1998-122 O m C NO
AN ORDINANCE ACCEPTING COMPETITIVE BIDS AND AWARDING A CONTRACT FOR
UNDERGROUND FUEL STORAGE TANKS AND FUEL ISLAND REPLACEMENT,
PROVIDING FOR THE EXPENDITURE OF FUNDS THEREFOR, AND PROVIDING AN
EFFECTIVE DATE (BID # 2178 UNDERGROUND STORAGE FUEL TANKS AND FUEL
ISLAND REPLACEMENT IN THE AMOUNT OF $176,817 00 AWARDED TO NOR-TEX
PUMP CO, INC )
WHEREAS, the C~ty has sol,cited, received and tabulated competmve bads for the
constmctaon of pubhc works or mapmvements m accordance w~th the procedures of STATE law and
City ordinances, and
WHEREAS, the C,ty Manager or a designated employee has received and recommended that
the hereto dascnbed bids are the lowest responsible bids for the constmcUon of the public works or
~mprovements described m the bxd mwtaUon, bad proposals and plans and speclficatxons therein,
NOW, THEREFORE,
THE COUNCIL OF THE CITY OF DENTON HEREBY ORDAINS
~ That the following compeUUve bids for the construction of public works or
improvements, as described m the "B~d InvltaUons", "B~d Proposals" or plans and speelficataons on
file m the Office of the C~ty's Purchasing Agent filed according to the bid number assigned hereto,
are hereby accepted and approved as being the lowest responsible bids
BID
2178 NOR-TEX PUMP CO, INC. $176,817.00
~ That the acceptance and approval of the above compeUUve bids shall not
eonsumte a contract between the C~ty and the person submxttmg the bid for eonstmeUon of such
pubhc works or improvements hereto accepted and approved, until such person shall comply w~th
all reqmrements speeffied m the NoUce to B~dders including the timely execution of a written
contract and funushmg of performance and payment bonds, and insurance certificate after
notxficat,on of the award of the bid
,S~ff.~T!.Ql!~ That the C~ty Manager as hereby authorized to execute all necessary written
contracts for the performance of the eomtmctmn of the pubhc works or improvements m accordance
with the bads accepted and approved herein, prowded that such contracts are made in accordance
with the NoUce to Bidders and B~d Proposals, and documents relating thereto specifying the terms,
cond, Uons, plans and specificaUons, standards, quantities and specffied sums contained thereto
That upon acceptance and approval of the above compet~tive bids and the
execution of contracts for the public works and unpmvements as authonzexl hereto, the City Council
hereby authorizes the expenditure of funds m the manner and in the amount as specified m such
approved bids and authorized contracts executed pursuant thereto
~ That flus ordinance shall become effective munedmtely upon its passage and
approval
PASSED AND APPROVED flus the /.~v~-'~-/~ dayof //~//~Y ,1998
JACF~WLLER, MAYOR
ATTEST
JENNIEER WALTERS, CITY SECRETARY
APPROVED AS TO LEGAL FORM
HERBERT L PROUTY, CITY ATTORNEY
2178 CONTRACT ORDINANCE
ATTACHMENT # 1
TABULATION SHEET
BID# 2t78
BID NAME UNDERGROUND STORAGE FUEL TANKS NOR-TEX LESS GRAY TCOM
AND FUEL 18LAND REPLACEMENT PUMP COMPANY SYSTEMS
DATE 12.Mar-98
I I LOT UNDERGROUND STORAGE TANK
~.ND FUEL ISLAND REPLACEMEN1 $t76,817 00 $180,000 00 $215,000 00
TIME IN DAY8 TO COMPLETE 21 DAYS 30-45 DAYS 90 DAYS
CONTRACT AGREEMENT
STATE OF TEXAS §
COUNTY OF DENTON §
THIS AGREEMENT, made and entered into this 12 day of MAY A.D., 1998, by
and between CITY OF DENTON of the County of DENTON and State of Texas, acting
through TED BENAVIDES thereunto duly authorized so to do, hereinafter termed
"OWNER," and
NOR-TEX PUMP CO. INC.
