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2001-424STREET, PROVIDING FOR THE EXPENDITURE OF FUNDS THEREFORE, AND PROVIDING AN EFFECTIVE DATE (BID 2722 - BERNARD/JAMES 20 INCH WATER! JINE AWARDED TO PATE AND PATE, LLC IN THE AMOUNT OF $1,130,294 80) WHEREAS, the Caty has sohcated, receaved and tabulated competatave bids for the constructaon of publac works or improvements an accordance with the procedures of STATE law and Caty orchnances, and WHEREAS, the C~ty Manager or a desagnated employee has receaved and recommended that the herean described b~ds are the lowest responsable bads for the constructaon of the publac works or improvements described m the bad ~nvltataon, b~d proposals and plans and specifications therean, NOW, THEREFORE, THE COUNCIL OF THE CITY OF DENTON HEREBY ORDAINS SECTION I That the following compet~tave bads for the constructaon of publac works or improvements, as described an the "B~d Invatataons", "Bad Proposals" or plans and specaficataons on file an the Offace of the City's Purchasing Agent filed according to the bad number assigned hereto, are hereby accepted and approved as being the lowest responsable bads BID NUMBER CONTRACTOR AMOUNT 2722 PATE AND PATE, LLC $1,130,294 80 SECTION II That the acceptance and approval of the above competatave bads shall not constatute a contract between the City and the person submattlng the bad for constructaon of such pubhc works or amprovements herein accepted and approved, untal such person shall comply wath all requarements specafaed ~n the Notice to Badders ancludang the timely executaon of a written contract and furnashang of performance and payment bonds, and ansurance certaficate after not~facataon of the award of the bad SECTION 11I That the Caty Manager as hereby authorized to execute all necessary written contracts for the performance of the constmeUon of the publac works or amprovements in accordance wath the bids accepted and approved berean, prowded that such contracts are made an accordance wath the Notace to Badders and Bad Proposals, and documents relating thereto specafy~ng the terms, conchtaons, plans and specaficataons, standards, quantataes and specified sums contmned therean SECTION IV That upon acceptance and approval of the above competltave bads and the SECTION IV That upon acceptance and approval of the above competitive bids and the execution of contracts for the public works and improvements as authorized heroin, the City Council hereby authorizes the expenditure of funds in the manner and in the amount as specified in such approved bids and authorized contracts executed pursuant thereto SECTION V That th~s ordinance shall become effective ~mmedmtely upon ~ts passage and approval PASSED AND APPROVED this the b ~ day of ~O'/~mt~ ,2001 EULINE BROCK, MAYOR ATTEST JENNIFER WALTERS, CITY SECRETARY APPROVED AS TO LEGAL FORM HERBERT L P U~y,~ITY ATTORNEY 2 Z z ~ ~ ~5 ~ w w w oo ~ ~ ~ ~z ~ 0 0 o ~ ~ ~ ~ w w w ~ ~ ~ ~ ~ ~ Z Z ~ Z ~ Bernard/James 20-Inch Water Line B~d # 2722 CITY OF DENTON CONTRACT AGREEMENT STATE OF TEXAS § COUNTY O~ DENTON § THIS AGREEMENT, made and entered into this 6th day of November A D, 2001, by and between City of Denton of the County of Denton and State of ~rexas, acting through Michael A Conduff thereunto duly authorized so to do, hereinafter termed "OWNER," and Pate & Pate, LLC 780 W Mansfield Highway Kennedale, TX 76060 of the City of Kennedale, County of Tarrant and State of Texas , hereinafter termed "CONTRACTOR" WITNESSETH That for and in consideration of the payments and agreements hereinafter mentioned, to be made and performed by OWNER, and under the conditions expressed in the bonds attached hereto, CONTRACTOR hereby agrees w~th OWNER to commence and complete performance of the work specified below Bid #2722 Bernard/James 20-Inch Water Line in the amount of $1,130,294 80 and all extra work in connection therewith, under the terms as stated in the~ General Conditions of the agreement, and at his (or their) own proper cost and expense to furmsh all materials, supplies, machinery, equipment, tools, superintendence, labor, insurance, and other accessories