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HomeMy WebLinkAboutContractSMALL WORKS CONTRACT AGREEMENT 14-20-16913 THIS AGREEMENT (“Agreement”) is made as of the _____ day of _____, 2020, (the “Effective Date”) by and between the City of Renton, a non-charter code city under RCW 35A and a municipal corporation under the laws of the State of Washington (“Renton”), and Hermanson Company, (“Contractor”), LLC, who are collectively referred to as the “Parties”, removal of Old System and Installation of New Hot Water System at Gen Coulon Beach Bathhouse, 1201 Lake Washington Blvd. Renton and Contractor agree as set forth below. 1.Scope of Services: Contractor will provide all material and labor necessary to perform all work described in the Proposal which is attached and fully incorporated into this Agreement by reference as Attachment “A.” 2.Changes in Scope of Services: Renton, without invalidating this Agreement, may order changes to the Scope of Services consisting of additions, deletions or modifications, the Agreement Sum being adjusted accordingly by Parties mutual agreement. Such changes in the work shall be authorized by written Change Order signed by the Parties. 3.Time of Performance: Contractor shall commence performance of the Agreement no later than (90 days) calendar days after the Agreement’s Effective Date. 4.Term of Agreement: The Term of this Agreement shall end at completion of the Scope of Services, no later than 90 days from the Effective Date. This Agreement may be extended to accomplish change orders, if required, upon mutual written agreement of Renton and Contractor. 5.Agreement Sum: The total amount of this Agreement is the sum of ($49,826.70) which includes Washington State Sales Tax. This amount may be adjusted to a mutually agreed amount based on changes to the Scope of Services. 6.Consideration: In exchange for Contractor’s performance of the items and responsibilities identified in the Scope of Services, Renton agrees to make payment of the amount identified as the Agreement Sum. 7.Method of Payment: Payment by Renton for the Services will only be made after the Services have been performed and a voucher or invoice is submitted in a form acceptable to Renton. Payment of the initial 95% will be made in the next pay cycle of the Renton Finance Department after receipt of such voucher or invoice (pay cycles are bi-weekly). The remaining 5% will be retained for the purpose of completion of the project and fulfillment of claims and liens. Renton shall have the right to withhold payment to CAG-20-088 23rd April PAGE 2 OF 6 Contractor for any work not completed in a satisfactory manner until such time as Contractor modifies such work so that the same is satisfactory. 8. Hold Harmless: Contractor shall indemnify, defend and hold harmless Renton, its elected officials, officers, agents, employees and volunteers, from and against any and all claims, losses or liability, or any portion of the same, including but not limited to reasonable attorneys’ fees, legal expenses and litigation costs, arising from injury or death to persons, including injuries, sickness, disease or death of Contractor’s own employees, agents and volunteers, or damage to property caused by Contractor’s negligent act or omission, except for those acts caused by or resulting from a negligent act or omission by Renton and its officers, agents, employees and volunteers. Should a court of competent jurisdiction determine that this agreement is subject to RCW 4.24.115, (Validity of agreement to indemnify against liability for negligence relative to construction, alteration, improvement, etc., of structure or improvement attached to real estate…) then, in the event of liability for damages arising out of bodily injury to persons or damages to property caused by or resulting from the concurrent negligence of the contractor and Renton, its officers, officials, employees and volunteers, Contractor’s liability shall be only to the extent of Contractor’s negligence. It is further specifically and expressly understood that the indemnification provided in this Agreement constitute Contractor’s waiver of immunity under the Industrial Insurance Act, RCW Title 51, solely for the purposes of this indemnification. The Parties have mutually negotiated and agreed to this waiver. The provisions of this section shall survive the expiration or termination of this Agreement. 