165 Wedington Drive Water & Sewer Section 00500 - 1 • SHEET NO. SHEET DESCRIPTION 1 Cover 2 Index, Legend & Location Map 3-9 Wedington Drive Water Plan / Profile 10 Highway Crossing Cross Sections 11 Sewer Lines 1 and 3 12 Sewer Lines 2 and 4 13-14 Details 2. That the City of Fayetteville hereby agrees to pay to the Contractor for the faithful performance of this Agreement, subject to additions and deductions as provided in the Specifications or Bid, in lawful money of the United States, the amount of: - _.. One Million Five Hundred Ninety One Thousand Four Hundred Twenty Six &20 /100 Dollars ($1,591 426.20) 3. The Work will be completed and ready for final payment in accordance with the General Conditions within 180 calendar days after the date when the Contract Time commences to run, as provided in the Notice to Proceed. FY042165 Wedington Drive Water & Sewer Section 00500 - 1 • 4. Liquidated Damages: The City of Fayetteville and Contractor recognize that time is of the essence of this Agreement and the City of Fayetteville will suffer financial loss if the Work is not completed within the times specified in above, plus any extensions thereof allowed in accordance with the General Conditions. They also recognize the delays, expense, and difficulties involved in proving the actual loss suffered by the City of Fayetteville if the Work is not completed on time. Accordingly, instead of requiring any such proof, the City of Fayetteville and Contractor agree that as liquidated damages for delay (but not as a penalty) Contractor shall pay the City of Fayetteville Five Hundred Dollars ($500.00) for each day that expires after the time specified in Paragraph 3 for completion and readiness for final payment. 5. That within 30 days of receipt of an approved payment request, the City of Fayetteville shall make partial payments to the Contractor on the basis of a duly certified and approved estimate of work performed during the preceding calendar month by the Contractor, LESS the retainage provided in the General Conditions, which is to be withheld by the City of Fayetteville until all work within a particular part has been performed strictly in accordance with this Agreement and until such work has been accepted by the City of Fayetteville. 6. That upon submission by the Contractor of evidence satisfactory to the City of Fayetteville that all payrolls, material bills, and other costs incurred by the Contractor in connection with the construction of the work have been paid in full, final payment on account of this Agreement shall be made within 60 days after the completion by the Contractor of all work covered by this Agreement and the acceptance of such work by the City of Fayetteville. 7. It is further mutually agreed between the parties hereto that if, at any time after the execution of this Agreement and the Surety Bond hereto attached for its faithful performance and payment, the City of Fayetteville shall deem the Surety or Sureties upon such bond to be unsatisfactory or if, for any reason such bond ceases to be adequate to cover the performance of the work, the Contractor shall, at his expense, within 5 days after the receipt of notice from the City of Fayetteville, furnish an additional bond or bonds in such form and amount and with such Surety or Sureties as shall be satisfactory to the City of Fayetteville. In such event, no further payment to the Contractor shall be deemed to be due under this Agreement until such new or additional security for the faithful performance of the work shall be furnished in manner and form satisfactory to the City of Fayetteville. 8. No additional work or extras shall be done unless the same shall be duly authorized by appropriate action by the City of Fayetteville in writing. 9. Freedom of Information Act. City contracts and documents prepared while performing city contractual work are subject to the Arkansas Freedom of Information Act. If a Arkansas Freedom of Information Act request is presented to the City of Fayetteville, (Contractor) will do everything possible to provide the documents in a prompt and timely manner as prescribed in the Arkansas Freedom of Information Act (A.C.A. §25-19-101 et. Seq.). Only Legally authorized photocopying cost pursuant to the FOIA may be assessed for this compliance. FY042165 Wedington Drive Water & Sewer Section 00500 - 2 IN WITNESS WHEREOF, the parties hereto have executed this Agreement on the day and date first above written, in three (3) counterparts, each of which shall, without proof or accounting for the other counterpart be deemed an original Contract. SEAL. WITNESSES: ATTEST: Crossland Heavy Contractors, Inc. CONTRACTO By President Title CITY QF FETTEVIL , ARKANSAS OWNER �•`� R=Troll, a. 01 • Y Oc'SG,p :FAYETTEVILLE: .,J RkANS:• l''y;;VGTONiiii ill �G Mayor FY042165 Wedington Drive Water & Sewer Section 00500 - 3 • • L1 • Document 00600-1 Construction Performance Bond Bond #08833461 Any singular reference to Contractor, Surety, Owner or other party shall be considered plural where applicable. CONTRACTOR (Name and Address): SURETY (Name and Principal Place of Business): Crossland Heavy Contractors, Inc. P O. Box 350 Columbus, KS 66725 , OWNER (Name and Address): City of Fayetteville 113 West Mountain Fayetteville, Arkansas 72701 CONSTRUCTION CONTRACT Date: February 8, 2006 Amount: $1,591,426 20 Description (Name and Location): Fidelity and Deposit Company of Maryland 1400 American Lane, Tower I, 19th Floor Schaumburg, IL 60196 Fayetteville Wedington Drive Water and Sewer Main Replacement BOND Date (Not earlier than Construction Contract Date): February 15, 2006 Amount: $1,591,426.20 Modifications to this Bond Form: CONTRACTOR AS PRINCIPAL Company Signature: Name and Title (Corp. Seal) iitivt Sct�r Wei; de tit CONTRACTOR AS PRINCIPAL Company (Corp. Seal) SURETY Company (Corp Seal) Fidelity and Deposit Company of Maryland Signature: Name and Tall SURETY Company Signature: Signature. Name and Title: Martha L. Gilfillan Attorney -In -Fact dreeet, (Corp Seal) Name and Title: EJCDC No. 1910-28A (1984 Edition) Prepared through the joint efforts of the Surety Association of America, Engineers' Joint Contract Documents Committee, The Associated General Contractors of America, American Instihita of Architects, American Subcontractors Association, and the Associated Specialty Contractors FY042165 Wedington Drive Water & Sewer 111111111111 I IIIIIIIIilIIIIIIIIII111111UhIill 1 11111111111lilt 1 Ell Doc ID 009703820006 Tvoe L E Re orded 02 28/2006 at 02:19 28 PM Fee Amt: 58.00 Peae 1 of 6 We hinaton C unty. AR Bette Stems Circuit C erk F1 DB027-00000701; I. The Contractor and the Surety, jointly and severally, bind themselves, their heirs, executors, administrators, successors and assigns to the Owner for the performance of the Construction Contract, which is incorporated herein by reference. 