HomeMy WebLinkAbout6-23 RESOLUTION113 West Mountain Street
Fayetteville, AR 72701
(479) 575-8323
Resolution: 6-23
File Number: 2022-263
STRUCTURAL PRESERVATION SYSTEMS, LLC:
A RESOLUTION TO WAIVE COMPETITIVE BIDDING AND AUTHORIZE A DESIGN -BUILD CONTRACT
WITH STRUCTURAL PRESERVATION SYSTEMS, LLC IN AN AMOUNT NOT TO EXCEED $2,477,644.00
FOR ENGINEERING AND CONSTRUCTION SERVICES RELATED TO EMERGENCY TRENCHLESS REPAIR
OF A 48-INCH DIAMETER SANITARY SEWER UNDER INTERSTATE 49, AND TO APPROVE A PROJECT
CONTINGENCY IN THE AMOUNT OF $375,000.00
WHEREAS, during an inspection of the 48-inch gravity sewer line that extends from Gregg Avenue to Sunshine Road,
staff determined that one area in the vicinity of Interstate 49 has experienced damage; and
WHEREAS, staff worked with Structural Preservation Systems, LLC, a national leader in trenchless pipe joint repairs,
to develop a plan for the repairs in this location and, due to the specialized nature of this repair technique, Staff
recommends a bid waiver to allow Structural Technologies to perform Investigation -Design -Build services for this
expedited repair project.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF FAYETTEVILLE,
ARKANSAS:
Section 1: That the City Council of City of Fayetteville, Arkansas hereby determines an exceptional situation exists in
which competitive bidding is deemed not feasible or practical and therefore waives the requirements of formal
competitive bidding and authorizes Mayor Jordan to sign a Design -Build contract between the City of Fayetteville,
Arkansas and Structural Preservation Systems, LLC. in an amount not to exceed $2,477,644.00 for engineering and
construction services related to the emergency trenchless repair of a 48-inch diameter sanitary sewer under Interstate
49, and further approves a project contingency in the amount of $375,000.00.
PASSED and APPROVED on January 3, 2023
Kara Paxton, City
EV1L1_E o
hAN�P
Page 1
CITY OF
W41iFAYETTEVILLE
ARKANSAS
MEETING OF JANUARY 3, 2023
CITY COUNCIL MEMO
2022-263
TO:
Mayor Jordan and City Council
THRU:
Susan Norton, Chief of Staff
Timothy Nyander, Utilities Director
FROM:
Corey Granderson, Utilities Engineer
DATE:
December 15, 2022
SUBJECT:
WAIVE COMPETITIVE BIDDING AND AUTHORIZE A DESIGN -BUILD CONTRACT WITH
STRUCTURAL PRESERVATION SYSTEMS, LLC
RECOMMENDATION:
A RESOLUTION TO WAIVE COMPETITIVE BIDDING AND AUTHORIZE A DESIGN -BUILD CONTRACT
WITH STRUCTURAL PRESERVATION SYSTEMS, LLC IN AN AMOUNT NOT TO EXCEED $2,477,644.00
FOR ENGINEERING AND CONSTRUCTION SERVICES RELATED TO EMERGENCY TRENCHLESS
REPAIR OF A 48-INCH DIAMETER SANITARY SEWER UNDER INTERSTATE 49, AND TO APPROVE A
PROJECT CONTINGENCY IN THE AMOUNT OF $375,000.00
BACKGROUND:
In 2021 City Water/Sewer Staff performed an inspection of the 48-inch gravity sewer line that extends from
Gregg Avenue to Sunshine Road. Visual inspections of each manhole were conducted, and a `boat' was
constructed to float down each line segment and record video. Overall, the line was in excellent shape,
however, one area in the vicinity of Interstate-49 has experienced damage at some point during its 15-years of
service. This segment of line cannot be repaired with typical excavation techniques due to its location under
the Southbound Highway-112 Exit Ramp on 1-49.
DISCUSSION:
Staff has worked with Structural Preservation Systems, LLC, a national leader in trenchless pipe point repairs,
to develop a plan for repairs in this location. Due to the specialized nature of this repair technique, Staff
recommends a bid -waiver to allow Structural Technologies to perform Investigation -Design -Build services for
this expedited repair project. The costs for bypass pumping of sewer, mobilization, rescue standby, pipe
shoring, inspection, design, and installation of pipe repair materials is $2,477,644.00. If significant groundwater
is encountered, the project contingency will be utilized as needed to mitigate and create a workable
environment. A contingency in the amount of $375,000.00 is also recommended.
BUDGET/STAFF IMPACT:
Funds are available in the Sanitary Sewer Rehab account within the Water & Sewer fund.
Staff recommends approval of a resolution to waive competitive bidding and approve a Design -Build contract
with Structural Preservation Systems, LLC for engineering and construction services related to emergency
trenchless repair of a 48-inch diameter sanitary sewer under Interstate 49 in an amount not to exceed
Mailing address:
113 W. Mountain Street www.fayetteville-ar.gov
Fayetteville, AR 72701
$2,477,644.00 and to approve a project contingency of $375,000.00.
ATTACHMENTS: Structural Preservation Systems SRF, Fayetteville Contract signed SPS only, RES BID
WAIVER -STRUCTURAL PRESERVATION SYSTEMS - SEWER UNDER 149 - CONTINGENCY
Mailing address:
113 W. Mountain Street www.fayetteville-ar.gov
Fayetteville, AR 72701
Tim Nyander
Submitted By
City of Fayetteville Staff Review Form
2022-263
Item ID
1/3/2023
City Council Meeting Date - Agenda Item Only
N/A for Non -Agenda Item
12/15/2022 WATER SEWER (720)
Submitted Date Division / Department
Action Recommendation:
Staff recommends approval of a resolution to waive competitive bidding and approve a Design -Build contract with
Structural Preservation Systems, LLC for engineering and construction services related to emergency trenchless
repair of a 48-inch diameter sanitary sewer under Interstate 49 in an amount not to exceed $2,477,644.00 and to
approve a project contingency of $375,000.00.
5400.720.5700-5815.00
Account Number
02017.1
Project Number
Budgeted Item? Yes
Does item have a direct cost? Yes
Is a Budget Adjustment attached? No
Purchase Order Number:
Change Order Number:
Original Contract Number:
Comments:
Budget Impact:
Water/Sewer
Fund
Sanitary Sewer Rehabilitation
Total Amended Budget
Expenses (Actual+Encum)
Available Budget
Item Cost
Budget Adjustment
Remaining Budget
Project Title
$ 5,603,072.33
$ 418,072.91
5,184,999.42
$ 2,852,644.00
V20221130
Previous Ordinance or Resolution #
Approval Date:
CITY OF
IWO FAYETTEVILLE
ARKANSAS
City of Fayetteville, Arkansas
Design -Build Contract: Emergency Sewer Line Repair
Vendor: Structural Preservation Systems, LLC
Term: 12 months from Notice to Proceed
DESIGN -BUILD CONTRACT
Project: Emergency Sewer Line Repair
THIS CONTRACT is made this —, day of Jmwmm , 2023 by and between City of
Fayetteville, Arkansas (hereinafter "City" or "Fayetteville") and r ctural Preservation Systems, LLC (hereinafter
"SPS" or "Design -Builder"), a Maryland limited liability company authorized to do business in Arkansas.
WHEREAS, The City of Fayetteville operates a water and wastewater utility system and has identified a sewer
line located at approximately 36°06'45.4"N 94°10'27.9"W at risk of imminent failure and which requires
immediate repairs; and
WHEREAS, Structural Preservation Systems, LLC is qualified to design and construct the necessary repairs.
NOW, THEREFORE, the City and SPS hereby agree as follows:
SECTION 1- AUTHORIZATION OF DESIGN -BUILD SERVICES
1.1 Services provided by SPS shall be undertaken only upon written Authorization of the CITY.
1.2 Changes, modifications or amendments in scope, price or fees to this contract shall not be allowed
without a formal contract amendment approved by the CITY in accordance with City Policy IC-02,
Contract Responsibilities, in advance of the change in scope, costs, fees, or delivery schedule.
SECTION 2 - CONTRACT DOCUMENTS
2.1 In addition to the terms and conditions of this Agreement, the following Appendices are
incorporated into and shall be deemed an integral part of this contract:
Appendix A —Scope of Work and Fee Schedule
41 Appendix B —General Conditions
2.2 In case of any inconsistency, conflict, or ambiguity among the Contract Documents, the
documents shall govern in the following order: (a) Change Orders and written amendments to
this Contract which are executed by all parties; (b) this Contract; (c) General Conditions.
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Vendor: Structural Preservation Systems, LLC
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3.1 Perform design -build services in connection with the Project as hereinafter stated.
3.1.1 The Scope of Services to be furnished by SPS during this project is included in Appendix A attached
hereto and made part of this Contract.
3.2 SPS shall coordinate their activities and services with the CITY. SPS and CITY agree that SPS has full
responsibility for the design -build services.
SECTION 4 - RESPONSIBILITIES OF CITY OF FAYETTEVILLE
4.1 CITY OF FAYETTEVILLE shall, within a reasonable time, so as not to delay the services of SPS:
4.1.1 Provide full information as to CITY's requirements for the Project.
4.1.2 Assist SPS by placing at SPS's disposal all available information pertinent to the assignment
including previous reports and any other data relative thereto.
4.1.3 Obtain for SPS access to property reasonably necessary for SPS to perform its services under this
Contract.
4.1.4 Examine all studies, reports, cost opinions, Bid Documents, Drawings, proposals, and other
documents presented by SPS and render in writing decisions pertaining thereto.
4.1.5 Corey Granderson, Utilities Engineer, is the CITY OF FAYETTEVILLE's project representative with
respect to the services to be performed under this Contract. Such person shall have complete
authority to transmit instructions, receive information, interpret and define CITY's policies and
decisions with respect to materials, equipment, elements and systems to be used in the Project,
and other matters pertinent to the services covered by this Contract. CITY will provide written
notification to SPS in the event the project representative changes during the term of this Contract.
4.1.6 CITY will review all documents and provide written comments to SPS in a timely manner.
SECTION 5 - PERIOD OF SERVICE
5.1 This Contract will become effective upon the first written notice to proceed by CITY authorizing
services hereunder and the services under SPS'S scope of service shall be completed within
12 months of receiving the notice to proceed from CITY.
5.2 The provisions of this Contract have been agreed to in anticipation of the orderly progress of the
Project through completion of the services stated in the Contract. SPS will proceed with providing
the authorized services within thirty (30) days of receipt of the notice to proceed from CITY.
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5.3 SPS shall provide a schedule of its services and include such schedule with the scope in Appendix A.
SECTION 6 - PAYMENTS TO DESIGN -BUILDER
6.1 The maximum not -to -exceed amount authorized for this Contract is $2,477,644.00 US DOLLARS.
6.2 The CITY shall compensate SPS based upon progress payments as described in Appendix A.
6.2.1 The maximum not -to -exceed amount authorized for this Contract is based upon the estimated fee
scope, hours, costs and expenses per phase. The estimated fee spreadsheets shall be included in
Appendix B. The amount for any phase may be more or less than the estimate, however the
maximum not -to -exceed amount shall not be exceeded without a formal contract amendment.
6.3 Statements
6.3.1 Monthly statements for each calendar month shall be submitted to CITY consistent with SPS's
normal billing schedule. Once established, the billing schedule shall be maintained throughout the
duration of the Project. Applications for payment shall be made in accordance with a format to be
developed by SPS and approved by CITY. Applications for payment shall be accompanied each
month by the updated project schedule. Final payment for services shall be made upon CITY's
approval and acceptance with the satisfactory completion of the services.
6.4 Payments
6.4.1 All accepted invoices are payable upon receipt and due within thirty (30) days. If a portion of SPS's
statement is disputed by CITY, the undisputed portion shall be paid by CITY by the due date. CITY
shall advise SPS in writing of the basis for any disputed portion of any statement.
6.5 Final Payment
6.5.1 Upon satisfactory completion of the work performed under this Contract, as a condition before
final payment under this Contract, or as a termination settlement under this Contract, SPS shall
execute and deliver to CITY a release of all claims against CITY arising under or by virtue of this
Contract, except claims which are specifically exempted by SPS to be set forth therein. Unless
otherwise provided in this Contract or by State law or otherwise expressly agreed to by the parties
to this Contract, final payment under this Contract or settlement upon termination of this Contract
shall not constitute a waiver of CITY's claims against SPS.
6.6 Stop Work
6.6.1 Notwithstanding anything to the contrary contained herein, payment to SPS by City for
undisputed items is a material issue. If payment is not made within 60 (sixty) days of receipt of an
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acceptable invoice and any required submittals, in addition to any other remedy available, SPS shall
be entitled to stop work after forty-eight (48) hours written notice to CITY.
SECTION 7 - GENERAL CONSIDERATIONS
7.1 Insurance
7.1.1 In the course of performance of these services, SPS will maintain (in United States Dollars) the
insurance coverage required by the General Conditions.
SPS will provide to CITY OF FAYETTEVILLE certificates as evidence of the specified insurance within
ten calendar days of the date of this Contract and upon each renewal of coverage.
7.1.2 CITY and SPS waive all rights of subrogation against each other and their officers, directors, agents,
or employees for damage covered by insurance during and after the completion of SPS'S services.
All construction contractors and subcontractors shall be required to provide waivers of subrogation
in favor of CITY and SPS for damage covered by any construction contractor's or sub -contractor's
property insurance.
7.2 Professional Responsibility
7.2.1 SPS will exercise reasonable skill, care, and diligence ordinarily provided by professional engineers
practicing in the same or similar locality under the same or similar circumstances in the
performance of SPS's services and will carry out its responsibilities in accordance with customarily
accepted professional engineering and construction practices, CITY OF FAYETTEVILLE Standards,
and Arkansas State Law. CITY OF FAYETTEVILLE will promptly report to SPS any defects or suspected
defects in SPS's services of which CITY OF FAYETTEVILLE becomes aware, so that SPS can take
measures to minimize the consequent of such defect. SPS agrees not to seek or accept any
compensation or reimbursements from the CITY OF FAYETTEVILLE for any work it performs to
correct any errors, omissions or other deficiencies caused by SPS's failure to meet customarily
accepted professional practices. CITY OF FAYETTEVILLE retains all other remedies to recover for its
damages caused by any negligence of SPS.
7.2.2 In addition, SPS will be responsible to CITY OF FAYETTEVILLE for bodily injury or property damage
caused by its negligent conduct during its activities at the Project Site to the extent covered by
SPS's Commercial General Liability and Automobile Liability Insurance policies. This limitation
provision shall not apply to SPS's professional responsibility in the performance of its professional
services.
7.3 Cost Opinions and Projections
7.3.1 Cost opinions and projections prepared by SPS relating to construction costs and schedules,
operation and maintenance costs, equipment characteristics and performance, and operating
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results are based on SPS's experience, qualifications, and judgment as a design professional. Since
SPS has no control over weather, cost and availability of labor, material and equipment, labor
productivity, construction Contractors' procedures and methods, unavoidable delays, construction
Contractors' methods of determining prices, economic conditions, competitive bidding or market
conditions, and other factors affecting such cost opinions or projections, SPS does not guarantee
that actual rates, costs, performance, schedules, and related items will not vary from cost opinions
and projections prepared by SPS.
7.4 Changes
7.4.1 CITY OF FAYETTEVILLE shall have the right to make changes within the general scope of SPS's
services, with an appropriate change in compensation and schedule only after Fayetteville City
Council approval of such proposed changes if required by City Policy IC-02, Contract
Responsibilities, and upon execution of a mutually acceptable amendment or change order signed
by the Mayor of the CITY OF FAYETTEVILLE and the duly authorized officer of SPS.
7.5 Termination
7.5.1 This Contract may be terminated in whole or in part in writing by either the CITY or SPS in the event
of substantial failure by the other party to fulfill its obligations under this Contract through no fault
of the terminating party, provided that no termination may be effected unless the other party is
given:
7.5.1.1 Not less than ten (10) calendar days written notice (delivered by certified mail, return receipt
requested) of intent to terminate,
7.5.1.2 An opportunity for consultation with the terminating party prior to termination.
7.5.2 This Contract may be terminated in whole or in part in writing by CITY OF FAYETTEVILLE for its
convenience, provided that SPS is given:
7.5.2.1 Not less than ten (10) calendar days written notice (delivered by certified mail, return receipt
requested) of intent to terminate,
7.5.2.2 An opportunity for consultation with the terminating party prior to termination.
7.5.3 If termination for default is effected by CITY OF FAYETTEVILLE, an equitable adjustment in the price
provided for in this Contract shall be made, but
7.5.3.1 No amount shall be allowed for anticipated profit on unperformed services or other work,
7.5.3.2 Any payment due to SPS at the time of termination may be adjusted to cover any additional
incurred costs to CITY OF FAYETTEVILLE because of SPS's default.
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7.5.4 If termination for default is effected by SPS, or if termination for convenience is effected by CITY OF
FAYETTEVILLE, the equitable adjustment shall include a reasonable profit for services or other work
performed. The equitable adjustment for any termination shall provide for payment to SPS for
services rendered and expenses incurred prior to the termination, in addition to termination
settlement costs reasonably incurred by SPS relating to commitments which had become firm prior
to the termination.
7.5.5 Upon receipt of a termination action under Paragraphs 7.5.1 or 7.5.2 above, SPS shall:
7.5.5.1 Promptly discontinue all affected work (unless the notice directs otherwise),
7.5.5.2 Provided CITY has paid SPS all undisputed amounts due, deliver or otherwise make available to
CITY OF FAYETTEVILLE all data, drawings, specifications, reports, estimates, summaries and such
other information and materials as may have been accumulated by SPS in performing this
Contract, whether completed or in process.
7.5.6 Upon termination under Paragraphs 7.5.1 or 7.5.2 above CITY OF FAYETTEVILLE may take over the
work and may award another party a Contract to complete the work under this Contract.
7.5.7 If, after termination for failure of SPS to fulfill contractual obligations, it is determined that SPS had
not failed to fulfill contractual obligations, the termination shall be deemed to have been for the
convenience of CITY OF FAYETTEVILLE. In such event, adjustments of the Contract price shall be
made as provided in Paragraph 7.5.4 of this clause.
7.6 Delays
7.6.1 In the event the services of SPS are suspended or delayed by CITY OF FAYETTEVILLE or by other
events beyond SPS's reasonable control, SPS shall be entitled to additional compensation and time
for reasonable costs incurred by SPS in temporarily closing down or delaying the Project.
7.7 Rights and Benefits
7.7.1 SPS's services will be performed solely for the benefit of CITY OF FAYETTEVILLE and not for the
benefit of any other persons or entities.
7.8 Dispute Resolution
7.8.1 Scope of Paragraph: The procedures of this Paragraph shall apply to any and all disputes between
CITY OF FAYETTEVILLE and SPS which arise from, or in any way are related to, this Contract,
including, but not limited to the interpretation of this Contract, the enforcement of its terms, any
acts, errors, or omissions of CITY OF FAYETTEVILLE or SPS in the performance of this Contract, and
disputes concerning payment.
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7.8.2 Exhaustion of Remedies Required: No action may be filed unless the parties first negotiate. If
timely Notice is given under Paragraph 7.8.3, but an action is initiated prior to exhaustion of these
procedures, such action shall be stayed, upon application by either party to a court of proper
jurisdiction, until the procedures in Paragraphs 7.8.3 and 7.8.4 have been complied with.
7.8.3 Notice of Dispute
7.8.3.1 For disputes arising prior to the making of final payment promptly after the occurrence of any
incident, action, or failure to act upon which a claim is based, the party seeking relief shall serve
the other party with a written Notice;
7.8.3.2 For disputes arising within one year after the making of final payment, CITY OF FAYETTEVILLE
shall give SPS written Notice at the address listed in Paragraph 7.13 within thirty (30) days after
occurrence of any incident, accident, or first observance of defect or damage. In both
instances, the Notice shall specify the nature and amount of relief sought, the reason relief
should be granted, and the appropriate portions of this Contract that authorize the relief
requested.
7.8.4 Negotiation: Within seven days of receipt of the Notice, the Project Managers for CITY OF
FAYETTEVILLE and SPS shall confer in an effort to resolve the dispute. If the dispute cannot be
resolved at that level, then, upon written request of either side, the matter shall be referred to the
President of SPS and the Mayor of CITY OF FAYETTEVILLE or his designee. These officers shall meet
at the Project Site or such other location as is agreed upon within 30 days of the written request to
resolve the dispute.
7.8.5 Legal Fees: In any legal action arising from this Contract or connected herewith, the prevailing party
shall be entitled to recover all costs and reasonable attorney's fees incurred (whether pre -
litigation, at mediation, arbitration or trial level and in any appeals).
7.9 CITY OF FAYETTEVILLE represents that it has sufficient funds or the means of obtaining funds to
remit payment to SPS for services rendered by SPS.
7.10 Publications
7.10.1 Recognizing the importance of professional development on the part of SPS's employees and the
importance of SPS's public relations, SPS may prepare publications, such as technical papers,
articles for periodicals, and press releases, pertaining to SPS's services for the Project. Such
publications will be provided to CITY OF FAYETTEVILLE in draft form for CITY OF FAYETTEVILLE's
advance review. CITY OF FAYETTEVILLE shall review such drafts promptly and provide CITY OF
FAYETTEVILLE's comments to SPS. CITY OF FAYETTEVILLE may require deletion of proprietary data
or confidential information from such publications, but otherwise CITY OF FAYETTEVILLE will not
unreasonably withhold approval. The cost of SPS's activities pertaining to any such publication
shall be at SPS's sole cost and responsibility.
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7.11 Removed
7.12 Ownership of Documents
7.12.1 All documents provided by CITY OF FAYETTEVILLE including original drawings, disks of CADD
drawings and cross sections, estimates, specifications, field notes, and data are and remain the
property of THE CITY OF FAYETTEVILLE.
7.12.2 All documents provided by SPS including original drawings, disks of CADD drawings and cross
sections, estimates, specification field notes, and data are and remain the property of SPS.
7.12.3 Any files delivered in electronic medium may not work on systems and software different than
those with which they were originally produced. Neither SPS nor the CITY OF FAYETTEVILLE warrant
as to the compatibility of these files with any other system or software. Because of the potential
degradation of electronic medium over time, in the event of a conflict between the sealed original
drawings/hard copies and the electronic files, the sealed drawings/hard copies will govern.
7.13 Notices
7.13.1 Any Notice required under this Contract will be in writing, addressed to the appropriate party at
the following addresses:
CITY OF FAYETTEVILLE's address:
ATTN: Mayor's Office
113 West Mountain
Fayetteville, AR 72701
STRUCTURAL PRESERVATION SYSTEMS, LLC
ATTN: David Gibson
6955 San Tomas Road
Elkridge, MD 21075
7.14 Successor and Assigns
7.14.1 CITY OF FAYETTEVILLE and SPS each binds itself and its successors, executors, administrators, and
assigns to the other party of this Contract and to the successors, executors, administrators, and
assigns of such other party, in respect to all covenants of this Contract; except as above, the CITY
OF FAYETTEVILLE and SPS shall NOT assign, sublet, or transfer its interest in the Contract without
the written consent of the other party.