and services necessary to complete the work specified above, in accordance vath the conditions and prices stated m the Proposal and the Performance and Payment Bonds, attached hereto, and in accordance vath all the General Conditions of the Agreement, the Special Conditions, the Notice to Bidders (Advertisement for Bids), and Instructions to Bidders, as referenced herein and on file in the oj~fiee of the Purchasing Agent, and in accordance with the plans, which includes all maps, plats, blueprints, and other drawings and printed or written explanatory matter thereof, and the Specifications therefore, as prepared by Klmley~Horn and Associates, Ine, and City of Denton Staff alt of wtueh are referenced herein and made a part hereof and collectively evidence and constatate the entire contract CA-1 Bernard/James 20.Inch Water Line Bid # 2722 CITY OF DENTON 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 compensatmn, 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 services hereunder according to the attached specifications at the general direction of the City Manager of the City of Denton, Texas, or h~s designee under this agreement Indemnffication Contractor shall and does hereby agree to indemnify and hold harmless the City of Denton from any and all damages, loss, or liability of any kind whatsoever, by reason of injury to property or third persons occasioned by any error, omission or negligent act of Contractor, its officers, agents, employees, mvltees, and other persons for whom it is legally liable, with regard to the performance of this Agreemertt, and Contractor will, at its cost and expense, defend and protect the City of Denton against any and all such clarms and demands Choice of Law and Venue Tlus agreement shall be governed by the law of the State of Texas and venue for its construction and enforcement shall lie in 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 in written notice to commence work and complete all work within the t~me stated in the Proposal, subject to such extensions of t~me as are provided by the General and Special CondlO. ons The OWNER agrees to pay the CONTRACTOR in 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 Conditions of the Contract CA ~ 2 Bernard/James 20-Inch Water Line Btd# 2722 CITY OF DENTON 1N WITNESS WHEREOF, the parties of these presents have executed thru agreement ~n the year and day first above written ATTEST (SEAL) ATTEST Assistant Secretary D sballe ~ Vzce-Preszdent 780 W. Mansfzeld Hzghway Kennedaler Texas 76060 MAILING ADDRESS ~17-483-0999 PHONE NUMBER 817-483-0899 __ FAX NUMBER BY Vzce-Presldent ~TLE Douglas Bzsballe APPROVED AS TO FORM PR/NTED NAME CITY ATTOR2qEY CA - 3 Bernard/James 20-Inch Water Line B~d # 2722 CITY OF DENTON July 31, 2001 NAME OF BE)DER Pate & Pate, LLC DATE Sgptember 4, 2001 MS CHRISTY SKIRCHAK PURCHASING CITY OF DENTON 901-B TEXAS STREET DENTON, TX 76209 Dear Ms Sl~rohak The undersigned, In comphance with your advemsement for Bids for Bemard/James 20-Inch Water Line, having examined the Drawings and Specifications, together with the related documents and all condltlons surrounding the work, and hamg wslted the sites of the proposed work, hereby, proposes to furmsh all work m every detail ~n accordance with the Contract Documents wlttun the time set forth hereto and at the pnces stated below These pnces shall cover all expenses incurred in performing the work under the Contract Documents, of winch the Proposal is a part Attached herewith, please find (Castner's Check) (Certified Check) (B~d Bond) m the mount of $ , five percent (5%) of the bid I (or we) acknowledge, receipt of the following addenda ADDENDA #1 /~., (ImUal) ADDENDA #3 (ImUal) Bemard~$ames 20-h~eh Water Line B~d # 2722 CITY OF DENTON July 31, 2001 CONTRACT DOCUMBNTS Hawng examined the Proposal, General Instructions, Materials, Execution, DraWings, and Contract for (Bxd # 2722) and Bernard/flames 20-Inch Water Line and hamng e×ammed the prermses and ¢~rcumstanees affecting the work, the undersigned offer OFFER 1 To furmsh all labor, matenal, tools, eqmpment, transportation, bonds, all applicable taxes, ln¢~dentals, and