P.O. BOX 91
KRUM. TEXAS 76249
of the C~ty of KRUM, County of DENTON and State of TEXAS, hereinafter termed
"CONTRACTOR"
WITNESSETH That for and m consideration of the payments and agreements
hereinafter mentmned, to be made and performed by OWNER, and under the condmons
expressed m the bonds attached hereto, CONTRACTOR hereby agrees w~th OWNER to
commence and complete performance of the work specified below
BID # 2178 - UNDERGROUND STORAGE FUEL TANKS AND FUEL ISLAND REPLACEMENT in the
amount of $176,817.00 and all extra work m connection therewith, under the terms as stated m
the General Condmons of the agreement, and at h~s (or their) own proper cost and expense to
furmsh all materials, supphes, machinery, eqmpment, tools, superintendence, labor, insurance,
and other accessories and services necessary to complete the work specified above, m
accordance with the cond~tlons and prices stated ~n the Proposal attached hereto, and ~n
accordance wxth all the General Condmons of the Agreement, the Special Conditions, the
Nottce to B~dders (Advertisement for B~ds), Instructions to B~dders, and the Performance and
Payment Bonds, all attached hereto, and m
CA - 1
accordance with the plans, which includes all maps, plats, blueprints, and other drawings and
printed or written explanatory matter thereof, and the Specffications therefore, as prepared by
CITY OF DENTON FLEET DEPARTMENT
all of winch are made a part hereof and collectively evidence and constitute the entire contract
Independent Status
It is mutually understood and agreed by and between City and Contractor that
Contractor is an independent contractor and shall not be deemed to be or considered an
employee of the City of Denton, Texas, for the purposes of income tax, withholding, social
security taxes, vacation or sick leave benefits, worker's compensation, or any other City
employee benefit City shall not have supervision and control of Contractor or any employee
of Contractor, and ~t is expressly understood that Contractor shall perform the serwces
hereunder according to the attached specfficaUons at the general direction of the City Manager
of the City of Denton, Texas, or his designee under this agreement
Indemnification
Contractor shall and does hereby agree to indemnify and hold harmless the City of
Denton from any and all damages, loss, or habthty of any kind whatsoever, by reason of injury
to property or third persons occasmned by any error, omission or negligent act of Contractor,
its officers, agents, employees, invitees, and other persons for whom it is legally liable, with
regard to the performance of tins Agreement, and Contractor will, at its cost and expense,
defend and protect the City of Denton against any and all such claims and demands
Chmce of Law and Venue
This agreement shall be governed by the law of the State of Texas and venue for its
construction and enforcement shall he m the courts of Denton County, Texas
The CONTRACTOR hereby agrees to commence work on or after the date established
for the start of work as set forth m written notice to commence work and complete all work
within the tune stated in the Proposal, subject to such extensions of tune as are provided by the
General and Specml Conditions
The OWNER agrees to pay the CONTRACTOR m current funds the price or prices
shown in the Proposal, which forms a part of this contract, such payments to be subject to the
General and Special Condmons of the Contract
CA - 2
IN WITNESS WHEREOF, the parties of these presents have executed this agreement
~n the year and day first above written
ATTEST
BY
g ' (SEAL
ATTEST
~~_X.4 NOR-TEX PUMP CO, INC
~ CONTRACTOR
MAILING ADDRESS
PHONE NUMBER
FAX NUMBER
TITLE
APPROVED AS TO FO~ P~NTED NAME
CA - 3
PERFORMANCE BOND
STATE OF TEXAS §
COUNTY OF DENTON §
KNOW ALL MEN BY THESE PRESENTS That NOR-TEX PUMP CO. INC.,
whose address is P.O. BOX 91 KRUM, TX 76249, hereinafter called Prmmpal, and
Mxd-Contlnent Casualty Co. OKLAHOMA , a corporation orgamzed and
existing under the laws of the State of ~, and fully authorized to transact business
m the State of Texas, as Surety, are held and fn'mly bound unto the City of Denton, a
mumclpal corporation organized and existing under the laws of the State of Texas, hereinafter
called Owner, m the penal sum of ONE HIYNDRED SEVENTY SIX THOUSAND EIGHT
HUNDRED SEVENTEEN and no/100 DOLLARS ($ 176,817.00) plus ten percent of the
stated penal sum as an addmonal sum of money representing additional court expenses,
attorneys' fees, and hqmdated damages arising out of or connected with the below ~dentxfied
Contract, m lawful money of the Umted States, to be prod m Denton County, Texas, for the
payment of wl~ch sum well and truly to be made, we hereby band ourselves, our heirs,
executors, adrmmstrators, successors, and assigns, joantly and severally, fn'rnly by these
presents. This Bond shall automatacally be increased by the amount of any Change Order or
Supplemental Agreement whach increases the Contract prace, but ~n no event shall a Change
Order or Supplemental Agreement which reduces the Contract prace decrease the penal sum of
this Bond
THE OBLIGATION TO PAY SAME as conditioned as follows Whereas, the
Prmclpal entered into a certain Contract, adentafied by Ordinance Number 98-122, wath the
C~ty of Denton, the Owner, dated the 12 day of MAY A D. 1998, a copy of whach m hereto
attached and made a part hereof, for BID # 2178- UNDERGROUND STORAGE FUEL
TANKS AND FUEL ISLAND REPLACEMENT.