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7.15 Controlling Law
7.15.1 This Contract shall be subject to, interpreted and enforced according to the laws of the State of
Arkansas, in the County of Washington, without regard to any conflict of law provisions.
7.16 Entire Contract
7.16.1 This Contract represents the entire Contract between SPS and CITY OF FAYETTEVILLE relative to the
Scope of Services herein. Since terms contained in purchase orders do not generally apply to
professional services, in the event CITY OF FAYETTEVILLE issues to SPS a purchase order, no
preprinted terms thereon shall become a part of this Contract. Said purchase order document,
whether or not signed by SPS, shall be considered as a document for CITY OF FAYETTEVILLE's
internal management of its operations.
SECTION 8 - SPECIAL CONDITIONS
8.1 Additional Responsibilities of SPS:
8.1.1 CITY OF FAYETTEVILLE's or any Federal or State Agency's review, approval, or acceptance of design
drawings, specifications, reports and other services furnished hereunder shall not in any way
relieve SPS of responsibility to its standard of care set forth in Section 6.2.1. Except as set forth in
this Contract, neither CITY OF FAYETTEVILLE's nor any Federal or State Agency's review, approval or
acceptance of, nor payment for any of the services shall be construed as a waiver of any rights
under this Contract or of any cause of action arising out of the performance of this Contract.
8.1.2 SPS shall be and shall remain liable, in accordance with applicable law, for direct property and
personal injury damages to CITY OF FAYETTEVILLE to the extent caused by SPS's negligent
performance of the Services furnished under this Contract; SPS shall not be liable for errors,
omissions or other deficiencies to the extent attributable to CITY OF FAYETTEVILLE or CITY OF
FAYETTEVILLE-furnished data.
8.2 Remedies
8.2.1 Except as may be otherwise provided in this Contract, all claims, counter -claims, disputes and other
matters in question between CITY OF FAYETTEVILLE and SPS arising out of or relating to this
Contract or the breach thereof will be decided in a court of competent jurisdiction within Arkansas.
8.3 Audit: Access to Records
8.3.1 SPS shall maintain books, records, documents and other evidence directly pertinent to
performance on work under this Contract and for three (3) years from the date of final payment
under this Contract, in accordance with generally accepted accounting principles and practices
consistently applied in effect on the date of execution of this Contract. SPS shall also maintain the
financial information and data used by SPS in the preparation of support of the cost submission
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required for any negotiated Contract or change order and send to CITY OF FAYETTEVILLE a copy of
the cost summary submitted. CITY OF FAYETTEVILLE, the State or any of their authorized
representatives shall have access to all such books, records, documents and other evidence for the
purpose of inspection, audit and copying during normal business hours. SPS will provide proper
facilities for such access and inspection.
8.3.2 Records under Paragraph 7.3.1 above, shall be maintained and made available during performance
on assisted work under this Contract and until three years from the date of final payment for the
project. In addition, those records which relate to any controversy arising out of such
performance, or to costs or items to which an audit exception has been taken, shall be maintained
and made available until three years after the date of resolution of such appeal, litigation, claim or
exception.
8.3.3 This right of access clause (with respect to financial records) applies to:
8.3.3.1 Negotiated prime Contracts;
8.3.3.2 Negotiated change orders or Contract amendments in excess of $10,000 affecting the price of
any formally advertised, competitively awarded, fixed price Contract; and
8.3.3.3 Contracts or purchase orders under any Contract other than a formally advertised,
competitively awarded, fixed price Contract. However, this right of access does not apply to a
prime Contract, lower tier subcontract or purchase order awarded after effective price
competition, except:
8.3.3.3.1 With respect to record pertaining directly to subcontract performance, excluding
any financial records of SPS;
8.3.3.3.2 If there is any indication that fraud, gross abuse or corrupt practices may be
involved;
8.3.3.3.3 If the subcontract is terminated for default or for convenience.
8.4 Covenant Against Contingent Fees
8.4.1 SPS represents that no person or selling agency has been employed or retained to solicit or secure
this Contract upon an Contract of understanding for a commission, percentage, brokerage or
continent fee, excepting bona fide employees or bona fide established commercial or selling
agencies maintained by SPS for the purpose of securing business. For breach or violation of this
representation, CITY OF FAYETTEVILLE shall have the right to terminate this Contract without
liability or at its discretion, to deduct from the contract price or consideration, or otherwise
recover, the full amount of such commission, percentage, brokerage, or contingent fee.
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8.5 Gratuities
8.5.1 If CITY OF FAYETTEVILLE finds after a notice and hearing that SPS or any of SPS's agents or
representatives, offered or gave gratuities (in the form of entertainment, gifts or otherwise) to any
official, employee or agent of CITY OF FAYETTEVILLE, in an attempt to secure an Contract or
favorable treatment in awarding, amending or making any determinations related to the
performance of this Contract, CITY OF FAYETTEVILLE may, by written notice to SPS terminate this
Contract. CITY OF FAYETTEVILLE may also pursue other rights and remedies that the law or this
Contract provides. However, the existence of the facts on which CITY OF FAYETTEVILLE bases such
finding shall be in issue and may be reviewed in proceedings under the Remedies clause of this
Contract.
8.5.2 In the event this Contract is terminated as provided in Paragraph 7.5.1, CITY OF FAYETTEVILLE may
pursue the same remedies against SPS as it could pursue in the event of a breach of the Contract by
SPS.
8.6 Arkansas Freedom of Information Act
8.6.1 City contracts and documents, including internal documents and documents of subcontractors and
sub -consultants, prepared while performing City contractual work are subject to the Arkansas
Freedom of Information Act (FOIA). If a Freedom of Information Act request is presented to the
CITY OF FAYETTEVILLE for records kept solely and only in the possession of SPS, to the extent
required by law, SPS will 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 costs pursuant to the FOIA may be assessed for this compliance.
IN WITNESS WHEREOF, CITY OF FAYETTEVILLE, ARKANSAS by and through its Mayor, and SPS by its authorized
officer have made and executed this Contract as of the day and year first above written.
Design -Build — Emergency Sewer Repair
Vendor: Structural Preservation Systems, LLC
LL 1 of 12
CITY OF FAYETTEVI
ARKANSAS
DATE: l — 5— Z3
ATTEST:
By
Kara Paxton, City Clerk Treasurer
STRUCTURAL PRESERVATION SYSTEMS, LLC
By:
M i ke Szo ke, Ass ista nt Sec reta ry
DATE
Design -Build — Emergency Sewer Repair
Vendor: Structural Preservation Systems, LLC
Page 12 of 12
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END OF DESIGN -BUILD CONTRACT
STRUCTURAL PRESERVATION SYSTEMS, LLC
ACTION OF MANAGER
THE UNDERSIGNED, being the General Manager of the above -named
Maryland limited liability company (the "Manager"), hereby adopts the following
resolutions and actions:
Appointment of Officers
RESOLVED: That the following persons are hereby appointed to the
offices of the Company indicated opposite their respective names, to hold such offices
until their successors are duly appointed or elected, and qualified:
Jeffrey Venanzi
- President
Keith Eberhardt
- Vice -President
Bradley J. Holland
- Secretary
Stephen Camisa
- Treasurer
Peter H. Emmons
- Assistant Secretary
Scott M. Greenhaus
- Assistant Secretary
Michael T. Szoke
- Assistant Secretary
Timothy Crawford
- Assistant Secretary
Christopher Kingrea
- Assistant Secretary
Garry Naughton
- Assistant Secretary
Brian Willmarth
- Assistant Secretary
Jesse Cafourek
- Assistant Secretary
Colin Meneely
- Assistant Secretary
Wade Chubet
- Assistant Secretary
Matthew Frye
- Assistant Secretary
Michael Miller
- Assistant Secretary
Clifton Ruffin
- Assistant Secretary
Jonathan Howard
- Assistant Secretary
Stephen Reynolds
- Assistant Secretary
Timothy Gumina
- Assistant Secretary
Michael Wyman
- Assistant Secretary
Sharon Esposito -Mayer - Assistant Secretary
FURTHER RESOLVED: That each person listed above in his/her
capacity as an officer of the Company, severally, is hereby authorized:
(a) To submit and negotiate bids for construction projects on
behalf of the Company;
(b) To negotiate, execute and deliver contracts on behalf of the
Company upon the award of a construction project.
AND IT IS FURTHER RESOLVED: that the Manager of the
Managing Member of the Company, (for the Managing Member or in the
Managing Member's capacity as manager of the Company) be, and is hereby
1
authorized and directed to take or cause to be taken any and all such other actions
and to execute, deliver and file all such other agreements, amendments,
instruments, reports, documents and regulatory and other notices as may be
determined by such officer(s) to be necessary or appropriate to carry out the
purposes of, and give effect to, the foregoing resolutions.
THIS WRITTEN CONSENT, signed by the Manager of the Company's
Manager, shall be effective as of January 1, 2021, and shall be filed with the minutes of
the Managing Member and the Company.
STRUCTURAL HOLDINGS, LLC
General Manager
M.
Jeffrey Venanzi
Manager
2
/_1„210191 I_1
structural
December 6, 2022
Mr. Corey W. Granderson, P.E.
Utilities Engineer
City of Fayetteville, Arkansas
O: 479-444-3452
E: c.-randersonnfayetteville-ar. o
Subject: City of Fayetteville, Arkansas
Re: 48-inch Hobas Sewer Pipeline IDB CFRP Upgrade - Proposal rl
Dear Mr. Granderson,
Thank you for the opportunity to provide this proposal for the rehabilitation of the City of Fayetteville,
Arkansas 48-inch Hobas Sewer Pipeline. This is a Turnkey Investigate Design Build (IDB) approach with
collaboration with the City of Fayetteville (Owner), STRUCTURAL TECHNOLOGIES (Technical
Support), STRUCTURAL PRESERVATION SYSTEMS, LLC (Contractor, herein known as
STRUCTURAL) and Simpson Gumpertz & Heger (Forensic Investigation and CFRP Designer, herein
known as SGH) (all -encompassing the IDB Team). The Investigate -Design -Build contracting approach
benefits City of Fayetteville, the following illustrates the benefits:
Investigate -Design -Build contracting
benefits City of Fayetteville.
What is IDB?
Type of project delivery method which bring=
together all pmj_ solutions stakeholders tc
support project needs from beginning to end
Single ...tract between OB contractor& Owner
allows streamlined comma icetlons and project
vision throughauL
Collaborafive environmern of ID8 benefits design
adequacy and construction schedule by allowing
all project players to jointly tlefine solution of
choke.
structural in
inspection Dther
rbtrtracror
Design Construction
Contractor Contractor
STRUCTURAL's partnership with SGH
• Designer of Record for 90%+ of completed
projects
• Trusted QA/QC
Engineering support from _�
investigation to project closure " -4i
Structural Preservation Systems, LLC.
1332 N Miller • Anaheim, CA 92806 • Phone: 714-869-8824 • Contractor License No. 776932
www.structural.net
City of Fayetteville
48-inch Hobas Sewer Pipeline IDB CFRP Upgrade - Proposal r1
Page 2 of 11
STRUCTURAL has been providing infrastructure upgrade services for over 45 years and has the expertise
and experience necessary to perform the requested pipe reinforcement scope. This proposal is based upon
information provided by the Owner, STRUCTURAL TECHNOLOGIES and SGH.
COMPANY BACKGROUND:
The Structural Group is listed in the Engineering News Record ranking as one of the Top Specialty
Contractors and is recognized as the largest structural repair and strengthening contractor in the U.S. Since
its founding in 1976, STRUCTURAL has successfully completed more than 25,000 repair and remediation
projects and has been recognized with more than 55 industry awards.
This unmatched level of experience and recognition has set the Structural Group apart in the market as the
go -to company for some of the most difficult projects completed in the repair industry, including buried
pipelines which we repair and strengthen for municipalities, fossil power plants, industrial facilities and
nuclear power generation plants throughout the United States.
STRUCTURAL TECHNOLOGIES is the manufacturing and technical support division within the
Structural Group. For existing pipeline infrastructure, STRUCTURAL TECHNOLOGIES products and
solutions repair deterioration or damage, upgrade in order to extend lifecycle or to comply with change of
use requirements such as increased pressures or new external loads.
In addition to repair systems design and supply, STRUCTURAL PRESERVATION SYSTEMS, LLC
(STRUCTURAL), our construction arm provides turnkey field service with trained and certified technicians
performing specialized pipeline scopes including inspection support and turnkey repair system installation.
STRUCTURAL offers the following core capabilities:
0 Safety 24/7. A corporate culture where Safety is a value both at work and at home.
Structural's Frontline Safety Program implements a safety -first focused, behavior -based
approach that has proven to be one of the strongest safety programs in our industry. With
our outstanding safety record, you can be confident that STRUCTURAL's Frontline Safety
Program will ensure safe performance.
0 Quality. A corporate culture where Quality is a value. STRUCTURAL's Front -Line
Quality Program leads the infrastructure upgrade industry in that we require a Quality Plan
for all pipeline projects. Workers will be informed of Quality requirements through the use
of mock-ups, training programs and pre job briefs so they understand key engineering
attributes and expected quality parameters including consideration of critical actions that
require the use of Human Performance Tools.
0 Teamwork. STRUCTURAL's dedication to its customers and employees lays the
foundation for our business practices. We understand that creating a team environment will
ensure success beyond expectations. Participants involved with a project must have a clear
understanding of their responsibilities, accountability, expectations, and commitments.
When all the participants involved understand their responsibilities, accountabilities, and
commitments the project will be executed according to the safety, quality, and performance
expectations we mutually share.
City of Fayetteville
48-inch Hobas Sewer Pipeline IDB CFRP Upgrade - Proposal r1
Page 3 of 11
Q Resources. STRUCTURAL has successfully performed work for municipalities, fossil
power plants, industrial facilities and nuclear power generation plants for many years and
will self -perform this Project from our Pipeline Operations center. Subject Matter Experts
are available from any of over twenty (20) regionally based offices depending on the
expertise required.
STRUCTURAL's experience effectively planning and executing similar projects will allow us
to meet our mutual goals in the areas of Safety, Quality, Safety Conscious Work Environment,
Human Performance, and schedule/cost performance.
PROJECT OVERVIEW:
The Owner contacted STRUCTURAL TECHNOLOGIES in January 2022 to assist the Owner with
brainstorming some options to rehabilitate a segment of a 48-inch Hobas Sewer Pipeline directly under the
1-49 interchange lanes. The Owner conducted a visual survey of the pipeline using GoPro CCTV. The visual
inspection discovered some pipe deformation in the first minute or so of the video, but specifically at about
1:45min you can see the major "rip" in the top of pipe with active infiltration. This location happens to be
about 30FT deep and directly under the 1-49 interchange lanes. Figure I is a snapshot of the GPS map
provided by the Owner with the red X, marking the location for the failed pipe segment.
Figure 1: GPS Map of Failed Pipe Location
Figure 2 is a snapshot of the GoPro Video of the major "rip" in the top of the pipe with active infiltration.
Figure 2: GoPro Video of 48-inch Hobas Sewer
City of Fayetteville
48-inch Hobas Sewer Pipeline IDB CFRP Upgrade - Proposal r1
Page 4 of 11
The 48-inch Hobas pipeline was manufactured by Hobas Pipe USA, Houston Texas. Hobas Pipe is
considered a flexible pipe. In 2006 Oscar Renda installed 913 LF of 72-inch casing by Pipe Jacking Tunnel
Method. The method was hand dug and using liner plates bolted together. There were bung holes at spaced
out distances and the outside void around liner plates was grouted. When the 48-inch Hobas pipe was
inserted in the liner plate encasement it had adjustable jack screws curved upside down tee installed on top
of the pipe and screwed out to the liner plate encasement. The voids around the 48-inch pipe were supposed
to be grouted. Figure 3 are some photos of the tunneling project.
Figure 3: 2006 Photos of the Tunneling
STRUCTURAL TECHNOLOGIES engaged SGH to review the information provided by the Owner
regarding the installation of the Hobas pipe to determine if the root cause of the "ripped" Hobas segment
could be related to a void between the Hobas pipe and the encasement.
Upon review, there are several discrepancies between the spec book, the as -built drawings and historical
information from the Owner. Discrepancies mostly relate to construction and type of the steel casing pipe,
the annular space between Hobas and casing pipe being grouted or not, etc.
Based on review of the documents (GoPro footage, specs, as-builts, info from Hobas), we believe that the
failure could be unconstrained buckling of Hobas due to ungrouted annular space between Hobas and
casing. We considered this likely because:
• The as -built drawings stamped in 2008 clearly state not to grout the annular space.
• GoPro video shows significant infiltration into the pipe at the failure location.
• Spec book is not very clear whether grouting was in fact required (one section leaves it up to
engineer, while some other sections require it)
• Hobas was designed for grouted (buried) condition to resist the gravity loads
• We understand from the Owner that the Hobas was grouted, but we did not see any evidence (photo
etc.) of that.
Based on preliminary calculation, unconstrained buckling of Hobas under hydrostatic pressure from full
groundwater (up to ground surface) is not necessarily verified. So, failure mechanism can be something
else, bringing into question other potential factors such as:
• Condition of the steel casing and its deflection
• Point loading of Hobas due to deflection of the steel casing at the stainless -steel spacer and or screw
jack locations
City of Fayetteville
48-inch Hobas Sewer Pipeline IDB CFRP Upgrade - Proposal r1
Page 5 of 11
As a result, the failure needs to be investigated further before a rehab approach can be recommended. The
main challenge with investigation is man entry into the sewer, which would require significant preparation
and planning.
The following action items resulted from a collaborative meeting with the Owner, STRUCTURAL and
SGH:
1. Point out where the record drawings specified not to grout the annular space between Hobas and
the steel liner
2. Share the information Hobas was able to locate in their records
The answer to #1 is on p31 of the provided record drawings. Also included below are excerpts from this
sheet (note the red boxes).
,Q.V.!
TYPICAL ROADWAY CROSSING FOR SEWER
NC GROUT SHALL BE USED ON THE INSIDE OF ANY ENCASEMENT PIPE, ENCASEMENT PIPE SHALL BE SEALED
AT BOTH ENOS BY ADVANCE PRODUCTS & SYSTEMS MODEL AC DULL -ON FLEXIBLE RUBBER ENO SEALS, OR
APPR'-VED :-:DUAL.
For #2, STRUCTURAL provided a Pipe Submittal and Technical Spec Review that Hobas was able to find
in their records. Page 2 of the pipe submittals shows "direct bury & casing carrier" installations, and it also
shows a maximum allowable grout pressure. The technical spec review shows 48-inch SN46 pipe being
used in both direct bury and casing carrier conditions. Calculations are presented only for the direct bury
condition (beginning on p29 of the pipe submittal). Based on these observations, pipe in the casing appears
to have been designed for grouted condition, which is consistent with Hobas's typical design approach for
these conditions. It is unclear why the record drawings did not allow grout?
To develop a repair approach further investigation will need to occur. We need to understand whether the
Hobas was grouted or not, where the spacers/screw jacks around the Hobas are at, and whether there is a
correlation between the screw jack locations and deflected shape of the pipe.
No repair method can be performed in the wet while the line is in service without flow control and
groundwater control.
City of Fayetteville
48-inch Hobas Sewer Pipeline IDB CFRP Upgrade - Proposal r1
Page 6 of 11
For a conservative approach the IDB Team considered the following:
1. Plan for bypass and groundwater control to keep the pipe dry.
2. Coordination with the Arkansas Department of Transportation (ARDOT).
3. Traffic control.
4. Assume pipe is not grouted, and plan construction as if grouting will happen.
5. Completely dewater, pressure wash, and sanitize the pipe prior to entry.
6. Confined space entry and pipe rescue contingencies.
7. Install shoring inside the pipe.
8. Remove badly damaged Hobas sections.
9. Investigate, identify, and grout all voids behind the Hobas left in place.
10. In areas of removed Hobas sections, either form and pressure grout, or shotcrete, to bring these
areas flush with adjacent areas.
11. Strengthen the pipe by applying Carbon Fiber Reinforced Polymers (CFRP) (Note that both the
length of the repair zone(s) and the design in these zones would be based on assumed ovalities to
be confirmed during construction).
STRUCTURAL TECHNOLOGIES will provide the internal upgrade utilizing the V-WrapTM Carbon Fiber
System. The V-WrapTM Carbon Fiber System would be engineered by SGH as per the AWWA C305-18
Standard using the Load Resistance Factor Design (LRFD) methodology as a fully structural, stand-alone
system without reliance on the host pipe with a 50-year service life, the CFRP System is NSF 61 and NSF
61 Annex G approved.
STRUCTURAL TECHNOLOGIES is the manufacturer of the system, which can provide a full structural
repair meeting all design requirements. STRUCTURAL PRESERVATION SYSTEMS, LLC is the
contracting arm and the certified applicator of the CFRP System. Following is our project plan and pricing.
PROJECT PLAN:
The first phase of the project will be to setup traffic control and bypass the 48-inch Hobas Sewer Pipeline
from existing manholes. Figure 4 is an aerial photo showing the location of the manholes that will be utilized
for the manned entry.
Figure 4: MH locations for Bypass System
City of Fayetteville
48-inch Hobas Sewer Pipeline IDB CFRP Upgrade - Proposal r1
Page 7 of 11
To successfully bypass the existing 48-inch Hobas Sewer Pipeline, we will utilize (3) three 12-inch Silenced
Diesel Bypass Pumps to achieve flows of 20 MGD with (1) one 12-inch Silenced Diesel Bypass Pump for
redundancy. We will utilize the upstream MH as our suction point (see site map for detail on suction pit).
The Primary and Standby system will utilize independent 18-inch HDPE DR17 suction tubes with 18-inch
HDPE DR 26 discharge pipe conveying through a common manifold with isolating gate valves. The pumps
will then utilize (2) two 18-inch HDPE DR 26 discharge pipe until reaching our downstream discharge MH
(see site map).
The cone will need to be removed from the discharge and suction MH's. With the complete bypass system
in place, we will perform a successful hydrostatic test of the temporary discharge piping system using clean
water at 1.2 times the highest operating pressure for one hour. After a successful pressure test of the
discharge piping system, we will conduct a live 24-hour test run of the bypass pumping system until the
system is passed as satisfactory. A trained pump technician will perform pump watch 24/7 until the system
is decommissioned, and flow is reestablished into the pipeline.
The bypass pumping system include but are not limited to the use of sound attenuated pumps, redundant
system capacity, and auto start pump controls. For each bypass we will utilize our Quiet F1ow"m series of
bypass pumps which feature 68db sound readings at full load, 24hr run times on a single on -board tank of
fuel, on board automatic activation capability, and environmental skids capable of retaining all on board
fluids. We will outline the size of each pump we plan to utilize for each bypass in the bypass plans. Each
standby pump will start automatically through the use of a float switch. Upon award, we will provide the
detailed submittals that include TDH Calculation Sheets, System & Parallel Pump Curves, and Pump
Specification Sheets to support our proposal. Figure 5 is a snapshot of the bypass pumping system site map.