other fae~lmes, and to perform all work for the smd Bernard/James 20-Inch Water Line for the followm, g area BASE BII) - Bemarfl/3~ames 20-Inch Water Line O~e m~llxon one hundred thirty thousand two Iuwords hundred ninety four dollars and ezghty cents $1,130,294.80 WORKDAYS 120 BID NO 2722 PO NO BID TABULATION SHEET Base SP-3 ? Water Line 685 LF $ 38 dO 0 $ 26,030 0 (2 UnltPHcemWords Thirty eight dollars and no cents SP-3 8"WaterLine 1.589 LF $ 40./00 $ 63,560 0C SP-3 Umt Pnce reWords Forty dollars and no cents 20"WaterLine 9,426 LF $ 63 ~5 ~596,194 50 UmtPrlcemWords Sixty three, dollars and twenty f~_ve cents 661 LF $ 264./00 [$174,504 0( Section 02310 Casing UmtPmeemWords Two hundred s~xty four dollars and no cents Standard Water Service I 18 EA $ 350./00 $ 6,300.0( SP-3 UmtPmcemWords Three hundred fzfty dollars and no cents SP-3 LC~nennect to Exmtmg 20" Water 1 [EA $ 4,200 ./00 $ 4,200.0 ( UmtPncemWords Forty two hundred dollars and no cents '20"x6" Connectt;n 3 EA [ $ 1,950./00 I $ 5,850.00 Umt~ ~cemWords Nzneteen hundred f~fty dollars and no cents I 1 EA I$ 2,200./00 $ 2,200 00 20'x8" Connection Umt P: 'me m Words Twenty two hundred dollars and no cents SP-3 8"x6' Tapping Sleeveand 1 EA $1,600 /00 $ 1,600.0(2 Valve UmtP{~eemWords Szxteen hundred dollars and no cents SP-3 18"xS'TappmgSleeveand 1 EA $ 1,850./00 $ 1,850.0( I ValYe UmtPncemWords E~ghteen hundred f~fty dollars and no cents SP-3 16"x 16" Tapping Sleeve and 1 EA $ 9,530 ./00 $ 9,530.0 ( , Valve Unlt~memWords N~nety five hundred thirty dollars and ne.cents WORKDAYS 120 BID NO 2722 PO NO BID TABULATION SHEET ~ase Bid Cent !6" Gate Valve ' 3 EA $ 500. ~ 0 $ 1,500.00 SP-3 UnltP~lcemW0rdsFzve hundred dollars and no cents SP-3 Gate V~dve 4 [ EA $ 640.00 $ 2,560 00 UmtPncemWords Two hundred fzfty dollars and no cents SP-3 20" Gate Valve and Vault [ 6 EA ~5,300 60 $91,800.00 UmtPncemWords Fxfteen thousand three hundred dollars and no cents SP-3 . F~re Hydrant Assembly 6 EA $ 2,250 00 $13,500.00 UmtPncemW0rds Twenty two hundred fxfty dollars and no cents 673(1)(3) 12" A~r Release Valve Assembly 3 EA [$4,300.00 [512,900.00 UmtPncemWords Forty three hudnred dollars and no cents 673(1)(3) 2"CombmattonAtrRelease 1 EA $4,550 00 $ 4,550.00 Valve Assembly UmtPncemWords Fototy fzve hudnred fxfty dollars and no cents SC40 Saw Cut 16,656 LF $ .80 $13,324 80. UmtPrlcemWords No dollars and ezghty cents Item3 ' Remove Concre~ Pavement I 83 SY I$ 3.~0 $ 273.90 UmtPn~mW0rds Three dollars and thxrty cents Item58 Concrete Pavement 83 SY $ 51.00 $ 4,233 00 UmtPncemWords Fxfty one dollars and no cents SP-3 Grass Seeding w/Eromon 898 [ LF $ 6. ? 0 $ 6,016 60 Control Blanket UmtPncemWords Szx dollars and seventy cents SC-37 Excava~onPro~¢~on 8.765 LF $ 3./20 $ 28,048 00 UmtPrlcemWords Three dollars and twenty cents WORKDAYS 120 BID NO 2722 PO NO BID TABULATION SHEET Base Bid Cont SC-39 ProjeetSlgns 2 $ 935 DO $ 1,870 00 UmtPrmemWords Nine hundred thirty f~ve dollars and no cents item 8 1 Barricades, Warning Signs, and 1 LS $ 7,700 ~] 0 $ 7,700 00 Demurs UmtPrlcemWords Seventy seven hundred dollars and no cents 3 1 Preparation of Rtght-of-Way 1 I LS ~ 1,70 b. ~ (J $ 21,700.00 Item UmtPncemWords Twenty one thousand seven hudnred dollars and no cent~ Item 1 21 ] C°ntract°r's Warranttes antiIUnderstandmg 1] LS $ 500'60 I$ 50000 UmtPr,cemWords FJ. ve hundred dollars and no cents ' [ Sectton02010 LPSTSlteWork 1 LS [57,500./00 $27,500.00 UmtPncemWords Twenty seven thousand f~ve hundred dollars and no cen' s Entry Agreement Fee UmtPr~cemWor~ F~ve hundred dollars and no cents Bernard/James 2(14rich Water Line B~cl ii 2722 CITY OF DENTON luly 3 I, 2001 Bernard/lames 20-Inch Water Line MATERIALS $ 737,666,01 LABOR $ 411,480.79 TOTAL $ 1,130,294.80 EXAMINATION OF SITE By slgmng the Proposal Form, contractor acknowledges he is an authorized representative and has examined the site and ~s aware of all field conditions, wtuch may affect the work TAXES Tax shall not be included m your bid Upon receipt of notice of acceptance of this bid, w~tinn thirty (30) days of the date of flus proposal, I (or we) agree to execute the formal contract w~thm ten (10) days thereafter, and to dehver an Insurance Certtficate, a SURETY BOND in the mount of ONE HUNDRED and TEN PERCENT (110%) of the contract price, for the faithful performance of the contract, and a ONE HUNDRED PERCENT (100%) STATUTORY PAYMENT BOND The undersltpaed agrees to complete all work shown on the drawings and m the specifications w~thm the time hnuts set forth below subject to adchtaonal days that may be added due to inclement weather and/or other justafied and reasonable extensions or time as may be approved by the Owner Contractors that are awarded contracts shall be prepared to lmmedxately s~t down w~th the City of Denton Representatives and present a plan that will illustrate how progression of work is to take place to insure completion of all work w~ttun specified time hm~ts The time lmalts are as follows All work ~s to be started and completed w~thln 40 (forty) work days Work days are defined m the Supplementary Conchtlons If a contractor is awarded the project, the project must be completed wlttun the dates shown above or the contractor w~ll be subject to hqmdated damages as set forth below 11 Bernard/James 20-Inch Water Line B~d # 2722 CITY OF DENTON July 31, 2001 A working day ~s defined as a calendar day, m wtuch weather or other condmons not under the control of the company will permit the performance of the pnnc~pal units of work underway for a continuous period of not less than seven (7) hours between 7 00 A M and 6 00 P M The undersigned agrees that the Owner may retam the sum, as prescribed m the North Texas Council of Governments General Prowslons, from the mount to be pard to the undersigned for each calendar day that the work contemplated remtuns ~ncomplete beyond the t~me set forth, Sundays and hohdays INCLUDED Tbas amount ~s agreed upon as the proper measure of hqmdated damages which the Owner w~ll sust~n per day by failure of the understgned to complete the work at the stipulated t~me, and ~s not to be construed ~n any sense as a penalty Payment w~ll be made to the contractor w~ttun tturty (30) days after receipt of proper mvmce and written acceptance of proj eot from the Owner's representative, all reqmred material lnvomes, documentatmn, etc and all written warrant~es from both contractor and manufacturer I (or we) agree to promptly furmsh a correct and current fmanmal statement of condmon with a hst of owned eqmpment and an experience record of completed projects for exarmnataon by Owner and architect, ~f same ~s reqmred SEAL (If by Corporatton) RESPECTFULLY SUBMITTED BY (Name) Vice-President (T~tle) 780 W. Mansfield Highway (Address) Kennedale, Texas 76060 Bernard/James 204rich Water Line B~d # 2722 CITY OF DENTON Bond ~SF0932 PERFORMANCE BOND STATE OF TEXAS § COUNTY OF IDENTON § KNOW ALL MEN BY THESE PRESENTS That Pate & Pate, LLC whose address is 780 Wi Mansfield Highway, Kennedale, TX 76060 hereinafter called Principal, and Fidelity and Guaranty Insurance Underwriters~ Inc. , a corporation organized and existing under the laws of the State of Wisconsin , and fully authorized to transact business in the State of Texas, as Surety, are held and firmly bound unto the City of Denton, a municipal corporation organized and existing under the laws of the State of Texas, hereinafter called Owner, in the penal sum of One Million, One Hundred & Thirty Thousand, Two Hundred and Ninety Four DOLLARS and Eighty Cents ($1,130,294 80 ) plus ten percent of the stated penal sum as an additional Sum of money representing ad&t~onal court expenses, attorneys' fees, and liquidated damages arising out of or connected with the below identified Contract, in lawful money of the United States, to be paid in Denton County, Texas, for the payment of wluch sum well and truly to be made, we hereby bind ourselves, our heirs, executors, adrmmstrators, 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 in no event shall a Change Order~ or Supplemental Agreement, which reduces the Contract price, decrease the penal sum of this Bond THE OBLIGATION TO PAY SAME is conditioned as follows Whereas, the Principal entered into a certmn Contract, identified by Ordinance Number 