2. If the Contractor performs the Construction Contract, the Surety and the Contractor shall have no obligation under this Bond, except to participate in conferences as provided in Subparagraph 3.1. 3. If there is no Owner Default, the Surety's obligation under this Bond shall arise after: 3.1 The Owner has notified the Contractor and the Surety at its address described in Paragraph 10 below, that the Owner is considering declaring a Contractor Default and has requested and attempted to arrange a conference with the Contractor and the Surety to be held not later than fifteen days after receipt of such notice to discuss methods of performing the Construction Contract. If the Owner. the Contractor and the Surety agree, the Contractor shall be allowed a reasonable time to perform the Construction Contract, - but such agreement shall not waive the Owner's right, if any, subsequently to declare a Contractor Default; and 3.2 The Owner has declared a Contractor Default and formally terminated the Contractor's right to complete the contract. Such Contractor Default shall not be declared earlier than twenty days after the Contractor and the Surety have received notice as provided in Subparagraph 3.1; and 3.3 The Owner has agreed to pay the Balance of the Contract Price to the Surety in accordance with the terns of the Construction Contract or to a contractor selected to perform the Construction Contract in accordance with the terms of the contract with the Owner. 4. When the Owner has satisfied the conditions of Paragraph 3, the Surety shall promptly and at the Surety's expense take one of the following actions: 4.1 Arrange for the Contractor, with the consent of the Owner, to perform and complete the Construction Contract; or 4.2 Undertake to perform and complete the Construction Contract itself, through its agents or through independent contractors; or 4.3 Obtain bids or negotiated proposals from qualified contractors acceptable to the Owner for a contract for performance and completion of the Construction Contract, arrange for a contract to be prepared for execution by the Owner and the contractor selected with the Owner's concurrence, to be secured with performance and payment bonds executed by a qualified surety equivalent to the bonds issued on the Construction Contract, and pay to the Owner the amount of damages as described in Paragraph 6 in excess of the Balance of the Contract Price incurred by the Owner resulting from the Contractor's default; or 4.4 Waive its right to perform and complete, arrange for completion, or obtain a new contractor and with reasonable promptness under the circumstances: 1. After investigation, determine the amount for which it may be liable to the Owaer and as soon a practicable after the amount is determined, tender payment to the Owner, or 2. Deny liability in whole or in part and notify the Owner citing reasons therefor. 5. If the Surety does not proceed as provided in Paragraph 4 with reasonable promptness, the Surety shall be deemed to be in default on this Bond fifteen days after receipt of an additional written notice from the Owner to the Surety demanding that the Surety perform its obligations under this Bond, and the Owner shall be entitled to enforce any remedy available to the Owner. If the Surety proceeds as provided in Subparagraph 4.4 and the Owner refuses the payment tendered or the Surety has denied liability, in whole or in part, without further notice the Owner shall be entitled to enforce any remedy available to the Owner. 6. After the Owner has terminated the Contractor's right to complete the Construction Contract, and if the Surety elects to act under Subparagraph 4.1, 4.2 or 4.3 above, then the responsibilities of the Surety to the Owner shall not be greater than those of the Contractor under the Construction Contract, and the responsibilities of the Owner to the Surety shall not be greater than those of the Owner under the Construction Contract. To the limit of the amount of this Bond, but subject to commitment by the Owner of the Balance of the Contract FY042165 Wedington Drive Water and Sewer Price to mitigation of costs and damages on the Construction Conuac Surety is obligated without duplication for: 6.1 The responsibilities of the Contractor for correction of defc work and completion of the Construction Contract; 6.2 Additional legal, design professional and delay costs resulting• the Contractor's Default, and resulting from the actions or failu act of the Surety under Paragraph 4; and 6.3 Liquidated damages, or if no liquidated damages are specific the Construction Contract, actual damages caused by deli performance or non-performance of the Contractor. 7. The Surety shall not be liable to the Owner or others for obligation the Contractor that are unrelated to the Construction Contract, and the Bala of the Contract Price shall not be reduced or set off on account of any s unrelated obligations. No right of action shall accrue on this Bond to person or entity other than the Owner or its heirs, executors, administrators successors. 8. The Surety hereby waives notice of any change, including changes time, to the Construction Contract or to related subcontracts, purchase ord and other obligations. 9. Any proceeding, legal or equitable, under this Bond may be instituted any court of competent jurisdiction in the location in which the Work or pan the Work is located and shall be instituted within two years after Contract Default or within two years after the Contractor ceased working or within n years after the Surety refuses or fails to perform its obligations under tt Bond, whichever occurs first. If the provisions of the Paragraph are void prohibited by law, the minimum period of limitation available to sureties as defense in the jurisdiction of the suit shall be applicable. 