Figure 5: Bypass Pumping Site Map
City of Fayetteville
48-inch Hobas Sewer Pipeline IDB CFRP Upgrade - Proposal r1
Page 8 of 11
The site map in figure 5 also illustrates the staging area and traffic control configuration as follows:
1. Project to access locations is assumed to come in from Van Asche (upstream) and the Drive-in
Theater (downstream).
2. Traffic control has been determined and budgeted based upon 8 total signs regarding "utility work
ahead" and "end road work".
3. 18-wheelers will access per note 1 and 2 and come in from the backside down the easement and be
unloaded for HDPE delivery. Approximately: Suction side — 9 Trucks - Discharge side — 7 trucks.
Temporary roads and site restoration is assumed to be provided by the City of Fayetteville as per a
mutually agreed to project plan.
4. A small excavator will be used to unload—13,000LBS mini ex on each side of the highway we will
use to drag pipe into place. IO,OOOLBS skytrak used to load the fusion machine. It will most likely
start on the discharge side and be moved to the suction side once pipe is in place from the discharge
MH under the bridge to the suction side. (1) track 618 fusion machine will be used to fuse the pipe.
Fusion techs are certified by the manufacture.
5. A service truck and fused machine will be present to fuse pip. It will be a 3-4-man crew with a
fusion machine for 3 weeks. Most likely two trucks.
6. Reverse the process a month later. Same process but only for two weeks the teardown goes quicker.
7. As per the site map attachment Fayetteville water will need to remove the fencing on the northeast
side of the bypass for access of the bypass.
We will need a closure of the inside lane while we are setting the pipe on Van Asche for 1-2 days as we set
the pipe on the sidewalk. The pipe will take up 36-inches of the sidewalk but looks to be wide enough not
to affect pedestrians.
With the bypass pumping system in place and operational, STRUCTURAL will proceed with dewatering
the 48-inch Sewer Pipeline, which may include vac trucks to pull the raw sewage from the pipeline, setting
up confined space and environmental controls, pipe rescue and then pressure washing, scraping the muck
off the pipe wall and sanitizing the pipeline with a chlorine water solution.
When pipe cleaning, sanitizing and confined space procedures are in place and complete, STRUCTURAL
and SGH will enter the pipeline to perform the shoring and investigation phase of the project. SGH will
perform a visual inspection to understand whether the Hobas was grouted or not, where the spacers/screw
jacks around the Hobas are at, and whether there is a correlation between the screw jack locations and
deflected shape of the pipe to develop a repair approach for the failed pipe sections.
Once the investigation is completed, SGH will advise STRUCTURAL on the remediation of the pipe
deformations, which could include pressure grouting and/or full structural upgrade of the 48-inch Hobas
Sewer Pipeline under I-49 utilizing the V-WrapTM Carbon Fiber System.
STRUCTURAL will provide turnkey completion of the project including:
1. Preconstruction
a. Detailed design by SGH as per the AWWA C305 Standard
b. Submittals
i. Materials lists
City of Fayetteville
48-inch Hobas Sewer Pipeline IDB CFRP Upgrade - Proposal r1
Page 9 of 11
ii. Safety plans
iii. For -construction, P.E. signed drawings and calculations
2. Construction
a. Preparation of design and submittal package.
b. Safety planning.
c. Mobilization and set-up.
d. Traffic Control as per described above.
e. Bypass Pumping System.
f. Dewatering, de -mucking, pressure washing and sanitizing the pipeline under I-49.
g. Materials for Grouting and injection, if needed and will be performed on T&M.
h. Materials for V-WrapTM CFRP System
i. Equipment including ventilation and power set-up.
j. Shoring design and pipe shoring installation with monitoring.
k. Pipe Investigation/Inspection.
1. Surface preparation of the Hobas surfaces as per manufacturers recommendations.
m. Remediation of Hobas Pipe failure(s).
n. Installation of the V-WrapTM System as per SGH design.
o. Quality Assurance / Quality Control program, including adhesion testing.
p. Final job close-out report
i. Deliverables
1. Manufacturer -specific QAQC package
2. Photo log documenting installation
3. documentation of as -constructed repairs
4. Punch list, signed verification of installation
5. Verification of site cleanup and demobilization
REPAIR SYSTEM:
V-WrapTM Carbon Fiber Reinforced Polymer
System
V-WrapTM Carbon Fiber System is a structural
strengthening system for the restoration of
damaged/weakened pressure pipe. It utilizes
layers of specially designed carbon fiber
reinforced polymer composite which are applied
both longitudinally and circumferentially.
Carbon fiber design and number of layers are a
function of the exact design requirements. The
existing piping system becomes a form for the V-
WrapTM Carbon Fiber System which becomes the
pipe once the system is installed.
V-WrapTM CFRP
System
Carbm Fiber Reidormd
Compnie Una
struchr'al
TECHNOLOGIES
structuraltechnologies com
800 899 1016
The V-WrapTM CFRP system provides the following advantages:
o Restores full function capacity of pressure pipe during very short outage duration.
o Requires no excavation as all repairs can be made with access via existing manhole points.
o Overall system thickness reduces the pipe inside diameter only slightly (0.25" to 0.75").
o Polymer finish coat surface resistance mitigates any loss in pumping head.
o Corrosion resistance provides long service life.
o Fits both straight and curved pipe sections.
City of Fayetteville
48-inch Hobas Sewer Pipeline IDB CFRP Upgrade - Proposal r1
Page 10 of 11
DESIGN:
Loads:
• Pw = 0 psi (specified as open channel)
• Pt = 40 psi (min transient pressure)
• Pv = 0 psi (specified)
• H = 25-30 ft (specified)
• Hw = H (not specified. Assumed full ground water.)
• Thrust = zero (pipe is not near bends/elbows)
• AT = ±50F (specified 50-85)
• Live load = HL93 (pipe under roadway)
• Ms = 3000 psi (This is the soil modulus that was used by Hobas for their design. We may choose
to build in some conservatism and use a lower value)
SCHEDULE AND WORK ITEMS
• 3 weeks of mobilization for the bypass
• 40 Days of bypass rental, fueling and pump watch as well as an onsite rescue team.
• (2) Days for Dewatering and Sanitization
• (6) Days total for installation of shoring and removal of the Hobas crown pipe as necessary
• (2) Days inspection & Design by SG&H
• CFRP 100 Lineal feet of Strengthening completed in about 12-14 days
• 2 weeks of demobilization
SUPPORT BY OWNER/OTHERS:
1. Clearing, Grubbing and Excavation of cone and grade for pump staging area.
2. Site access road clearing and grading for pump and pipe placement and site restoration.
3. Establishment and restoration of roads to each of the 4 manholes that will allow vehicular, and
equipment travel during inclement weather (gravel, mats, etc.).
4. Water Source for Bypass Test and Flushing and cleaning within 500' of work areas.
5. All Permits.
6. Coordination of easements for construction.
7. ARDOT Coordination.
8. Removal and replacement of manhole lids and cone at discharge manholes for bypass and
manned entry.
9. The removal of cone and benched down area should be approximate 3' deep x 40' wide and 40'
long. Benched down area will need to have a ramp for vehicles to drive down for pump
placement.
10. Removal of approximately 10' of riser to allow access to 6' diameter riser section and max depth
from benched area to bottom of pipe to 17 feet.
11. 3rd Party Inspection.
12. Disposal location for debris removed during the cleaning and sanitation process.
GENERAL NOTES:
1. Proposal based upon single phase mobilization.
2. Pricing is based upon use of non -union workforce and prevailing wages.
3. STRUCTURAL has assumed diesel fuel for equipment based upon current market as proposal
date.
4. 924 lineal feet of sanitization included in base bid price.
5. Payment and Performance bond included.
City of Fayetteville
48-inch Hobas Sewer Pipeline IDB CFRP Upgrade - Proposal rl
Page 11 of 11
6. Payment terms net 30 days.
7. No noise, work hours or lighting constraints, noise abatement, if required by others.
8. 2-year warranty included.
PRICING:
Scope Description
Qty
UOM
Price
General Conditions, Mobilization, Fencing, Laydown &
Staging, Site Security, Traffic Control
1
LS
$ 409,108.00
Bypass System with Rental, Fueling and Pump Watch
40
Days
$ 1,069,261.00
Rescue Team
40
Days
$143,545.00
Pipeline Sanitizing and Safety Shoring
l
LS
$ 71,050.00
Inspection and Design
1
LS
$ 86,275.00
CFRP Installation (based on assumed 100 LF)
1
LS
$ 698,405.00
Total
$ 2,477,644.00*
*If required Grouting of annular space and Water Mitigation Efforts to be performed on a Time and
Expense Basis. (Attachment B) suggested ($250,000 Add Allowance to the base bid)
We appreciate this opportunity and look forward to working with you on this important project. We are
prepared to provide technical, and operations support as required to assist in the planning process. Please
don't hesitate to contact me at mlarsen(&structuraltec.com or 972-210-9511 if you have questions.
Sincerely,
Mike Szoke Mike Larsen
Sr. Branch Director Senior Manager - Municipal & Energy Infrastructure Pipeline Solutions
cc: Jason Alexander, STRUCTURAL TECHNOLOGIES - VP of Operations
Anna Pridmore, STRUCTURAL TECHNOLOGIES - VP Pipeline Solutions —Technical Manager
Stan Boshart, STRUCTURAL TECHNOLOGIES - Senior PM
David Gibson, STRUCTURAL - Estimator
APPENDIX B
DOCUMENT 00700 — GENERAL CONDITIONS FOR DESIGN -BUILD CONTRACTS:
TABLE OF CONTENTS
ARTICLE 1 -
DEFINITIONS AND TERMINOLOGY.......................................................I
1.01
CONTRACT DOCUMENTS:............................................................................................ 1
1.02
DEFINITIONS:..................................................................................................................1
1.03
TERMINOLOGY: .............................................................................................................. 4
ARTICLE 2 -
PRELIMINARY MATTERS..........................................................................5
2.01
DELIVERY OF BONDS: ................................................................................................... 5
2.02
COPIES OF DOCUMENTS:.............................................................................................. 5
2.03
COMMENCEMENT OF CONTRACT TIMES; NOTICE TO PROCEED: ..................... 5
2.04
STARTING THE PROJECT: ............................................................................................. 5
2.05
BEFORE STARTING CONSTRUCTION: ....................................................................... 5
2.06
PRECONSTRUCTION CONFERENCE: .......................................................................... 6
2.07
FINALIZING SCHEDULES: ............................................................................................. 6
ARTICLE 3 - CONTRACT DOCUMENTS: INTENT, AMENDING, REUSE ...............6
3.01 INTENT: ............................................................................................................................. 6
3.02 AMENDING AND SUPPLEMENTING CONTRACT DOCUMENTS: .......................... 7
3.03 OWNERSHIP AND REUSE OF DOCUMENTS:............................................................. 7
ARTICLE 4 - AVAILABILITY OF LANDS; PHYSICAL CONDITIONS;
REFERENCE POINTS...................................................................................7
4.01 AVAILABILITY OF LANDS:........................................................................................... 7
4.02 UNFORESEEN SUBSURFACE CONDITIONS:............................................................. 8
4.03 PHYSICAL CONDITIONS - UNDERGROUND FACILITIES :...................................... 8
4.04 REFERENCE POINTS: ..................................................................................................... 9
4.05 ASBESTOS, PCBS, PETROLEUM, HAZARDOUS WASTE, OR RADIOACTIVE
MATERIAL:....................................................................................................................... 9
ARTICLE 5 - BONDS AND INSURANCE.........................................................................10
5.01 PERFORMANCE AND OTHER BONDS: ..................................................................... 10
5.02 INSURANCE: .................................................................................................................. 11
00700 General Conditions 00700 TOC— 1
DOCUMENT 00700 — GENERAL CONDITIONS: (continued)
TABLE OF CONTENTS (continued)
ARTICLE 6 -
CONTRACTOR'S RESPONSIBILITIES...................................................16
6.01
SUPERVISION AND SUPERINTENDENCE: ...............................................................
16
6.02
LABOR, EQUIPMENT, AND MATERIALS:................................................................
17
6.03
ADJUSTING PROGRESS SCHEDULE: ........................................................................
17
6.04
SUBSTITUTES OR "OR -EQUAL" ITEMS: ...................................................................
17
6.05
CONCERNING SUBCONTRACTORS, SUPPLIERS, AND OTHERS :.......................
19
6.06
PATENT FEES AND ROYALTIES:...............................................................................
19
6.07
PERMITS:........................................................................................................................20
6.08
LAWS AND REGULATIONS:.......................................................................................
20
6.09
TAXES:............................................................................................................................20
6.10
USE OF PREMISES: ........................................................................................................
20
6.11
RECORD DOCUMENTS:...............................................................................................
21
6.12
SAFETY AND PROTECTION: .......................................................................................
21
6.13
EMERGENCIES:.............................................................................................................22
6.14
SUBMITTALS:................................................................................................................22
6.15
CONTINUING THE WORK: ..........................................................................................
23
6.16
INDEMNIFICATION: .....................................................................................................
23
ARTICLE 7 -
OTHER WORK.............................................................................................24
7.01
RELATED WORK AT SITE: ..........................................................................................
24
7.02
COORDINATION: ...........................................................................................................
24
ARTICLE 8 -
OWNER'S RESPONSIBILITIES................................................................24
8.01
COMMUNICATIONS:....................................................................................................24
8.03
REQUIRED DATA: .........................................................................................................
24
8.04
LANDS AND EASEMENTS:..........................................................................................
25
8.05
INSURANCE: ..................................................................................................................
25
8.06
CHANGE ORDERS:........................................................................................................
25
8.07
INSPECTIONS AND TESTS: .........................................................................................
25
8.08
STOPPING THE WORK: ................................................................................................
25
8.09
LIMITATIONS ON OWNER'S RESPONSIBILITIES: ..................................................
25
00700 General Conditions 00700 TOC— 2
DOCUMENT 00700 — GENERAL CONDITIONS: (continued)
TABLE OF CONTENTS (continued)
ARTICLE 9 - CHANGES IN THE WORK.........................................................................25
9.01 GENERAL:.......................................................................................................................25
ARTICLE 10 - CHANGE OF CONTRACT PRICE............................................................26
10.01
GENERAL:.......................................................................................................................26
10.02
COST OF THE WORK: ...................................................................................................
27
10.03
CONTRACTOR'S FEE: ...................................................................................................
29
10.04
CASH ALLOWANCES:..................................................................................................
30
10.05
UNIT PRICE WORK: ......................................................................................................
30
10.06
RIGHT OF AUDIT: ..........................................................................................................
30
ARTICLE 11 - CHANGE OF CONTRACT TIMES............................................................30
11.01 GENERAL:.......................................................................................................................30
ARTICLE 12 - WARRANTY AND GUARANTEE; TESTS AND INSPECTIONS;
CORRECTION, REMOVAL, OR ACCEPTANCE OF DEFECTIVE
WORK............................................................................................................32
12.01
WARRANTY AND GUARANTEE: ...............................................................................
32
12.02
ACCESS TO THE WORK: ..............................................................................................
32
12.03
TESTS AND INSPECTIONS: .........................................................................................
32
12.04
DEFECTIVE WORK: ......................................................................................................
33
12.05
UNCOVERING WORK: ..................................................................................................
33
12.06
OWNER MAY STOP THE WORK: ................................................................................
34
12.07
CORRECTION OR REMOVAL OF DEFECTIVE WORK: ...........................................
34
12.08
TWO-YEAR WARRANTY AND CORRECTION PERIOD: ........................................
34
12.09
ACCEPTANCE OF DEFECTIVE WORK: .....................................................................
34
12.10
OWNER MAY CORRECT DEFECTIVE WORK: .........................................................
35
ARTICLE 13 - PAYMENTS TO CONTRACTOR AND COMPLETION ........................35
13.01
SCHEDULE OF VALUES:..............................................................................................
35
13.02
APPLICATION FOR PROGRESS PAYMENT: .............................................................
36
13.03
CONTRACTOR'S WARRANTY OF TITLE: ................................................................
36
13.04
REVIEW OF APPLICATION FOR PROGRESS PAYMENT :......................................
36
13.05
SUBSTANTIAL COMPLETION: ...................................................................................
37
00700 General Conditions 00700 TOC— 3
DOCUMENT 00700 — GENERAL CONDITIONS: (continued)
TABLE OF CONTENTS (continued)
13.06 PARTIAL UTILIZATION: .............................................................................................. 37
13.07 FINAL INSPECTION: ..................................................................................................... 38
13.08 FINAL APPLICATION FOR PAYMENT:..................................................................... 38
13.09 FINAL PAYMENT AND ACCEPTANCE: ..................................................................... 39
13.10 CONTRACTOR'S CONTINUING OBLIGATION: ....................................................... 39
13.11 WAIVER OF CLAIMS: The making and acceptance of final payment will constitute:. 40
13.12 INTEREST: NOT APPLICABLE................................................................................... 40
ARTICLE 14 - SUSPENSION OF WORK AND TERMINATION...................................40
14.01 OWNER MAY SUSPEND WORK: ................................................................................ 40
14.02 OWNER MAY TERMINATE:........................................................................................ 40
14.03 CONTRACTOR MAY STOP WORK OR TERMINATE: ............................................. 41
ARTICLE 15 - MISCELLANEOUS......................................................................................42
15.01 GIVING NOTICE: ........................................................................................................... 42
15.02 COMPUTATION OF TIME: ........................................................................................... 42
15.03 CLAIMS, CUMULATIVE REMEDIES:......................................................................... 42
00700 General Conditions 00700 TOC— 4
DOCUMENT 00700 — GENERAL CONDITIONS:
ARTICLE 1- DEFINITIONS AND TERMINOLOGY
1.01 CONTRACT DOCUMENTS:
A. The Contract Documents establish the rights and obligations of the parties and shall
consist of the documents listed in the Design -Build Contract.
B. Reports and drawings of subsurface and physical conditions and approved Submittals
by Contractor are not Contract Documents.
1.02 DEFINITIONS:
A. Wherever used in these General Conditions or elsewhere in the Contract Documents,
the following terms have the meanings indicated below, which are applicable to both
the singular and plural thereof-
1. "Addenda" - written or graphic changes or interpretations of the Contract
Documents issued by Owner prior to the opening of Bids.
2. "Agreement' - the written agreement between Owner and Contractor
covering the Work to be performed; other Contract Documents are attached
to the Agreement and made a part thereof as provided therein.
3. "Application for Payment' - the form acceptable to Owner which is to be
used by Contractor during the course of the Work in requesting progress and
final payments and which is to be accompanied by such supporting
documentation as is required by the Contract Documents.
4. "Asbestos" - any material that contains more than 1% asbestos and is friable
or is releasing asbestos fibers into the air above current action levels
established by the United States Occupational Safety and Health
Administration.
5. "Bid" - the formal offer of the Bidder submitted on the prescribed Bid Form
together with the required Bid security and all information submitted with the
Bid that pertains to performance of the Work.
6. "Bidder" - any person, firm, or corporation submitting a Bid for the Work or
their duly authorized representatives.
7. "Change Order" - a written document signed by Owner authorizing an
addition, deletion, or revision in the Work, or an adjustment in the Contract
Price or the Contract Time issued on or after execution of the Agreement.
8. "Contract Drawings" - drawings and other data designated as Contract
Drawings prepared by Contractor for this Contract which show the character
and scope of the Work to be performed and are referred to in the Contract
Documents.
9. "Contract Price" - the total monies payable to Contractor under the Contract
Documents as stated in the Agreement.
10. "Contract Times" - the number of days or the dates stated in the Agreement
to: (i) achieve Substantial Completion; and (ii) complete the Work so that it
is ready for final payment.
11. "Contractor" - the person, firm or corporation with whom Owner has entered
into the Agreement.
11-11-22 SPS Redline Gen Cond Contract with SPS - 12.5.22 00700 — 1
DOCUMENT 00700 — GENERAL CONDITIONS — DESIGN -BUILD CONTRACT: (continued)
12. "Contractor's Consultant" - an individual or entity having a contract with
Contractor to furnish services as Contractor's independent professional
associate or consultant with respect to the Project.
13. "Date of Contract", "Effective Date of the Agreement" - the date of the City
Council Approval also indicated in the Agreement.
14. "Engineer" - For purposes of these General Conditions any reference to
Engineer shall refer to Contractor.
15. "Equipment" - a product with operational or nonoperational parts, whether
motorized or manually operated, that requires service connections, such as
wiring or piping.
16. "Field Order" - a written order which orders minor changes in the Work in
accordance with Paragraph 9.05 but which does not involve a change in the
Contract Price or the Contract Times.
17. "General Requirements" - Sections of DIVISION 1 of the Specifications.
The General Requirements pertain to all sections of the Specifications.
18. "Hazardous Waste" - the term Hazardous Waste shall have the meaning
provided in Section 1004 of the Solid Waste Disposal Act (42 USC Section
6903) as amended from time to time.
19. "Law" - law of the place of the Project which shall govern the performance
hereunder.
20. "Laws and Regulations," "Laws or Regulations" - laws, rules, regulations,
ordinances, codes and/or orders of any and all governmental bodies,
agencies, authorities, and courts having jurisdiction.
21. "Lien" - charges, security interests, or encumbrances on Project funds, real
property, or personal property.
22. "Materials" - products substantially shaped, cut, worked, mixed, finished,
refined, or otherwise fabricated, processed, or installed to form a part of the
Work.
23. "Notice of Award" - the written notice by Owner to the apparent successful
Bidder stating that upon compliance by the apparent successful Bidder with
the conditions precedent enumerated therein, within the time specified,
Owner will sign and deliver the Agreement.
24. "Notice to Proceed" - the written notice by Owner to Contractor fixing the
date on which the Contract Times will commence to run and on which
Contractor shall start to perform Contractor's obligation under the Contract
Documents.
25. "Owner" - the City of Fayetteville, Arkansas, a constitutionally chartered
municipal corporation, with which the Contractor has entered into the
Agreement and for whom the Work is to be provided.
26. "Partial Utilization" - placing a portion of the Work in service for the
purpose for which it is intended (or a related purpose) before reaching
Substantial Completion of all the Work.
27. "PCBs" - Polychlorinated biphenyls.
28. "Petroleum" - petroleum, including crude oil or any fraction thereof which is
liquid at standard conditions of temperature and pressure (600 Fahrenheit and
14.7 pounds per square inch absolute), such as oil, petroleum, fuel oil, oil
sludge, oil refuse, gasoline, kerosene, and oil mixed with other
non -Hazardous Wastes and crude oils.
29. "Program Manager" — NOT USED.
00700 General Conditions 00700-2
DOCUMENT 00700 — GENERAL CONDITIONS — DESIGN -BUILD CONTRACT: (continued)
30. "Project" - the total construction of which the Work to be provided under the
Contract Documents may be the whole, or a part as indicated elsewhere in
the Contract Documents.
31. "Project Manual" - The bound documentary information prepared for bidding
and constructing the Work. A listing of the contents of the Project Manual,
which may be bound in one or more volumes, is contained in the table(s) of
contents.
32. "Radioactive Material" - source, special nuclear, or byproduct material as
defined by the Atomic Energy Act of 1954 (42 USC Section 2011 et seq.) as
amended from time to time.