2001- 424, with the City of Denton, the Owner, dated the 6th day of November A D 2001 , a copy of which is hereto attached and made a part hereof, for Bid # 2722 Bernard/James 20~Inch Water Line NOWi THEREFORE, if the Principal shall well, truly and faithfully perform and fulfill all of the undertakings, covenants, terms, conditions and agreements of stud Contract m accordance with the Plans, Specifications and Contract Documents during the original term thereof and any extension thereof whlchlmay be granted by the Owner, with or without notice to the Surety, and during the life of any guaranty or warranty required under this Contract, and shall also well and truly perform and fulfill all the undertakings, covenants, terms, conditions and agreements of any and all duly authorized modifications of smd Contract that may hereafter be made, notice of wluch modifications to the Surety being hereby ~vatved, and, if the Principal shall repair and/or replace all defects due to faulty materials and workmanslup that appear w~thm a period of one (1) year from the date of final completion and final acceptance of the Work by the Owner, and, if the Pnnclpal shall fully mdemmfy and save harmless the 9wner from all costs and damages wlueh Owner may suffer by reason of ftulure to so perform herein and shall fully reimburse and repay Owner all outlay and expense which the Owner may incur in making good any default or deficiency, then this obligation shall be void, otherwise, ~t shall remain in full force and effect PB - 1 Bernard/James 204nch Water Lme Bid # 2722 CITY OF DENTON PROVIDED FURTHER, that if any legal action be filed upon this Bond, exclusive venue shall he in Denton County, State of Texas AND PROVIDED FURTHER, that the smd Surety, for value received, hereby stipulates and agrees that no change, extension of t~me, alteration or ad&t~on to the terms of the Contract, or to the Work to be performed thereunder, or to the Plans, Specfficatmns, Drawings, etc, accompanying the same, shall ~n anywise affect its obhgat~on on th~s Bond, and ~t does hereby waive not~ce of any such change, extenmon of t~me, alteration or add,hen to the terms of the Contract, or to the Work to be performed thereunder, or to the Plans, Specfficatmns, Drawings, etc Th~s Bond is given pursuant to the provlmons of Chapter 2253 of the Texas Government Code, as amended, and any other applicable statutes of the State of Texas The undersigned and demgnated agent is hereby demgnated by the Surety herein as the Remdent Agent m Denton County to whom any reqmmte not,ecs may be dehvered and on whom service of process may be had in matters arising out of such suretyship, as provided by Article 7 19-1 of the Insurance Code, Vemon's Annotated Civil Statutes of the State of Texas IN WITNESS WHEREOF, thts instrument ~s executed in 4 cop~es, each one of whmh shall be deemed an original, this the 6th day of November _, 2001 ATTEST PRINCIPAL BY~ Diana R Caldwell BY Assistant Secretary s Bisballe Vice-President ~ WITNESS' SURETY  Fidelity and Guaranty ~ ' Insurance Underwriters, lnc. BY 'ET~ine Lewis, W~ne~ BY ~ITTORNEY-IN-FACT Roy E. Simmons The Remdent Agent of the Surety ~n Denton County, Texas for dehvery of not,ce and servme of the process is Joe Hale of St. Paul Surety NAME 8144 Walnut Hzll Lane--Suite 1199. Dallas-- Texas 75231 STREET ADDRESS (NOTE Date of Performance Bond must be date of Contract If Remdent Agent ~s not a corporation, g~ve a person's name ) PB - 2 Bernard/James 20.Inch Water Line Bid # 2722 CITY OF DENTON Bond ~'8F0932 PAYMENT BOND STATE OF TEXAS § COUNTY OF DENTON § KNOW ALL MEN BY THESE PRESENTS That Pate & Pate, LLC, whose address ~s 780 W. Mansfield Haghway, Kennedale, TX 76060 hereinafter called Pnnc~pal, and Fidelity and Guaranty Insurance Underwriters, Inc, a corporaUon organized and ex~stang under the laws of the State of Wisconsin , and fully authorized to transact business ~n the State of Texas, as Surety, are held and firmly bound unto the Caty of Denton, a mummpal corporatmn orgamzed and emstmg under the laws of the State of Texas, heremafter called Owner, and unto all persons, firms, and