10. Notice to the Surety, the Owner or the Contractor shall be mailed delivered to the address shown on the signature page. 11. When this Bond has been furnished to comply with a statutory or othc legal requirement in the location where the construction was to be performer any provision in this Bond conflicting with said statutory or legal requirement shall be deemed deleted herefrom and provisions conforming to such statutor or other legal requirement shall be deemed incorporated herein. The intent is that this Bond shall be construed as a statutory bond and not as a common lav bond. 12. DEFINITIONS 12.1 Balance of the Contract Price: The total amount payable by the Owner to the Contractor under the Construction Contract after all proper adjustments have been made, including allowance to the Contractor of any amounts received or to be received by the Owner in settlement of insurance or other claims for damages to which the Contractor is entitled, rcduced by all valid and proper payments made to or on behalf of the Contractor under the Construction Contract. 12.2 Construction Contract: The agreement between the Owner and the Contractor identified on the signature page, including all the Contract Documents and changes thereto. 12.3 Contractor Default: Failure of the Contractor, which has neither been remedied nor waived, to perform or otherwise to comply with the terns of the Construction Contract. 12.4 Owner Default: Failure of the Owner, which has neither been remedied nor waived, to pay the Contractor as required by the Construction Contract or to perform and complete or comply with the other terms thereof. 00600-1-2 Power of Attorney FIDELITY AND DEPOSIT COMPANY OF MARYLAND COLONIAL AMERICAN CASUALTY AND SURETY COMPANY KNOW ALL MEN BY THESE PRESENTS: That the FIDELITY AND DEPOSIT COMPANY OF MARYLAND, and ; COLONIAL AMERICAN CASUALTY AND SURETY COMPANY- corporations of the S . aryland. by FRANK MARTIN JR., Vice President. and ERIC D. BARNES, Assistant Secretary, in put c: c : ret • °ranted by Article \ Section 2, of the By -Laws of said Companies, which are set forth on thrs full force and effect on the date hereof. does hereby nomina0°$reby certified to be NADEAU, S. Mark WILKERSON, Ashley Ro . 1 1 L`r�E Topeka, Kansas, 1 , all ofn Tobeha, Ks curet EACH its true and lawful agent and At q p -�F° L ak e ,�. • ..: as its act and deed: any mita' g�ld�der .: el ver, for, and on its beings lfin surety, t 1.ecution of such bonds or undertakings in pursuance these presents, shallyg donjai� t>, , r .5• uIly and amply, to all in ents and purposes, as if they had bees duly executed and a �n�ip((ed�``ed trtGM• .t elected officers of the Company at its office in Baltimore, Md., in their own proper persons. .1 ofyukof'ney revokes that issued on behalf of Stanley G. WILKERSON, Claudia J. NADEAU, S. Mark . IfSON. Ashley Rose NELSON Martha L. GILFILLAN, dated July 5, 2005. The said Assistant Secretary does hereby certify that the extract set forth on the reverse side hereof is a true copy of Article Section 2. of the By -Laws of said Companies, and is now in force. IN WITNESS WHEREOF, the said Vice -President and Assistant Secretary have hereunto subscribed their names ; affixed the Corporate Seals of the said FIDELITY AND DEPOSIT COMPANY OF MARYLAND, and the COLONI AMERICAN CASUALTY AND SURETY COMPANY, this 6th day of December, A.D. 2005. ATTEST. State of Maryland City of Baltimore }ss: FIDELITY AND DEPOSIT COMPANY OF MARYLAN COLONIAL AMERICAN CASUALTY AND SURETY COMPAN By Eric D. Banes Assistant Secretary Frank E. Marlin Jr. Vice Presidt On this 6th day of December A D 2005, before the subscriber. a Notary Public of the State of Maryland, du commissioned and qualified, came FRANK E. MARTIN JR:, Vice President, and ERIC D. BARNES Assistant Secretary the FIDELITY AND DEPOSIT COMPANY OF MARYLAND, and the COLONIAL AMERICAN CASUALTY AN SURETY COMPANY, to me personally known to be the individuals and officers described in and who executed tl preceding instrument, and they each acknowledged the execution of the same, and being by me duly sworn, severally ar each for himself deposeth and saith, that they are the said officers of the Companies aforesaid, and that the seals affixed to 11 preceding instrument is the Corporate Seals of said Companies, and that the said Corporate Seals and their signatures as suc officers were duly affixed and subscribed to the said instrument by the authority and direction of the said Corporations. IN TESTIMONY WHEREOF, I have hereunto set my hand and affixed my Official Seal the day and year first abov written. POA -F 076-0008 • Maria D. Adamski , Notary Publi, My Commission Expires: July 8, 2007 EXTRACT FROM BY-LAWS OF FIDELITY AND DEPOSIT COMPANY OF MARYLAND "Article VI, Section 2. The Chairman of the Board, or the President, or any Executive Vice -President, or any of the Senior Vice -Presidents or Vice -Presidents specially authorized so to do by the Board of Directors or by the Executive Committee, shall have power, by and with the concurrence of the Secretary or any one of the Assistant Secretaries, to appoint Resident Vice -Presidents, Assistant Vice -Presidents and Attorneys -in -Fact as the business of .the Company may require, or to authorize any person or persons to execute on behalf of the Company any bonds, undertaking, recognizances, stipulations, policies, contracts, agreements, deeds, and releases and assignments of Judgements, decrees, mortgages and instruments in the nature of mortgages,...and to affix the seal of the Company thereto." EXTRACT FROM BY-LAWS OF COLONIAL AMERICAN CASUALTY AND SURETY COMPANY "Article VI, Section 2. The Chairman of the Board, or the President, or any Executive Vice -President, or any of the Senior Vice -Presidents or Vice -Presidents specially authorized so to do by the Board of Directors or by the Executive Committee, shall have power, by and with the concurrence of the Secretary or any one of the Assistant Secretaries, to appoint Resident Vice -Presidents, Assistant Vice -Presidents and Attorneys -in -Fact as the business of the Company may require, or to authorize any person or persons to execute on behalf of the Company any bonds, undertaking, recognizances, stipulations, policies, contracts, agreements, deeds, and releases and assignments of Judgements, decrees, mortgages and instruments in the nature of mortgages,...and to affix the seal of the Company thereto." CERTIFICATE I, the undersigned, Assistant Secretary of the FIDELITY AND DEPOSIT COMPANY OF MARYLAND, and the COLONIAL AMERICAN CASUALTY AND SURETY COMPANY. do hereby certify that the foregoing Power of Attorney is still in full force and effect on the date of this certificate; and I do further certify that the Vice -President who executed the said Power of Attorney was one of the additional Vice -Presidents specially authorized by the Board of Directors to appoint any Attorney -in -Fact as provided in Article VI, Section 2, of the respective By -Laws of the FIDELITY AND DEPOSIT COMPANY OF MARYLAND, and the