33. "Resident Project Representative" - the authorized representative of
Contractor who is assigned to the construction Site or any part thereof.
34. "Reference Drawings" - drawings not specifically prepared for, nor a part of,
this Contract, but which contain information pertinent to the Work.
35. "Samples" - physical examples of Equipment, Materials, or workmanship
that are representative of some portion of the Work and which establish the
standards by which such portion of the Work will be judged.
36. "Shop Drawings" - all drawings, diagrams, illustrations, schedules, and other
data or information which are specifically prepared or assembled by or for
Contractor and submitted by Contractor to illustrate some portion of the
Work.
37. "Site" - lands or areas indicated in the Contract Documents as being
furnished by Owner upon which the Work is to be performed, including
rights -of -way and easements for access thereto, and such other lands
furnished by Owner which are designated for the use of Contractor.
38. "Specifications" - those portions of the Contract Documents consisting of
written technical descriptions of the Work, and covering the Equipment,
Materials, workmanship, and certain administrative details applicable
thereto.
39. "Subcontractor" - an individual, firm, or corporation having a direct contract
with Contractor or with any other Subcontractor for the performance of a part
of the Work at the Site.
40. "Submittals" - all Shop Drawings, product data, and Samples which are
prepared by Contractor, a Subcontractor, manufacturer, or Supplier for
Equipment and Materials proposed for incorporation in the Work or needed
to describe proper installation, operation and maintenance, or technical
properties.
41. "Substantial Completion" - the Work (or a specified part thereof) has
progressed to the point where it is sufficiently complete, in accordance with
the Contract Documents, so that the Work (or specified part) can be used for
the purposes for which it was intended.
42. "Supplementary Conditions" — part of the Contract Documents which
amends and/or supplements these General Conditions.
43. "Supplier" - a manufacturer, fabricator, supplier, distributor, material man, or
vendor.
44. "Underground Facilities" - all pipelines, conduits, ducts, cables, wires,
manholes, vaults, tanks, tunnels, or other such facilities or attachments, and
any encasements containing such facilities which have been installed
underground to furnish any of the following services or materials:
00700 General Conditions 00700-3
DOCUMENT 00700 — GENERAL CONDITIONS — DESIGN -BUILD CONTRACT: (continued)
electricity, gases, steam, liquid petroleum products, telephone or other
communications, cable television, sewage and drainage removal, traffic or
other control systems, or water.
45. "Unit Price Work" - Work to be paid on the basis of Unit Prices.
46. "Work" - the entire completed construction or the various separately
identifiable parts thereof required to be furnished under the Contract
Documents. Work is the result of performing services, the furnishing of
Bonds and insurance, furnishing labor, and furnishing and incorporating
Materials and Equipment into the construction, all as required by the
Contract Documents.
47. "Work Change Directive" - a written directive to Contractor, issued on or
after the effective Date of the Agreement and signed by Owner, ordering an
addition, deletion, or revision in the Work, or responding to differing or
unforeseen physical conditions under which the Work is to be performed as
provided in Article 4 or to emergencies under Paragraph 6.13. A Work
Change Directive will not change the Contract Price or the Contract Times,
but is evidence that the parties expect that the change directed or documented
by a Work Change Directive will be incorporated in a subsequently issued
Change Order following negotiations by the parties as to its effect, if any, on
the Contract Price or Contract Times as provided in Paragraph 10.01B.
48. "Written Amendment" - a written amendment to the Contract Documents,
signed by Owner and Contractor on or after the Effective Date of the
Agreement, and normally dealing with the nonengineering or nontechnical
rather than strictly Work -related aspects of the Contract Documents.
49. "Year 2000 Compliance" or "Year 2000 Compliant" — means that equipment,
devices, items, systems, software, hardware, and firmware included in the
Work or used to produce the Work shall properly, appropriately, and
consistently function and accurately process date and time data (including
without limitation: calculating, comparing, and sequencing) on and after
December 31, 1999, including leap year calculations.
1.03 TERMINOLOGY:
A. Whenever used in these General Conditions or elsewhere in the Contract Documents,
the following terminology shall have the intent and meaning specified below:
1. The words "as indicated" refer to the Drawings and "as specified" refer to the
remaining Contract Documents.
2. The terms "responsible" or "responsibility" mean that the party to which the
term applies shall assume all responsibilities thereto.
3. The term "approve", when used in response to Submittals, requests,
applications, inquiries, reports and claims by Contractor, will be held to
limitations of Owner's responsibilities and duties or specified in these
General Conditions. In no case will "approval" by Owner be interpreted as a
release of Contractor from responsibilities to fulfill requirements of Contract
Documents.
4. When applied to Equipment and Materials, the words "furnish", "install",
and "provide" shall mean the following:
a. The word "provide" shall mean to furnish, pay for, deliver, assemble,
install, adjust, clean and otherwise make Materials and Equipment fit for
their intended use.
00700 General Conditions 00700-4
DOCUMENT 00700 — GENERAL CONDITIONS — DESIGN -BUILD CONTRACT: (continued)
b. The word "furnish" shall mean to secure, pay for, deliver to Site, unload
and uncrate Equipment and Materials.
c. The word "install" shall mean to assemble, place in position, incorporate
in the Work, adjust, clean, and make fit for use.
d. The phrase "furnish and install" shall be equivalent to the word
"provide."
The word "day" shall constitute a calendar day of twenty-four hours
measured from midnight to the next midnight.
ARTICLE 2 - PRELIMINARY MATTERS
2.01 DELIVERY OF BONDS:
A. When Contractor delivers the executed Agreements to Owner, Contractor shall also
deliver to Owner such executed and recorded Bonds as Contractor may be required to
furnish in accordance with Paragraph 5.01.
2.02 COPIES OF DOCUMENTS:
A. Owner will furnish to Contractor copies of the Contract Documents as stated in the
General Requirements.
2.03 COMMENCEMENT OF CONTRACT TIMES; NOTICE TO PROCEED:
A. The Contract Times will commence to run on the day indicated in the Notice to
Proceed. A Notice to Proceed may be given at any time mutually agreed upon by the
Contractor and the Owner within 60 days after the Effective Date of the Agreement
upon completion of required executed documents. In no event will the Contract
Times commence to run later than the 60' day after the Effective Date of the
Agreement.
2.04 STARTING THE PROJECT:
A. Contractor shall start to perform the Work on the date when the Contract Times
commence to run, but no Work shall be done at the Site prior to the date on which the
Contract Times commence to run.
2.05 BEFORE STARTING CONSTRUCTION:
A. Before starting construction and undertaking each part of the Work, Contractor shall
carefully study the Contract Documents and check and verify pertinent figures shown
thereon and all applicable field measurements. Contractor shall promptly report in
writing to Owner any conflict, error or discrepancy which Contractor may discover.
B. Within thirty (60) days after the Effective Date of the Agreement, and before
Contractor starts the Work at the Site, Contractor shall submit items as noted in
Document 00550 — Notice to Proceed (and as specified) to Owner for review.
C. Further, before any Work at the Site is started, Contractor shall deliver to Owner
certificates and other evidence of insurance requested by Owner which Contractor is
required to purchase and maintain in accordance with Paragraph 5.02 (and Owner
shall deliver to Contractor certificates and other evidence of insurance requested by
Contractor which Owner is required to purchase and maintain in accordance with
Paragraph 5.02).
00700 General Conditions 00700-5
DOCUMENT 00700 — GENERAL CONDITIONS — DESIGN -BUILD CONTRACT: (continued)
2.06 PRECONSTRUCTION CONFERENCE:
A. Within 60 days after the Effective Date of the Agreement, but before Contractor
starts the Work at the Site, a conference attended by Contractor, Owner, and others as
appropriate will be held to discuss the schedules referred to in Paragraph 2.05B, to
discuss procedures for handling Submittals, processing Applications for Payment,
and to establish a working understanding among the parties as to the Work.
2.07 FINALIZING SCHEDULES:
A. The final schedule shall be provided in Appendix A. The finalized construction
progress schedule will be acceptable to Owner if it provides an orderly progression of
the Work to completion within the Contract Times, but such acceptance will not
relieve Contractor from full responsibility therefor. The finalized schedule of
Submittal submissions will be acceptable to Owner if it provides a workable
arrangement for processing the submissions.
ARTICLE 3 - CONTRACT DOCUMENTS: INTENT, AMENDING, REUSE
3.01 INTENT:
A. The Contract Documents comprise the entire agreement between Owner and
Contractor concerning the Work. The Contract Documents are complementary; what
is called for by one is as binding as if called for by all. The Contract Documents will
be construed in accordance with the Law of the place of the Project.
B. It is the intent of the Contract Documents to describe a functionally complete Project
(or part thereof) to be constructed in accordance with the Contract Documents. Any
Work, Materials, or Equipment that may reasonably be inferred from the Contract
Documents as being required to produce the intended result will be supplied whether
or not specifically called for, at no additional cost to the Owner.
1. When words which have a well-known technical or trade meaning are used
to describe Work, Materials, or Equipment, such words shall be interpreted
in accordance with that meaning.
2. Reference to standard specifications, manuals, or codes of any technical
society, organization, or association, or to the Laws or Regulations of any
governmental authority, whether such reference be specific or by implication,
shall mean the latest standard specification, manual, code, or Laws or
Regulations in effect at the time of opening of Bids except as may be
otherwise specifically stated. However, no provision of any referenced
standard specification, manual, or code (whether or not specifically
incorporated by reference in the Contract Documents) shall be effective to
change the duties and responsibilities of Owner or Contractor, or any of their
consultants, agents, or employees from those set forth in the Contract
Documents.
C. If, during the performance of the Work, Contractor finds a conflict, error, or
discrepancy in the Contract Documents, Contractor shall so report to Owner in
writing at once and before proceeding with the Work affected thereby shall resolve
such conflict, error, or discrepancy.
00700 General Conditions 00700-6
DOCUMENT 00700 — GENERAL CONDITIONS — DESIGN -BUILD CONTRACT: (continued)
D. Applicable codes and standards referenced in these Contract Documents establish
minimum requirements for Equipment, Materials, and Work and are superseded by
more stringent requirements of Contract Documents when and where they occur.
E. The Specifications are separated into Divisions and Sections for convenience in
defining the Work. Contract Drawings are separated according to engineering
disciplines and other classifications. This sectionalizing and the arrangement of
Contract Drawings shall not control the Contractor in dividing the Work among
Subcontractors or Suppliers or delineating the Work to be performed by any specific
trade.
3.02 AMENDING AND SUPPLEMENTING CONTRACT DOCUMENTS:
A. The Contract Documents may be amended to provide for additions, deletions, and
revisions in the Work or to modify the terms and conditions thereof in one or more of
the following ways:
1. A formal Written Amendment.
2. A Change Order (pursuant to Paragraph 9.01D).
B. As indicated in Paragraphs 10.01B and 11.01A, Contract Price and Contract Times
may only be changed by a Change Order or Written Amendment.
3.03 OWNERSHIP AND REUSE OF DOCUMENTS:
A. All Contract Documents and copies thereof furnished by Contractor shall be the
property of the Owner.
B. No Subcontractor or Supplier or other person or organization performing or
furnishing any of the Work under a direct or indirect contract with Owner or
Contractor shall have or acquire any title to or ownership rights in any of the
Drawings, Specifications, or other documents (or copies of any thereof) prepared by
or bearing the seal of Contractor or Contractor's engineer; and they shall not reuse
any of the documents on extensions of the Project or any other project without
written consent of Owner and Contractor and specific written verification or
adaptation by Contractor.
ARTICLE 4 - AVAILABILITY OF LANDS; PHYSICAL CONDITIONS; REFERENCE
POINTS
4.01 AVAILABILITY OF LANDS:
A. Owner shall furnish, as indicated in the Contract Documents, the lands upon which
the Work is to be performed, rights -of -way and easements for access thereto, and
such other lands which are designated for the use of Contractor. Easements for
permanent structures or permanent changes in existing facilities will be obtained and
paid for by Owner, unless otherwise provided in the Contract Documents.
B. If Contractor believes that any delay in Owner's furnishing these lands,
rights -of -way, or easements entitles Contractor to an extension of the Contract Times,
Contractor may make a claim therefor as provided in Article 12.
C. Contractor shall provide for all additional lands and access thereto that may be
required for temporary construction facilities or storage of materials and equipment.
D. Contractor shall confine operations to the construction limits indicated.
00700 General Conditions 00700-7
DOCUMENT 00700 — GENERAL CONDITIONS — DESIGN -BUILD CONTRACT: (continued)
4.02 UNFORESEEN SUBSURFACE CONDITIONS:
A. Contractor shall promptly notify Owner in writing of any subsurface or latent
physical conditions encountered and observed at the Site which differ materially from
those specified or indicated, or which could be reasonably interpreted from
examination of the Site and available subsurface information at the time of bidding.
B. Owner will promptly investigate those conditions and may, upon consultation with
Contractor, authorize further surveys or subsurface tests as necessary. Promptly
thereafter, Contractor will obtain the necessary additional surveys and tests and
furnish copies of results to Owner.
C. If Owner finds that the subsurface or latent physical conditions encountered at the
Site differ materially from those specified or indicated, or which could have been
reasonably interpreted from examination of the Site and available subsurface
information at the time of bidding, then a Change Order will be issued by the Owner
incorporating the necessary revisions.
4.03 PHYSICAL CONDITIONS - UNDERGROUND FACILITIES:
A. Shown or Indicated: The information and data shown or indicated in the Contract
Documents with respect to existing Underground Facilities at or contiguous to the
Site is based on information and data furnished to Owner by the owners of such
Underground Facilities or by others. Unless it is otherwise expressly provided:
1. Owner shall not be responsible for the accuracy or completeness of any such
information or data; and,
2. Contractor shall have full responsibility for reviewing and checking all such
information and data, for locating all Underground Facilities shown or
indicated in the Contract Documents, for coordination of the Work with the
owners of such Underground Facilities during construction, for the safety and
protection thereof as provided in Paragraph 6.12 and repairing any damage
thereto resulting from the Work, the cost of all of which will be considered as
having been included in the Contract Price.
B. Not Shown or Indicated: If an Underground Facility is uncovered or revealed at or
contiguous to the Site which was not shown or indicated in the Contract Documents
and which Contractor could not reasonably have been expected to be aware of,
Contractor shall, promptly after becoming aware thereof and before performing any
Work affected thereby (except in an emergency as permitted by Paragraph 6.13),
identify the owner of such Underground Facility and give written notice thereof to
that owner. Contractor will promptly review the Underground Facility to determine
the extent to which the Contract Documents should be modified to reflect and
document the consequences of the existence of the Underground Facility, and the
Contract Documents will be amended or supplemented to the extent
necessary. During such time, Contractor shall be responsible for the safety and
protection of such Underground Facility as provided in Paragraph 6.12. Contractor
shall be allowed an increase in the Contract Price or an extension of the Contract
Times, or both, to the extent that they are attributable to the existence of any
Underground Facility that was not shown or indicated in the Contract Documents and
which Contractor could not reasonably have been expected to be aware of. If the
parties are unable to agree as to the amount or length thereof, Contractor may make a
claim therefor as provided in Articles 11 and 12.
00700 General Conditions 00700-8
DOCUMENT 00700 — GENERAL CONDITIONS — DESIGN -BUILD CONTRACT: (continued)
4.04 REFERENCE POINTS:
A. Contractor will provide engineering surveys to establish reference points for
construction which in Contractor's judgment are necessary to enable Contractor to
proceed with the Work. Contractor shall be responsible for laying out the Work
(unless otherwise specified in the General Requirements), shall protect and preserve
the established reference points, and shall make no changes or relocations without the
prior written approval of Engineer. Contractor shall report to Owner whenever any
reference point is lost or destroyed or requires relocation because of necessary
changes in grades or locations, and shall be responsible for the accurate replacement
or relocation of such reference points by professionally qualified
personnel. Contractor shall be responsible for any mistakes or loss of time that may
result from their loss or disturbance.
B. Contractor shall make such surveys as are required for establishing pay limits and
determining quantities for progress pay estimates. Contractor shall furnish Owner
with one copy each of all field notes of such surveys.
4.05 ASBESTOS, PCBS, PETROLEUM, HAZARDOUS WASTE, OR RADIOACTIVE
MATERIAL:
A. Owner shall be responsible for any Asbestos, PCBs, Petroleum, Hazardous Waste, or
Radioactive Material uncovered or revealed at the Site which was not shown or
indicated in Drawings or Specifications or identified in the Contract Documents to be
within the scope of the Work and which may present a substantial danger to persons
or property exposed thereto in connection with the Work at the Site. Owner shall not
be responsible for any such materials brought to the Site by Contractor,
Subcontractor, Suppliers, or anyone else for whom Contractor is responsible.
B. Contractor shall immediately: (i) stop all Work in connection with such hazardous
condition and in any area affected thereby (except in an emergency as required by
Paragraph 6.13), and (ii) notify Owner (and thereafter confirm such notice in
writing). Owner shall promptly consult with Contractor concerning the necessity for
Owner to retain a qualified expert to evaluate such hazardous condition or take
corrective action, if any. Contractor shall not be required to resume Work in
connection with such hazardous condition or in any such affected area until after
Owner has obtained any required permits related thereto and delivered to Contractor
special written notice: (i) specifying that such condition and any affected area is or
has been rendered safe for the resumption of Work, or (ii) specifying any special
conditions under which such Work may be resumed safely. If Owner and Contractor
cannot agree as to entitlement to or the amount or extent of an adjustment, if any, in
Contract Price or Contract Times as a result of such Work stoppage or such special
conditions under which Work is agreed by Contractor to be resumed, either party
may make a claim therefor as provided in Articles 11 and 12.
C. If after receipt of such special written notice Contractor does not agree to resume
such Work based on a reasonable belief it is unsafe, or does not agree to resume such
Work under such special conditions, then Owner may order such portion of the Work
that is in connection with such hazardous condition or in such affected area to be
deleted from the Work. If Owner and Contractor cannot agree as to entitlement to or
the amount or extent of an adjustment, if any, in Contract Price or Contract Times as
a result of deleting such portion of the Work, then either party may make a claim
00700 General Conditions 00700-9
DOCUMENT 00700 — GENERAL CONDITIONS — DESIGN -BUILD CONTRACT: (continued)
therefor as provided in Articles 11 and 12. Owner may have such deleted portion of
the Work performed by Owner's own forces or others in accordance with Article 7.
D. To the fullest extent permitted by Laws and Regulations, Owner shall indemnify and
hold harmless Contractor, Subcontractors, and the officers, directors, partners,
employees, of each and any of them from and against all claims, costs, losses, and
damages arising out of or resulting from such hazardous condition, provided that:
(i) any such claim, cost, loss or damage is attributable to bodily injury, sickness,
disease or death, or to injury to or destruction of tangible property (other than the
Work itself), including the loss of use resulting therefrom, and (ii) nothing in this
subparagraph 4.05D shall obligate Owner to indemnify any person or entity from and
against the consequences of that person's or entity's own negligence.
E. To the fullest extent permitted by Laws and Regulations, Contractor shall indemnify
and hold harmless Owner, and its officers, directors, partners, and employees, from
and against all claims, costs, losses, and damages arising out of or relating to such
hazardous condition created by Contractor or by anyone for whom Contractor is
responsible. Nothing in this subparagraph 4.05E shall obligate Contractor to
indemnify any person or entity from and against the consequences of that person's or
entity's own negligence.
F. The provisions of Paragraphs 4.02 and 4.03 are not intended to apply to Asbestos,
PCBs, Petroleum, Hazardous Waste, or Radioactive Material uncovered or revealed
at the Site.
ARTICLE 5 - BONDS AND INSURANCE
5.01 PERFORMANCE AND OTHER BONDS:
A. Contractor shall furnish performance and payment Bonds, each in an amount at least
equal to the Contract Price as security for the faithful performance and payment of all
Contractor's obligations under the Contract Documents. These Bonds shall remain in
effect at least until two years after the date when final payment is approved by
Owner, except as otherwise provided by Law or Regulation or by the Contract
Documents. Contractor shall also furnish such other Bonds as are required by the
Contract Documents. All Bonds shall be in the forms prescribed by Law or
Regulation or by the Contract Documents and be executed by such sureties as are
named in the current list of "Companies Holding Certificates of Authority as
Acceptable Sureties on Federal Bonds and as Acceptable Reinsuring Companies" as
published in Circular 570 (amended) by the Financial Management Service, Surety
Bond Branch, U.S. Department of the Treasury. All bonds shall be signed by an
Arkansas Agent.
B. The Bonds shall be automatically increased in amount and extended in time without
formal and separate amendments to cover full and faithful performance of the
Contract in the event of Change Orders, regardless of the amount of time or money
involved. It is Contractor's responsibility to notify the surety of any changes
affecting the general scope of the Work or change in the Contract Price or Contract
Times.
C. Bonds signed by an agent must be accompanied by a certified copy of the authority to
act.
D. Date of Bonds shall be the same as the Effective Date of the Agreement.
00700 General Conditions 00700- 10
DOCUMENT 00700 — GENERAL CONDITIONS — DESIGN -BUILD CONTRACT: (continued)
E. The Contractor shall file the Performance, Payment and Warranty Bonds at the
Washington County Clerk's office prior to providing a file marked copy of the filed
Performance, Payment and Warranty Bonds to the Owner.
F. If at any time during the continuance of the Contract, the surety on any Bond
becomes unacceptable to Owner for financial reasons, Owner has the right to require
additional and sufficient sureties which Contractor shall furnish to the satisfaction of
Owner within ten days after notice to do so.
1. If the surety on any Bond furnished by Contractor is declared bankrupt or
becomes insolvent or its right to do business is terminated in any state where
any part of the Project is located or it ceases to meet the requirements of
Paragraph 5.01A, Contractor shall within five days thereafter substitute
another Bond and surety, both of which must be acceptable to Owner.
5.02 INSURANCE:
A. Contractor's Liability Insurance:
1. Contractor and all subcontractors shall purchase and maintain such liability
and other insurance as is appropriate for the Work being furnished and
performed and as will provide protection from claims set forth below which
may arise out of or result from Contractor's furnishing and performance of
the Work and Contractor's other obligations under the Contract Documents,
whether it is to be performed by Contractor, any Subcontractor or Supplier,
or by anyone directly or indirectly employed by any of them to perform any
of the Work, or by anyone for whose acts any of them may be liable:
a. Claims under workers' compensation, disability benefits, and other
similar employee benefit acts;
b. Claims for damages because of bodily injury, occupational sickness or
disease, or death of Contractor's employees;
c. Claims for damages because of bodily injury, sickness, or disease, or
death of any person other than Contractor's employees;
d. Claims for damages insured by reasonably available personal injury
liability coverage which are sustained: (i) by any person as a result of an
offense directly or indirectly related to the employment of such person
by Contractor, or (ii) by any other person for any other reason;
e. Claims for damages, other than to the Work itself, because of injury to or
destruction of tangible property wherever located, including loss of use
therefrom;
f. Claims arising out of operation of Laws or Regulations for damages
because of bodily injury or death of any person or for damage to
property; and
g. Claims for damages because of bodily injury or death of any person or
property damage arising out of the ownership, maintenance, or use of
any motor vehicle.
