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08/11/1999 SECTION 00500 FIXED PRICE CONTRACT BETWEEN OWNER AND CONTRACTOR THIS AGREEMENT is made by and between Monroe County, 5100 College Road, Stock Island, Key West, Florida 33040 (hereinafter referred to as "owner ") and CEM Enterprises, Inc. dba Sunshine Painting_ (hereinafter referred to as "contractor ") for construction of NO NAME KEY BRIDGE - HURRICANE REPAIR, No Name Key, the engineering drawings for which are attached and incorporated into this cgotract as Exhibit A (hereinafter referred to as the "Project "), the owner ark the contactor hereby agreeing as follows: �� r rri a( N 'Tt ARTICLE I _ THE CONTRACT AND THE CONTRACT DOCUMENTS ` = (7-4 w 2 1.1 The Contract v rn 0) 3 1.1.1 The contract between the owner and the contractor, of which this agreement is a part, consists of the contract documents. It shall be effective on the date this agreement is executed by the last party to execute it. 1.2 The Contract Documents 1.2.1 The contract documents consist of this agreement, the Request for Bid, the Conditions of the Contract, the General Requirements, the drawings provided by the Contractor, all change orders, any addenda and field orders issued hereafter, any other amendments hereto executed by the parties after the execution of this Agreement. Documents not enumerated in this paragraph 1.2.1 are not contract documents and do not form part of this contract. 1.3 Entire Agreement 1.3.1 This contract shall constitute the entire and exclusive agreement between the owner and the contractor with reference to the Project. Specifically, but without limitation, this contract supersedes any bid documents and all prior written or oral communications, representations and negotiations, if any, between the owner and contractor. 1.4 No Privity with Others 1.4.1 Nothing contained in this contract shall create, or be interpreted to create, privity or any other contractual agreement between the owner and any person or entity other than the contractor. 1.5 Intent and Interpretation 1.5.1 The intent of this contract is to require complete, correct and timely execution of the work. Any work that may be required, implied or inferred by the contract 7/27/99 FIXED PRICE CONTRACT BETWEEN OWNER AND CONTRACTOR 00500 -1 documents, or any one or more of them, as necessary to produce the intended result shall be provided by the contractor for the contract price. 1.5.2 This contract is intended to be an integral whole and shall be interpreted as internally consistent. What is required by any one contract document shall be considered as required by the county commissioners. 1.5.3 When a word, term or phrase is used in this contract, it shall be interpreted or construed, first, as defined herein, second, if not defined, according to its generally accepted meaning in the construction industry; and third, if there is no generally accepted meaning in the construction industry, according to its common and customary usage. 1.5.4 The words "include," "includes," or "including," as used in this contract, shall be deemed to be followed by the phrase, "without limitation." 1.5.5 The specification herein of any act, failure, refusal, omission, event, occurrence or condition as constituting a material breach of this contract shall not imply that any other, nonspecific act, failure, refusal, omission, event, occurrence or condition shall be deemed not to constitute a material breach of this contract. 1.5.6 Words or terms used as nouns in this contract shall be inclusive of their singular and plural forms, unless the context of their usage clearly requires a contrary meaning. 1.5.7 The contractor shall have a continuing duty to read, carefully study and compare each of the contract documents, the shop drawings and the product data and shall give written notice to the owner of any inconsistency, ambiguity, error or omission which the contractor may discover with respect to these documents before proceeding with the affected work. The issuance, or the express or implied approval by the owner of the contract documents, shop drawings or product data shall not relieve the contractor of the continuing duties imposed hereby, nor shall any such approval be evidence of the contractor's compliance with this contract. 1.5.8 Neither the organization of any of the contract document into divisions, sections, paragraphs, articles (or other categories), nor the organization or arrangement of the design, shall control the contractor in dividing the work or in establishing the extent or scope of the work to be performed by subcontractors. 1.6 Ownership of Contract Documents 1.6.1 The contract documents, and each of them, shall remain the property of the owner. The contractor shall have the right to keep one record set of the contract documents upon completion of the project; provided, however, that in no event 7/27/99 FIXED PRICE CONTRACT BETWEEN OWNER AND CONTRACTOR 00500 -2 shall contractor use, or permit to be used, any or all of such contract documents on other projects without the owner's prior written authorization. ARTICLE II THE WORK 2.1 The contractor shall perform all of the work required, implied or reasonably inferable from, this contract. 2.2 The term "work" shall mean whatever is done by or required of the contractor to perform and complete its duties under this contract, including the following: construction and design of the whole project; furnishing of any required insurance; and the provision or furnishing of labor, supervision, services, materials, supplies, equipment, fixtures, appliances, facilities, tools, transportation, storage, power, the payment of any applicable sales and use taxes; royalties and product license fees; permits and licenses required of the contractor, fuel, heat, light, cooling and all other utilities as required by this contract. The work to be performed by the contractor is generally described as follows: NO NAME KEY BRIDGE - HURRICANE REPAIR, No Name Key. ARTICLE III CONTRACT TIME 3.1 Time and Liquidated Damages 3.1.1 The contractor shall commence work to be performed under this Contract no later than ten (10) calendar days from Notice to Proceed and shall be substantially completed no later than sixty (60) calendar days from the Commencement Date. The Contractor also agrees to be complete and ready for final payment no later than thirty (30) calendar days from the Substantial Completion Date. 7/27/99 FIXED PRICE CONTRACT BETWEEN OWNER AND CONTRACTOR 00500 -3 3.1.2 The Owner and the Contractor recognize that time is of the essence in this Contract and that the Owner will suffer financial loss if the Work is not completed within the times specified above. They also recognize the delays, expense and difficulties involved in proving in a legal proceeding the actual Toss suffered by Owner if the Work is not completed on time. Accordingly, instead of requiring such proof, Owner and Contractor agree that as liquidated damages for delay ( but not as a penalty) Contractor shall pay Owner two - hundred dollars ($200.00) for each day that expires after the time specified above for Substantial Completion until the Work is substantially complete. 