COLONIAL AMERICAN CASUALTY -AND SURETY COMPANY. This Power of Attorney and Certificate may be signed by facsimile under and by authority of the following resolution of the Board of Directors of the FIDELFfY AND DEPOSIT COMPANY OF MARYLAND at a meeting duly called and held on the 10th day of May, 1990 and of the Board of Directors of the COLONIAL AMERICAN CASUALTY AND SURETY COMPANY at a meeting duly called and held on the 5th day of May, 1994. RESOLVED. That the facsimile or mechanically reproduced seal of the company and facsimile or mechanically reproduced signature of any Vice -President, Secretary, or Assistant Secretary of the Company, whether made heretofore 01 hereafter, wherever appearing upon a certified copy of any power of attorney issued by the Company, shall be valid ane binding upon the Company with the same force and effect as though manually affixed." IN TESTIMONY WHEREOF, I have hereunto subscribed my name and affixed the corporate seals of the said Companies, this. 15 day of Re bii,Car j , 260Co Assistant Secremry Document 00600-2 Bond #08833461 Construction Payment Bond Any singular reference to Contractor, Surety, Owner or other party shall be considered plural where applicable. CONTRACTOR (Name and Address) Crossland Heavy Contractors, Inc. P O. Box 350 Columbus, KS 66725 OWNER (Name and Address): City of Fayetteville 113 West Mountain Fayetteville, Arkansas 72701 CONSTRUCTION CONTRACT Date: February 8, 2006 Amount: $1,591,426.20 Description (Name and Location): SURETY (Name and Principal Place of Business): Fidelity and Deposit Company of Maryland 1400 American Lane, Tower I, 19th Floor Schaumburg; IL 60196 Fayetteville Wedington Drive Water and Sewer Main Replacement BOND Date (Not earlier than Construction Contract Date): February 15; 2006 Amount: $1,591,42620 Modifications to this Bond Form: CONTRACTOR AS PRINCIPAL Company (Corp. Seal) SURETY Company (Corp Seal) Fidelity and Deposit Company of Maryland Signature.-//'/-.�`^ Signature: eLL /Azit.47, Name and Title: CONTRACTOR AS PRINCIPAL Company (Corp. Seal) Name and Title!Martha L. Gilfillan Attorney -In -Fact SURETY Company (Corp Seal) Signature: Signature: Name and Title: Name and Title: EJCDC No. 1910-288 (1984 Edition) Prepared through the joint efforts of the SuretyAssociation of America, Engineers' Joint Contract Documents Committee, The Associated General Contractors of America. American Institute of Architects, American Subcontractors Association. and the Associated Specialty Contractors FY042165 Wedington Drive Water & Sewer Section 00600-2-1 1. The Contractor and the Surety, jointly and severally, bind themselves, their heirs, executors, administrators, successors and assigns to the Owner to pay for labor, materials and equipment furnished for use in the performance of the Constniction Contract, which is incorporated herein by reference. 2. With respect to the Owner, this obligation shall be null and void if the Contractor: 2.1 Promptly makes payment, directly or indirectly, for all sums due Claimants, and 2.2 Defends, indemnifies and holds harmless the Owner from all claims, demands, liens or suits by any person or entity who furnished labor, materials or equipment for use in the performance of the Construction Contract, provided the Owner has promptly notified the Contractor and the Surety (at the address described in paragraph 12) of any claims, demands, liens or suits and tendered defense of such claims, demands, liens or suits to the Contractor and the Surety, and provided there is no Owner Default 3. With respect to Claimants, this obligation shall be null and void if the Contractor promptly makes payment, directly or indirectly, for all sums due. 4. The Surety shall have no obligation to Claimants under this Bond until: 4.1 Claimants who are employed by or have a direct contract with Contractor have given notice to the Surety (at the address described in paragraph 12) and sent a copy, or notice thereof, to the Owner, stating that a claim is being made under this Bond and , with substantial accuracy, the amount of the claim. 4.2 Claimants who do not have a direct contract with the Contractor: 1. Have furnished written notice to the Contractor and sent a copy, or notice thereof, to the Owner, within 90 days after having last performed labor or last furnished materials or equipment included in the claim stating, with substantial accuracy, the amount of the claim and the name of the party to whom the materials were furnished or supplied or for whom the labor was done or performed; and 2. Have either received a rejection in whole or in part from the Contractor, or not received within 30 days of famishing the above notice any communication from the Contractor by which the Conhactor has indicated the claim will be paid directly or indirectly.; and • 3. Not having been paid within the above 30 days, have sent a written notice to the Surety (at the address described in paragraph 12) and sent a copy, or notice thereof, to the Owner, stating that a claim is being made under this Bond and enclosing a copy of the previous written notice furnished to the Contractor. 5. If a notice required by paragraph 4 is given by the Owner to the Contractor or to the Surety, that is sufficient compliance. 6. When the Claimant has satisfied the conditions of paragraph 4, the Surcty shall promptly and at the Surety's expense take the following actions: 6.1 Send an answer to the Claimant, with a copy to the Owner, within 45 days after receipt of the claim, stating the amounts that are undisputed and the basis for challenging any amounts that are disputed. 6.2 Pay or arrange for payment of any undisputed amounts. 7. The Surety's total obligation shall not exceed the amount of this Bond, and the amount of this Bond shall be credited for any payments made in good faith by the Surety. 8. Amounts owed by the Owner to the Contractor under the Construction Contract shall be used for the performance of the Construction contract and to satisfy claims, if any, under any Construction Performance Bond. By the Contractor furnishing and the Owner accepting this Bond, they agree that funds earned by the Contractor in the performance of the Construction Contract are dedicated to satisfy obligations of the Contractor and the Surety under this Bond, subject to the Owner's priority to use the funds for the completion of the Work. 9. The Surety shall not be liable to the Owner, Claimants or others for obligations of the Contractor that are unrelated to the Construction Contract. FY042165 Wedington Drive Water & Sewer The Owner shall not be liable for payment of any costs or expenses of a Claimant under this Bond. 10 The Surety hereby waives notice of any change, including changes lime, to the Construction Contract or to related subcontracts, purchase orde and other obligations. 