2. The insurance required by this paragraph shall include the specific coverages,
and be written for the limits of liability specified or required by Law,
whichever is greater.
a. Umbrella General Liability $5,000,000
b. Workers' compensation Statutory (State and Federal Limits)
Employer's Liability $500,000 each accident
00700 General Conditions 00700— 11
DOCUMENT 00700 — GENERAL CONDITIONS — DESIGN -BUILD CONTRACT: (continued)
c. Commercial General Liability
(1) General Aggregate $2,000,000
(2) Products -Completed Operations Aggregate $2,000,000
(3) Personal & Advertising Injury Limit $1,000,000
(4) Each Occurrence Limit $1,000,000
(5) Fire Damage Limit $ 100,000
(6) Medical Expense Limit $ 5,000
d. Business Automobile Liability
(1) Any one loss or accident $1,000,000
B. The policies of insurance so required by paragraph 5.02A to be purchased and
maintained
shall:
1.
with respect to insurance required by Paragraphs 5.02A. Lc through
5.02A. Lg inclusive, include as additional insureds by endorsement (subject
to customary exclusion in respect of professional liability) Owner and
include coverage for its officers, directors, partners, employees, and any of
all such additional insureds, and the insurance afforded to these additional
insureds shall provide primary coverage for all claims covered thereby;
2.
include the specific coverages and be written for the limits of liability
specified in Paragraph 5.02A.2 or required by Laws and Regulations,
whichever is greater;
3.
with respect to insurance required by paragraphs 5.02A1.c through 5.02A1.g
inclusive, include premises/operations, products, completed operations,
independent contractors, and personal injury insurance,;
4.
include in the Commercial General Liability policy, contractual liability
insurance covering Contractor's indemnity obligations under
Paragraphs 6.06, 6.10, and 6.16, and written for not less than the limits of
liability and coverages specified above;
5.
contain a provision or endorsement that the coverage afforded will not be
cancelled, materially changed, or renewal refused until at least 30 days' prior
written notice by certified mail has been given to Owner and Contractor and
to each other additional insured to whom a certificate of insurance has been
issued;
6. provide Broad Form Property Damage coverage and contain no exclusion
(commonly referred to as XC&U exclusion) relative to blasting, earthquake,
flood, explosion, collapse of buildings, or damage to underground property;
7. remain in effect at least until final payment and at all times thereafter when
Contractor may be correcting, removing, or replacing defective Work in
accordance with Paragraph 12.07;
8. with respect to completed operations insurance, and any insurance coverage
written on a claims -made basis, remain in effect for at least two years after
final payment and Contractor shall furnish Owner and each other specified
additional insured to whom a certificate of insurance has been issued,
evidence satisfactory to Owner and any such additional insured of
continuation of such insurance at final payment and one year thereafter;
9. include Independent Contractors Protective Liability coverage; and
10. with respect to the Commercial General Liability policy, the maximum
deductible allowed shall be $200,000.
11. Owner and Contractor waive all rights against each other and their respective
officers, directors, partners, employees, agents, and other consultants and
00700 General Conditions 00700- 12
DOCUMENT 00700 — GENERAL CONDITIONS — DESIGN -BUILD CONTRACT: (continued)
subcontractors of each and any of them for all losses and damages caused by,
arising out of, or resulting from any of the perils or causes of loss covered by
such policies required by Paragraph 5.02A and any other liability insurance
applicable to the Work; and, in addition, waive all such rights against
Subcontractors, Contractor's Consultants, and all other individuals or entities
endorsed as insureds or additional insureds (and the officers, directors,
partners, employees, agents and other consultants and subcontractors of each
and any of them) under such policies for losses and damages so caused. As
required by Paragraph 6.05D, each subcontract between Contractor and a
Subcontractor shall contain similar waiver provisions by the Subcontractor in
favor of Owner, Contractor, Contractor's Consultants, and all other parties
endorsed as insureds or additional insureds. None of the above waivers shall
extend to the rights that any of the insured parties may have to proceeds of
insurance held by Owner as trustee or otherwise payable under any policy so
issued. With respect to the Commercial General Liability policy, the
maximum deductible allowed shall be $200,000.
C. Owner's Protective Liability Insurance:
l . Contractor shall be responsible for purchasing and maintaining Owner's
Protective Liability insurance with Owner as named insured.
2. This insurance shall have the same limits of liability as the Commercial
General Liability insurance and shall protect Owner against any and all
claims and liabilities for injury to or death of persons, or damage to property
caused in whole or in part by, or alleged to have been caused in whole or in
part by, negligent acts or omissions of Contractor or Subcontractors or any
agent, servant, worker, or employee of Contractor or Subcontractors arising
from the operations under the Contract Documents.
3. This insurance may be provided by endorsement to Contractor's Commercial
General Liability insurance policy.
D. Property Insurance:
1. Contractor shall purchase and maintain property insurance upon the Work at
the Site in the amount of the full insurable value thereof (subject to such
deductible amounts as follows) or as required by Laws or Regulations. This
insurance shall:
a. be on the completed value form and include the interests of Owner,
Contractor, Subcontractors, Contractor's Consultants, and the officers,
directors, partners, employees, agent, and other consultants and
subcontractors of each and any of them, each of whom is deemed to have
an insurable interest and shall be listed as an additional insured;
b. be written on a Builder's Risk "all-risk" or open peril or special causes of
loss policy form that shall at least include insurance for physical loss or
damage to the Work, temporary buildings, false work, and Equipment
and Materials, and shall insure against at least the following perils or
causes of loss: fire, lightning, extended coverage, theft, vandalism and
malicious mischief, earthquake, collapse, debris removal, demolition
occasioned by enforcement of Laws and Regulations, water damage,
terrorism, and such other perils (as flood, earthquake, explosions,
collapse, underground hazard) or causes of loss as may be specifically
required in the Contract Documents;
00700 General Conditions 00700— 13
DOCUMENT 00700 — GENERAL CONDITIONS — DESIGN -BUILD CONTRACT: (continued)
c. include expenses incurred in the repair or replacement of any insured
property (including but not limited to fees and charges of engineers,
architects, attorneys, and other professionals);
d. cover Equipment and Materials stored at the Site or at another location
that was agreed to in writing prior to being incorporated in the Work,
provided that such Equipment and Materials have been included in an
Application for Payment;
e. allow for partial utilization of the Work by Owner;
f. include testing and startup;
g. be maintained in effect until final payment (or the Owner assumes
beneficial occupancy and agrees to provide insurance coverage for the
facilities so occupied) is made unless otherwise agreed to in writing by
Owner and Contractor with 30 days' written notice to each other
additional insured to whom a certificate of insurance has been issued;
and
h. have a deductible amount of $25,000
2. Contractor shall purchase and maintain such boiler and machinery insurance
or additional property insurance as required by Laws and Regulations which
will include the interests of Owner, Contractor, Subcontractors, Consultant's
Consultants in the Work, each of whom is deemed to have an insurable
interest and shall be listed as insured or additional insured parties.
3. All policies of insurance required to be purchased and maintained in
accordance with Paragraph 5.02D will contain a provision or endorsement
that the coverage afforded will not be cancelled or materially changed or
renewal refused until at least 30 days' prior notice by certified mail has been
given to Owner and Contractor and to each additional insured to whom a
certificate of insurance has been issued and will contain waiver provisions in
accordance with Paragraph 5.02F below.
4. Copies of the policies shall be furnished for property insurance. Certificates
will not be acceptable.
E. Transit Insurance:
1. Transit insurance shall be furnished by Contractor to protect Contractor and
Owner from all risks of physical loss or damage to Equipment and Materials,
not otherwise covered under other policies, during transit from point of
origin to the Site of installation or erection.
2. This insurance shall be written on an "All Risk" basis with additional
coverages applicable to the circumstances that may occur in the particular
Work included in this Contact.
3. This insurance shall be in an amount not less than 100% of the manufactured
or fabricated value of items exposed to risk in transit at any one time.
F. Waiver of Rights:
1. Owner and Contractor intend that all policies purchased in accordance with
Paragraph 5.02D will protect Owner, Contractor, Subcontractors,
Contractor's Consultants, and other individuals or entities endorsed as
insureds or additional insureds (and the officers, directors, partners,
employees, agents, and other consultants and subcontractors of each and any
of them) in such policies and will provide primary coverage for all losses and
damages caused by the perils or causes of loss covered thereby. All such
00700 General Conditions 00700- 14
DOCUMENT 00700 — GENERAL CONDITIONS — DESIGN -BUILD CONTRACT: (continued)
policies shall contain provisions to the effect that in the event of payment of
any loss or damage, the insurers will have no rights of recovery against any
of the insureds or additional insureds thereunder; and if the insurers require
separate waiver forms to be signed by Contractor's Consultants or any
Subcontractor, Contractor will obtain the same.
2. Owner and Contractor waive all rights against each other and their respective
officers, directors, partners, employees, agents, and other consultants and
subcontractors of each and any of them for all losses and damages caused by,
arising out of, or resulting from any of the perils or causes of loss covered by
such policies required by Paragraph 5.02D and any other property insurance
applicable to the Work; and, in addition, waive all such rights against
Subcontractors, Contractor's Consultants, and all other individuals or entities
endorsed as insureds or additional insureds (and the officers, directors,
partners, employees, agents, and other consultants and subcontractors of each
and any of them) under such policies for losses and damages so caused. As
required by Paragraph 6.05D, each subcontract between Contractor and a
Subcontractor shall contain similar waiver provisions by the Subcontractor in
favor of Owner, Contractor, Contractor's Consultants, and all other parties
endorsed as insureds or additional insureds. None of the above waivers shall
extend to the rights that any of the insured parties may have to proceeds of
insurance held by Owner as trustee or otherwise payable under any policy so
issued.
G. Receipt and Application of Insurance Proceeds:
1. Any insured loss under the policies of insurance required by
Paragraph 5.02D will be adjusted with Owner and made payable to Owner as
fiduciary for the insureds, as their interests may appear, subject to the
requirements of any applicable mortgage clause and of Paragraph 5.02G.2.
Owner shall deposit in a separate account any money so received and shall
distribute it in accordance with such agreement as the parties in interest may
reach. If no other special agreement is reached, the damaged Work shall be
repaired or replaced, the moneys so received applied to account thereof, and
the Work and the cost thereof covered by an appropriate Change Order or
Written Amendment.
2. Owner as fiduciary shall have power to adjust and settle any loss with the
insurers unless one of the parties in interest shall object in writing within
15 days after the occurrence of loss to Owner's exercise of this power. If
such objection is made, Owner as fiduciary shall make settlement with the
insurers in accordance with such agreement as the parties in interest may
reach. If no such agreement among the parties in interest is reached, Owner
as fiduciary shall adjust and settle the loss with the insurers and, if required
in writing by any party in interest, Owner as fiduciary shall give bond for the
proper performance of such duties upon the occurrence of an insured loss.
H. Acceptance of Insurance:
1. If Owner has any objection to the coverage afforded by or other provisions of
the insurance required to be purchased and maintained by Contractor in
accordance with Paragraph 5.02 on the basis of non-conformance with the
Contract Documents, Owner shall so notify Contractor in writing thereof
00700 General Conditions 00700- 15
DOCUMENT 00700 — GENERAL CONDITIONS — DESIGN -BUILD CONTRACT: (continued)
within 10 days of the date of delivery of such certificates and other evidence
of insurance to Owner required by Paragraph 2.05C.
2. Owner and Contractor shall each provide to the other such additional
information in respect of insurance provided as the other may reasonably
request If either party does not purchase or maintain all of the insurance
required of such party by the Contract Documents, such party shall notify the
other party in writing of such failure to purchase prior to the start of the
Work, or of such failure to maintain prior to any change in the required
coverage. Without prejudice to any other right or remedy, the other party
may elect to obtain equivalent insurance to protect such other party's
interests at the expense of the party who was required to provide such
coverage, and a Change Order shall be issued to adjust the Contract Price
accordingly.
Partial Utilization, Acknowledgment of Property Insurer:
1. If Owner finds it necessary to occupy or use a portion or portions of the
Work prior to Substantial Completion of all the Work as provided in
Paragraph 14.06, no such use or occupancy shall commence before the
insurers providing property insurance pursuant to Paragraph 5.02D have
acknowledged notice thereof and in writing effected any changes in coverage
necessitated thereby. The insurers providing the property insurance shall
consent by endorsement on the policy or policies, but the property insurance
shall not be cancelled or lapse on account of any such partial use or
occupancy.
ARTICLE 6 - CONTRACTOR'S RESPONSIBILITIES
6.01 SUPERVISION AND SUPERINTENDENCE:
A. Contractor shall supervise and direct the Work competently and efficiently, devoting
such attention thereto and applying such skills and expertise as may be necessary to
perform the Work in accordance with the Contract Documents. Contractor shall be
solely responsible for and have control over construction means, methods,
techniques, sequences, and procedures and for coordinating all portions of the Work,
but Contractor shall not be responsible for the negligence of others in the design or
selection of a specific means, method, technique, sequence, or procedure of
construction which is indicated in and required by the Contract
Documents. Contractor shall be responsible to see that the finished Work complies
accurately with the Contract Documents.
B. Contractor shall keep on the Work at all times during its progress a competent
resident superintendent, who shall not be replaced without written notice to Owner
except under extraordinary circumstances. The superintendent will be Contractor's
representative at the Site and shall have authority to act on behalf of Contractor. All
communications given to the superintendent shall be as binding as if given to
Contractor.
C. When manufacturer's field services in connection with the erection, installation,
start-up, or testing of Equipment furnished under this Contract, or instruction of
00700 General Conditions 00700— 16
DOCUMENT 00700 — GENERAL CONDITIONS — DESIGN -BUILD CONTRACT: (continued)
Owner's personnel thereon are specified, Contractor shall keep on the Work, during
its progress or as specified, competent manufacturer's field representatives and any
necessary assistants.
6.02 LABOR, EQUIPMENT, AND MATERIALS:
A. Contractor shall provide competent, suitably qualified personnel to survey and lay
out the Work and perform construction as required by the Contract
Documents. Contractor shall at all times maintain good discipline and order at the
Site. Except in connection with the safety or protection of persons or the Work or
property at the Site or adjacent thereto, and except as otherwise indicated in the
Contract Documents, all Work at the Site shall be performed during regular working
hours, and Contractor will not permit overtime work or the performance of Work on
Saturday, Sunday, or any legal holiday without Owner's written consent.
B. Unless otherwise specified in the General Requirements, Contractor shall furnish and
assume full responsibility for all Equipment and Materials, labor, transportation,
construction equipment and machinery, tools, appliances, fuel, power, light, heat,
telephone, water, sanitary facilities, temporary facilities, and all other facilities and
incidentals necessary for the furnishing, performance, testing, start-up, and
completion of the Work.
C. All Equipment and Materials shall be of good quality and new, except as otherwise
provided in the Contract Documents. If required by Owner, Contractor shall furnish
to Owner satisfactory evidence (including reports of required tests) as to the kind and
quality of Equipment and Materials. All Equipment and Materials shall be applied,
installed, connected, erected, used, cleaned, and conditioned in accordance with the
instructions of the applicable Supplier except as otherwise provided in the Contract
Documents; but no provision of any such instructions will be effective to assign to
Owner, or any of Owner's consultants, agents, or employees, any duty or authority to
supervise or direct the furnishing or performance of the Work or any duty or
authority to undertake responsibility contrary to the provisions of Paragraph 9.1 OC
and 9.1 OD.
D. All Equipment and Materials incorporated in the Work shall be designed to meet the
applicable safety standards of federal, state, and local Laws and Regulations.
E. Domestic Product Procurement: As further specified elsewhere in these or
referenced documents.
6.03 ADJUSTING PROGRESS SCHEDULE:
A. Contractor shall submit to Owner for acceptance (to the extent indicated in
Paragraph 2.07) adjustments in the progress schedule to reflect the impact thereon of
new developments; these will conform generally to the progress schedule then in
effect and additionally will comply with any provisions of the General Requirements
applicable thereto.
6.04 SUBSTITUTES OR "OR -EQUAL" ITEMS:
A. Whenever an item of Equipment or Material is specified or described in the Contract
Documents by using the name of a proprietary item or the name of a particular
Supplier, the specification or description is intended to establish the type, function,
appearance, and quality required. Unless the specification or description contains or
00700 General Conditions 00700— 17
DOCUMENT 00700 — GENERAL CONDITIONS — DESIGN -BUILD CONTRACT: (continued)
is followed by words reading that no like, equivalent, or "or -equal" item or no
substitute is permitted, other items of Equipment or Material of other Suppliers may
be submitted by Contractor to Owner for review under the circumstances described
below.
1. "Or -Equal" Items: If in Contractor's sole discretion an item of Equipment or
Material proposed by Contractor is functionally equal to that named and
sufficiently similar so that no change in related Work will be required, it may
be considered as an "or -equal" item. For purposes of this Paragraph 6.04A.1,
a proposed item of Equipment or Material will be considered functionally
equal to an item so named i£
a. In the exercise of reasonable judgment Contractor determines that: (i) it
is at least equal in quality, durability, appearance, strength, and design
characteristics; (ii) it will reliably perform at least equally well the
function imposed by the design concept of the completed Project as a
functioning whole, and;
b. Contractor certifies that: (i) there is no increase in cost to Owner; and
(ii) it will conform substantially, even with deviations, to the detailed
requirements of the item named in the Contract Documents.
c. "Or -Equal" will not be considered until after Award of Contract.
2. Substitute Items:
a. If an item of Equipment or Material proposed by Contractor does not
qualify as an "or -equal" item under Paragraph 6.04A.1, it will be
considered a proposed substitute item.
b. Contractor shall first certify that the proposed substitute item will
perform adequately the functions and achieve the results called for by the
general design, be similar in substance to that specified, and be suited to
the same use as that specified. The certification will state the extent, if
any, to which the use of the proposed substitute will prejudice
Contractor's achievement of Substantial Completion on time; whether or
not use of the proposed substitute item in the Work will require a change
in any of the Contract Documents (or in the provisions of any other
direct contract with Owner for work on the Project) to adapt the design to
the proposed substitute item; and whether or not incorporation or use of
the proposed substitute item in connection with the Work is subject to
payment of any license fee or royalty.
c. Substitute items will not be considered until after Award of Contract.
B. If a specific means, method, technique, sequence, or procedure of construction is
indicated in or required by the Contract Documents, Contractor may furnish or use a
substitute means, method, sequence, technique, or procedure of construction if
Contractor certifies that the substitute proposed is equivalent to that indicated or
required by the Contract Documents.
C. Owner may require Contractor to furnish at Contractor's expense a special
performance guarantee or other surety with respect to any substitute.
00700 General Conditions 00700— 18
DOCUMENT 00700 — GENERAL CONDITIONS — DESIGN -BUILD CONTRACT: (continued)
6.05 CONCERNING SUBCONTRACTORS, SUPPLIERS, AND OTHERS:
A. Contractor shall not employ any Subcontractor, Supplier, or other person or
organization (including those acceptable to Owner as indicated in Paragraph 6.05B),
whether initially or as a substitute, against whom Owner may have reasonable
objection. Contractor shall not be required to employ any Subcontractor, Supplier, or
other person or organization to furnish or perform any of the Work against whom
Contractor has reasonable objection.
B. If the Contract Documents require the identity of certain Subcontractors, Suppliers,
or other persons or organizations (including those who are to furnish the principal
items of Equipment and Materials) to be submitted to Owner within the required time
after Bid opening prior to the Effective Date of the Agreement for acceptance by
Owner and if Contractor has submitted a list thereof, Owner's acceptance (either in
writing or by failing to make written objection thereto) of any such Subcontractor,
Supplier, or other person or organization so identified may be revoked on the basis of
reasonable objection after due investigation, in which case Contractor shall submit an
acceptable substitute, the Contract Price will be increased by the difference in the
cost occasioned by such substitution, and an appropriate Change Order will be issued
or Written Amendment signed. No acceptance by Owner of any such Subcontractor,
Supplier, or other person or organization shall constitute a waiver of any right of
Owner to reject defective Work.
C. Contractor shall be fully responsible to Owner for all acts and omissions of the
Subcontractors, Suppliers, and other persons and organizations performing or
furnishing any of the Work under a direct or indirect contract with Contractor just as
Contractor is responsible for Contractor's own acts and omissions. Nothing in the
Contract Documents shall create any contractual relationship between Owner and any
such Subcontractor, Supplier, or other person or organization, nor shall it create any
obligation on the part of Owner to pay or to see to the payment of any moneys due
any such Subcontractor, Supplier, or other person or organization except as may
otherwise be required by Laws and Regulations.
D. All Work performed for Contractor by a Subcontractor will be pursuant to an
appropriate agreement between Contractor and the Subcontractor which specifically
binds the Subcontractor to the applicable terms and conditions of the Contract
Documents for the benefit of Owner and contains waiver provisions as required by
Paragraph 5.02F. Contractor shall pay each Subcontractor a just share of any
insurance moneys received by Contractor on account of losses under policies issued
pursuant to Paragraph 5.02D.
6.06 PATENT FEES AND ROYALTIES:
A. Contractor shall pay all license fees and royalties and assume all costs incident to the
use in the performance of the Work or the incorporation in the Work of any
invention, design, process, product, or device which is the subject of patent rights or
copyrights held by others. If a particular invention, design, process, product, or
device is specified in the Contract Documents for use in the performance of the Work
and if to the actual knowledge of Owner its use is subject to patent rights or
copyrights calling for the payment of any license fee or royalty to others, the
existence of such rights shall be disclosed by Owner in the Contract Documents.
00700 General Conditions 00700— 19
DOCUMENT 00700 — GENERAL CONDITIONS — DESIGN -BUILD CONTRACT: (continued)
B. Contractor shall indemnify and hold harmless Owner and anyone directly or
indirectly employed by either of them from and against all claims, damages, losses,
and expenses (including attorneys' fees and court and arbitration costs) arising out of
any infringement of patent rights or copyrights incident to the use in the performance
of the Work or resulting from the incorporation in the Work of any invention, design,
process, product, or device not specified in the Contract Documents, and shall defend
all such claims in connection with any alleged infringement of such rights.
6.07 PERMITS:
A. Unless otherwise provided in the Contract Documents, Contractor shall obtain and
pay for all construction permits and licenses. Owner shall assist Contractor, when
necessary, in obtaining such permits and licenses. Contractor shall pay all
governmental charges and inspection fees necessary for the prosecution of the Work,
which are applicable at the time of opening of Bids. Fees for permits issued by the
City will be waived and the Permits issued by the City necessary for the work are
required. Contractor shall pay all charges of utility owners for connections to the
Work, and Owner shall pay all charges of such utility owners for capital costs related
thereto such as plant investment fees.
6.08 LAWS AND REGULATIONS:
A. Contractor shall give all notices and comply with all Laws and Regulations
applicable to furnishing and performance of the Work. Except where otherwise
expressly required by applicable Laws and Regulations, Owner shall not be
responsible for monitoring Contractor's compliance with any Laws or Regulations.