NOW, THEREFORE, ~f the Prmcapal shall well, truly and fmthfully perform and fulfill
all of the undertakings, covenants, terms, conditions and agreements of smd Contract m
accordance wath the Plans, Speclficataons and Contract Documents durang the orag~nal term
thereof and any extension thereof which may be granted by the Owner, wath or wathout notace
to the Surety, and during the hfe of any guaranty or warranty required under this Contract, and
shall also well and truly perform and fulfill all the undertakangs, covenants, terms, condmons
and agreements of any and all duly authomzed modaficatlons of smd Contract that may
hereafter be made, notace of which modlficataons to the Surety being hereby wmved, and, af the
Prmcapal shall repmr and/or replace all defects due to faulty matermls and workmanshap that
appear within a period of one (1) year from the date of £mal completaon and final acceptance of
the Work by the Owner, and, if the Prmcapal shall fully lndemmfy and save harmless the
Owner from all costs and damages whxch Owner may suffer by reason of failure to so perform
herren and shall fully rennburse and repay Owner all outlay and expense which the Owner may
recur re,making good any default or deftcaency, then this obhgataon shall be road, otherwme, at
shall remain m full force and effect
PB - 1
PROVIDED FURTHER, that if any legal action be filed upon this Bond, exclusive
venue shall l,e m Denton County, State of Texas
AND PROVIDED FURTHER, that the sa,d Surety, for value received, hereby
stipulates and agrees that no change, extension of time, alterauon or addmon to the terms of
the Contract, or to the Work to be performed thereunder, or to the Plans, Specifications,
Drawings, etc, accompanying the same, shall m anywise affect its obligation on this Bond,
and it does hereby waive nonce of any such change, extension of mne, alteration or addition to
the terms of the Contract, or to the Work to be performed thereunder, or to the Plans,
Specifications, Drawings, ete
This Bond m given pursuant to the provisions of Chapter 2253 of the Texas
Government Code, as amended, and any other applicable statutes of the State of Texas
The undersigned and designated agent is hereby designated by the Surety hereto as the
Resident Agent m Denton County to whom any requisite notices may be delivered and on
whom service of process may be had m matters arising out of such suretyship, as provided by
Article 7 19-1 of the Insurance Code, Vernon's Annotated Civil Statutes of the State of Texas
IN WITNESS WHEREOF, thru instrument Is executed in 4 copies, each one of which
shall be deemed an original, this the 12 day of MAY, 1998
ATTEST PRINCIPAL
EC~T~y~6~ Nor-Tex Pump Co , Ina
S BY
PRESIDENT -
ATTEST SURETY
Mid-Continent Casualty Co
BY
ATTORNEY-IN-FACT ~J
The Resident Agent of the Surety m Denton County, Texas for delivery of notice and service
of the process is
NAME Monroe & Monroe Insurance, Fred Monroe
STREET ADDRESS 204 Bxllxngs, Ste 110, Arlington, TX 76010
(NOTE Date of Performance Bond must be date of Contract If Restdent Agent ts not a
corporatton, gtve a person's name )
2178-CONTRACT & BONDS
5 14 98
PB - 2
~, a corporaliml
PAYMENT BOND
STATE OF TEXAS §
COUNTY OF DENTON §
KNOW ALL MEN BY THESE PRESENTS That NOR-TEX PUMP CO., INC.,
whose address is P.O. BOX 91, I/RUM, TX 76249, hereinafter called Principal, and
Mxd-Contlnent Casualty Co OKLAHOMA , a corporation orgamzed and
existing under the laws of the State of ~, and fully authorized to transact business
in the State of Texas, as Surety, are held and firmly bound unto the City of Denton, a
mumclpal corporatwn organized and exmtmg under the laws of the State of Texas, hereinafter
called Owner, and unto all persons, frans, and corporations who may furmsh materials for, or
perform labor upon, the building or unprovements hereinafter referred to, m the penal sum of
ONE HUNDRED SEVENTY SIX THOUSAND EIGHT HUNDRED SEVENTEEN and
no/100 DOLLARS ($ 176,817.00) m lawful money of thc United States, to be paid m
Denton, County, Texas, for the payment of which sum well and truly to be made, we hereby
bind ourselves, our hen:s, executors, administrators, successors, and assigns, jointly and
severally, firmly by these presents This Bond shall automatically be increased by the amount
of any Change Order or Supplemental Agreement which increases the Contract price, but m no
event shall a Change Order or Supplemental Agreement which reduces thc Contract price
decrease the penal sum of this Bond
THE OBLIGATION TO PAY SAME m condltwned as follows Whereas, the Principal
entered ~nto a certain Contract, ldent~fied by Ordinance Number 98-122, w~th the C~ty of
Denton, thc Owner, dated the 12 day of MAY A.D 1998, a copy of which is hereto attached
and made a part hereof, for BID # 2178- UNDERGROUND STORAGE FUEL TANKS
AND FUEL ISLAND REPLACEMENT.