corporataons who may furmsh materials for, or perform labor upon, the bmldmg or amprovementsI hereinafter referred to, m the penal sm of One Mflhon, One Hundred & Thirty Thousand, TWo Hundred & Ninety Four DOLLARS and Eaghty Cents ($1,130,294 80) m lawful money of the Umted States, to be prod an Denton, County, Texas, for the payment of whach sum well and truly to be made, we hereby band ourselves, our hears, executors, admamstrators, successors, and assagns, jointly and severally, firmly by these presents Thas Bond shall automatacally be ancreased by the amount of any Change Order or Supplemental Agreement which ancreases the Contract price, but an no event shall a Change Order or Supplemental Agreement whmh reduces the Contract price decrease the penal sum of this Bond THE OBLIGATION TO PAY SAME as con&tinned as follows Whereas, the Pr~nmpal entered anto a certmn Contract, adentffied by Or&nance Number 2001-424, wath the Caty of Denton, the Owner, dated the 6th day of November A D 2001 , a copy of whmh ~s hereto attached and made a part hereof, for Bad # 2722 Bernard/James 20-Inch Water Lane NOW, THEREFORE, af the Prmcapal shall well, truly and fmthfully perform its dutaes and make prompt payment to all persons, firms, subcontractors, corporatmns and clmmants supplymg labor and/or materml an the prosecutaon of the Work provuled for an smd Contract and any and all duly authorized m6dfficataons of smd Contract that may hereafter be made, notace of whtch modfficatmns to the Surety being hereby expressly wmved, then this obhgatmn shall be vmd, otherwase at shall remain an full force and effect PROVIDED FURTHER, that afany legal actaon be filed on thas Bond, exclusave venue shall he m Denton County, Texas AND 'PROVIDED FURTHER, that the smd Surety, for value receaved, hereby stapulates and agrees that n6 change, extensmn of tame, alterataon or ad&taon to the terms of the Contract, or to the Work to be performed thereunder, or to the Plans, Specaficataons, Dravangs, etc, accompanying the same, shall m anywase affect ets obhgataon on tlus Bond, and it does hereby wmve notate of any such change, extensaon of tame, alteratmn or addrtmn to the terms of the Contract, or to the Work to be performed thereunder, or to the Plans, Specaficataons, Drawangs, etc PB - 3 Bernard/James 20-Inch Water Line Bid # 2722 CITY OF DENTON This Bond is g~ven pursuant to the provlmons of Chapter 2253 of the Texas Government Code, as amended, and any other apphcable statutes of the State of Texas The un~lermgned and demgnated agent ~s hereby demgnated by the Surety herein as the Resident Agent ~n Denton County to whom any reqmmte notices may be delivered and on whom service of process may be had ~n matters anmng out of such surety, as provided by Amcle 7 19-1 of the Insurance Code, Vemon's Annotated C~vfl Statutes of the State of Texas IN WITNESS WHEREOF, this instrument m executed m 4 copies, each one of whtch shall be deemed an ongmal, flus the 6th day of November _, 2001 ATTEST PRINCIPAL l~ Diann R Caldwell Assistant Secretary ~ Douglas R. Bisballe Vice-President ~T~ WITNESS SURETY ~_~ ~~ Fidelity and Guaranty o ~ Insurance Underwriters, Inc. BY /¢x~ ' '~gI~ineWL~wis, ~ss~- BY A~T~ ORNEY-IN-FACTRoy E. Simmons The Resident ,Agent of the Surety in Denton County, Texas for delivery of not, ce and service of the process 1S ~2 Joe Hale of St. Paul Surety x NAME ~Si~Xi~B~XSX~X~XS~X~XX~X~~XX~X~X~X X~ 8144 Walnut Hmll Lane, Suzte 1199, Dallas, Texas 75231 STREET ADDRESS ~ml~~xli~xl~Xll~8~xllakka[~ui~a~x~l (NOTE Data of Payment Bond must be date of Contract If Restdent Agent ~s not a corporation, gtve a person's name) PB-4 Seaboard Surety Company United States Fldebty and Guaranty Company St Paul Fi~ and Marine Insurance Company F~delity and Guaranty Insurance Company St Paul Guardian Insurance Company F~debty and Guaranty Insurance Underwriters, thc St Paul Mercury Insurance Company Power of Attorney No 20~]6 Certificate No 945016 KNOW ALL MEN BY THESE PRESENTS That Seaboard Surety Company ~s a corporation duly orgamzed under the laws of the State of New York and that St Paul Fmc and Marine Insurance Company