B. If Contractor or subcontractor observes that the Specifications or Drawings are at
variance with any Laws or Regulations, Contractor shall Owner prompt written
notice thereof, and any necessary changes will be authorized by one of the methods
indicated in Paragraph 3.02. If Contractor performs any Work knowing that it is
contrary to such Laws or Regulations, and without such notice to Owner, Contractor
shall bear all costs arising therefrom.
6.09 TAXES:
A. Contractor shall pay all sales, consumer, use, and other similar taxes required to be
paid or withheld by Contractor in accordance with the Laws and Regulations of the
place of the Project which are applicable during the performance of the Work.
6.10 USE OF PREMISES:
A. Contractor shall confine construction equipment, the storage of Equipment and
Materials, and the operations of workers to the Project Site and land and areas
identified in and permitted by the Contract Documents and other land and areas
permitted by Laws and Regulations, rights -of -way, permits, and easements, and shall
not unreasonably encumber the premises with construction equipment or other
equipment and materials. Contractor shall assume full responsibility for any damage
to any such land or area, or to the owner or occupant thereof or of any land or areas
contiguous thereto, resulting from the performance of the Work. Should any claim
be made against Owner by any such owner or occupant because of the performance
of the Work, Contractor shall promptly attempt to settle with such other party by
agreement or otherwise resolve the claim by arbitration or at Law. Contractor shall,
00700 General Conditions 00700- 20
DOCUMENT 00700 — GENERAL CONDITIONS — DESIGN -BUILD CONTRACT: (continued)
to the fullest extent permitted by Laws and Regulations, indemnify and hold Owner
harmless from and against all claims, damages, losses, and expenses (including, but
not limited to, fees of engineers, architects, attorneys and other professionals, and
court and arbitration costs) arising out of any action, legal or equitable, brought by
any such other party against Owner to the extent based on a claim arising out of
Contractor's negligent performance of the Work.
B. During the progress of the Work, Contractor shall keep the premises free from
accumulations of waste materials, rubbish, and other debris resulting from the
Work. At the completion of the Work, Contractor shall remove all waste materials,
rubbish, and debris from and about the premises as well as all tools, appliances,
construction equipment and machinery, and surplus materials, and shall leave the Site
clean and ready for occupancy by Owner. Contractor shall restore to original
condition all property not designated for alteration by the Contract Documents.
C. Contractor shall not load nor permit any part of any structure to be loaded in any
manner that will endanger the structure, nor shall Contractor subject any part of the
Work or adjacent property to stresses or pressures that will endanger it.
6.11 RECORD DOCUMENTS:
A. Contractor shall maintain in a safe place at the Site one record copy of all Drawings,
Specifications, Addenda, Written Amendments, Change Orders, Work Change
Directives, Field Test Records, Field Orders, and written interpretations and
clarifications (issued pursuant to Paragraph 9.04) in good order and annotated to
show all changes made during construction. These record documents together with
all approved Samples and a counterpart of all approved Submittals shall be available
to Owner for reference. Upon completion of the Work, these record documents and
Submittals shall be delivered to Owner.
B. Receipt and acceptance of record documents will be a prerequisite for final payment
on the Contract.
6.12 SAFETY AND PROTECTION:
A. Contractor shall be responsible for initiating, maintaining, and supervising all safety
precautions and programs in connection with the Work. Contractor shall take all
necessary precautions for the safety of, and shall provide the necessary protection to
prevent damage, injury, or loss to:
1. All employees on the Work and other persons and organizations who may be
affected thereby;
2. All the Work and Materials and Equipment to be incorporated therein,
whether in storage on or off the Site; and
3. Other property at the Site or adjacent thereto, including trees shrubs, lawns,
walks, pavements, roadways, structures, utilities and Underground Facilities
not designated for removal, relocation, or replacement in the course of
construction.
B. Contractor shall comply with all applicable Laws and Regulations of any public body
having jurisdiction for the safety of persons or property or to protect them from
damage, injury, or loss; and shall erect and maintain all necessary safeguards for such
safety and protection. Contractor shall notify owners of adjacent property and of
Underground Facilities and utility owners when prosecution of the Work may affect
00700 General Conditions 00700- 21
DOCUMENT 00700 — GENERAL CONDITIONS — DESIGN -BUILD CONTRACT: (continued)
them, and shall cooperate with them in the protection, removal, relocation, and
replacement of their property. All damage, injury or loss to any property referred to
in Paragraph 6.12A.2 or 6.12A.3 caused, directly or indirectly, in whole or in part, by
Contractor, any Subcontractor, Supplier, or any other person or organization directly
or indirectly employed by any of them to perform or furnish any of the Work or
anyone for whose acts any of them may be liable, shall be remedied by Contractor
(except damage or loss attributable to the fault of Drawings or Specifications or to
the acts or omissions of Owner or anyone employed by either of them or anyone for
whose acts either of them may be liable, and not attributable, directly or indirectly, in
whole or in part, to the fault or negligence of Contractor). Contractor's duties and
responsibilities for the safety and protection of the Work shall continue until such
time as all the Work is completed and Owner has accepted the Work (except as
otherwise expressly provided in connection with Substantial Completion).
C. Contractor shall designate a responsible representative at the Site whose duty shall be
the prevention of accidents. This person shall be Contractor's superintendent unless
otherwise designated in writing by Contractor to Owner.
6.13 EMERGENCIES:
A. In emergencies affecting the safety or protection of persons or the Work or property
at the Site or adjacent thereto, Contractor, without special instruction or authorization
from Owner, is obligated to act to prevent threatened damage, injury, or
loss. Contractor shall give Owner prompt written notice if Contractor believes that
any significant changes in the Work or variations from the Contract Documents have
been caused thereby. If Owner and Contractor determine that a change in the
Contract Documents is required because of the action taken in response to an
emergency, a Change Order will be issued to document the consequences of the
changes or variations.
6.14 SUBMITTALS:
A. After checking and verifying all field measurements and after complying with
applicable procedures specified in the General Requirements, Contractor shall submit
to provide to Owner copies of Submittals which will bear the required information
that Contractor has satisfied Contractor's responsibilities under the Contract
Documents. All submissions will be identified as Owner may require. The data
shown on Submittals will be complete with respect to quantities, dimensions,
specified performance and design criteria, materials, and similar data to enable
Owner to review the information at Owner's discretion.
B. Before submission of each Submittal, Contractor shall have determined and verified
all quantities, dimensions, specified performance criteria, installation requirements,
materials, catalog numbers, and similar data with respect thereto and reviewed or
coordinated each Submittal with other Submittals and with the requirements of the
Work and the Contract Documents.
C. At the time of each submission, Contractor shall give Owner specific written notice
of each variation that the Submittal may have from the requirements of the Contract
Documents, and in addition, shall cause a specific notation to be made on each
Submittal submitted to Owner for review and approval of each such variation.
D. Owner may review Submittals but is not required to approve such Submittals.
00700 General Conditions 00700— 22
DOCUMENT 00700 — GENERAL CONDITIONS — DESIGN -BUILD CONTRACT: (continued)
E. Owner's review of Submittals shall not relieve Contractor from responsibility for any
variation from the requirements of the Contract Documents. Contractor shall in
writing call Owner's attention to each and every variation at the time of submission.
6.15 CONTINUING THE WORK:
A. Contractor shall carry on the Work and adhere to the progress schedule during all
disputes or disagreements with Owner. No Work shall be delayed or postponed
pending resolution of any disputes or disagreements, except as permitted by
Paragraph 14.03 or as Contractor and Owner may otherwise agree in writing.
6.16 INDEMNIFICATION:
A. To the fullest extent permitted by Laws and Regulations, Contractor shall indemnify
and hold harmless Owner, and the officers, directors, partners, employees, of Owner
and any of them from and against all claims, damages, losses and expenses,
(including but not limited to fees and charges of engineers, architects, attorneys and
other professionals, and court and arbitration costs) to the extent arising out of or
resulting from the performance of the Work, provided that any such claim, damage,
loss, or expense:
1. Is attributable to bodily injury, sickness, disease or death, or to injury to or
destruction of tangible property (other than the Work itself) including the
loss of use resulting therefrom, and
2. Is caused in whole or in part by any negligent act or omission of Contractor,
any Subcontractor, any person, or organization directly or indirectly
employed by any of them to perform or furnish any of the Work or anyone
for whose acts any of them may be liable, regardless of whether or not it is
caused in part by a party indemnified hereunder or arises by or is imposed by
Laws and Regulations regardless of the negligence of any such
party. Contractor's indemnification obligation is limited to Contractor's
proportionate share of liability to the extent caused by the Contractor's
negligent acts or omissions.
B. In any and all claims against Owner or any of its consultants, agents, or employees by
any employee of Contractor, any Subcontractor, any person, or organization directly
or indirectly employed by any of them to perform or furnish any of the Work or
anyone for whose acts any of them may be liable, the indemnification obligation
under Paragraph 6.16A shall not be limited in any way by any limitation on the
amount or type of damages, compensation, or benefits payable by or for Contractor
or any such Subcontractor or other person or organization under workers' or
workmen's compensation acts, disability benefit acts, or other employee benefit acts.
C. If necessary for enforcement of any indemnification and hold harmless requirement
herein, or if applicable law requires the Contractor to obtain specified limits of
insurance to insure any indemnity obligation; then Contractor shall obtain such
applicable coverage with limits not less than any specified in Paragraph 5.02B herein,
the cost to be recovered and included in the Contract Price, and any indemnity
attributable to the negligence of any indemnified party shall be limited to such
insurance.
00700 General Conditions 00700- 23
DOCUMENT 00700 — GENERAL CONDITIONS — DESIGN -BUILD CONTRACT: (continued)
ARTICLE 7 - OTHER WORK
7.01 RELATED WORK AT SITE:
A. Owner may perform other work related to the Project at the Site by Owner's own
forces, have other work performed by utility owners, or let other direct contracts
therefor which shall contain General Conditions similar to these. If the fact that such
other work is to be performed was not noted in the Contract Documents, written
notice thereof will be given to Contractor prior to starting any such other work; and,
if Contractor believes that such performance will involve additional expense to
Contractor or requires additional time and the parties are unable to agree as to the
extent thereof, Contractor may make a claim therefor as provided in Articles 11 and
12.
B. Contractor shall afford each utility owner and other contractor who is a party to such
a direct contract (or Owner, if Owner is performing the additional work with Owner's
employees) proper and safe access to the Site and a reasonable opportunity for the
introduction and storage of materials and equipment and the execution of such work,
and shall properly connect and coordinate the Work with theirs; Contractor shall do
all cutting, fitting, and patching of the Work that may be required to make its several
parts come together properly and integrate with such other work. Contractor shall
not endanger any work of others by cutting, excavating, or otherwise altering their
work and will only cut or alter their work with the written consent of Owner and the
others whose work will be affected.
C. If any part of Contractor's Work depends for proper execution or results upon the
work of any such other contractor or utility owner or Owner, Contractor shall inspect
and promptly report to Owner in writing any delays, defects, or deficiencies in such
work that render it unavailable or unsuitable for such proper execution and
results. Contractor's failure so to report will constitute an acceptance of the other
work as fit and proper for integration with Contractor's Work except for latent or
nonapparent defects and deficiencies in the other work.
7.02 COORDINATION:
A. If Owner contracts with others for the performance of other work on the Project at the
Site, the person or organization who will have authority and responsibility for
coordination of the activities among the various prime contractors will be identified
in the General Requirements, and the specific matters to be covered by such authority
and responsibility will be itemized, and the extent of such authority and
responsibilities will be provided.
ARTICLE 8 - OWNER'S RESPONSIBILITIES
8.01 COMMUNICATIONS:
Owner shall issue all communications to Contractor in accordance with the Contract.
8.02 REQUIRED DATA:
Owner shall furnish the data required of Owner under the Contract Documents
promptly and shall make payments to Contractor promptly after they are due as
provided in Paragraphs 13.04A and 13.09A.
00700 General Conditions 00700— 24
DOCUMENT 00700 — GENERAL CONDITIONS — DESIGN -BUILD CONTRACT: (continued)
8.03 LANDS AND EASEMENTS:
Owner's duties in respect of providing lands and easements and providing
engineering surveys to establish reference points are set forth in Paragraphs 4.01 and
4.04.
8.04 INSURANCE:
Owner's responsibilities in respect of purchasing and maintaining insurance are set
forth in Paragraph 5.02.
8.05 CHANGE ORDERS:
Owner is obligated to execute Change Orders as indicated in Paragraph 9.01.
8.06 INSPECTIONS AND TESTS:
Owner's responsibility in respect of certain inspections, tests and approvals is set
forth in Paragraph 12.03B.
8.07 STOPPING THE WORK:
In connection with Owner's right to stop Work or suspend Work, see
Paragraphs 12.06 and 14.02. Paragraph 14.02A deals with Owner's right to
terminate services of Contractor under certain circumstances.
8.08 LIMITATIONS ON OWNER'S RESPONSIBILITIES:
Owner shall not supervise, direct, or have control or authority over, nor be
responsible for, Contractor's means, methods, techniques, sequences, or procedures
of construction, or the safety precautions and programs incident thereto, or for any
failure of Contractor to comply with Laws and Regulations applicable to the
performance of the Work. Owner will not be responsible for Contractor's failure to
perform the Work in accordance with the Contract Documents.
ARTICLE 9 - CHANGES IN THE WORK
9.01 GENERAL:
A. Without invalidating the Agreement and without notice to any surety, Owner may, at
any time or from time to time, order additions, deletions, or revisions in the
Work; these will be authorized by a Written Amendment, a Change Order, or a Work
Change Directive. Upon receipt of any such document, Contractor shall promptly
proceed with the Work involved which shall be performed under the applicable
conditions of the Contract Documents (except as otherwise specifically provided).
1. There shall be no changes without prior written approval of the the City's
designated Professional Engineer.
B. If Owner and Contractor are unable to agree as to the extent, if any, of an increase or
decrease in the Contract Price or an extension or a shortening of the Contract Times
that should be allowed as a result of a Work Change Directive, a claim may be made
therefore as provided in Article 11 or 12.
00700 General Conditions 00700— 25
DOCUMENT 00700 — GENERAL CONDITIONS — DESIGN -BUILD CONTRACT: (continued)
C. Contractor shall not be entitled to an increase in the Contract Price or an extension of
the Contract Times with respect to any Work performed that is not required by the
Contract Documents as amended, modified, and supplemented as provided in
Paragraphs 3.02A and 3.02C, except in the case of an emergency as provided in
Paragraph 6.13 and except in the case of uncovering Work as provided in
Paragraph 13.05B.
D. Owner and Contractor shall execute appropriate Change Orders (or Written
Amendments) covering:
1. Changes in the Work which are ordered by Owner pursuant to
Paragraph 9.01A, are required because of acceptance of defective Work
under Paragraph 12.09 or correcting defective Work under Paragraph 12.10,
or are agreed to by the parties; and
2. Changes in the Contract Price or Contract Times which are agreed to by the
parties.
E. If notice of any change affecting the general scope of the Work or the provisions of
the Contract Documents (including, but not limited to, Contract Price or Contract
Times) is required by the provisions of any Bond to be given to a surety, the giving
of any such notice will be Contractor's responsibility, and the amount of each
applicable Bond will be adjusted accordingly.
ARTICLE 10 - CHANGE OF CONTRACT PRICE
10.01 GENERAL:
A. The Contract Price constitutes the total compensation (subject to authorized
adjustments) payable to Contractor for performing the Work. All duties,
responsibilities, and obligations assigned to or undertaken by Contractor shall be at
the Contractor's expense without change in the Contract Price.
B. The Contract Price may only be changed by a Change Order or a Written
Amendment. Any claim for an increase or decrease in the Contract Price shall be
based on written notice delivered by the parry making the claim to the other party
promptly (but in no event later than 30 days) after the occurrence of the event giving
rise to the claim and stating the general nature of the claim. Notice of the amount of
the claim with supporting data shall be delivered within 60 days after such
occurrence (unless Owner allows an additional period of time to ascertain more
accurate data in support of the claim) and shall be accompanied by claimant's written
statement that the amount claimed covers all known amounts to which the claimant is
entitled as a result of the occurrence of said event. No claim for an adjustment in the
Contract Price will be valid if not submitted in accordance with this
Paragraph 10.01B.
C. The value of any Work covered by a Change Order or of any claim for an increase or
decrease in the Contract Price shall be determined in one of the following ways:
1. Where the Work involved is covered by Unit Prices contained in the Contract
Documents, by application of Unit Prices to the quantities of the items
involved (subject to the provisions of Paragraphs 9.05A through 9.05C,
inclusive).
2. By mutual acceptance of a lump sum (which may include an allowance for
overhead and profit not necessarily in accordance with Paragraph 9.03A.2.a.
00700 General Conditions 00700- 26
DOCUMENT 00700 — GENERAL CONDITIONS — DESIGN -BUILD CONTRACT: (continued)
On the basis of the Cost of the Work (determined as provided in
Paragraphs 9.02A and 9.0213) plus a Contractor's Fee for overhead and profit
(determined as provided in Paragraphs 9.03A and 9.03B).
10.02 COST OF THE WORK:
A. The term Cost of the Work means the sum of all costs necessarily incurred and paid
by Contractor in the proper performance of the Work. Except as otherwise may be
agreed to in writing by Owner, such costs shall be in amounts no higher than those
prevailing in the locality of the Project, shall include only the following items and
shall not include any of the costs itemized in Paragraph 10.02B.
1. Payroll costs for employees in the direct employ of Contractor in the
performance of the Work under schedules of job classifications agreed upon
by Owner and Contractor. Payroll costs for employees not employed full
time on the Work shall be apportioned on the basis of their time spent on the
Work. Payroll costs shall include, but not be limited to, salaries and wages
plus the cost of fringe benefits which shall include social security
contributions, unemployment, excise and payroll taxes, workers' or
workmen's compensation, health and retirement benefits, bonuses, sick
leave, vacation, and holiday pay applicable thereto. Such employees shall
include superintendents and foremen at the Site. The expenses of performing
Work after regular working hours, on Saturday, Sunday, or legal holidays,
shall be included in the above to the extent authorized by Owner.
2. Cost of all Equipment and Materials furnished and incorporated in the Work,
including costs of transportation and storage thereof, and Suppliers' field
services required in connection therewith. All cash discounts shall accrue to
Contractor unless Owner deposits funds with Contractor with which to make
payments, in which case the cash discounts shall accrue to Owner. All trade
discounts, rebates and refunds, and all returns from sale of surplus materials
and equipment shall accrue to Owner, and Contractor shall make provisions
so that they may be obtained.
3. Payments made by Contractor to the Subcontractors for Work performed by
Subcontractors. If required by Owner, Contractor shall obtain competitive
bids from Subcontractors acceptable to Contractor and shall deliver such bids
to Owner who will then determine which bids will be accepted. If a
subcontract provides that the Subcontractor is to be paid on the basis of Cost
of the Work Plus a Fee, the Subcontractor's Cost of the Work shall be
determined in the same manner as Contractor's Cost of the Work. All
subcontracts shall be subject to the other provisions of the Contract
Documents insofar as applicable.
4. Costs of special consultants (including but not limited to engineers,
architects, testing laboratories, surveyors, attorneys, and accountants)
employed for services specifically related to the Work.
5. Supplemental costs including the following:
a. The proportion of necessary transportation, travel, and subsistence
expenses of Contractor's employees incurred in discharge of duties
connected with the Work.
b. Costs, including transportation and maintenance, of all materials,
supplies, equipment, machinery, appliances, office and temporary
facilities at the Site, and hand tools not owned by the workers, which are
00700 General Conditions 00700- 27
DOCUMENT 00700 — GENERAL CONDITIONS — DESIGN -BUILD CONTRACT: (continued)
consumed in the performance of the Work, and cost less market value of
such items used but not consumed which remain the property of
Contractor.
c. Rentals of all construction equipment and machinery and the parts
thereof whether rented from Contractor or others in accordance with
rental agreements approved by Owner, and the costs of transportation,
loading, unloading, installation, dismantling, and removal thereof - all in
accordance with terms of said rental agreements. The rental of any such
equipment, machinery, or parts shall cease when the use thereof is no
longer necessary for the Work.
d. Sales, consumer, use, or similar taxes related to the Work, and for which
Contractor is liable, imposed by Laws and Regulations.
e. Deposits lost for causes other than negligence of Contractor, any
Subcontractor, or anyone directly or indirectly employed by any of them
or for whose acts any of them may be liable, and royalty payments and
fees for permits and licenses.
£ Losses and damages not compensated by insurance or otherwise, to the
Work or otherwise sustained by Contractor in connection with the
performance and furnishing of the Work provided they have resulted
from causes other than the negligence of Contractor, any Subcontractor,
or anyone directly or indirectly employed by any of them or for whose
acts any of them may be liable; shall include settlements made with the
written consent and approval of Owner. No such losses, damages, and
expenses shall be included in the cost of the Work for the purpose of
determining Contractor's fee. If, however, any such loss or damage
requires reconstruction and Contractor is placed in charge thereof,
Contractor shall be paid for services a fee proportionate to that stated in
Paragraph 10.03A.2.
g. The cost of utilities, fuel, and sanitary facilities at the Site.
h. Minor expenses such as telegrams, long distance telephone calls,
telephone service at the Site, expressage, and similar petty cash items in
connection with the Work.
i. Cost of premiums for additional Bonds and insurance required because
of changes in the Work and premiums for property insurance coverage
within the limits of the deductible amounts established by Owner in
accordance with Paragraph 5.02D.4.
B. The term Cost of the Work shall not include any of the following:
1. Payroll costs and other compensation of Contractor's officers, executives,
principals (of partnerships and sole proprietorships), general managers,
engineers, architects, estimators, attorneys, auditors, accountants, purchasing
and contracting agents, expediters, timekeepers, clerks, and other personnel
employed by Contractor whether at the Site or in Contractor's principal or a
branch office for general administration of the Work and not specifically
included in the agreed upon schedule of job classifications referred to in
Paragraph 10.02A.I or specifically covered by Paragraph 10.02A.4, all of
which are to be considered administrative costs covered by the Contractor's
fee.
2. Expenses of Contractor's principal and branch offices other than Contractor's
office at the Site.
00700 General Conditions 00700— 28
DOCUMENT 00700 — GENERAL CONDITIONS — DESIGN -BUILD CONTRACT: (continued)
3. Any part of Contractor's capital expenses, including interest on Contractor's
capital employed for the Work, and charges against Contractor for delinquent
payments.
4. Cost of premiums for all Bonds and for all insurance whether or not
Contractor is required by the Contract Documents to purchase and maintain
the same (except for the cost of premiums covered by
subparagraph 10.02A.5.i above).
5. Costs due to the negligence of Contractor, any Subcontractor, or anyone
directly or indirectly employed by any of them or for whose acts any of them
may be liable, including but not limited to, the correction of defective Work,
disposal of materials or equipment wrongly supplied, and making good any
damage to property.
6. Other overhead or general expense costs of any kind and the costs of any
item not specifically and expressly included in Paragraph 10.02A.