NOW, THEREFORE, If the Principal shall well, truly and faithfully perform its duties
and make prompt payment to all persons, firms, subcontractors, corporations and claunants
supplying labor and/or material m the prosecution of the Work provided for in said Contract
and any and all duly authorized mod~ficatlons of sald Contract that may hereafter be made,
notice of wluch modlficatluns to the Surety bmng hereby expressly waived, then this obhgatmn
shall be void, otherwise ~t shall remam m full force and effect
PROVIDED FURTHER, that if any legal action be filed on this Bond, exclumve venue
shall he in Denton County, Texas
AND PROVIDED FURTHER, that the smd Surety, for value received, hereby
stipulates and agrees that no change, extenmon of time, alteration or addition to the terms of
the Contract, or to the Work to be performed thereunder, or to the Plans, Spec~ficatmns.
Drawings, etc, accompanying the same, shall m anywise affect its obhgatlon on thru Bond,
and ~t does hereby waive notice of any such change, extension of tune, alteration or addition to
the terms of the Contract, or to the Work to be performed thereunder, or to the Plans,
Specifications, Drawings, etc
PB - 3
This Bond is given pursuant to the prowslons of Chapter 2253 of the Texas
Government Code, as amended, and any other apphcable statutes of the State of Texas
The undersigned and designated agent m hereby designated by the Surety hereto as the
Resident Agent m Denton County to whom any reqmsne nonces may be dehvered and on
whom serwce of process may be had m matters arising out of such suretyship, as provided by
Article 7 19-1 of the Imuranee Code, Vemon's Annotated Civil Statutes of the State of Texas
IN WITNESS WHEREOF, thls msmunent as executed m 4 copies, each one of which
shall be deemed an original, this the 12 day of MAY, 1998
ATTEST PRINCIPAL
Nor-Tex Pump Co , Inc
SECRETARY ~ BY
ATTEST SURETY
Mzd-Contlnent Casualty Co
BY ~ ~
ATTORNEY-IN-F,4.CT -(J '
The Resident Agent of the Surety in Denton County, Texas for delivery of not~ce and serwce
of the process m
NAME Monroe & Monroe INsurance, Fred Monroe
STREET ADDRESS 204 Billings, Ste 110, Arlington, TX 76010
(NOTE Date of Payment Bond must be date of Contract If Restdent Agent ts not a
corporatton, gtve a person's name )
2178-CONTRACT & BONDS
51498
PB - 4
BID NJJMBER 2'~78 BID PROPOSALS Page 2 of 2
~lty of Denton, Texas ~1 B Texas St
I~lroheelng Depaftmeot Denton, Texaa 78201
ITEM DESCRIPTION QUAN PRICE AMOLN~
1. Underground Storage Tanks and Fuel Island Replacement i Lot $ ;/~'(., ~l'
Time in days to complete 9roject ~ I days
Current fuel system down time until new system is
completed ~ days
NOTE
1. The old tanks shall become the property of the
successful bidder. Successful bidder agrees to
execute a quit claim deed releasing the City of
Denton of all liabllity for and ownership of the
tanks pr[or to removal from the Service Center
property at 901 Texas St., Denton, TX 76201
2. A prebid meeting will be held on March 5, 1998
Thursda~ at 10 A.M to review the works[ts and
address any questions from potential suppliers.