St Paul Guardmn Insurance Company and St Paul Mercury Insurance Company are corporanon~ duly orgamzed under the laws of the State of Mamesota and that Umted States FMehty and Guaranty Company m a corporation duly orgamzed under the laws of the State of Maryland and that Fldehty and Guaranty Insurance Company ts a corporation duly orgamzed under the laws of the State of Iowa and that Ftdehty and Guaranty Insurance Underwraer~ Inc ts a corporation duly orgamzed under the laws of the State of Wisconsin (herein collectt*ely called the Compantes) and that the Compames do hereby make constitute and appoint Scott D Chapman, Roy E Smamons and Elame Levns I The Woodlands Texas of the C~ty of State thmr tlue ami lawlu[ Attomcy(~) nl P tc~ each In tht. lr separate capacity il more than one is named above to sign its name as surety to and to execute seal and acknowledge any and all bonds undertakings contracts lnd other wntte~l instruments tn the nature thereof on behalf of the Compames in their business of guaranteeing the fidelity of persons guaranteeing thc pertormance of contracls and executing or guaranteeing bonds and undertakmgyequ~'ed or pemutted m any acnons or proceedings allowed by law ~ December 1999 IN WITNL~S WHEREOF the Companies have caused this instrument to~e s~gtn~.l ah~ sea[ed th~s _ 1st clay el Seaboard Surety Company Umted States Iqdehty and Guaranty ( ompany St Paul F~re and Marine Insurapge Company l~dehty and Guaranty Insurance Cumpany St Paul Guardian Insuranc~ ~o~y }~dehty and Guaranty Insurance Underwriters, lnc St Paul Mercury Insurance Co~a~y ~ ~ State el Maryland On th~s 1st day of December 1999 before me thc undersigned ofhcer personally appeared John F Phmncy uld In Witness Whereof, I hereunto set my hand and off,cml ,cai ~ ~~ r~ 86203 Rev 7 2000 Pnnted ;n U S A Th~s Power ot Attomt. y ~s granted under and by the attthonty ot thc lollowmg resolutions adopted by the Boards of D~rectors of Seaboard Surety Company St Paul Flr~. ~,lld Marine Insurance Company St Paul Guarthan Insurance Company St Paul Mercury Insurance Company Umted States F~dehty and Guaranty Company Ftdehty and Guaranty Insur rue{, Comp'my and Ptdebty and Guaranty Insurance Underwriters Inc on September 2 [998 which resolutions are now ~n full force and effect reading as follows RESOLVFD, that tn connection Wldl the hdtdlty and surety nl'~ur tnce business ol the Company all bonds undertakings contracts and other instrume~lts relating to said business may be signed executed uld acknowledged by persons or entitles appomted as Attorney(s) in Fact pursuant to a Power of Attollley issued in accordance with these rcsolullon~ qa~d Power(s) of Altorney lor and on beh df of the Company may and shall be executed in the name and on behalf of the Company eaher by the Ch urman or the President or any Vice President or an Assistant Vice President jomdy with the Secretary or an Assist mt Secretary unde~ thmr re~pecnve des~gnalmns q he signature of such officers m ~y be engraved pnntad or bthographed The signature of each of the furegomg officers and the seal of the Company may be ffhxcd by t tcs~mde to any Power of Attorney or to any certificate relating thereto appointing Attorney(s) tn Fast for purposes only o! executing and ttlest~ng bonds and tmderlakmgq and other writings obligatory in the nature thereot and subject to any bmltattons set forth therein any such Power ot Attorney m certificate hearing such facsimile signature oi facstmde ~eal shall be valid and binding upon the Company and any such power so exe cured and certdled by ~uch facsimde signature and tacstmde seal ~hall be vabd and binding upon the Company with respect to any bond or undertakmg to which it is vabdly attached ind RESOLVFD I~URTHER, that Attorney(s) m Fact sh dl have thc power and authority and m any case subject to the terms and hmttatmns ot the Power ol Attorney ~ssued tbem to execute and dehve~ on bch Ill ol the Company md to attach the ~eal ot the Company lo any and all bonds and undertakings and other writings obbgalory m tile n tttuc Ihetcof Ind my such mstrunlcnt executed by such Attorney(s) m Pact shall be aa binding