11. No suit or action shall be commenced by a Claimant under this Bot other than in a court of competent jurisdiction in the location in which tl Work or part of the Work is located or after the expiration of one year from U date (1) on which the Claimant gave the notice required by Subparagraph 4. or Clause 4.2.3, or (2) on which the last labor or service was performed t anyone or the last materials or equipment were furnished by anyone under th Construction Contract, whichever of (I) or (2) occurs first. If the provisions 1 this paragraph are void or prohibited by law, the minimum period oflimitatio available to sureties as a defense in the jurisdiction of the suit shall b applicable. 12. Notice to the Surety, the Owner or the Contractor shall be mailed o delivered to the address shown on the signature page. Actual receipt ofnotic. by the Surety, the Owner, or the Contractor, however accomplished, shall bi sufficient compliance as of the date received at the address shown on Liu signature page. 13. When this Bond has been furnished to comply with a statutory or other legal requirement in the location where the construction was to be perforated, any provision in this Bond conflicting with said statutory or legal requirements shall be deemed deleted herefrom and provisions conforming to such statutory or other legal requirement shall be deemed incorporated herein. The intent is, that this Bond shall be construed as a statutory bond and not as a common law bond. 14. Upon request by any person or entity appearing to be a potential beneficiary of this Bond, the Contractor shall promptly furnish a copy of this Bond or shall permit a copy to be made. 15 DEFINITIONS 15.1 Claimant: An individual or entity having a direct contract with the Contractor or with a subcontractor of the Contractor to furnish labor, materials, or equipment for use in the performance of the Contract. The intent of this Bond shall be to include without limitation in the terms "labor, materials or equipment" that part of water, gas, power, light, heat, oil, gasoline, telephone service or rental equipment used in the Construction Contract, architectural and engineering services required for performance of the work of the Contractor and Contractor's sub contractors, and all other items for which a mechanic's lien may be asserted in the jurisdiction where the labor, materials or equipment were famished. 15.2 Construction Contract: The agreement between the Owner and the Contractor identified on the signature page, including all the Contract Documents and changes thereto. 15.3 Owner Default: Failure of the Owner, which has neither been remedied nor waived, to pay the Contractor as required by the Construction Contract or to perform and complete or comply with the other terms thereof. 00600-2-2 Power of Attorney FIDELITY AND DEPOSIT COMPANY OF MARYLAND COLONIAL AMERICAN CASUALTY AND SURETY COMPANY KNOW ALL MEN BY THESE PRESENTS- That the FIDELITY AND DEPOSIT COMPANY OF MARYLAND, and the COLONIAL AMERICAN CASUALTY AND SURETY COMPANY, corporations of the _Statesof MARTIN JR., Vice President, and ERIC D. BARNES, Assistant Secretary, in pur anc Section 2, of the By -Laws of said Companies, which are set forth on th ss.\, full force and effect on the date hereof, does hereby nomina NADEAU, S. Mark WILKERSON, Ashley Ro EACH its true and lawful agent and Atto S as its act and deed: any an these presents, shal duly executed and a own proper persons. NADEAU, S. Mark aryland, by FRANK E. granted by Article VI, reby certified to be in po i _ @} ..4 ERSON, Claudia J. ak , all of Topeka, Kansas, 2i—deliver, for. and on its behalf as surety, and Ate ecution of such bonds or undertakings in pursuance of ully and amply, to all intents and purposes, as if they had been e ected officers of the Company at its office in Baltimore, Md., in their orney revokes that issued on behalf of Stanley G. WILKERSON, Claudia J. SON, Ashley Rose NELSON. Martha L. GILFILLAN, dated July 5, 2005. The said Assistant Secretary does hereby certify that the extract set forth on the reverse side hereof is a true copy of Article VI Section 2, of the By -Laws of said Companies, and is now in force IN WITNESS WHEREOF, the said Vice -President and Assistant Secretary have hereunto subscribed their names ane affixed the Corporate Seals of the said FIDELITY AND DEPOSIT COMPANY OF MARYLAND, and the COLONIAI AMERICAN CASUALTY AND SURETY COMPANY, this 6th day of December. A.D. 2005. ATTEST: State of Maryland City of Baltimore ss: FIDELITY AND DEPOSIT COMPANY OF MARYLAND COLONIAL AMERICAN CASUALTY AND SURETY COMPANY Eric D. Barnes By: Assistant Secretary Frank E. Martin Jr. Vice Presiden; On this 6th day of December, A.D. 2005, before the subscriber, a Notary Public of the State of Maryland, duly commissioned and qualified, came FRANK E. MARTIN JR., Vice President, and ERIC D. BARNES, Assistant Secretary of the FIDELITY AND DEPOSIT COMPANY OF MARYLAND, and the COLONIAL AMERICAN CASUALTY AND SURETY COMPANY, to me personally known to be the individuals and officers described in and who executed the preceding instrument, and they each acknowledged the execution of the same, and being by me duly sworn, severally and each for himself deposeth and saith, that they are the said officers of the Companies aforesaid, and that the seals affixed to the preceding instrument is the Corporate Seals of said Companies, and that the said Corporate Seals and their signatures as such officers were duly affixed and subscribed io the said instrument by The authority and direction of the said Corporations. IN TESTIMONY WHEREOF, I have hereunto set my hand and affixed my Official Seal the day and year first above written. POA -F 076-0008 Maria D. Adamski Notary Public My Commission Expires: July 8, 2007 EXTRACT FROM BY-LAWS OF FIDELITY AND DEPOSIT COMPANY OF MARYLAND "Article VI, Section 2. The Chairman of the Board, or the President, or any Executive Vice -President, or any of the Senior Vice -Presidents or Vice -Presidents specially authorized so to do by the Board of Directors or by the Executive Committee, shall have power, by and with the concurrence of the Secretary or any one of the Assistant Secretaries, to appoint Resident Vice -Presidents, Assistant Vice -Presidents and Attorneys -in -Fact as the business of the Company may