We quote the above f 0 b delivered to Denton, Texas Shipment can be made in ~ 0 days from re~=eipt of order Terms nail30
unless othe~viSe Indicated
In submitting the above bid, the vendor agrees that aoceptanca of any or all bid Items by the City of Denton, Texas within a
reasonable period of time aonetltue8 a aontract The ~ompleted Bid Proposal must be properly priced, signed and returned
City State Zip ~ 81gnature ~
PRODUCER THIS CERTIFICATE 18 18SUED A8 A MATTER OF INFOR~TION
ONLY AND CONFER8 NO RIGHT8 UPON THE CERTIFICATE
~onroe ~ ~on~oe (U~T) HOLDER THIS CERTIFICATE DOES NOTAMEND, EXTEND OR
204 B~ZZ~ng; ~110 ALTER THE COVE~GE AFFORDED BY THE POLICIES BELOW
~rZtngton TX ? 60[0 COMPANIE~ AFFORDING COVE~GE
A Ntd-Conhtnent CasuaZby Co
iNsuaeo COMPANY
B Texae Workers Co~ Zne Fund
~or-Tex P~p C~pany COMPLY
P O BOX 91 COmPaNY
Er~ TX 76~9 D
THIS 18 TO CERTIFY THAT T'H E POLiCiES OF iNSU~NCE LISTED BELOW ~ BEEN 18SUED TO THE INSURED ~ED ~OVE FOR ~E POLICY PERIOD
INDICA~D NO~THSTAN~INQ ANY ~QUIREMENT TERM OR CONDITION OF ~Y CONTACT OR OTHER DOCUMENT ~TH RESPECT TO ~ICH THIS
CERTIFICATE ~Y BE I88UE~ OR ~Y PERTAIN, ~E INSU~CE AFFORDED BY ~E POLICIES DESCRIBED HEREIN 18 SUBJECT TO ALL THE TERME
~ ~ COMMERC~GENE~L~BIL~ ~Q~235041 06/15/98 06/15/99 PRODUCT8 COMPIOPAGG S2f000,000
~ C~MS~; ~ OCCUR PERSO~L~W~dURY S 1,000,000
~ X ANYAUTO 04;18589-4 06/15/98 06/15/99
SODILY INJURY
SCHEDULED AUTO8 (Per person)
HIRED AUTO8 BODILY iNJURY
NON O~ED AUTOS
~Y A~O OTHER THAN AUTO ONLY
~ EACH ACCIDENT
UMSREL~ FORM AGGREGATE
OTHER T~ UMBRE~ FORM
~ THEPROPRIETO~ ~ ~NCC ~g~054798 0?/01/9? 0T/01/98 ELDISEASE POLICY LIMIT ~ SOO, 000
OFFICERSARE ~CL ELDISEASE ~EMPLOYEE $ ~00f000
OTHER
~ ~:o~e:~y 8eo~on C~100699 06/15/98 06/15/99
A iBuilders Ris~ ~P55500 03/03/98 09/03/98 AZ1en, TX 700,000
EXPI~ON DATE ~EREOF, ~E IBaUING COMPANY WILL END~VOR TO MAiL
901 a Texas S~ ~y~N~N~ePA~I~AeeaTSORRePReaBNTA~VES
Den~o~ ~X 76201 AUT~R~r) ~
}~ ~ OAOORD CORPO~TION
CITY OF DENTON
INSURANCE REQUIREMENTS FOR CONTRACTORS
B~dder'e attention is directed to the Insurance requirements below It ~s highly
recommended that bidders confer with their respective insurance carriers or brokers
to determine in advance of Bid submission the availab~lity of insurance certificates and
endorsements as prescribed and provided herein If an apparent Iow bidder falls to
comply ,strictly with the Insurance requirements, that bidder may be disqualified from
award of the contract. Upon bid award, all Insurance requirements shall become
contractual obligations which the successful bidder shall have a duty to maintain
throughout the course of this contract
STANDARD PROVISIONS:
W~thoul; I,m~t~ng any of the other obligations or I~ab~l,t~es of the Contractor, the
Contractor shall provide and maintain until the contracted work has been completed
and accepted by the C~ty of Denton, Owner, the m~n~mum ~nsurance coverage as
~nd~cated hereinafter
As soon as practicable after notification of b~d award, Contractor shall file w~th the
Purchasing Department satisfactory certificates of ,nsurance, containing the b~d
number and t~tle of the project. Contractor may, upon written request to the
Purchasing Department, ask for clanflcat,on of any ~nsurance requirements at any
t~me, however, Contractors are strongly adwsed to make such requests prior to b~d
opening, since the ~nsurance requirements may not be modified or wa,ved after b,d
open~ng unless a written exception has been submitted w~th the b~d Contractor shall
not commence any work or deliver any material until he or she receives notification
that the contract has been accepted, approved, and s,gned by the City of Denton
All ~nsurance pohc~es proposed or obtained ~n satisfaction of these requirements shall
comply w~th the following general specifications, and shall be maintained ~n
compl,ance w~th these general speciflcat~ons throughout the duration of the Contract,
or longer, ~f so noted
· Each pohcy shall be ~ssued by a company authorized to do bus,ness ~n the
State of Texas w~th an A M. Best Company rating of at least ~ .