3.1.3 The Owner and Contractor agree that work on the project will be continuous from the commencement date through to the completion date. Any demobilization once work has started requires prior approval by the Owner. 3.2 Substantial Completion 3.2.1 "Substantial Completion" shall mean that stage in the progression of the work when the work is sufficiently complete in accordance with this contract that the owner can enjoy beneficial use or occupancy of the work and can utilize the work for its intended purpose. Substantial Completion shall be determined by the County Engineer. 3.3 Time is of the Essence 3.3.1 All limitation of time set forth in the contract documents are of the essence of this contract. ARTICLE IV CONTRACT PRICE 4.1 The Contract Price 4.1.1 The owner shall pay, and the contractor shall accept, as full and complete payment for all of the work required herein, the fixed sum of $23,777.00. The sum set forth in this paragraph 4.1 shall constitute the contract price which shall not be modified except by change order as provided in this contract. ARTICLE V PAYMENT OF THE CONTRACT PRICE 5.1 Schedule of Values 5.1.1 Within ten (10) calendar days of the effective date hereof, the contractor shall submit to the owner and to the County Engineer a schedule of values allocating the contract price to the various portions of the work. The contractor's schedule of values shall be prepared in such form, with such detail, and supported by such data as the County Engineer or owner may require to substantiate its accuracy. The contractor shall not imbalance its schedule of values nor artificially 7/27/99 FIXED PRICE CONTRACT BETWEEN OWNER AND CONTRACTOR 00500 -4 inflate any element thereof. The violation of this provision by the contractor shall constitute a material breach of this contract. The schedule of values shall be used only as a basis for the contractor's applications for payment and shall only constitute such basis after it has been acknowledged in writing by the County Engineer and the owner. 5.2 Payment Procedure 5.2.1 The owner shall pay the contract price to the contractor as provided below. 5.2.2 Progress Payments —Based upon the contractor's applications for payment and upon certificates for payment subsequently issued to the owner, the owner shall make progress payments to the contractor on account of the contract price. 5.2.3 Thirty days after commencement of the work, and every thirty days thereafter until completion of the project, the contractor may submit an application for payment to the County Engineer in such form and manner, and with such supporting data and content, as the owner or the County Engineer may require. Therein, the contractor may request payment for ninety percent (90 %) of that portion of the contract price properly allocable to contract requirements properly provided, labor, materials and equipment properly incorporated in the work plus ninety percent (90 %) of that portion of the contract price properly allocable to materials or equipment properly stored onsite (or elsewhere if approved in advance in writing by the owner) for subsequent incorporation in the work, less the total amount of previous payments received from the owner. Payment for stored materials and equipment shall be conditioned upon the contractor's proof satisfactory to the owner, that the owner has title to such materials and equipment and shall include proof of required insurance. Such application for payment shall be signed by the contractor and shall constitute the contractor's representation that the work has progressed to the level for which payment is requested in accordance with the schedule of values, that the work has been properly installed or performed in full accordance with this contract, and that the contractor knows of no reason why payment should not be made as requested. Thereafter, the County Engineer will review the application for payment and may also review the work at the project site or elsewhere to determine whether the quantity and quality of the work is as represented in the application for payment and is as required by this contract. The County Engineer shall determine and certify to the owner the amount properly owing to the contractor. The owner shall make partial payments on account of the contract price to the contractor within twenty (20) days following the receipt by Monroe County Engineer, of each application for payment. The amount of each partial payment shall be the amount certified for payment by the County Engineer Tess such amounts, if any, otherwise owing by the contractor to the owner or which the owner shall have the right to withhold as authorized by this contract. The County Engineer's certification of the contractor's application for payment shall not preclude the owner from the exercise of any of its rights as set forth in paragraph 5.3 hereinbelow. 7/27/99 FIXED PRICE CONTRACT BETWEEN OWNER AND CONTRACTOR 00500 -5 5.2.4 The contractor warrants that all payments to subcontractors have been made as certified on the application for payment and that title to all work covered by an application for payment will pass to the owner no later than the time of payment. The contractor further warrants that upon submittal of an application for payment, all work for which payments have been received from the owner shall be free and clear of liens, claims, security interest or other encumbrances in favor of the contractor or any other person or entity whatsoever. 