require, or to authorize any person or persons to execute on behalf of the Company any bonds, undertaking, recognizances, stipulations, policies, contracts, agreements, deeds, and releases and assignments of judgements, decrees, mortgages and instruments in the nature of mortgages,...and to affix the seal of the Company thereto." EXTRACT FROM BY-LAWS OF COLONIAL AMERICAN CASUALTY AND SURETY COMPANY "Article VI, Section 2. The Chairman of the Board, or the President, or any Executive Vice -President, or any of the Senior Vice -Presidents or Vice -Presidents specially authorized so to do by the Board of Directors or by the Executive Committee, shall have power, by and with the concurrence of the Secretary or any one of the Assistant Secretaries, to appoint Resident Vice -Presidents, Assistant Vice -Presidents and Attorneys -in -Fact as the business of the Company may require, or to authorize any person or persons to execute on behalf of the Company any bonds, undertaking, recognizances, stipulations, policies, contracts, agreements, deeds, and releases and assignments of judgements, decrees, mortgages and instruments in the nature of mortgages,...and to affix the seal of the Company thereto." CERTIFICATE I, the undersigned, Assistant Secretary of the FIDELITY AND DEPOSIT COMPANY OF MARYLAND, and the COLONIAL AMERICAN CASUALTY AND SURETY COMPANY, do hereby certify that the foregoing Power of Attorney is still in full force and effect on the date of this certificate; and I do further certify that the Vice -President who executed the said Power of Attorney was one of the additional Vice -Presidents specially authorized by the Board of Directors to appoint any Attorney -in -Fact as provided in Article VI, Section 2, of the respective By -Laws of the FIDELITY AND DEPOSIT COMPANY OF MARYLAND, and the COLONIAL AMERICAN CASUALTY -AND SURETY COMPANY. This Power of Attorney and Certificate may be signed by facsimile under and by authority of the following resolution of the Board of Directors of the FIDELITY AND DEPOSIT COMPANY OF MARYLAND at a meeting duly called and held on the 10th day of May, 1990 and of the Board of Directors of the COLONIAL AMERICAN CASUALTY AND SURETY COMPANY at a meeting duly called and held on the 5th day of May, 1994. RESOLVED: That the facsimile or 'mechanically reproduced seal of the company and facsimile or mechanically reproduced signature of any VicePresident, Secretary, or Assistant Secretary of the Company, whether made heretofore or hereafter, wherever appearing upon a certified copy of any power of attorney issued by the Company, shall be valid and binding upon the Company with the same force and effect as though manually affixed." IN TESTIMONY WHEREOF, I have hereunto subscribed my name and affixed the corporate seals of the said Companies, this 15 day of RtiOnka.r , 2noco Assistant Secretary o Client#: 11231 ACORD.M CERTIFICATE CROSCON OF LIABILITY INSURANCE PRODUCER IMA of Kansas, Inc. (Topeka) PO Box 1537 Topeka, KS 66601-1537 785 232-2202 DATE IMMIDDNYJ 02/22/06 THIS CERTIFICATE IS ISSUED AS A MATTER OF INFORMATION ONLY . AND CONFERS NO RIGHTS UPON THE CERTIFICATE HOLDER. THIS CERTIFICATE DOES NOT AMEND, EXTEND OR ALTER THE COVERAGE AFFORDED BY THE POLICIES BELOW. INSURERS AFFORDING COVERAGE INSURED City of Fayetteville 113 West Mountain Fayetteville, AR 72701 INSURER A: Zurich American Insurance INSURER 8: INSURER C: INSURER D: INSURER E: COVERAGES MORAL INSURED;WSURER LETTER: CANCELLATION City of Fayetteville 113 West Mountain Fayetteville, AR 72701 SHOULD ANYOF THE ABOVE DESCRIBED POLICIES BE CANCELLED BEFORE THE EXPIRATION DATE THEREOF, THE ISSUING INSURER WILL ENDEAVOR TO MAIL YB _DAYS WRITTEN NOTICE TOTHE CERTIFICATE HOLDER NAMED TO THE LEFT, BUT FAILURE TODOSOSH ALL IMPOSE NO OBLIGATION OR LIABILITY OF ANY KIND UPON THE INSU RER,ITS AGENTS OR REPRESENTATIVES. AUTHORIZED REPRESENTATIVE ACORD 25-S (7197)1 of 2 #S287172/M287171 JRK 0 ACORD CORPORATION 1988 THE ANY MAY POLICIES. POLICIES OF INSURANCE LISTED REQUIREMENT, TERM OR CONDITION PERTAIN, THE INSURANCE AFFORDED AGGREGATE LIMITS SHOWN BELOW HAVE BEEN ISSUED TO THE INSURED NAMED ABOVE FOR THE POLICY PERIOD INDICATED. NOTWITHSTANDING OF ANY CONTRACT OR OTHER DOCUMENT WITH RESPECT TO WHICH THIS CERTIFICATE MAY BE ISSUED OR BY THE POLICIES DESCRIBED HEREIN IS SUBJECT TO ALL THE TERMS. EXCLUSIONS AND CONDITIONS OF SUCH MAY HAVE BEEN REDUCED BY PAID CLAIMS. INSR LTR TYPE OF INSURANCE POLICY NUMBER POLICY EFFECTIVE DATE (MM/DDM/) POLICY EXPIRATION DATE IMWDUMn LIMITS A GENERAL LIABILITY ERCWLGENERAL CLAIMS MADE LIAB ILITY OCCUR TBD COntractOr: Crossland Heavy Contractors, Inc. 02/15/06 04/30/06 EACH OCCURRENCE S 1,000,000 S X COMM FIRE DAMAGE (Any one fire) X MED EXP (Any one person) 5 PERSONAL & ADV INJURY 5 X OCP GENERAL AGGREGATE 52,000,000 S GENT. AGGREGATE LIMIT APPLIES PER: n LOC PRODUCTS -COMP/OP AGG POLICY n JE T AUTOMOBILE LIABILITY AUTO OWNED AUTOS AUTOS AUTOS -OWNED AUTOS • COMBINED SINGLE LIMIT (Ea accident) $ ANY ALL BODILY INJURY (Per Person) S SCHEDULED HIRED BODILY INJURY (Per accident) $ NON PROPERTY DAMAGE (Per accident) 5 GARAGE LIABILITY ANY AUTO AUTO ONLY - EA ACCIDENT OTHER THAN AUTO ONLY: EA ACC $ AGG $ EXCESS LIABILITY OCCUR DEDUCTIBLE RETENTION I CLAIMS MADE EACH OCCURRENCE 5 I AGGREGATE $ S 3 5 S WORKERS COMPENSATION AND EMPLOYERS' LIABILITY WC STATU. TORY LIMBS OTH- FR E.L. EACH ACCIDENT S E.L. DISEASE - EA EMPLOYEE 5 E.L. DISEASE - POLICY LIMIT $ OTHER DESCRIPTION OF OPERATIONSILOCATIONSNEHICLE&EXCLUSIONS ADDED BY ENDORSEMENT/SPECIAL PROVISIONS RE: Fayetteville Wedington Drive Water & Sewer Main Replacement McClelland Consulting Engineers, Inc. are named as additional insured as respects Owners Contractors Protective Liability. MORAL INSURED;WSURER LETTER: CANCELLATION City of Fayetteville 113 West Mountain Fayetteville, AR 72701 SHOULD ANYOF THE ABOVE DESCRIBED POLICIES BE CANCELLED BEFORE THE EXPIRATION DATE THEREOF, THE ISSUING INSURER WILL ENDEAVOR TO MAIL YB _DAYS WRITTEN NOTICE TOTHE CERTIFICATE HOLDER NAMED TO THE LEFT, BUT FAILURE TODOSOSH ALL IMPOSE NO OBLIGATION OR LIABILITY OF ANY KIND UPON THE INSU RER,ITS AGENTS OR REPRESENTATIVES. AUTHORIZED REPRESENTATIVE ACORD 25-S (7197)1 of 2 #S287172/M287171 JRK 0 ACORD CORPORATION 1988 ii IMPORTANT If the certificate holder is an ADDITIONAL INSURED the policy(ies) must be endorsed. A statement on this certificate does not confer rights to the certificate holder in lieu of such endorsement(s). 