· Any deductibles or self-insured retentions shall be declared ~n the b~d
proposal. If requested by the City, the ~nsurer shall reduce or ehm~nate
such deductibles or self-insured retentions w~th respect to the C~ty,
AAA00360
1
REVISED 10/12/94 ~,1
Insurance Requirements
Page 2
officials, agents, employees and volunteers, or, the contractor shall procure
a bond guaranteeing payment of losses and related ~nvestigatlons, claim
administration and defense expenses
· Liability pohc~es shall be endorsed to provide the following
®e Name as additional insured the City of Denton, ~ts Officials, Agents,
Employees and volunteers
· · That such insurance is primary to any other ~nsurance available to the
additional insured w~th respect to claims covered under the pohcy and
that th~s insurance applies separately to each ~nsured against whom
claim is made or suit is brought. The inclusion of more than one
insured shall not operate to increase the insurer's limit of hab~hty
· All policies shall be endorsed to prowde thirty(30) days prior written notice
of cancellation, non-renewal or reduction in coverage
· Should any of the required insurance be provided under a claims-made
form, Contractor shall maintain such coverage continuously throughout the
term of this contract and, without lapse, for a period of three years beyond
the contract expiration, such that occurrences arising during the contract
term which give rise to claims made after expiration of the contract shall
be covered.
· Should any of the required insurance be provided under a form of coverage
that includes a general annual aggregate hmlt prowdlng for claims
investigation or legal defense costs to be included m the general annual
aggregate limit, the contractor shall e~ther double the occurrence hm~ts or
obtain Owners and Contractors Protective Liability Insurance
· Should any required insurance lapse during the contract term, requests for
payments originating after such lapse shall not be processed until the C~ty
receives satisfactory evidence of reinstated coverage as required by this
contract, effective as of the lapse date If insurance ~s not reinstated, C~ty
may, at its sole option, terminate this agreement effective on the date of
the lapse.
AAA00350
,~V~SED ~o~2~4 CI - 2
Insurance Requirements
Page 3
SPECIFIC ADDITIONAL INSURANCE REQUIREMENTS:
All insurance policies proposed or obtained m satisfaction of th~s Contract shall
additionally comply with the following marked specifications, and shall be maintained
~n compl,ance with these additional specifications throughout the durat,on of the
Contract, or longer, if so noted:
A. General Liability Insurance:
General Liab~hty ~nsurance with combined s~ngle hm~ts of not less than
.~I.,~QIZ,.Q~L shall be provided and maintained by the contractor. The pohcy
shall be written on an occurrence bas~s rather m a single policy or ~n a
combination of underlying and umbrella or excess pohc~es.
If the Commercial General Llab,hty form (ISO Form CG 0001 current
edition) ~s used
· Coverage A shall ,nclude premises, operations, products, and
completed operations, ,ndependent contractors, contractual hab~hty
covering th~s contract and broad form property damage coverage
· Coverage B shall ~nclude personal ~niury
· Coverage C, medical payments, ~s not required
If the Comprehensive General L~ab~hty form (ISO Form GL 0002 Current
Edition and ISO Form GL 0404) ~s used, ~t shall include at least.