5.2.5 The contractor shall promptly pay each subcontractor, out of the amount paid to the contractor on account of such subcontractor's work, the amount to which such subcontractor is entitled. In no event is the owner obligated to pay any subcontractor an amount owed to it by the contractor. Language similar to this paragraph 5.2.5 must appear in all contracts between the contractor and its subcontractors. 5.2.6 No progress payment, nor any use or occupancy of the project by the owner, shall be interpreted to constitute an acceptance of any work not in strict accordance with this contract. 5.3 Withheld Payment 5.3.1 The owner may decline to make payment, may withhold funds, and, if necessary, may demand the return of some or all of the amounts previously paid to the contractor, to protect the owner from loss because of: (a) defective work not remedied by the contractor nor, in the opinion of the owner, likely to be remedied by the contractor; (b) claims of third parties against the owner or the owner's property; (c) failure by the contractor to pay subcontractors or others in a prompt and proper fashion; (d) evidence that the balance of the work cannot be completed in accordance with the contract for the unpaid balance of the contract price; (e) evidence that the work will not be completed in the time required for substantial or final completion; (f) persistent failure to carry out the work in accordance with the contract; (g) damage to the owner or a third party to whom the owner is, or may be, liable. 7/27/99 FIXED PRICE CONTRACT BETWEEN OWNER AND CONTRACTOR 00500 -6 In the event that the owner makes written demand upon the contractor for amounts previously paid by the owner as contemplated in this subparagraph 5.3.1, the contractor shall promptly comply with such demand. 5.4 Unexcused Failure to Pay 5.4.1 If within twenty (20) days after the date established herein for payment to the contractor by the owner, the owner, without cause or basis hereunder, fails to pay the contractor any amount then due and payable to the contractor, then the contractor may after seven (7) additional days' written notice to the owner and the County Engineer, and without prejudice to any other available rights or remedies it may have, stop the work until payment of those amounts due from the owner have been received. 5.5 Substantial Completion 5.5.1 When the contractor believes that the work is substantially complete, the contractor shall submit written notice that the project is ready for substantial completion inspection. The County Engineer, on the basis of contractor's notice, shall determine that the work is in fact substantially complete. The County Engineer will prepare a certificate of substantial completion which shall establish the date of substantial completion, shall state the responsibilities of the contractor for project security, maintenance, utilities, damage to the work, and insurance, and shall fix the time within which the contractor shall complete the items listed therein. The certificate of substantial completion shall be submitted to the contractor for written acceptance of the responsibilities assigned to them in such certificate. Upon substantial completion of the work and execution by both the owner and the contractor of the certificate of substantial completion, the owner shall pay the contractor an amount sufficient to increase total payments to the contractor to one hundred percent (100 %) of the contract price less five percent (5 %) retention and less three hundred percent (300 %) of the reasonable cost as determined by the owner and the County Engineer for completing all incomplete work, correcting and bringing into conformance all defective and nonconforming work, and handling all unsettled claims. The certificate of substantial completion shall not be signed by the County Engineer unless accompanied by a signed certificate of occupancy from all governing authorities. 5.6 Completion and Final Payment 5.6.1 When all of the work is finally complete and the contractor is ready for a final inspection, it shall notify the owner thereof in writing. Thereupon, the County Engineer will make final inspection of the work and, if work is complete in full accordance with this contract and this contract has been fully performed, the County Engineer will promptly issue a final certificate for payment certifying to the owner that the project is complete and the contractor is entitled to the remainder of the unpaid contract price, less any amount withheld pursuant to this contract. Guarantees required by the contract shall commence on the date of final completion of the work. If the County Engineer is unable to issue its final certificate 7/27/99 FIXED PRICE CONTRACT BETWEEN OWNER AND CONTRACTOR 00500 -7 for payment and is required to repeat its final inspection of the work, the contractor shall bear the cost of such repeat final inspection(s) which cost may be deducted by the owner from the contractor's final payment. 5.6.1.1 If the contractor fails to achieve final completion within the time fixed therefor by the County Engineer in its certificate of substantial completion, the contractor shall pay the owner the sum of two - hundred dollars per day for each and every calendar day of unexcused delay in achieving final completion beyond the date set forth herein for final completion of the work. Any sums due and payable hereunder by the contractor shall be payable, not as a penalty, but as liquidated damages representing an estimate of delay damages likely to be sustained by the owner, estimated at or before the time of executing this contract. When the owner reasonably believes that final completion will be inexcusably delayed, the owner shall be entitled, but not required, to withhold from any amounts otherwise due the contractor an amount then believed by the owner to be adequate to recover liquidated damages applicable to such delays. If and when the contractor overcomes the delay in achieving final completion, or any part thereof, for which the owner has withheld payment, the owner shall promptly release to the contractor those funds withheld, but no longer applicable, as liquidated damages. 