9. Insurance: Contractor shall secure and maintain: a. Commercial general liability insurance in the minimum amounts of $1,000,000 for each occurrence/$2,000,000 aggregate for the Term of this Agreement. b. Professional liability insurance, in the minimum amount of $1,000,000 for each occurrence, shall also be secured for any professional services being provided to Renton that are excluded in the commercial general liability insurance. c. Workers’ compensation coverage, as required by the Industrial Insurance laws of the State of Washington, shall also be secured. d. It is agreed that on Contractor’s commercial general liability policy, the City of Renton will be named as an Additional Insured on a non-contributory primary basis. Renton’s insurance policies shall not be a source for payment of any Contractor liability. e. Subject to Renton’s review and acceptance, a certificate of insurance showing the proper endorsements, shall be delivered to Renton before executing the work of this Agreement. f. Contractor shall provide Renton with written notice of any policy cancellation, within two (2) business days of their receipt of such notice. PAGE 3 OF 6 10. Discrimination Prohibited: Except to the extent permitted by a bona fide occupational qualification, the Contractor agrees as follows: a. Contractor, and Contractor’s agents, employees, representatives, and volunteers with regard to the services performed or to be performed under this Agreement, shall not discriminate on the basis of race, color, sex, religion, nationality, creed, marital status, sexual orientation or preference, age (except minimum age and retirement provisions), honorably discharged veteran or military status, or the presence of any sensory, mental or physical handicap, unless based upon a bona fide occupational qualification in relationship to hiring and employment, in employment or application for employment, the administration of the delivery of services or any other benefits under this Agreement, or procurement of materials or supplies. b. The Contractor will take affirmative action to insure that applicants are employed and that employees are treated during employment without regard to their race, creed, color, national origin, sex, age, sexual orientation, physical, sensory or mental handicaps, or marital status. Such action shall include, but not be limited to the following employment, upgrading, demotion or transfer, recruitment or recruitment advertising, layoff or termination, rates of pay or other forms of compensation and selection for training. c. If Contractor fails to comply with any of this Agreement’s non-discrimination provisions, Renton shall have the right, at its option, to cancel the Agreement in whole or in part. d. Contractor is responsible to be aware of and in compliance with all federal, state and local laws and regulations that may affect the satisfactory completion of the project, which includes but is not limited to fair labor laws and worker's compensation. 11. Independent Contractor: Contractor’s employees, while engaged in the performance of any of Contractor’s services under this Agreement, shall be considered employees of the Contractor and not employees, agents, representatives of Renton and as a result, shall not be entitled to any coverage or benefits from the City of Renton. Contractor’s relation to Renton shall be at all times as an independent contractor. Any and all Workman’s Compensation Act claims on behalf of Contractor employees, and any and all claims made by a third-party as a consequence of any negligent act or omission on the part of Contractor’s employees, while engaged in services provided to be rendered under this Agreement, shall be the solely Contractor’s obligation and responsibility. 12. Prevailing Wage Rates: Contractor must comply with the State of Washington prevailing wage requirements. Contractor must file an Intent To Pay Prevailing Wage at the beginning of the project and an Affidavit of Wages Paid at the end of the project with the Washington State Department of Labor and Industries, http://www.lni.wa.gov/TradesLicensing/PrevWage/default.asp. PAGE 4 OF 6 13. Record Keeping and Reporting: Contractor shall maintain accounts and records, which properly reflect all direct and indirect costs expended and Services provided in the performance of this Agreement. The Contractor agrees to provide access to and copies of any records related to this Agreement as required by the City to audit expenditures and charges and/or to comply with the Washington State Public Records Act (Chapter 42.56 RCW). 14. Public Records Compliance. To the full extent the City determines necessary to comply with the Washington State Public Records Act, Contractor shall make a due diligent search of all records in its possession, including, but not limited to, e-mail, correspondence, notes, saved telephone messages, recordings, photos, or drawings and provide them to the City for production. In the event Contractor believes said records need to be protected from disclosure, it shall, at Contractor’s own expense, seek judicial protection. Contractor shall indemnify, defend, and hold harmless the City for all costs, including attorneys’ fees, attendant to any claim or litigation related to a Public Records Act request for which Contractor has responsive records and for which Contractor has withheld records or information contained therein, or not provided them to the City in a timely manner. Contractor shall produce for distribution any and all records responsive to the Public Records Act request in a timely manner, unless those records are protected by court order. 