· Bodily ~n]ury and Property Damage L~ab~hty for premises,
operations, products and completed operations, independent
contractors and property damage resulting from explosion, collapse
or underground (XCU) exposures
· Broad form contractual I,ab~hty (preferably by endorsement)
covenng th~s contract, personal ,n]ury hab~hty and broad form
property damage hab~hty,
AAA00360
CI
REVISED 10/12/~4 ' ~
Insurance Requirements
Page 4
Ix] Automobile Uabil,ty Insurance:
Contractor shall provide Commercial Automobile L~ab~hty insurance w,th
Combined Single Limits (CSL) of not less than s~oo.ooe e~ther in a single
policy or in a combination of basic and umbrella or excess pohc,es. The policy
will ,nclude bodily Injury and property damage liabil,ty arising out of the
operation, maintenance and use of all automobiles and mobile equipment used
~n conjunction with this contract.
Satisfaction of the above requirement shall be in the form of a pohcy
endorsement for'
· any auto, or
· all owned, hired and non-owned autos.
[×] Workers Compensation Insurance
Contractor shall purchase and maintain Worker's Compensation ~nsurance
which, in addition to meeting the mimmum statutory requirements for issuance
of such insurance, has Employer's Llablhty limits of at least $100,000 for each
accident, $100,000 per each employee, and a $500,000 policy hmit for
Occupational disease. The City need not be named as an "Additional Insured"
but the insurer shall agree to waive all rights of subrogation against the City,
~ts officials, agents, employees and volunteers for any work performed for the
City by the Named Insured For building or construction projects, the
Contractor shall comply with the prowslons of Attachment 1 ~n accordance
w~th §406.096 of the Texas Labor Code and rule 28TAC 110.110 of the Texas
Worker's Compensation Comm,ss~on (TWCC)
[ ] Owner's and Contractor's Protective L,abihty Insurance
The Contractor shall obtain, pay for and maintain at ail t~mes during the
prosecution of the work under this contract, an Owner's and Contractor's
Protective L~ab~hty ~nsurance policy naming the City as ;nsured for property
damage and bodily ~njury which may anse ~n the prosecution of the work or
contractor's operations under this contract. Coverage shall be on an
AAAO0350
REV~S~O ~o,=~4 Cl - 4
Insurance Requirements
Page 5
"occurrence" bas~s, and the policy shall be ~ssued by the same ~nsurance
company that carries the contractor's I,abihty insurance Policy lira,ts w~ll be
at least combined bodily injury and property damage per
occurrence w~th a aggregate
[ ] Fire Damage Legal Liability Insurance
Coverage ~s required ~f Broad form General L~ab;l;ty ~s not prowded or ~s
unavmlable to the contractor or ~f a contractor leases or rents a port,on of a
City building Limits of not less than each occurrence are required
[ ] Professional Liability Insurance
Professional liability ~nsurance w~th limits not less than per clmm
with respect to negligent acts, errors or omissions ~n connection w~th
professional services ~s required under th~s Agreement
[ ] Builders' Risk Insurance
Builders' R~sk Insurance, on an AII-R~sk form for 100% of the completed value
shall be prowded. Such policy shall include as "Named insured" the C~ty of
Denton and all subcontractors as their interests may appear
[ ] Additional Insurance
Other insurance may be requ;red on an individual bas~s for extra hazardous
oontracts and specific service agreements If such additional insurance is
required for a specific contract, that requirement w;ll be descnbed m the
"Specific Cond,t~ons" of the contract spec,flcat~ons
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ATTACHMENT I
[ ] Worker's Compensation Coverage for Building or Construction Projects for
Governmental Entitles
A Defln,tions
Certificate of coverage ("cert;ficate")-A copy of a certificate of insurance,
a certificate of authority to self-,nsure ~ssued by the commission, or a
coverage agreement (TWCC-81, TWCC-82, TWCC-83, or TWCC-84),
showing statutory workers' compensation ,nsurance coverage for the
person's or entlty's employees prov,dmg serwces on a project, for the
durst;on of the project.