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 endorsement(s). DISCLAIMER The Certificate of Insurance on the reverse side of this form does not constitute a contract between the issuing insurer(s), authorized representative or producer, and the certificate holder, nor does it affirmatively or negatively amend, extend or alter the coverage afforded by the policies listed thereon. • ACORD 25-S (7/97)2 of 2 #8287172/M287171 tii Client#: 11232 CROSHEA ACORDTH CERTIFICATE OF LIABILITY INSURANCE PRODUCER IMA of Kansas, Inc. (Topeka) PO Box 1537 Topeka, KS 66601-1537 785 232-2202 INSURED DATE IM&VDD/YYYY) 2/22/06 THIS CERTIFICATE IS ISSUED AS A MATTER OF INFORMATION ONLY AND CONFERS NO RIGHTS UPON THE CERTIFICATE HOLDER. THIS CERTIFICATE DOES NOT AMEND, EXTEND OR ALTER THE COVERAGE AFFORDED BY THE POLICIES BELOW. INSURERS AFFORDING COVERAGE COVERAGES Crossland Heavy Contractors, Inc. • PO Box 350; 833 S E Avenue Columbus, KS 66725 INSURER A: Zurich American Insurance INSURER B: American Guarantee & Liability INSU E C: The Insurance Co. of the State of PA INSURER D: Athena Assurance Company NAIC # 16535 26247 19429 41769 INSURER E: RE Fayetteville Wedington Drive Water & Sewer Main Replacement Certificate Holder and Engineer (McClelland Consulting Engineers, Inc.) -are named as additional insureds (excludes professional liability) as respects General Liability and Auto Liability. ._ CERTIFICATE HOLDER CANCELLATION City of Fayetteville 113 West Mountain Fayetteville, AR 72701 ACORD 25 (2001/08) 1 of 2 SHOULD ANY OF THE ABOVE DESCRIBED POLICIES BE CANCELLED BEFORE THE EXPIRATION DATE THEREOF, THE ISSUING INSURER WILL RbtDORWARRR MAIL 30 DAYS WRITTEN NOTICE TO THE CERTIFICATE HOLDER NAMED TO THE LEFT,AXXWAINOnWPIC000 Jn8(J( EWA. 11AA151000361D ARVINMAX7OR*XXXIWTAXIOR XRRIDRtOZI OLRRIORRRDD0EXXX RROac$XOCwnnx AUTHORIZED REPRESENTATIVE #S287169/M252159 JRK 0 ACORD CORPORATION 1988 ANY POLICIES. INSR THE POLICIES REQUIREMENT, MAY PERTAIN, ADb'L OF INSURANCE LISTED BELOW TERM OR CONDITION THE INSURANCE AFFORDED AGGREGATE LIMITS SHOWN MAY HAVE BEEN ISSUED TO THE INSURED NAMED ABOVE FOR THE POLICY PERIOD INDICATED. NOTWITHSTANDING OF ANY CONTRACT OR OTHER DOCUMENT WITH RESPECT TO WHICH THIS CERTIFICATE MAY BE ISSUED OR BY THE POLICIES DESCRIBED HEREIN 15 SUBJECT TO ALL THE TERMS, EXCLUSIONS AND CONDITIONS OF SUCH HAVE BEEN REDUCED BY PAID CLAIMS. LTR NSRC TYPE OF INSURANCE POLICY NUMBER - Pi?k45(M DD/YIVIE P DATEIMM/UO/YY))N UNITS A GENERAL LIABILITY GL0370703403 04/30/05 X COMMERCIAL 04/30/06 EACH OCCURRENCE $1,0001000 GENERAL LIABILITY DA4GETO NTED CLAIMS heel $300,000 MADE X OCCUR X PD Ded:2,500 MED EXP (Any one person) $10,000 PERSONAL &ADV INJURY S1,000,000 GENII AGGREGATE GENERAL AGGREGATE s2,000,000 LIMIT APPLIES PER: POLICY X PRODUCTS- COMP/OPAGG 52,000,000 I JE 'A ' LOC B AUTOMOBILE LIABILITY BAP370703303 04/30/05 X ANY AUTO 04/30/06 COMBINED SINGLE LIMIT (Ea accident) $1,0001000 ALL OWNED AUTOS SCHEDULED AUTOS BODILY INJURY (Per $ X person) HIRED AUTOS X NON -OWNED AUTOS BODILY INJURY (Per accident) PROPERTY DAMAGE (Per acddenl) $ GARAGE LIABILITY AUTO ONLY - EA ACCIDENT S ANY AUTO • OTHER THEA ACC S AUTO ONLANY: AGG S C EXCESS/UMBRELLA LIABILITY 46056423 04/30/05 X 04/30/06 EACH OCCURRENCE 15,000,000 OCCUR CLAIMS MADE AGGREGATE $5,000,000 ' D $ DEDUCTIBLE 0106800816 04/30/05 X 04/30/06 Each Occ $$7,000 000 RETENTION $ 0 A gregate s$7,000,00 A WORKERS COMPENSATION AND EMPLOYERS' LIABILITY WC370703602 04/30/05 04/30/06 X� WC STATU- TORT LIMITS OTH- ER ANY PROPRIETOR/PARTNER/EXECUTIVE OFFICER/MEMBER EXCLUDED? E.L. EACH ACCIDENT 51,000,000 If yes, describe under E.L DISEASE - EA EMPLOYEE 11,000,000 SPECIAL PROVISIONS below E.L. DISEASE - POLICY LIMIT OTHER $1,000,000 DESCRIPTION OF OPERATIONS/ LOCATIONS 1 VEHICI FB r Ern ue,nue e..-.• ..—.—.—___... ___ RE Fayetteville Wedington Drive Water & Sewer Main Replacement Certificate Holder and Engineer (McClelland Consulting Engineers, Inc.) -are named as additional insureds (excludes professional liability) as respects General Liability and Auto Liability. ._ CERTIFICATE HOLDER CANCELLATION City of Fayetteville 113 West Mountain Fayetteville, AR 72701 ACORD 25 (2001/08) 1 of 2 SHOULD ANY OF THE ABOVE DESCRIBED POLICIES BE CANCELLED BEFORE THE EXPIRATION DATE THEREOF, THE ISSUING INSURER WILL RbtDORWARRR MAIL 30 DAYS WRITTEN NOTICE TO THE CERTIFICATE HOLDER NAMED TO THE LEFT,AXXWAINOnWPIC000 Jn8(J( EWA. 11AA151000361D ARVINMAX7OR*XXXIWTAXIOR XRRIDRtOZI OLRRIORRRDD0EXXX RROac$XOCwnnx AUTHORIZED REPRESENTATIVE #S287169/M252159 JRK 0 ACORD CORPORATION 1988 IMPORTANT If the certificate holder is an ADDITIONAL INSURED, the policy(ies) must be endorsed. A statement on this certificate does not confer rights to the certificate' holder in lieu of such endorsement(s). 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 endorsement(s). DISCLAIMER The Certificate of Insurance on the reverse side of this form does not constitute a contract between the issuing insurer(s), authorized representative or producer, and the certificate holder, nor does it affirmatively or negatively amend, extend or alter the coverage afforded by the policies listed thereon. ACORD 254 (2001/08) 2 oft #S2871691M252159 oup 1 1 • m MAINTENANCE BOND BOND NUMBER 08833461 KNOW ALL MEN BY THESE PRESENTS, That we, Crossland Heavy Contractors, Inc. (hereinafter called the Principal), and Fidelity and Deposit Company of Maryland , a corporation (hereinafter call the Surety), are held and firmly bound unto the City of Fayetteville, Arkansas (hereinafter called the Obligee), in the full and just sum of $1,591,428 20Dollars, lawful money of the United States, for the payment of which, well and truly to be made, we bind ourselves, our heirs, administrators, executors, successsors and assigns, jointly and severally, firmly by these presents. WHEREAS, said Prinicipal has entered into a certain contract with the Obligee dated February 8, 2006 Project Fayetteville Wedington Drive Water and Sewer Main Replacement which contract has been or is about to be accepted. AND WHEREAS, specification and contract provided that should guarantee the project free from defects caused by faulty workmanship and materials for a period of two years after substantial completion, general wear and tear expected. NOW, THEREFORE, if the said project shall be free from defects of workmanship and materials, general wear and tear expected, for a period of two years after substanial completion, then this obligation shall be null and void; otherwise to remain in full force and effect. Signed, sealed and delivered February 15, 2006 Witness as to Caro s�nc. (Seal) Crossland (Seal) Principal IA 5<w, Pas%agM' Fidelity and Deposit Company