5.6.2 The contractor shall not be entitled to final payment unless and until it submits to the County Engineer its affidavit that all payrolls, invoices for materials and equipment, and other liabilities connected with the work for which the owner, or the owner's property might be responsible, have been fully paid or otherwise satisfied; releases and waivers of lien from all subcontractors of the contractor and of any and all parties required by the owner; and the consent of surety to final payment. The affidavits, releases and waivers required from subcontractors and materialmen are for the administrative convenience of the owner only. They do not create an obligation on the part of the owner to assure that any subcontractor or materialman is paid. 5.6.3 The owner shall make final payment of all sums due the contractor per Section 01027 of the Project Manual. 5.6.4 Acceptance of final payment shall constitute a waiver of all claims against the owner by the contractor except for those claims previously made in writing against the owner by the contractor, pending at the time of final payment, and identified in writing by the contractor as unsettled at the time of its request for final payment. 7/27/99 FIXED PRICE CONTRACT BETWEEN OWNER AND CONTRACTOR 00500 -8 ARTICLE VI THE OWNER 6.1 Information and Services Required from Owner 6.1.1 The owner shall furnish to the contractor, at the time of executing this contract, any and all written and tangible material in its possession concerning conditions below ground at the site of the project. Such written and tangible material is furnished to the contractor only in order to make complete disclosure of such material and for no other purpose. By furnishing such material, the owner does not represent, warrant, or guarantee its accuracy either in whole, in part, implicitly or explicitly, or at all, and shall have no liability therefor. The owner shall also furnish surveys, legal limitations and utility locations (if known), and a legal description of the project site. 6.1.2 Excluding fees normally the responsibility of the contractor, the owner shall obtain all permits, approvals, easements, and the like required for construction and shall pay for necessary assessments and charges required for construction, use or occupancy of permanent structures or for permanent changes in existing facilities. 6.1.3 The owner shall furnish the contractor, free of charge, 5 copies of the contract documents for execution of the work. The contractor will be charged, and shall pay the owner, $ -0- per additional set of contract documents which it may require. 6.2 Right to Stop Work 6.2.1 If the contractor persistently fails or refuses to perform the work in accordance with this contract, the owner may order the contractor to stop the work, or any described portion thereof, until the cause for stoppage has been corrected, no longer exists, or the owner orders that work be resumed, in such event, the contractor shall immediately obey such order. 6.3 Owner's Right to Perform Work 6.3.1 If the contractor's work is stopped by the owner under paragraph 6.2, and the contractor fails within three (3) days of such stoppage to provide adequate assurance to the owner that the cause of such stoppage will be eliminated or corrected, then the owner may, without prejudice to any other rights or remedies the owner may have against the contractor, proceed to carry out the subject work. In such a situation, an appropriate change order shall be issued deducting from the contract price the cost of correcting the subject deficiencies. If the unpaid portion of the contract price is insufficient to cover the amount due the owner, the contractor shall pay the difference to the owner. ARTICLE VII THE CONTRACTOR 7/27/99 FIXED PRICE CONTRACT BETWEEN OWNER AND CONTRACTOR 00500 -9 7.1 The contractor is again reminded of its continuing duty set forth in subparagraph 1.5.7. The contractor shall perform no part of the work at any time without adequate contract documents or, as appropriate, approved shop drawings, product data or samples for such portion of the work. If the contractor performs any of the work knowing it involves a recognized error, inconsistency or omission in the contract documents without such notice to the County Engineer, the contractor shall bear responsibility for such performance and shall bear the cost of correction. 7.2 The contractor shall perform the work strictly in accordance with this contract. 7.3 The contractor shall supervise and direct the work using the contractor's best skill, effort and attention. The contractor shall be responsible to the owner for any and all acts or omissions of the contractor, its employees and others engaged in the work on behalf of the contractor. 7.4 The 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 shall not permit overtime work or the performance of Work on Saturday, Sunday or any legal holiday without Owner's written consent given after prior written notice to County Engineer. 7.5 Warranty 7.5.1 The contractor warrants to the owner that all labor furnished to progress the work under this contract will be competent to perform the tasks undertaken, that the product of such labor will yield only first -class results, that materials and equipment furnished will be of good quality and new unless otherwise permitted by this contract, and that the work will be of good quality, free from faults and defects and in strict conformance with this contract. All work not conforming to these requirements may be considered defective. 7.6 The contractor shall obtain and pay for all fees and licenses necessary and ordinary for the work. The contractor shall secure and pay for all licenses, inspections and surveys required by Federal, State, or Municipal bodies having jurisdiction over the project for the proper execution and completion of the work which are customarily secured after execution of the contract and which are legally required at the time bids are received. The contractor shall comply with all lawful requirements applicable to the work and shall give and maintain any and all notices required by applicable law pertaining to the work. 7/27/99 FIXED PRICE CONTRACT BETWEEN OWNER AND CONTRACTOR 00500 -10 7.7 Supervision 7.7.1 The contractor shall employ and maintain at the project site only competent supervisory personnel. Absent written instruction from the contractor to the contrary, the superintendent shall be deemed the contractor's authorized representative at the site and shall be authorized to receive and accept any and all communications from the owner or the County Engineer. 7.7.2 Key supervisory personnel assigned by the contractor to this project shall be furnished in writing at the preconstruction meeting. 