Duration of the project - includes the t~me from the beg,nmng of the work
on the project until the contractor's/person's work on the project has been
completed and accepted by the governmental ent;ty
Persons prowd~ng services on the project ("subcontractor" ~n §406 096) -
~ncludes all persons or ent~t~es performing all or part of the serwces the
contractor has undertaken to perform on the project, regardless of whether
that person contracted d~rectly w~th the contractor and regardless of
whether that person has employees. Th,s includes, w~thout hm~tat~on,
independent contractors, subcontractors, leasing compames, motor
carr,ers, owner-operators, employees of any such entity, or employees of
any entity which furnishes persons to prov,de serv,ces on the project
"Services" ~nclude, w,thout I,m~tat~on, prowd~ng, hauhng, or dehvenng
equipment or materials, or providing labor, transportation, or other serwce
related to a project. "Services" does not ~nclude act,wt~es unrelated to the
project, such as food/beverage vendors, office supply dehvenes, and
delivery of portable toilets
B The contractor shall provide coverage, based on proper reporting of
classification codes and payroll amounts and flhng of any overage
agreements, which meets the statutory requirements of Texas Labor Code,
Section 401 011 (44) for all employees of the contractor providing serwces
on the project, for the duration of the project
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C, The Contractor must provide a certificate of coverage to the governmental
entity prior to being awarded the contract.
D. If the coverage period shown on the contractor's current certificate of
coverage ends during the duration of the project, the contractor must, pnor
to the end of the coverage period, file a new certificate of coverage w~th
the governmental entity showing that coverage has been extended.
E The contractor shall obtain from each person prowding serwces on a
project, and prowde to the governmental entity
(1) a certificate of coverage, pnor to that person begmmng work on the
project, so the governmental entity w~ll have on file certificates of
coverage showing coverage for all persons prowd~ng services on the
project, and
(2) no later than seven days after receipt by the contractor, a new
certificate of coverage showing extension of coverage, if the coverage
period shown on the current certificate of coverage ends dunng the
duration of the project
F. The contractor shall retain all required certificates of coverage for the
duration of the project and for one year thereafter
G The contractor shall not~fy the governmental entity ~n writing by certified
mail or personal delivery, w~th~n 10 days after the contractor knew or
should have known, of any change that matenally affects the prows~on of
coverage of any person prowdlng serwces on the project
H. The contractor shall post on each project site a not~ce, ~n the text, form and
manner prescribed by the Texas Workers' Compensation Commission,
mform~ng all persons providing serwces on the project that they are
required to be covered, and stating how a person may verify coverage and
report lack of coverage.
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I. The contractor shall contractually require each person with whom ~t
contracts to provide services on a project, to'
(1) provide coverage, based on proper reporting of classification codes
and payroll amounts and filing of any coverage agreements, which
meets the statutory requirements of Texas Labor Code, Section
401.011 (~1 for all of its employees providing serv,ces on the project,
for the duration of the project,
(2) provide to the contractor, prior to that person beginning work on the
project, a certificate of coverage showing that coverage is be,ng
provided for all employees of the person prowdlng services on the
project, for the duration of the project,
(3) provide the contractor, prior to the end of the coverage period, a new
certificate of coverage showing extension of coverage, ~f the coverage
period shown on the current cert,flcate of coverage ends during the
duration of the project;
(4) obtain from each other person w~th whom ;t contracts, and prowde to
the contractor'
(a) a cert,flcate of coverage, prior to the other person beginmng
work on the project; and
(b) a new certificate of coverage showing extens,on of coverage,
prior to the end of the coverage period, ~f the coverage period
shown on the current certificate of coverage ends during the
duration of the project,
(5) retain all required cert,ficates of coverage on file for the duration of
the project and for one year thereafter,
(6) notify the governmental entity ~n wnt~ng by certified mail or personal
delivery, within 10 days after the person knew or should have known,
of any change that materially affects the provision of coverage of any
person providing services on the project, and
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(7) contractually require each person w~th whom it contracts, to perform
as required by paragraphs (1) - (7), with the certificates of coverage
to be provided to the person for whom they are providing services
J. By signing this contract or providing or causing to be provided a certificate
of coverage, the contractor is representing to the governmental entity that
all employees of the contractor who will prowde services on the project will
be covered by workers' compensation coverage for the duration of the
project, that the coverage will be based on proper reporting of classification
codes and payroll amounts, and that all coverage agreements will be flied
with the appropriate insurance carrier or, ~n the case of a self-insured, w~th
the commission's Division of Self-Insurance Regulation Providing false or
misleading information may subject the contractor to administrative
penalties, criminal penalties, civil penalties, or other clwl actions
K The contractor's failure to comply with any of these provisions ~s a breach
of contract by the contractor which entitles the governmental entity to
declare the contract void ~f the contractor does not remedy the breach
w~thm ten days after receipt of notice of breach from the governmental
entity.
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