15. Other Provisions: a. Administration and Notices. Each individual executing this Agreement on behalf of Renton and Contractor represents and warrants that such individuals are duly authorized to execute and deliver this Agreement on behalf of Renton or Contractor. Any notices required to be given by the Parties shall be delivered at the addresses set forth below. Any notices may be delivered personally to the addressee of the notice or may be deposited in the United States mail, postage prepaid, to the address set forth below. Any notice so posted in the United States mail shall be deemed received three (3) calendar days after the date of mailing. This Agreement shall be administered by and any notices should be sent to the undersigned individuals or their designees. b. Amendment and Modification. This Agreement may be amended only by an instrument in writing, duly executed by both Parties. c. Assignment and Subcontract. Contractor shall not assign or subcontract any portion of this Agreement without the City of Renton’s prior express written consent. d. Compliance with Laws. Contractor and all of the Contractor’s employees shall perfor m the services in accordance with all applicable federal, state, county and city laws, codes and ordinances. A copy of this language must be made a part of any contractor or subcontractor agreement. e. Conflicts. In the event of any inconsistencies between contractor proposals and this contract, the terms of this contract shall prevail. PAGE 5 OF 6 f. Governing Law. This Agreement shall be made in and shall be governed by and interpreted in accordance with the laws of the State of Washington. g. Joint Drafting Effort. This Agreement shall be considered for all purposes as prepared by the joint efforts of the Parties and shall not be construed against one party or the other as a result of the preparation, substitution, submission or other event of negotiation, drafting or execution. h. Jurisdiction and Venue. Any lawsuit or legal action brought by any party to enforce or interpret this Agreement or any of its terms or covenants shall be brought in the King County Superior Court for the State of Washington at the Maleng Regional Justice Center in Kent, King County, Washington, or its replacement or successor. i. Severability. A court of competent jurisdiction’s determination that any provision or part of this Agreement is illegal or unenforceable shall not cancel or invalidate the remainder of this Agreement, which shall remain in full force and effect. j. Sole and Entire Agreement. This Agreement contains the entire agreement of the Parties and any representations or understandings, whether oral or written, not incorporated are excluded. k. Third-Party Beneficiaries. Nothing in this Agreement is intended to, nor shall be construed to give any rights or benefits in the Agreement to anyone other than the Parties, and all duties and responsibilities undertaken pursuant to this Agreement will be for the sole and exclusive benefit of the Parties and no one else. l. Waivers. All waivers shall be in writing and signed by the waiving party. Either party’s failure to enforce any provision of this Agreement shall not be a waiver and shall not prevent either Renton or Contractor from enforcing that provision or any other provision of this Agreement in the future. Waiver of breach of any provision of this Agreement shall not be deemed to be a waiver of any prior or subsequent breach unless it is expressly waived in writing. PAGE 6 OF 6 IN WITNESS WHEREOF, the Parties have voluntarily entered into this Agreement as of Effective Date. CITY OF RENTON CONTRACTOR By: Armondo Pavone Mayor 1055 South Grady Way Renton, WA 98057 By: Jason Milliren Director of Finance Date March 20, 2020 Date Attest Jason A. Seth City Clerk Approved as to Legal Form By: Shane Moloney City Attorney Contract Template Updated 11/26/2019 Jason Milliren Digitally signed by Jason Milliren Date: 2020.03.20 07:34:21 -07'00' (Approved via email from Cheryl Beyer) 4/23/2020 Mechanical Construction, Engineering and Service www.hermanson.com Hermanson Company LLP Tel 206-575-9700 1221 2nd Avenue North fax 206-575-9800 Kent, WA 98032 February 21, 2020 ATTENTION: Edward K. Grube – Facility Technician Supervisor, City of Renton PROJECT NAME: Gene Coulon Memorial Beach Park Bathhouse – Water heater replacement JOB NUMBER: 14-XX-16913 SITE ADDRESS: 1201 Lake Washington Blvd North Renton, WA 98056 PHONE: (425) 430-6670 The pricing below is firm for a 30-day period from the date of this proposal. Please call if you have any questions or comments. Option 1 – 300 Gallon AO Smith Commercial Water Heater $ 45,297 Option 2 – 120 Gallon Rheem Commercial Water Heater $ 23,652 We are presenting two options for the existing unit replacement. Option 1 is a similar sized tank, with matching input kW capacity unit. Unfortunately, the manufacturer no longer makes a 350 gallon unit and we are recommending a 300 gallon since the 400 gallon model will not fit through the mechanical room door. Option 2 is an economical option that will not have the same tank capacity but will match electrical heating output of the current unit. x Engineering and drawings required for permits (if any, assumed permits will be over the counter) x