7.8 The contractor, within fifteen (15) days of commencing the work, shall submit to the owner and the County Engineer for their information the following: 7.8.1 The contractor's schedule for completing the work. The contractor's schedule shall be revised no less frequently than monthly (unless the parties otherwise agree in writing) and shall be revised to reflect conditions encountered from time to time and shall be related to the entire project. Each such revision shall be furnished to the owner and the County Engineer. Failure by the contractor to strictly comply with the provisions of this paragraph shall constitute a material breach of this contract. 7.8.2 A preliminary schedule of shop drawing submissions. 7.8.3 A preliminary schedule of values for all of the Work which will include quantities and prices of items aggregating the Contract Price and will subdivide the Work into component parts in sufficient detail to serve as the basis for progress payments during construction. Such prices will include an appropriate amount of overhead and profit applicable to each item of Work which will be confirmed in writing by CONTRACTOR at the time of submission. 7.9 The contractor shall continuously maintain at the site, for the benefit of the owner and the County Engineer, one record copy of this contract marked to record on a current basis changes, selections and modifications made during construction. Additionally, the contractor shall maintain at the site for the owner and the County Engineer the approved shop drawings, product data, samples, other similar required submittals and an office for their use. Upon final completion of the work, all of these record documents shall be delivered to the owner. 7.10 Shop Drawings, Product Data and Samples 7.10.1 Shop drawings, product data, samples and other submittals from the contractor do not constitute contract documents. Their purpose is merely to demonstrate the manner in which the contractor intends to implement the work in conformance with information received from the contract documents. 7/27/99 FIXED PRICE CONTRACT BETWEEN OWNER AND CONTRACTOR 00500 -1 1 7.10.2 The contractor shall not perform any portion of the work requiring submittal and review of shop drawings, product data or samples unless and until such submittal shall have been approved by the County Engineer. Approval by the County Engineer, however, shall not be evidence that work installed pursuant thereto conforms with the requirements of this contract. 7.11 Cleaning the Site and the Project 7.11.1 The contractor shall keep the site reasonably clean during performance of the work. Upon final completion of the work, the contractor shall clean the site and the project and remove all waste, together with all of the contractor's property therefrom. 7.12 Access to Work 7.12.1 The owner and the County Engineer shall have access to the work at all times from commencement of the work through final completion. The contractor shall take whatever steps necessary to provide access when requested. 7.13 Indemnity 7.13.1 To the fullest extent permitted by law, the contractor shall indemnify and hold harmless the owner from and against liability, claims, damages, losses and expenses, including attorneys' fees, arising out of or resulting from performance of the work, provided that such liability, claims, damage, loss or expense is attributable to bodily injury, sickness, disease or death, or to injury to or destruction of tangible property (other than the work itself) including Toss of use resulting therefrom, but only to the extent caused in whole or in part by negligent acts or omissions of the contractor, a subcontractor, anyone directly or indirectly employed by them or anyone for whose acts they may be liable, regardless of whether or not such liability, claim, damage, loss or expense is caused in part by a party indemnified hereunder. The indemnification required by this paragraph 7.13 is independent of the contractor's obligation to purchase the insurance described in Article XIII and is not limited or modified by the terms of those insurance policies. 7.13.2 In claims against any person or entity indemnified under this paragraph 7.13 by an employee of the contractor, a subcontractor, anyone directly or indirectly employed by them or anyone for whose acts they may be liable, the indemnification obligation under this paragraph 7.13 shall not be limited by a limitation on amount or type of damage, compensation or benefits payable by or for the contractor or a subcontractor under workers' compensation acts, disability benefit acts or other employee benefit acts. 7.13.3 The contractor shall defend suits or claims for infringement of patent rights and shall hold the owner and County Engineer harmless from loss on account thereof, but shall not be responsible for such defense or Toss when a particular design, process or product of a particular manufacturer or manufacturers is required by the contract. However, if the contractor has reason to believe that the required 7/27/99 FIXED PRICE CONTRACT BETWEEN OWNER AND CONTRACTOR 00500 -12 design, process or product is an infringement of a patent, the contractor shall be responsible for such loss unless such information is promptly furnished to the County Engineer. ARTICLE VIII CONTRACT ADMINISTRATION 8.1 Claims by the Contractor 8.1.1 All contractor claims shall be initiated by written notice and claim to the owner and the County Engineer. Such written notice and claim must be furnished within three (3) days after occurrence of the event, or the first appearance of the condition, giving rise to the claim. 8.1.2 Pending final resolution of any claim of the contractor, the contractor shall diligently proceed with performance of this contract and the owner shall continue to make payments to the contractor in accordance with this contract. The resolution of any claim under this paragraph 8.1 shall be reflected by a change order executed by the owner, the County Engineer and the contractor. 8.1.3 Claims for Additional Costs —If the contractor wishes to make a claim for an increase in the contract price, as a condition precedent to any liability of the owner therefor, the contractor shall give the County Engineer written notice of such claim within three (3) days after the occurrence of the event, or the first appearance of the condition, giving rise to such claim. Such notice shall be given by the contractor before proceeding to execute any additional or changed work. The failure by the contractor to give such notice and to give such notice prior to executing the work shall constitute a waiver of any claim for additional compensation. 