of Mayland (Seal) Marth. L Gilfillan, Attorney -in • Maintenance Bond City of Fayetteville Power of Attorney FIDELITY AND DEPOSIT COMPANY OF MARYLAND COLONIAL AMERICAN CASUALTY AND SURETY COMPANY KNOW ALL MEN BY THESE PRESENTS: That the FIDELITY AND DEPOSIT COMPANY OF MARYLAND. and the COLONIAL AMERICAN CASUALTY AND SURETY COMPANY, corporations of the S co{ 9aryland, by FRANK E. MARTIN JR., Vice President, and ERIC D. BARNES, Assistant Secretary, in pur : ¢f *': t granted by Article VI, Section 2, of the By -Laws of said Companies, which are set forth on the-rrpe-rs. eeeo an reby certified to be in full force and effect on the date hereof, does hereby nornina .. p t a:+ :pot e� 1tKERSON, Claudia J. NADEAU, S. Mark WILKERSON, Ashley Ro . i • t I 4* �� of Topeka, Kansas, EACH its true and lawful agent and AttQrFtt ak a diver, for, and on its behalf as surely, and as its act and deed: any an d 1rsNde _ :Sate ecution of such bonds or undertakings in pursuance of these presents, shall �� gWpon f ully and amply, to all intents and purposes, as if They had been duly executed and a nbwledoea _ .l: e ected officers of the Company at its office in Baltimore, Md., in their own proper persons. :: _ ►. omey revokes that issued on behalf of Stanley G. WILKERSON, Claudia J. NADEAU, S. Mark Yui .:SON, Ashley Rose NELSON, Martha L. GILFILLAN, dated July 5, 2005. The said Assistant Secretary does hereby certify that the extract set forth on the reverse side hereof is a true copy of Article VI, Section 2, of the By -Laws of said Companies, and is now in force. IN WITNESS WHEREOF, the said Vice -President and Assistant Secretary have hereunto subscribed their names and affixed the Corporate Seals of the said FIDELITY AND DEPOSIT COMPANY OF MARYLAND, and the COLONIAL AMERICAN CASUALTY AND SURETY COMPANY, this 6th day of December, A.D. 2005. ATTEST: FIDELITY AND DEPOSIT COMPANY OF MARYLAND COLONIAL AMERICAN CASUALTY AND SURETY COMPANY Eric D. Barnes By: Assistant Secretary Frank E. Martin Jr. Vice President State of Maryland lss: City of Baltimore J On this .6th day of December, A.D. 2005, before the subscriber, a Notary Public of the State of Maryland, duly commissioned and qualified, came FRANK E. MARTIN JR., Vice President, and ERIC D. BARNES, Assistant Secretary of the FIDELITY AND DEPOSIT COMPANY OF MARYLAND, and the COLONIAL AMERICAN CASUALTY AND SURETY COMPANY, to me personally known to be the individuals and officers described in and who executed the preceding instrument, and they each acknowledged the execution of the same, and being by me duly sworn, severally and each for himself deposeth and saith, that they are the said officers of the Companies aforesaid, and that the seals affixed to the preceding instrument. is the Corporate Seals of said Companies, and that the said Corporate Seals and their signatures as such officers were duly affixed and subscribed t� the said instrument by the authority and direction of the said Corporations. IN TESTIMONY WHEREOF, 1 have hereunto set my hand and affixed my Official Seal the day and year first above written. POA -F 076-0008 _ Maria D. Adamski Notary Public My Commission Expires: July 8, 2007 Vi 1 EXTRACT FROM BY-LAWS OF FIDELITY AND DEPOSIT COMPANY OF MARYLAND "Article VI, Section 2. The Chairman of the Board, or the President, or any Executive Vice -President, or any of the Senior Vice -Presidents or Vice -Presidents specially authorized so to do by the Board of Directors or by the Executive Committee, shall have power, by and with the concurrence of the Secretary or any one of the Assistant Secretaries, to appoint Resident Vice -Presidents, Assistant Vice -Presidents and Attorneys -in -Fact as the business of the Company may require, or to authorize any person or persons to execute on behalf of the Company any bonds, undertaking, recognizances, stipulations, policies, contracts, agreements, deeds, and releases and assignments of Judgements, decrees, mortgages and instruments in the nature of mortgages,...and to affix the seal of the Company thereto." EXTRACT FROM BY-LAWS OF COLONIAL AMERICAN CASUALTY AND SURETY COMPANY "Article VI, Section 2. The Chairman of the Board, or the President, or any Executive Vice -President, or any of the Senior Vice -Presidents or Vice -Presidents specially authorized so to do by the Board of Directors or by the Executive Committee, shall have power, by and with the concurrence of the Secretary or any one of the Assistant Secretaries, to appoint Resident Vice -Presidents, Assistant Vice -Presidents and Attorneys -in -Fact as the business of the Company may require, or to authorize any person or persons to execute on behalf of the Company any bonds, undertaking, recognizances, stipulations, policies, contracts, agreements, deeds, and releases and assignments of Judgements, decrees, mortgages and instruments in the nature of mortgages,...and to affix the seal of the Company thereto." CERTIFICATE 1, the undersigned, Assistant Secretary of the FIDELITY AND DEPOSIT COMPANY OF MARYLAND, and the COLONIAL AMERICAN CASUALTY AND SURETY COMPANY, do hereby certify that the foregoing Power of Attorney is still in full force and effect on the date of this certificate; and I do further certify that the Vice -President who executed the said Power of Attorney was one of the additional Vice -Presidents specially authorized by the Board of Directors to appoint any Attorney -in -Fact as provided in Article VI, Section 2, of the respective By -Laws of the FIDELITY AND DEPOSIT COMPANY OF MARYLAND, and the COLONIAL AMERICAN CASUALTY -AND SURETY. COMPANY. This Power of Attorney and Certificate may signed by facsimile under and by authority of the following resolution of the Board of Directors of the FIDELITY AND DEPOSIT COMPANY OF MARYLAND at a meeting duly called and held on the 10th day of May, 1990 and of the Board of Directors of the COLONIAL AMERICAN CASUALTY AND SURETY COMPANY at a meeting duly called and held on the 5th day of May, 1994. RESOLVED: That the facsimile or mechanically reproduced seal of the company and facsimile or mechanically reproduced signature of any Vice -President, Secretary, or Assistant Secretary of the Company, whether made heretofore of hereafter, wherever appearing upon a certified copy of any power of attorney issued by the Company, shall be valid and binding upon the Company with the same force and effect as though manually affixed." IN TESTIMONY WHEREOF, I have hereunto subscribed my name and affixed the corporate seals of the said Companies, 4.7Y t � day of /2 -air this 5 J Assi.srmn Secretary