Mechanical and Electrical Permit and fees x Disconnect electrical and make safe for water heater demolition x Isolate and drain existing water heater x Demolish and remove existing water heater x Provide and set new electric water heater OPTION 1 o AO Smith Model DHE-300A-54 o 300 Gallon Capacity Tank o ASME Code Construction o 240/1 voltage o 54kW Input OPTION 2 o Rheem Model RHEE-ES120-54-G o 120 Gallon Capacity Tank o 240/1 voltage o 54kW Input x Provide and install piping, associated components and make connections x Electrical wiring and connections SCOPE OF WORK PRICING Mechanical Construction, Engineering and Service www.hermanson.com Hermanson Company LLP Tel 206-575-9700 1221 2nd Avenue North fax 206-575-9800 Kent, WA 98032 x Startup and testing x Close out package including: as built drawings (if applicable), O&M manuals for new equipment, and Hermanson’s one-year parts and labor warranty on any work Hermanson performs x All labor, equipment, and materials related to above scope of work JOB NUMBER: 14-XX-16913 _________________________________ ______________________ _____________________ Purchaser’s Authorized Signature Date P.O. # x Replacement of existing plumbing fixtures, pipe or insulation not associated with direct water heater replacement x ASME Code construction (unless otherwise stated above) x Structural and electrical modifications x Upgrade or resizing electrical service or existing electrical disconnect x Asbestos testing and/or abatement x X-Ray or Scanning x Concrete cutting & coring x Excavation, back-fill & compaction x Controls x TABB x Drywall Cutting/Patch and Paint x Insulation x Fire wrap x Troubleshooting of existing equipment x Sales Tax x Work is figured as regular day shift 6am-2pm x A two day shutdown window is anticipated for hot water to the facility x Scope as described must be accepted by the Jurisdiction Having Authority (JHA) for the proposal to become valid x Payments made after 60 days will have a 2% interest added to their monthly billing x Proposal is valid for 30 days from date Sincerely, HERMANSON COMPANY, LLP Louis Cumbo Account Executive Mobile: (206) 741-4486 lcumbo@hermanson.com EXCLUSIONS (unless specifically stated above) CLARIFICATIONS/ASSUMPTIONS _________________________________ ______________________ _____________________ Purchaser’s Authorized Signature Date P.O. # TERMS & CONDITIONS This proposal is valid for 30 days from issue date. WARRANTIES/LIMITATIONS: The Contractor warrants to the Owner that materials and equipment furnished under the Contract Documents will be of good quality and new unless otherwise required or permitted by the Contract Documents, that the Work will be free from defects not inherent in the quality required or permitted by law or otherwise, and that the Work will conform to the requirements of the Contract Documents. This warranty shall be for twelve (12) months from the date of substantiated completion. However, manufacturer warranties may extend beyond this time frame. The Contractor’s warranty excludes remedy for damage or defect caused by abuse, modifications not executed by the Contractor, improper or insufficient maintenance, improper operation, or normal wear and tear and normal usage. Maintenance shall be in conformity with manufacturer’s recommendations and documented by Owner or Owner’s agent demonstrating items performed by a qualified individual. Purchaser's remedies are limited to repair or replacement, at Hermanson Company’s option, of defective material or equipment. Under no circumstances shall Hermanson Company be responsible for any consequential or incidental damages to purchaser's property. Any action to enforce any rights of purchaser must be instituted within twelve (12) months of the date Hermanson Company begins installation. PAYMENT/SECURITY INTEREST/DEFAULT/HERMANSON REMEDIES: A Twenty-five percent (25%) down payment will be collected prior to the commencement of work. Unless otherwise agreed to in writing, Purchaser shall be progress billed by the last day of each month for all work completed through the current billing period. All amounts billed are due Net 30 and Purchaser agrees to pay the same. Purchaser hereby grants to Hermanson Company a security interest in all equipment and accessories thereto supplied by Hermanson Company in performance of this contract, which shall be satisfied only upon payment in full of all amounts due under this contract. If Purchaser fails to pay the total amount due by the due date, the Purchaser shall be in default hereunder. Hermanson Company shall then have the right to exercise any and all remedies available to it by virtue of its security interest, including but not limited to, entry upon the premises and repossession of the equipment and accessories. Hermanson Company may file this document as a non-standard UCC-1 Financing Statement. Additionally, Purchaser agrees and acknowledges: (1) Purchaser shall pay Hermanson Company a LATE CHARGE of two percent (2%) per month on the unpaid balance upon which payment has not been received by the due date. (2) Payment received shall be