8.1.3.1 In connection with any claim by the contractor against the owner for compensation in excess of the contract price, any liability of the owner for the contractor's costs shall be strictly limited to direct costs incurred by the contractor and shall in no event include indirect costs or consequential damages to the contractor. The owner shall not be liable to the contractor for claims of third parties, including subcontractors, unless and until liability of the contractor has been established therefor in a court of competent jurisdiction. 8.1.4 Claims for Additional Time —If the contractor is delayed in progressing any task which at the time of the delay is then critical or which during the delay becomes critical, as the sole result of any act or neglect to act by the owner or someone acting on the owner's behalf, or by changes ordered in the work, unusual delay in transportation, unusually adverse weather conditions not reasonably anticipatable, fire or any causes beyond the contractor's control, then the date for achieving substantial completion of the work shall be extended upon the written notice and claim of the contractor to the owner and the County Engineer, for such reasonable time as the County Engineer may determine. Any notice and claim for 7/27/99 FIXED PRICE CONTRACT BETWEEN OWNER AND CONTRACTOR 00500 -13 an extension of time by the contractor shall be made not more than three (3) days after the occurrence of the event or the first appearance of the condition giving rise to the claim and shall set forth in detail the contractor's basis for requiring additional time in which to complete the project. In the event the delay to the contractor is a continuing one, only one notice and claim for additional time shall be necessary. If the contractor fails to make such claim as required in this subparagraph, any claim for an extension of time shall be waived. In no event is the contractor entitled to additional compensation for any delay described in this paragraph 8.1.4 or other paragraphs. 8.2 Field Orders 8.2.1 The County Engineer shall have authority to order minor changes in the work not involving a change in the contract price or in contract time and not inconsistent with the intent of the contract. Such changes shall be effected by field order and shall be binding upon the contractor. The contractor shall carry out such field orders promptly. ARTICLE IX SUBCONTRACTORS 9.1 Definition 9.1.1 A subcontractor is an entity that has a direct contract with the contractor to perform a portion of the work. 9.2 Award of Subcontracts 9.2.1 Upon execution of the contract, the contractor shall furnish the owner in writing, the names of persons or entities proposed by the contractor to act as a subcontractor on the project. The owner shall promptly reply to the contractor, in writing, stating any objections the owner may have to such proposed subcontractor. The contractor shall not enter into a subcontract with a proposed subcontractor with reference to whom the owner has made timely objection. The contractor shall not be required to subcontract with any party to whom the contractor has objection. 9.2.2 All subcontracts shall afford the contractor rights against the subcontractor which correspond to those rights afforded to the owner against the contractor herein, including those rights afforded to the owner by subparagraph 12.2.1 below. 7/27/99 FIXED PRICE CONTRACT BETWEEN OWNER AND CONTRACTOR 00500 -14 ARTICLE X CHANGES IN THE WORK 10.1 Changes Permitted 10.1.1 Changes in the work within the general scope of this contract, consisting of additions, deletions, revisions, or any combination thereof, may be ordered without invalidating this contract, by change order or by field order. 10.1.2 Changes in the work shall be performed under applicable provisions of this contract and the contractor shall proceed promptly with such changes. 10.2 Change Order Defined 10.2.1 Change order shall mean a written order to the contractor executed by the owner and the County Engineer, issued after execution of this contract, authorizing and directing a change in the work or an adjustment in the contract price or the contract time, or any combination thereof. The contract price and the contract time may be changed only by change order. 10.3 Changes in the Contract Price 10.3.1 Any change in the contract price resulting from a change order shall be determined as follows: (a) by mutual agreement between the owner and the contractor as evidenced by (1) the change in the contract price being set forth in the change order, (2) such change in the contract price, together with any conditions or requirements related thereof, being initialed by both parties and (3) the contractor's execution of the change order; or (b) if no mutual agreement occurs between the owner and the contractor, then, as provided in subparagraph 10.3.2 below. 10.3.2 If no mutual agreement occurs between the owner and the contractor as contemplated in subparagraph 10.3.1 above, the change in the contract price, if any, shall then be determined by the County Engineer on the basis of the reasonable expenditures or savings of those performing, deleting or revising the work attributable to the change, including, in the case of an increase or decrease in the contract price, an allowance for direct job site overhead of 5 %, and profit 5 %. 10.3.3 If unit prices are provided in the contract, and if the quantities contemplated are so changed in a proposed change order that application of such unit prices to the quantities of work proposed will cause substantial inequity to the owner or to the contractor, the applicable unit prices shall be equitably adjusted. 10.4 Minor Changes 10.4.1 The County Engineer shall have authority to order minor changes in the work not involving a change in the contract price or an extension of the contract time and not inconsistent with the intent of this contract. Such minor changes shall be 7/27/99 FIXED PRICE CONTRACT BETWEEN OWNER AND CONTRACTOR 00500 -15 made by written field order, and shall be binding upon the owner and the contractor. The contractor shall promptly carry out such written field orders. 