10.03 CONTRACTOR'S FEE:
A. The Contractor's Fee allowed to Contractor for overhead and profit shall be
determined as follows:
1. A mutually acceptable fixed fee; or if none can be agreed upon,
2. A fee based on the following percentages of the various portions of the Cost
of the Work:
a. For costs incurred under Paragraphs 10.02A.1 and 10.02A.2, the
Contractor's Fee shall be 10%(negotiable with Owner);
b. For costs incurred under Paragraph 10.02A.3, the Contractor's Fee shall
be 5%; and if a subcontract is on the basis of Cost of the Work Plus a
Fee, the maximum allowable to Contractor on account of overhead and
profit of all Subcontractors shall be 10%(negotiable with Owner);
c. Where one or more tiers of subcontracts are on the basis of the Cost of
the Work Plus a Fee and no fixed fee is agreed upon, the intent of
Paragraphs 10.03A and 10.02A.1 through A.3 is that the Subcontractor
who actually performs or furnishes the Work, at whatever tier, will be
paid a fee of ten percent (10%) of the costs incurred by such
Subcontractor under Paragraphs 10.02A.1 and 10.02A.2 and that any
higher tier Subcontractor and Contractor will each be paid a fee of five
percent (5%) of the amount paid to the next lower tier Subcontractor.
d. No fee shall be payable on the basis of costs itemized under
Paragraph 10.02A.4, 10.02A.5 and 10.02B;
e. The amount of credit to be allowed by Contractor to Owner for any such
change which results in a net decrease in cost will be the amount of the
actual net decrease plus a deduction in Contractor's Fee by an amount
equal to 10% of the net decrease; and
f. When both additions and credits are involved in any one change, the
adjustment in Contractor's Fee shall be computed on the basis of the net
change in accordance with Paragraphs 10.03A.2.a through 10.03A.2.d,
inclusive.
B. Whenever the cost of any Work is to be determined pursuant to Paragraph 10.02A or
10.02B, Contractor will submit in form acceptable to Owner an itemized cost
breakdown together with supporting data.
00700 General Conditions 00700— 29
DOCUMENT 00700 — GENERAL CONDITIONS — DESIGN -BUILD CONTRACT: (continued)
10.04 CASH ALLOWANCES:
Not applicable.
10.05 UNIT PRICE WORK:
A. Where the Contract Documents provide that all or part of the Work is to be Unit
Price Work, initially the Contract Price will be deemed to include for all Unit Price
Work an amount equal to the sum of the established Unit Prices for each separately
identified item of Unit Price Work times the estimated quantity of each item as
indicated in the Agreement. The estimated quantities of items of Unit Price Work are
not guaranteed and are solely for the purpose of comparison of Bids and determining
an initial Contract Price. Determinations of the actual quantities and classifications
of Unit Price Work performed by Contractor will be made by Contractor with
approval by Owner.
B. Each Unit Price will be deemed to include an amount considered by Contractor to be
adequate to cover Contractor's overhead and profit for each separately identified
item.
C. Where the quantity of any item of Unit Price Work performed by Contractor exceeds
the estimated quantity of such item indicated in the Agreement by twenty-five
percent or more and there is no corresponding adjustment with respect to any other
item of Work and if Contractor believes that Contractor has incurred additional
expense as a result thereof, Contractor may make a claim for an increase in the
Contract Price in accordance with Article 10 if the parties are unable to agree as to
the amount of any such increase.
10.06 RIGHT OF AUDIT:
A. Owner shall have the right to inspect and audit all of Contractor's books, records,
correspondence, instructions, drawings, receipts, payment records, vouchers, and
memoranda relating to the Work, and Contractor shall preserve all such records and
supporting documentation for a period of three years after date of Final Payment.
Contractor hereby grants to Owner the authority to enter Contractor's premises for
the purpose of inspection of such records and supporting documentation or, at
Contractor's option, Contractor may make such records and supporting
documentation available to Owner at a location satisfactory to Owner.
B. All of the records and supporting documentation shall be open to inspection and
subject to audit and reproduction by Owner or its authorized representative for any
and all purposes, including but not limited to (i) compliance with the Contract
Documents; (ii) proper pricing of Change Orders; and (iii) claims submitted by or
against Contractor or any Subcontractor or Supplier in connection with any
performance under the Contract Documents.
ARTICLE 11- CHANGE OF CONTRACT TIMES
11.01 GENERAL:
A. The Contract Times may only be changed by a Change Order or a Written
Amendment. Contractor, in undertaking to complete the Work within the Contract
Times, shall take into consideration and make allowances for all of the ordinary
00700 General Conditions 00700- 30
DOCUMENT 00700 — GENERAL CONDITIONS — DESIGN -BUILD CONTRACT: (continued)
delays and hindrances incident to such Work, whether growing out of delays in
securing equipment or materials or workmen or otherwise.
B. Adjustments to the Contract Times will be made for delays in completion of the
Work from causes beyond Contractor's control, including the following:
1. Federal embargoes, priority orders, or other restrictions imposed by the
United States Government.
2. Unusual delay in fabrication or shipment of Equipment or Materials required
in the Work, whether ordered by Contractor or furnished by Owner or others
under separate contract.
3. Strikes and other labor disputes.
4. Delays caused by court proceedings.
5. Change Orders.
6. Neglect, delay, or default of any other contractor employed by Owner.
7. Unusual construction delays resulting from weather conditions abnormal to
the geographical area and to the season of the year such as above normal
continuous days of precipitation, above normal amount of precipitation
within a 24 hour period, or above normal days of extreme cold or hot
temperature conditions affecting installation / application due to
manufacturers or specifications limitations. These conditions will not be
cause for extensions of time if abnormal weather conditions do not affect the
stage of construction. All claims for extension of time due to abnormal
weather conditions must be substantiated with evidence from a weather
bureau or other authoritative source. Weather conditions normal to the
geographical area and to the season of the year shall be taken into
consideration in the Bid. Normal conditions shall be defined as the average
number of days, amounts, or both over a 5-year period averaged per season.
8. Conflicts, errors or discrepancies in the Contract Documents reported to
Owner as provided in these General Conditions.
9. Any failure or delay by Contractor in supplying equipment, materials, work,
or services that are Year 2000 compliant or failure or delay by Contractor's
Subcontractors or Suppliers in providing equipment, materials, work, or
services as a result of Subcontractors' or Suppliers' lack of Year 2000
compliance in their own operations, systems, or processes used to provide or
deliver equipment, material, work, or services shall not be considered to be
caused by events beyond Contractor's control. Such Year 2000 compliance
problems shall not constitute a basis for delay in completion of the Work,
adjustment to the Contract Times, or an excuse for Contract nonperformance.
C. Owner shall award extensions of the Contract Times on account of such causes of
delay, provided that adequate evidence is presented to enable Owner to determine
with exactness the extent and duration of delay for each item involved.
D. No extension to the Contract Times will be granted for delays involving only portions
of the Work, or which do not directly affect the time required for completion of the
entire Work.
E. Any claim for an extension to the Contract Times shall be delivered in writing to
Owner within ten days of the occurrence of the event giving rise to the claim. All
claims for adjustment to the Contract Times will be determined by mutual agreement
of Owner and Contractor. Any change to the Contract Times resulting from any such
claim will be incorporated in a Change Order or a Written Amendment.
00700 General Conditions 00700— 31
DOCUMENT 00700 — GENERAL CONDITIONS — DESIGN -BUILD CONTRACT: (continued)
F. All time limits stated in the Contract Documents are of the essence of the
Agreement. The provisions of this Article 11 shall not exclude recovery for damages
(including but not limited to fees and charges of engineers, architects, attorneys and
other professionals, and court and arbitration costs) for delay by either party.
ARTICLE 12 - WARRANTY AND GUARANTEE; TESTS AND INSPECTIONS;
CORRECTION, REMOVAL, OR ACCEPTANCE OF DEFECTIVE
WORK
13.01 WARRANTY AND GUARANTEE:
A. Contractor warrants and guarantees to Owner that all Work will be in accordance
with the Contract Documents and will not be defective. Prompt notice of all defects
shall be given to Contractor. All defective Work, whether or not in place, may be
rejected, corrected or accepted as provided in this Article 12.
B. No provision in the Contract Documents nor any specified guarantee time limit shall
be held to limit Contractor's liability for defects to less than the legal limit of liability
in accordance with the Law.
C. All Equipment and Materials furnished by Contractor for the Work shall carry a
written guarantee from the manufacturer or Supplier of such items when called for in
the Specifications. Written guarantees shall be submitted to Owner with other
Submittals for review.
12.02 ACCESS TO THE WORK:
A. Owner and Owner's representatives, testing agencies, and governmental agencies
with jurisdictional interests will have access to the Work at reasonable times for their
observation, inspecting, and testing. Contractor shall provide proper and safe
conditions for such access.
12.03 TESTS AND INSPECTIONS:
A. Contractor shall give Owner timely notice of readiness of the Work for all required
inspections, tests, or approvals and shall cooperate with inspection and testing
personnel.
B. Owner shall employ and pay for the services of an independent testing laboratory to
perform all inspections, tests, or approvals required by the Contract Documents
except:
1. for inspections, tests, or approvals covered by Paragraphs 12.03C and
12.03D below;
2. that costs incurred in connections with tests or inspections conducted
pursuant to Paragraph 12.05B shall be paid as provided in said
Paragraph 12.0513; and
3. as otherwise specifically provided in the Contract Documents.
C. If Laws or Regulations of any public body having jurisdiction require any Work (or
part thereof) to specifically be inspected, tested, or approved, Contractor shall assume
full responsibility therefor, pay all costs in connection therewith, and furnish Owner
the required certificates of inspection, testing, or approval.
D. Contractor shall also be responsible for and shall pay all costs in connection with any
inspection or testing required in connection with Owner's acceptance of a Supplier of
00700 General Conditions 00700— 32
DOCUMENT 00700 — GENERAL CONDITIONS — DESIGN -BUILD CONTRACT: (continued)
Materials or Equipment proposed to be incorporated in the Work, or of Materials or
Equipment submitted for approval prior to Contractor's purchase thereof for
incorporation in the Work.
E. All inspections, tests, or approvals other than those required by Laws or Regulations
of any public body having jurisdiction shall be performed by organizations
acceptable to Owner and Contractor).
F. If any Work (including the work of others) that is to be inspected, tested, or approved
is covered it must, if requested by Owner, be uncovered for observation. Such
uncovering shall be at Contractor's expense unless Contractor has given Owner
timely notice of Contractor's intention to cover the same and Owner has not acted
with reasonable promptness in response to such notice.
G. Neither observations by Owner nor inspections, tests, or approvals by others shall
relieve Contractor from Contractor's obligations to perform the Work in accordance
with the Contract Documents.
12.04 DEFECTIVE WORK:
A. The term "defective" is used in these documents to describe Work that is
unsatisfactory, faulty, not in conformance with the requirements of the Contract
Documents, or not meeting the requirements of any inspection, test, approval, or
acceptance required by Law or the Contract Documents.
B. Any defective Work may be disapproved or rejected by Owner at any time before
final acceptance even though it may have been overlooked and included in a previous
Application for Payment.
C. Prompt notice will be given by Owner to Contractor of defects as they become
evident.
12.05 UNCOVERING WORK:
A. If any Work is covered contrary to the written request of Owner, it shall, if requested
by Owner, be uncovered for Owner's observation and replaced at Contractor's
expense.
B. If Owner considers it necessary or advisable that covered Work be observed by
Owner or inspected or tested by others, Contractor, at Owner's request, shall
uncover, expose, or otherwise make available for observation, inspection, or testing
as Owner may require, that portion of the Work in question, furnishing all necessary
labor, material, and equipment. If it is found that such Work is defective, Contractor
shall bear all costs of such uncovering, exposure, observation, inspection, and testing
and of satisfactory reconstruction, (including but not limited to fees and charges of
engineers, architects, attorneys, and other professionals); and Owner shall be entitled
to an appropriate decrease in the Contract Price, and, if the parties are unable to agree
as to the amount thereof, may make a claim therefor as provided in Article 11. If,
however, such Work is not found to be defective, Contractor shall be allowed an
increase in the Contract Price or an extension of the Contract Times, or both, directly
attributable to such uncovering, exposure, observation, inspection, testing, and
reconstruction; and, if the parties are unable to agree as to the amount or extent
thereof, Contractor may make a claim therefor as provided in Articles 10 and 11.
00700 General Conditions 00700— 33
DOCUMENT 00700 — GENERAL CONDITIONS — DESIGN -BUILD CONTRACT: (continued)
12.06 OWNER MAY STOP THE WORK:
A. If the Work is defective, or Contractor fails to supply sufficient skilled workers or
suitable materials or equipment, or fails to furnish or perform the Work in such a way
that the completed Work will conform to the Contract Documents, Owner may order
Contractor to stop the Work, or any portion thereof, until the cause for such order has
been eliminated; however, this right of Owner to stop the Work shall not give rise to
any duty on the part of Owner to exercise this right for the benefit of Contractor or
any other party.
12.07 CORRECTION OR REMOVAL OF DEFECTIVE WORK:
If required by Owner, Contractor shall promptly, as directed, either correct all
defective Work, whether or not fabricated, installed or completed, or, if the Work has
been rejected by Owner, remove it from the Site and replace it with nondefective
Work. Contractor shall bear all costs of such correction or removal (including but
not limited to fees and charges of engineers, architects, attorneys, and other
professionals) made necessary thereby.
12.08 TWO-YEAR WARRANTY AND CORRECTION PERIOD:
A. Before final acceptance of the project, the contractor shall provide a maintenance
bond in accordance with section 158.03 of the City of Fayetteville Unified
Development Code. The bond shall be in the amount of 25% of the total contract
price for a period of two years from the date of Substantial Completion. If within
two years after the Date of Substantial Completion or such longer period of time as
may be prescribed by Laws or Regulations or by the terms of any applicable special
guarantee required by the Contract Documents or by any specific provision of the
Contract Documents, any Work is found to be defective, Contractor shall promptly,
without cost to Owner and in accordance with Owner's written instructions, either
correct such defective Work, or, if it has been rejected by Owner, remove it from the
Site and replace it with nondefective Work. If Contractor does not promptly comply
with the terms of such instructions, or in an emergency where delay would cause
serious risk of loss or damage, Owner may have the defective Work corrected or the
rejected Work removed and replaced, and all costs of such removal and replacement
(including but not limited to fees and charges of engineers, architects, attorneys, and
other professionals) will be paid by Contractor. In special circumstances where a
particular item of Equipment is placed in continuous service before Substantial
Completion of all the Work, the correction period for that item may start to run from
an earlier date if so provided in the Specifications or by Written Amendment.
THERE ARE NO OTHER REMEDIES, LIABILITIES (INCLUDING
NEGLIGENCE) OR WARRANTIES, EXPRESS OR IMPLIED, INCLUDING BUT
NOT LIMITED TO ANY WARRANTIES OF MERCHANTABILITY OR
FITNESS FOR A PARTICULAR PURPOSE APPLICABLE TO THE MATERIAL
AND/OR SERVICES. Contractor's sole responsibility and Owner's exclusive
remedy hereunder, shall be limited to such repair or replacement as provided herein.
12.09 ACCEPTANCE OF DEFECTIVE WORK:
A. If, instead of requiring correction or removal and replacement of defective Work,
Owner may accept the defective Work. Contractor shall bear all costs attributable to
Owner's evaluation of and determination to accept such defective Work (such costs
00700 General Conditions 00700— 34
DOCUMENT 00700 — GENERAL CONDITIONS — DESIGN -BUILD CONTRACT: (continued)
to be approved in Owner's sole discretion as to reasonableness and to include but not
be limited to fees and charges of engineers, architects, attorneys, and other
professionals). If any such acceptance occurs prior to final payment, a Change Order
will be issued incorporating the necessary revisions in the Contract Documents with
respect to the Work; and Owner shall be entitled to an appropriate decrease in the
Contract Price, and, if the parties are unable to agree as to the amount thereof, Owner
may make a claim therefor as provided in Article 11. If the acceptance occurs after
such recommendation, an appropriate amount will be paid by Contractor to Owner.
12.10 OWNER MAY CORRECT DEFECTIVE WORK:
A. If Contractor fails within a reasonable time after written notice of Owner to proceed
to correct and to correct defective Work or to remove and replace rejected Work as
required by Owner in accordance with Paragraph 12.07, or if Contractor fails to
perform the Work in accordance with the Contract Documents, or if Contractor fails
to comply with any other provision of the Contract Documents, Owner may, after
seven days' written notice to Contractor, correct and remedy any such deficiency. In
exercising the rights and remedies under this Paragraph, Owner shall proceed
expeditiously.
B. To the extent necessary to complete corrective and remedial action, Owner may
exclude Contractor from all or part of the Site, take possession of all or part of the
Work, and suspend Contractor's services related thereto, incorporate in the Work all
Equipment and Materials stored at the Site for which Owner has paid Contractor or
which are stored elsewhere.
C. Contractor shall allow Owner, Owner's representatives, agents, and employees such
access to the Site as may be necessary to enable Owner to exercise the rights and
remedies under this Paragraph.
D. All costs of Owner in exercising such rights and remedies will be charged against
Contractor in reasonable amount and a Change Order will be issued incorporating the
necessary revisions in the Contract Documents with respect to the Work; and Owner
shall be entitled to an appropriate decrease in the Contract Price, and, if the parties
are unable to agree as to the amount thereof, Owner may make a claim therefor as
provided in Article 11. Such direct, indirect, and consequential costs will include but
not be limited to fees and charges of engineers, architects, attorneys and other
professionals, all court and arbitration costs, and all costs of repair and replacement
of work of others destroyed or damaged by correction, removal, or replacement of
Contractor's defective Work.
E. Contractor shall not be allowed an extension of the Contract Times because of any
delay in performance of the Work attributable to the exercise by Owner of Owner's
rights and remedies hereunder.
ARTICLE 13 - PAYMENTS TO CONTRACTOR AND COMPLETION
13.01 SCHEDULE OF VALUES:
The schedule of values established will serve as the basis for progress payments and
will be incorporated into a form of Application for Payment acceptable to
Owner. Progress payments on account of Unit Price Work will be based on the
number of units completed.
00700 General Conditions 00700- 35
DOCUMENT 00700 — GENERAL CONDITIONS — DESIGN -BUILD CONTRACT: (continued)
13.02 APPLICATION FOR PROGRESS PAYMENT:
A. Not later than the 15' day of each month, or on the next business day thereafter, (but
not more often than once a month), Contractor shall submit to Owner for review an
Application for Payment filled out and signed by Contractor covering the Work
completed as of the date of the Application and accompanied by such supporting
documentation as is required by the Contract Documents.
B. Beginning with the second Application for Payment, each Application shall include
an affidavit of Contractor stating that all previous progress payments received on
account of the Work have been applied on account to discharge Contractor's
legitimate obligations associated with prior Applications for Payment.
C. If payment is requested on the basis of Equipment and Materials not incorporated in
the Work but delivered and suitably stored at the Site or at another location agreed to
in writing, the Application for Payment shall also be accompanied by a bill of sale,
invoice, or other documentation warranting that Owner has received the Equipment
and Materials free and clear of all liens, charges, security interests, and encumbrances
(which are hereinafter in these General Conditions referred to as "Liens") and
evidence that the Equipment and Materials are covered by appropriate property
insurance and other arrangements to protect Owner's interest therein, all of which
will be satisfactory to Owner.
D. The amount of retainage with respect to progress payments will be as stipulated in
Paragraph 14.04G.
13.03 CONTRACTOR'S WARRANTY OF TITLE:
Contractor warrants and guarantees that title to all Work, Materials, and Equipment
covered by any Application for Payment, whether incorporated in the Project or not,
will pass to Owner no later than the time of payment free and clear of all Liens.
13.04 REVIEW OF APPLICATION FOR PROGRESS PAYMENT:
A. Owner may refuse to make the whole or any part of any payment if, in Owner's sole
discretion it is necessary to protect Owner from loss because:
1.
The Work is defective, or completed Work has been damaged requiring
correction or replacement.
2.
Written claims have been made against Owner or Liens have been filed in
connection with the Work.
3.
The Contract Price has been reduced by Written Amendment or Change
Order.
4.
Owner has been required to correct defective Work or complete Work in
accordance with Paragraph 12.10,
5.
Of Owner's actual knowledge of the occurrence of any of the events
enumerated in Paragraph 14.02B.
6.
Of Contractor's unsatisfactory prosecution of the Work in accordance with
the Contract Documents.
7.
Contractor's failure to make payment to Subcontractors, or for labor,
Materials, or Equipment, or
8.
Owner shall not approve any Application for Payment requesting more than
eighty (80) percent of the Contract amount until such time as all operation,
00700 General Conditions 00700— 36
DOCUMENT 00700 — GENERAL CONDITIONS — DESIGN -BUILD CONTRACT: (continued)
maintenance, repair, and replacement manuals, and product data has been
furnished by the Contractor to the Owner.
B. Owner may refuse to make payment of the full amount because claims have been
made against Owner on account of Contractor's performance of furnishing of the
Work, or Liens have been filed in connection with the Work, or there are other items
entitling Owner to a set-off against the amount recommended, but Owner must give
Contractor immediate written notice stating the reasons for such action.
C. When all grounds for withholding payment are removed, payment will be made in
the amounts withheld because of them.
D. Progress payments will be in the amount of 95% of the amount of the Work
completed and 100% of Equipment and Materials suitably stored and documented as
indicated on the Application for Payment less the sum of all previous payments. The
owner may forego withholding retainage of the progress payments if the construction
contract is fifty -percent (50%) complete and the contractor has provided the work in
a satisfactory manner.
13.05 SUBSTANTIAL COMPLETION:
A. When Contractor considers the entire Work ready for its intended use, Contractor
shall notify Owner in writing that the entire Work is substantially complete (except
for items specifically listed by Contractor as incomplete) and shall issue a certificate
of Substantial Completion.
B. Within a reasonable time thereafter, Contractor, and Owner shall make an inspection
of the Work to determine the status of completion. If Owner does not consider the
Work substantially complete, Owner will notify Contractor in writing giving the
reasons therefor. If Owner considers the Work substantially complete, Contractor
will prepare and deliver to Owner a tentative certificate of Substantial Completion
which will fix the Date of Substantial Completion. There shall be attached to the
certificate a tentative list of items to be completed or corrected before final payment.
C. Owner shall have seven days after receipt of the tentative certificate during which to
make written objection to Contractor as to any provisions of the certificate or
attached list.
D. Owner shall have the right to exclude Contractor from the Work after the Date of
Substantial Completion, but Owner shall allow Contractor reasonable access to
complete or correct items on the tentative list.