applied, at Hermanson Company’s election, first to late charges and then to the oldest principle balance due, whether under this contract or unpaid amounts under previous contracts or Agreements. DELAYS/DAMAGES: Hermanson Company shall not be liable for any loss, damage or delays occasioned by tire, strikes, material stolen after delivery upon premises, lock-outs, acts of God or the public enemy, accidents, boycotts, material shortages, disturbed labor conditions, delayed delivery of materials from Hermanson Company’s suppliers, inclement weather, floods, freight embargos, cause incident to national emergencies, war, acts of the Purchaser or his agents, or other causes beyond the reasonable control of Hermanson Company. In the event of such delays or damages, the time for performance by Hermanson Company shall be extended for a reasonable time. If such delay results in additional cost or expenses to Hermanson Company, then purchaser shall reimburse Hermanson Company for such additional cost and/or expenses in addition to amounts otherwise due under this contract. CHANGES IN THE WORK: The Purchaser may order changes in the work within the general scope of the contract consisting of additions, deletions, or other revisions. Hermanson Company shall not be required to make any such changes unless it first receives from the Purchaser a written change order and agrees to the charge by signing the change order. Any addition, deletion or other revision, which increases the costs or expenses of Hermanson Company, shall be due to Hermanson Company in addition to any amounts otherwise due under this contract. PROPERTY INSURANCE: Unless otherwise agreed, the owner shall purchase and maintain property insurance upon all equipment and material delivered by Hermanson Company to the job site. Purchaser shall assume all risk of loss for such materials and equipment once delivered to the job site. PERMITS: Unless otherwise designated, the Purchaser shall secure and pay for all permits, governmental fees end licenses necessary for the proper execution and completion of the work. TERMINATION OF CONTRACT/SUSPENSION OF PERFORMANCE: This contract shall be terminated only upon mutual agreement of the parties. Hermanson Company may suspend its performance in the event of any of the following: (1) Any act of the Purchaser or his/her agents, which prevents or inhibits Hermanson Company from timely performing its obligation under this Agreement. (2) For the reasons specified above under Delays/Damages. (3) If the Purchaser files a petition in bankruptcy, whether voluntary or involuntary, makes an assignment for the benefit of creditors or has a receiver appointed, or does any act inconsistent, or which may impair the Purchaser's ability to perform this contract Hermanson Company may suspend performance of its obligation under this Agreement until such time as 1) this Agreement is assumed by the Trustee in bankruptcy and/or 2) Hermanson Company is provided adequate assurance of future performance Hermanson Company is not responsible for any damages, whether direct, proximately caused, incidental, consequential or otherwise as a result of Hermanson Company suspension of performance hereunder. If performance cannot begin or continue within a reasonable time after suspension, Hermanson Company at its sole discretion may terminate this Agreement. SUIT/ARBITRATION/ATTORNEY'S FEES: In the event of any dispute under this contract, either party may elect that this matter be submitted to binding arbitration in Seattle, Washington, pursuant to the then-effective rules of the American Arbitration Association. In the event this matter is referred for collection, or if either party retains an attorney for the purpose of arbitration or suit, the prevailing party shall be entitled its actual cost and attorney's fees, all cost of collection, including licenses, collection agency fees and court costs, in addition to the amounts otherwise due. Venue and jurisdiction shall be laid in King County, Washington. ENTIRE AGREEMENT: This represents the entire Agreement between the parties There are no other Agreements or promises that are not contained on either the front or backside of this Agreement. NOTICE TO CUSTOMER: This contractor is registered with the State of Washington. registration number HERMACL005BJ as general/specialty contractor and has posted with the state a bond or cash deposit of $12,000 for the purpose of satisfying claims against the contractor for negligent or improper work or breach of contract in the conduct of the contractor's business. This bond or cash deposit may not be sufficient to cover a claim that might arise for the work under your contract. If any supplier of materials used in your construction project or any employee of the contractor or subcontractor is not paid by the contractor or subcontractor, your property may be liened to force payment. If you wish additional protection you may request the contractor provide you with further information about lien release documents. General information is also available from the Department of Labor and Industries.