10.5 Effect of Executed Change Order 10.5.1 The execution of a change order by the contractor shall constitute conclusive evidence of the contractor's agreement to the ordered changes in the work, this contract as thus amended, the contract price and the contract time. The contractor, by executing the change order, waives and forever releases any claim against the owner for additional time or compensation for matters relating to or arising out of or resulting from the work included within or affected by the executed change order. 10.6 Notice to Surety; Consent 10.6.1 The contractor shall notify and obtain the consent and approval of the contractor's surety with reference to all change orders if such notice, consent or approval is required by the contractor's surety or by law. The contractor's execution of the change order shall constitute the contractor's warranty to the owner that the surety has been notified of, and consents to, such change order and the surety shall be conclusively deemed to have been notified of such change order and to have expressly consented thereto. ARTICLE XI UNCOVERING AND CORRECTING WORK 11.1 Uncovering Work 11.1.1 If any of the work is covered contrary to the County Engineer's request or to any provisions of this contract, it shall, if required by the County Engineer or the owner, be uncovered for the County Engineer's inspection and shall be properly replaced at the contractor's expense without change in the contract time. 11.1.2 If any of the work is covered in a manner not inconsistent with subparagraph 11.1.1 above, it shall, if required by the County Engineer or owner, be uncovered for the County Engineer's inspection. If such work conforms strictly with this contract, costs of uncovering and property replacement shall by change order be charged to the owner. If such work does not strictly conform with this contract, the contractor shall pay the costs of uncovering and proper replacement. 11.2 Correcting Work 11.2.1 The contractor shall immediately proceed to correct work rejected by the County Engineer as defective or failing to conform to this contract. The contractor shall pay all costs and expenses associated with correcting such rejected work, including any additional testing and inspections. 11.2.2 If within one (1) year after final completion of the work any of the work is found to be defective or not in accordance with this contract, the contractor shall 7/27/99 FIXED PRICE CONTRACT BETWEEN OWNER AND CONTRACTOR 00500 -16 correct it promptly upon receipt of written notice from the owner. This obligation shall survive final payment by the owner and termination of this contract. With respect to work first performed and completed after substantial completion, this one -year obligation to specifically correct defective and nonconforming work shall be extended by the period of time which elapses between substantial completion and completion of the subject work. 11.2.3 Nothing contained in this paragraph 11.2 shall establish any period of limitation with respect to other obligations which the contractor has either under this contract or under the laws of the State of Florida. Establishment of the one -year time period in subparagraph 11.2.2 relates only to the duty of the contractor to specifically correct the work. 11.3 Owner May Accept Defective or Nonconforming Work 11.3.1 If the owner chooses to accept defective or nonconforming work, the owner may do so. In such event, the contract price shall be reduced by the greater of (a) the reasonable cost of removing and correcting the defective or nonconforming work and (b) the difference between the fair market value of the project as constructed and the fair market value of the project had it not been constructed in such a manner as to include defective or nonconforming work. If the remaining portion of the unpaid contract price, if any, is insufficient to compensate the owner for its acceptance of defective or nonconforming work, the contractor shall, upon written demand from the owner, pay the owner such remaining compensation for accepting defective or nonconforming work. ARTICLE XII CONTRACT TERMINATION 12.1 Termination by the Contractor 12.1.1 If the work is stopped for a period of ninety (90) days by an order of any court or other public authority, or as a result of an act of the Government, through no fault of the contractor or any person or entity working directly or indirectly for the contractor, the contractor may, upon ten (10) days' written notice to the owner and the County Engineer, terminate performance under this contract and recover from the owner payment for the actual reasonable expenditures of the contractor (as limited in Subparagraph 10.3.2 above) for all work executed and for materials, equipment, tools, construction equipment and machinery actually purchased or rented solely for the work, Tess any salvage value of any such items. 12.1.2 If the owner shall persistently or repeatedly fail to perform any material obligation to the contractor for a period of fifteen (15) days after receiving written notice from the contractor of its intent to terminate hereunder, the contractor may terminate performance under this contract by written notice to the County Engineer and the owner. In such event, the contractor shall be entitled to recover from the 7/27/99 FIXED PRICE CONTRACT BETWEEN OWNER AND CONTRACTOR 00500 -17 1 owner as though the owner had terminated the contractor's performance under this contract for convenience pursuant to subparagraph 12.2.1 hereunder. 12.2 Termination by the Owner 12.2.1 For Convenience: 12.2.1.1 The owner may for any reason whatsoever terminate performance under this contract by the contractor for convenience. The owner shall give written notice of such termination to the contractor specifying when termination becomes effective. 12.2.1.2 The contractor shall incur no further obligations in connection with the work and the contractor shall stop work when such termination becomes effective. The contractor shall also terminate outstanding orders and subcontracts. The contractor shall settle the liabilities and claims arising out of the termination of subcontracts and orders. The owner may direct the contractor to assign the contractor's rights, title and interest under terminated orders or subcontracts to the owner or its designee. 