13.06 PARTIAL UTILIZATION:
A. Use by Owner of any finished part of the Work, which has specifically been
identified in the Contract Documents, or which Owner and Contractor agree
constitutes a separately functioning and useable part of the Work that can be used by
Owner without significant interference with Contractor's performance of the
remainder of the Work, may be accomplished prior to Substantial Completion of all
the Work subject to the following:
1. Owner at any time may request Contractor in writing to permit Owner to use
any such part of the Work which Owner believes to be ready for its intended
use and substantially complete. If Contractor agrees, Contractor will certify
to Owner that said part of the Work is substantially complete and will issue a
certificate of Substantial Completion for that part of the Work. Contractor at
00700 General Conditions 00700— 37
DOCUMENT 00700 — GENERAL CONDITIONS — DESIGN -BUILD CONTRACT: (continued)
any time may notify Owner in writing that Contractor considers any such
part of the Work ready for its intended use and substantially complete issue a
certificate of Substantial Completion for that part of the Work. Within a
reasonable time after either such request, Owner or Contractor shall make an
inspection of that part of the Work to determine its status of completion. If
Owner does not consider that part of the Work to be substantially complete,
Owner will notify Contractor in writing giving the reasons therefor. If
Owner considers that part of the Work to be substantially complete, the
provisions of Paragraph 13.05 will apply with respect to certification of
Substantial Completion of that part of the Work and the division of
responsibility in respect thereof and access thereto.
2. Owner may at any time request Contractor in writing to permit Owner to take
over operation of any such part of the Work although it is not substantially
complete. Owner and Contractor shall make an inspection of that part of the
Work to determine its status of completion and will prepare a list of the items
remaining to be completed or corrected thereon before final payment. If
Contractor does not object in writing to Owner that such part of the Work is
not ready for separate operation by Owner, Contractor will finalize the list of
items to be completed or corrected and will deliver such list to Owner
together with a written recommendation as to the division of responsibilities
pending final payment between Owner and Contractor with respect to
security, operation, safety, maintenance, utilities, insurance, warranties, and
guarantees for that part of the Work, which will become binding upon Owner
and Contractor at the time when Owner takes over such operation (unless
they shall have otherwise agreed in writing). During such operation and
prior to Substantial Completion of such part of the Work, Owner shall allow
Contractor reasonable access to complete or correct items on said list and to
complete other related Work.
3. No occupancy or separate operation of part of the Work will be
accomplished prior to compliance with the requirements of Paragraph 5.02I
in respect of property insurance.
13.07 FINAL INSPECTION:
A. Upon written notice from Contractor that the Work or an agreed portion thereof is
complete, Owner will make a final inspection with Contractor and will notify
Contractor in writing of all particulars in which this inspection reveals that the Work
is incomplete or defective. Contractor shall immediately take such measures as are
necessary to remedy such deficiencies.
13.08 FINAL APPLICATION FOR PAYMENT:
A. After Contractor has completed all such corrections to the satisfaction of Owner and
delivered all maintenance and operating instructions, schedules, guarantees, Bonds,
certificates of inspection, marked -up record documents, and other documents - all as
required by the Contract Documents, and after Owner has indicated that the Work is
acceptable (subject to the provisions of Paragraph 13.11), Contractor may make
application for final payment following the procedure for progress payments.
B. The final Application for Payment shall be accompanied by all documentation called
for in the Contract Documents, together with complete and legally effective releases
00700 General Conditions 00700— 38
DOCUMENT 00700 — GENERAL CONDITIONS — DESIGN -BUILD CONTRACT: (continued)
or waivers (satisfactory to Owner) of all Liens arising out of or filed in connection
with the Work. In lieu thereof and as approved by Owner, Contractor may furnish
receipts or releases in full; an affidavit of Contractor that the releases and receipts
include all labor, services, Material, and Equipment for which a Lien could be filed,
and that all payrolls, Equipment and Material bills, and other indebtedness connected
with the Work for which Owner or Owner's property might in any way be
responsible, have been paid or otherwise satisfied; and consent of the surety, if any,
to final payment. If any Subcontractor or Supplier fails to furnish a release or receipt
in full, Contractor may furnish a Bond or other collateral satisfactory to Owner to
indemnify Owner against any Lien.
13.09 FINAL PAYMENT AND ACCEPTANCE:
A. If, on the basis of Owner's observation of the Work during construction and final
inspection, and Owner's review of the final Application for Payment and
accompanying documentation -- all as required by the Contract Documents, Owner is
satisfied that the Work has been completed and Contractor's other obligations under
the Contract Documents have been fulfilled, Owner will, within fourteen days after
receipt of the final Application for Payment, indicate in writing Owner's
approval. Otherwise, Owner will return the Application to Contractor, indicating in
writing the reasons for refusing to recommend final payment, in which case
Contractor shall make the necessary corrections and resubmit the Application. Thirty
days after presentation to Owner of the Application and accompanying
documentation, in appropriate form and substance, the amount of the final payment
agreed upon by Owner and Contractor will become due and will be paid by Owner to
Contractor.
B. If, through no fault of Contractor, final completion of the Work is significantly
delayed and if Owner so confirms, Owner shall, upon receipt of Contractor's final
Application for Payment, and without terminating the Agreement, make payment of
the balance due for that portion of the Work fully completed and accepted. The
written consent of the surety to the payment of the balance due for that portion of the
Work fully completed and accepted shall be submitted by Contractor to Owner with
the Application for such payment. Such payment shall be made under the terms and
conditions governing final payment, except that it shall not constitute a waiver of
claims.
C. The Final Pay Estimate will include all sums remaining to be paid.
13.10 CONTRACTOR'S CONTINUING OBLIGATION:
A. Contractor's obligation to perform and complete the Work in accordance with the
Contract Documents shall be absolute. Neither the issuance of a certificate of
Substantial Completion, nor any payment by Owner to Contractor under the Contract
Documents, nor any use or occupancy of the Work or any part thereof by Owner, nor
any act of acceptance by Owner nor any failure to do so, nor any review and approval
of a Submittal, nor the issuance of a notice of acceptability by Owner pursuant to
Paragraph 13.09, nor any correction of defective Work by Owner will constitute an
acceptance of Work not in accordance with the Contract Documents or a release of
Contractor's obligation to perform the Work in accordance with the Contract
Documents (except as provided in Paragraph 13.11).
00700 General Conditions 00700— 39
DOCUMENT 00700 — GENERAL CONDITIONS — DESIGN -BUILD CONTRACT: (continued)
13.11 WAIVER OF CLAIMS: The making and acceptance of final payment will constitute:
A. A waiver of all claims by Owner against Contractor, except claims arising from
unsettled Liens, from defective work appearing after final inspection pursuant to
Paragraph 13.07, or from failure to comply with the Contract Documents or the terms
of any special guarantees specified therein; however, it will not constitute a waiver
by Owner of any rights in respect of Contractor's continuing obligations under the
Contract Documents; and
B. A waiver of all claims by Contractor against Owner other than those previously made
in writing and still unsettled.
13.12 INTEREST: NOT APPLICABLE.
ARTICLE 14 - SUSPENSION OF WORK AND TERMINATION
14.01 OWNER MAY SUSPEND WORK:
A. Owner may, at any time and without cause, suspend the Work or any portion thereof
for a period of not more than 90 days by notice in writing to Contractor, and Owner
which will fix the date on which Work will be resumed. Contractor shall resume the
Work on the date so fixed. Contractor shall be allowed an increase in the Contract
Price or an extension of the Contract Times, or both, directly attributable to any
suspension if Contractor makes an approved claim therefor as provided in Articles 10
and 11.
14.02 OWNER MAY TERMINATE:
A. Upon the occurrence of any one or more of the following events:
1.
If Contractor commences a voluntary case under any chapter of the
Bankruptcy Code (Title 11, United States Code), as now or hereafter in
effect, or if Contractor takes any equivalent or similar action by filing a
petition or otherwise under any other federal or state Law in effect at such
time relating to the bankruptcy or insolvency;
2.
If a petition is filed against Contractor under any chapter of the bankruptcy
Code as now or hereafter in effect at the time of filing, or if a petition is filed
seeking any such equivalent or similar relief against Contractor under any
other federal or state Law in effect at the time relating to bankruptcy or
insolvency;
3.
If Contractor makes a general assignment for the benefit of creditors;
4.
If a trustee, receiver, custodian, or agent of Contractor is appointed under
applicable Law or under contract, whose appointment or authority to take
charge of property of Contractor is for the purpose of enforcing a Lien
against such property or for the purpose of general administration of such
property for the benefit of Contractor's creditors;
5.
If Contractor admits in writing an inability to pay its debts generally as they
become due;
6.
If Contractor persistently fails to perform the Work in accordance with the
Contract Documents (including, but not limited to, failure to supply
sufficient skilled workers or suitable Equipment or Materials or failure to
00700 General Conditions 00700— 40
DOCUMENT 00700 — GENERAL CONDITIONS — DESIGN -BUILD CONTRACT: (continued)
adhere to the progress schedule established under Paragraph 2.07 as revised
from time to time);
7. If Contractor disregards Laws or Regulations of any public body having
jurisdiction;
8. If Contractor disregards the authority of Owner; or
9. If Contractor otherwise violates in any substantial way any provisions of the
Contract Documents;
B. Owner may, after giving Contractor (and the surety, if there be one) ten days' written
notice and to the extent permitted by Laws and Regulations, terminate the services of
Contractor, exclude Contractor from the Site and take possession of the Work
incorporate in the Work all Materials stored at the Site or for which Owner has paid
Contractor but which are stored elsewhere, and finish the Work as Owner may deem
expedient. In such case, Contractor shall not be entitled to receive any further
payment until the Work is finished. If the unpaid balance of the Contract Price
exceeds the costs of completing the Work (including but not limited to fees and
charges of engineers, architects, attorneys and other professionals, and court and
arbitration costs), such excess will be paid to Contractor. If such costs exceed such
unpaid balance, Contractor shall pay the difference to Owner. Such reasonable costs
incurred by Owner will be incorporated in a Change Order, but when exercising any
rights or remedies under this Paragraph, Owner shall not be required to obtain the
lowest price for the Work performed.
C. Where Contractor's services have been so terminated by Owner, the termination will
not affect any rights or remedies of Owner against Contractor then existing or which
may thereafter accrue. Any retention or payment of moneys due to Contractor by
Owner will not release Contractor from liability.
D. Upon ten days' written notice to Contractor, Owner may, without cause and without
prejudice to any other right or remedy, elect to abandon the Work and terminate the
Agreement. In such case, Contractor shall be paid for all Work executed and any
expense sustained plus reasonable termination expenses, which will include, but not
be limited to, costs (including, but not limited to, fees and charges of engineers,
architects, attorneys and other professionals, and court and arbitration costs).
14.03 CONTRACTOR MAY STOP WORK OR TERMINATE:
A. If, through no act or fault of Contractor, the Work is suspended for a period of more
than 90 days by Owner or under an order of court or other public authority, or Owner
fails for 30 days to pay Contractor any sum finally determined to be due, then
Contractor may, upon ten days' written notice to Owner, terminate the Agreement
and recover from Owner payment for all Work executed and any expense sustained
plus reasonable termination expenses. In addition to and in lieu of terminating the
Agreement, if Owner has failed to make any payment as aforesaid, Contractor may
upon ten days' written notice to Owner stop the Work until payment of all amounts
then due. The provisions of this Paragraph shall not relieve Contractor of the
obligations under Paragraph 6.15 to carry on the Work in accordance with the
progress schedule and without delay during disputes and disagreements with Owner.
00700 General Conditions 00700— 41
DOCUMENT 00700 — GENERAL CONDITIONS — DESIGN -BUILD CONTRACT: (continued)
ARTICLE 15 - MISCELLANEOUS
15.01 GIVING NOTICE:
A. Whenever any provision of the Contract Documents requires the giving of written
notice, it will be deemed to have been validly given if delivered in person to the
individual or to a member of the firm or to an officer of the corporation for whom it
is intended, or if delivered at or sent by registered or certified mail, postage prepaid,
to the last business address known to the giver of the notice.
15.02 COMPUTATION OF TIME:
A. When any period of time is referred to in the Contract Documents by days, it will be
computed to exclude the first and include the last day of such period. If the last day
of any such period falls on a Saturday or Sunday or on a day made a legal holiday by
the Law of the applicable jurisdiction, such day will be omitted from the
computation.
B. A calendar day of 24 hours measured from midnight to the next midnight shall
constitute a day.
15.03 CLAIMS, CUMULATIVE REMEDIES:
A. Should Owner or Contractor suffer injury or damage to person or property because of
any error, omission, or act of the other party or of any of the other party's employees
or agents or others for whose acts the other party is legally liable, claim will be made
in writing to the other party within a reasonable time of the first observance of such
injury or damage. The provisions of this Paragraph shall not be construed as a
substitute for or a waiver of the provisions of any applicable statute of limitations or
repose.
B. The duties and obligations imposed by these General Conditions and the rights and
remedies available hereunder to the parties hereto, and, in particular but without
limitation, the warranties, guarantees and obligations imposed upon Contractor by
Paragraphs 6.16A, 12.01, 12.08, 12.10, 13.03, and 14.02A and all of the rights and
remedies available to Owner and Engineer thereunder, are in addition to, and are not
to be construed in any way as a limitation of, any rights and remedies available to any
or all of them which are otherwise imposed or available by Laws or Regulations, by
special warranty or guarantee, or by other provisions of the Contract Documents, and
the provisions of this Paragraph will be as effective as if repeated specifically in the
Contract Documents in connection with each particular duty, obligation, right, and
remedy to which they apply. All representations, warranties, and guarantees made in
the Contract Documents will survive final payment and termination or completion of
the Agreement.
15.04 FREEDOM OF INFORMATION ACT:
A. City contracts and documents prepared while performing City contractual work are
subject to the Arkansas Freedom of Information Act. If a Freedom of Information
Act request is presented to the City of Fayetteville, the contactor shall 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
00700 General Conditions 00700— 42
DOCUMENT 00700 — GENERAL CONDITIONS — DESIGN -BUILD CONTRACT: (continued)
authorized photocopying costs pursuant to the FOIA may be assessed for this
compliance.
15.05 LIMITATION OF LIABILITY:
A. Notwithstanding anything herein to the contrary contained in this Contract, in
no event shall Contractor or Owner be liable for any special, indirect,
incidental, consequential, or punitive damages of any character, including but
not limited to damages claimed for loss of use of productive facilities or
equipment, lost profits, governmental fines or penalties, lost production, or
non -operation or increased expense of operation, irrespective of whether
claims or actions for such damages are based upon contract, the warranty,
tort (including negligence), strict liability or otherwise. Whether attributable
to contract, warranty, tort (including negligence), strict liability or otherwise,
Contractor's responsibility for any claims, damages, losses or liabilities
arising out of or related to its performance of this Contract, including but not
limited to any correction of defects under the warranty, shall not exceed the
greater of $3,000,000 (three million dollars) or the payable proceeds of
insurance, per the limits required to be maintained under Article 5.02 above.
END OF DOCUMENT 00700
00700 General Conditions 00700— 43
RESOLUTION NO.
A RESOLUTION TO WAIVE COMPETITIVE BIDDING AND AUTHORIZE A DESIGN -
BUILD CONTRACT WITH STRUCTURAL PRESERVATION SYSTEMS, LLC IN AN
AMOUNT NOT TO EXCEED $2,477,644.00 FOR ENGINEERING AND CONSTRUCTION
SERVICES RELATED TO EMERGENCY TRENCHLESS REPAIR OF A 48-INCH
DIAMETER SANITARY SEWER UNDER INTERSTATE 49, AND TO APPROVE A
PROJECT CONTINGENCY IN THE AMOUNT OF $375,000.00
WHEREAS, during an inspection of the 48-inch gravity sewer line that extends from Gregg
Avenue to Sunshine Road, staff determined that one area in the vicinity of Interstate 49 has
experienced damage; and
WHEREAS, staff worked with Structural Preservation Systems, LLC, a national leader in
trenchless pipe joint repairs, to develop a plan for the repairs in this location and, due to the
specialized nature of this repair technique, Staff recommends a bid waiver to allow Structural
Technologies to perform Investigation -Design -Build services for this expedited repair project.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF
FAYETTEVILLE, ARKANSAS:
Section 1: That the City Council of City of Fayetteville, Arkansas hereby determines an
exceptional situation exists in which competitive bidding is deemed not feasible or practical and
therefore waives the requirements of formal competitive bidding and authorizes Mayor Jordan to
sign a Design -Build contract between the City of Fayetteville, Arkansas and Structural
Preservation Systems, LLC. in an amount not to exceed $2,477,644.00 for engineering and
construction services related to emergency trenchless repair of a 48-inch diameter sanitary sewer
under Interstate 49, and further approves a project contingency in the amount of $375,000.00.
Approval of Change Order 2 for Structural
Preservation Systems Contract
City of Fayetteville Staff Review Form
2023-0838
Item ID ARCHIVED
N/A
City Council Meeting Date - Agenda Item Only
N/Afor Non -Agenda Item
Tim Nyander 8/4/2023 WATER SEWER(720)
Submitted By Submitted Date Division / Department
Action Recommendation:
Staff recommends approval of Change Order No. 2 to the design -build contract
Systems, LLC which will increase the contract amount by $135,850,00.
Budget Impact:
5400.720.5700-5815.00 Water/Sewer
Account Number
02017.1
Project Number
Budgeted Item? Yes
Does item have a direct cost? Yes
Is a Budget Adjustment attached? No
Fund
Sanitary Sewer Rehabilitation
Total Amended Budget
Expenses(Actual+Encum)
Available Budget
Item Cost
Budget Adjustment
Remaining Budget
Project Title
$ 7,218,253.00
$ 4,164,796.66
$ 3,053,456.34
$ 135,850.00
$ 2,917,606.34
V2022f130
Purchase Order Number: 2023-205 Previous Ordinance or Resolution N 06-23
Change Order Number. 2 Approval Date: 08/11/2023
Original Contract Number: 2023-11
Comments: Funds are available within the approved contingency.
CITY OF
�' FAYETTEVILLE STAFF MEMO
ARKANSAS
TO: Mayor Lioneld Jordan
THRU: Susan Norton, Chief of Staff
Tim Nyander, Utilities Director
FROM: Corey Granderson, Utilities Engineer
DATE: August 3, 2023
SUBJECT: Approval of Change Order No. 2 for 48-in Diameter Emergency Sewer Line
Repair contract with Structural Preservation Systems, LLC.
Staff recommends approval of Change Order 2 to the design -build contract with Structural
Preservation Systems, LLC (SPS) which will increase the contract amount by $135,850.00.
BACKGROUND:
In January 2023, the City Council approved a contract with SPS related to emergency repair of
a failing large diameter sanitary sewer line under Interstate-49 (Res. 6-23). The project was
initiated by setting up a large bypass pumping operation to keep the pipe dry for manned entry.
Once entered, the pipe was temporarily shored, cleaned and sanitized. Afterwards, the specialty
engineering team entered and inspected the pipe. During this inspection, the team obtained a
view outside the 48-inch sewer pipe into the encasement and tunnel area surrounding the pipe.
The condition of this surrounding tunnel was deemed unsafe and in a failed condition, due to
imminent collapse. For this reason, SPS requested Change Order No. t for $50,000.00 to
spend a week with all of their knowledgeable staff and consulting teams to formulate a plan,
timeline, and pricing for entering and repairing this pipeline.
DISCUSSION:
SPS has developed a detailed plan for rehabilitation of the pipe, given the change in conditions
discovered with the failing tunnel. These additions to the project scope will be presented in a
future Change Order to the Water/Sewer Committee and City Council. However, this current
Change Order No. 2 will adjust original bid items and utilize contingency funds in order to keep
the bypass pumping system operational and keep SPS moving forward on their critical path to
design, mobilize, and install safety shoring within the pipeline.
BUDGET/STAFF IMPACT:
Funds for this change order are available within the remaining approved project contingency of
$325,000.00.
Attachments:
Change Order 2
Mailing Address:
113 W. Mountain Street www.fayetteville-angov
Fayetteville, AR 72701
CITY OF
FAYETTEVILLE
ARKANS
ARKANSAS
Change Order No. 2
CHANGE ORDER
Contract Title: Design -Build Contract: Emergency Sewer Line Repair
Date of Issuance: August 2, 2023
To Contractor: Structural Preservation Systems, LLC. ORDINANCE/RESOLUTION: 6-23
Effective: January 3, 2023
The Contract is chanced as follows:
Bid
Bid
Previous
Unit
Contract
Revised
Revised
Original
Revised
Item
Item
Estimated
of
Unit
Estimated
Unit
Estimated
Estimated
No.
Description
Quantity
Measure
Price
Quantity
Prim
Cost
Cost
Submittals, Engineering and up-
$63,250.00
I
front Project Planning
1
LS
$ 63,250.00
1
$ 63,250.00
$ 63,250.00
2
Mobilization
I
LS
$ 299,499.80
1
$ 299,499.80
$ 299,499.80
$299,499.80
Bypass System Installation and
$567,000.00
3
Pressure Testing
I
LS
$ 567,000.00
1
$ 567,000.00
$ 567,000.00
Bypass System with Rental,
$502,261.20
q
lFueling and Pump Watch
40
DAYS
$ 12,556.53
1 40
$ 12,556.53
1 $ 502,261.20
5
Rescue Team
1
LS
$ 143,545.00
1
S 143,545.00
$ 143,545.00
$143,545.00
Pipeline Sanitizing and Safety
$71,050.00
6
Shoring
I
LS
$ 71,050.00
1
$ 71,050.00
$ 71,050.00
Inspection & Design
$86,275.00
7
Modifications
1
LS
$ 86,275.00
1
$ 86,275.00
$ 86,275.00
CFRP Materials Delivered to
$0'�
8
Siote
I
LS
$ 175,000.00
0
$ 175,000.00
$ 175,000.00
9
CFRP Installation
too
LF
$ 5,234.05
0
$ 5,234.05
$ 523,405.00
$0.00
10
Demobilization
1
LS
$ 30,193.20
1
$ 30,193.20
$ 30,193.20
$30,193.20
11
Closeout Report
I
LS
$ 16,164.80
1 1
S 16,164.801
$ 16,164.90
$16,164.80
COLI
Feasibility and Shoring Design
I
LS
$ 50,000.00
1
$ 50,000.00
$ 50,000.00
$50,000.00
Updated Shoring - materials,
CO2.1
freight, re -mobilization,
0
LS
$ -
1
$ 715,000.00
S715,000.00
engineering, labor, installation,
entire 925-1,17
$ -
0O2.2
Extended Bypass Pumping
0
DAYS
$ -
13
$ 7,155.00
$
$93,015.00
Duration beyond 40-days
Page 1 of 2
On -site supervision and facilities
CO2.3
0
DAYS
$ -
40
$ 656.00
$26,240.00
costs while de -mobilized
$
i ne ongmai a.onuact rnce was
Net change by previously authorized change orders
The Contract Price prior to this Change Order was
The Contract Price will increase by
The new Contract Price including this Change Order will be
The Contract Time(s) will increase by
Required dates of Completion as of the date of this Change Order therefore are:
Summation of Cost $ 2,527,644.00 $2,663,494.00
Net Cost for this Chan ee Order
_.._._._..-_..._.....,_.__..._....__ _______ S 2,663,494.00
0 calendar days
Substantial Completion n/a
Final Completion da
NOTE: This summary does not reflect changes in the Contract Price or Time(s) which have been authorized by Work Change Directives not incorporated in this or
previous Change Orders.
Structural Preservation Systems, LI,C. CITY FAYETT I E
08/02/2023 _ 08/11/2023
BY v> DATE Y Lioneld lord r, ayor DATE
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