12.2.1.3 The contractor shall transfer title and deliver to the owner such completed or partially completed work and materials, equipment, parts, fixtures, information and contract rights as the contractor has. 12.2.1.4 (a) The contractor shall submit termination claim to the owner and the County Engineer specifying the amounts due because of the termination for convenience together with costs, pricing or other data required by the County Engineer. If the contractor fails to file a termination claim within one (1) year from the effective date of termination, the owner shall pay the contractor, an amount derived in accordance with subparagraph (c) below. (b) The owner and the contractor may agree to the compensation, if any, due to the contractor hereunder. (c) Absent agreement to the amount due to the contractor, the owner shall pay the contractor the following amounts: (i) Contract prices for labor, materials, equipment and other services accepted under this contract; (ii) Reasonable costs incurred in preparing to perform and in performing the terminated portion of the work, and in terminating the contractor's performance, plus a fair and reasonable allowance for overhead and profit thereon (such profit shall not include anticipated profit or consequential damages); provided however, that if it appears that the contractor would have not profited or would have sustained a loss if the entire contract would have been completed, no 7/27/99 FIXED PRICE CONTRACT BETWEEN OWNER AND CONTRACTOR 00500 -18 profit shall be allowed or included and the amount of compensation shall be reduced to reflect the anticipated rate of loss, if any; (iii) Reasonable costs of settling and paying claims arising out of the termination of subcontracts or orders pursuant to subparagraph 12.2.1.2 of this paragraph. These costs shall not include amounts paid in accordance with other provisions hereof. The total sum to be paid the contractor under this subparagraph 12.2.1 shall not exceed the total contract price as properly adjusted, shall be reduced by the amount of payments otherwise made, and shall in no event include duplication of payment. 12.2.2 For Cause: 12.2.2.1 If the contractor persistently or repeatedly refuses or fails to prosecute the work in a timely manner, supply enough properly skilled workers, supervisory personnel or proper equipment or materials, or if it fails to make prompt payment to subcontractors or for materials or labor, or persistently disregards laws, ordinances, rules, regulations or orders of any public authority having jurisdiction, or otherwise is guilty of a substantial violation of a material provision of this contract, then the owner may by written notice to the contractor, without prejudice to any other right or remedy, terminate the employment of the contractor and take possession of the site and of all materials, equipment, tools, construction equipment and machinery thereon owned by the contractor and may finish the work by whatever methods it may deem expedient. In such case, the contractor shall not be entitled to receive any further payment until the work is finished. 12.2.2.2 If the unpaid balance of the contract price exceeds the cost of finishing the work, such excess shall be paid to the contractor. If such cost exceeds the unpaid balance, the contractor shall pay the difference to the owner. This obligation for payment shall survive the termination of the contract. 12.2.2.3 In the event the employment of the contractor is terminated by the owner for cause pursuant to subparagraph 12.2.2 and it is subsequently determined by a Court of competent jurisdiction that such termination was without cause, such termination shall thereupon be deemed a termination for convenience under subparagraph 12.2.1 and the provisions of subparagraph 12.2.1 shall apply. ARTICLE XIII INSURANCE 13.1 The insurance required under this contract is set forth in Section 00900 of the Project Manual. ARTICLE XIV 7/27/99 FIXED PRICE CONTRACT BETWEEN OWNER AND CONTRACTOR 00500 -19 MISCELLANEOUS 14.1 Governing Law 14.1.1 This contract is governed by the laws of the State of Florida. Venue for any litigation arising under this contract must be in Monroe County, Florida. 14.2 Successors and Assigns 14.2.1 The owner and contractor bind themselves, their successors, assigns and legal representatives to the other party hereto and to successors, assigns and legal representatives of such other party in respect to covenants, agreement and obligations contained in this contract. The contractor shall not assign this contract without written consent of the owner. 14.3 Public Entity Crime Statement 14.3.1 A person or affiliate who has been placed on the convicted vendor list following a conviction for public entity crime may not submit a bid on a contract to provide any goods or services to a public entity, may not submit a bid on a contract with a public entity for the construction or repair of a public building or public work, may not submit bids on leases of real property to public entity, may not be awarded or perform work as a contractor, supplier, subcontractor, or consultant under a contract with any public entity, and may not transact business with any public entity in excess of the threshold amount provided in Section 287.017 of the Florida Statutes, for CATEGORY TWO for a period of 36 months from the date of being placed on the convicted vendor list. 14.4 Trench Safety 14.4.1 If applicable to the project, the contractor shall comply with all relevant provisions of the Trench Safety Act (Secs. 553.60- 553.64, Fla. Stat.). 14.5 Contingency 14.5.1 Monroe County's performance and obligation to pay under this contract is contingent upon an annual appropriation by the Board of County Commissioners. 14.6 Effective Date 14.6.1 This contract will take effect on the date of the Notice to Proceed. 7/27/99 FIXED PRICE CONTRACT BETWEEN OWNER AND CONTRACTOR 00500 -20 IN WITNESS WHEREOF, each party has caud this Agreement to be executed by its dul d representative this /1 47r day of /9 us 1999. (SEAL) BOARD OF COUNTY COMMISSIONERS Attest. tAt4,NY L _. LIVAGE, Clerk OF MONROE COUNTY, FLORIDA B 0. ,�Oar � By Deputy Clerk Mayor /Chairman Date g 9 9 (SEAL) CONTRACTOR Attest: By: /it By: Title: 3PrCP- rV Title: - PcQSider\-1- END OF SECTION 00500 APPROVED PS 10 // AND LE , Ir 'A 7/27/99 FIXED PRICE CONTRACT BETWEEN OWNER AND CONTRACTOR 00500 -21