upon the Company ~s d signed by an Fxecutlvc Oltlcer and sc thud md Ittcqcd to by the qccrel Iry t)l the Company IN FP~TIMONY WItlERFOF, I hereunto ~ct tn> h ind this 6th _ day of l~ovember 2001 Tov~rtfytheauthenttcttyofthtsPowero[ ttto~n~y calll 80042t 388~and~kforlhePowe~ofAttorneyclerk Plea~erefertothePowerofAttorneynumber, 8tFbul Surety IMPORTANT NOTICE: To obtain informat~on or make a complaint You may contact the Texas Department of Insurance to obtain information on compames, coverages, rights or complaints at 1-800-252-3439 You may write the Texas Department of Insurance at PO Box 149104 - Austin, TX 78714-9104 FAX# 1-512-475-1771 Your not,ce of claim against the attached bond may be g~ven to the surety company that issued the bond by scnthng it to the following address Madmg Address St Paul Surety Claim P O Box 4689 Federal Way, WA 98063-4689 Physical Address St Paul Surety Claim 31919 F~rst Avenue South Suite 100 Federal Way, WA 98003 You may also contact thc St Paul Surety Clmm office by telephone at Telephone Number 1-253 -945- 1545 PREMIUM OR CLAIM DISPUTES If you have a dispute concerning a premtum, you should contact the agent first Ifyou have a d~spute concerning a claim, you should contact the company first If the &spute ~s not resolved, you may contact thc Texas Department of Insurance ATTACH THIS NOTICE TO YOUR BOND This notmc ~s for mformat~on only and docs not become a part or condition of the attached document Bernard/James 20.Inch Water Line B~d # 2722 CITY OF DENTON CITY OF DENTON INSURANCE REQUIREMENTS FOR CONTRACTORS Bidder's attention ~s &rected to the msurance reqmrements below It ~s lughly recommended that b~dders conferlw~th their respective tnsurance careers or brokers to determme ~n advance of B~d submission the avmlabfl~ty of insurance certfficates and endorsements as prescribed and prowded hereto If an apparent low b~dder fmls to comply strictly w~th the ansurance reqmrements, that b~dder may be d~squalffied from award of the contract Upon bad award, all insurance requirements shall become contractual obhgatmns, which the successful b~dder shall have a duty to malntmn throughout the course ofth~s contract STANDARD PROVISIONS. W~thout hml~mg any of the other obligations or liabflataes of the Contractor, the Contractor shall provade and maintain until the contracted work has been completed and accepted by the Caty of Denton, Owner, the mimmum insurance coverage as indicated hereinafter. As soon as practicable after notification of bid award, Contractor shall file with the Purchasing Department satisfactory certificates of insurance, containing the bid number and title of the prolect. Contractor may, upon written request to the Purchasang Department, ask for clarfficatmn ~f any insurance reqmrements at any t~me; however, Contractors are strongly advased to m~ke such requests prior to bid opening, sauce the ansurance reqmrements may not be modffied or Waived after bid opening unless a written exception has been submitted wath the bad Contractor shall not commence any work or dehver any material until he or she receaves notfficatton that the contract has been accepted, approved, and s~gned by the C~ty of Denton All insurance poheles proposed or obtained in sat~sfaetaon of these reqmrements shall comply wath the follo~vang general speeffieations, and shall be maintained m eomphanee with these general specifications throughout the durataon of the Contract, or longer, if so noted · Each pohcy shall be assued by a company authorized to do busaness an the State of Texas with an A M Best Company rating of at least A · Any deductibles or self-tnsured retentmns shall be declared m the btd proposal If r~quested by the C~ty, the ~nsurer shall reduce or ehmmate such deductibles or self-insured retentions w~th respect to the C~ty, ItS officmls, agents, employees and volunteers, or, the contractor shall procure a bond guaranteeing payment of losses and related mvest~gatmns, c~mm admtmstrat~on and defense expenses Llabthty pohc~es shall be endorsed to prowde the following · . Name as additional insured the C~ty of Denton, tts Officials, Agents, Employees and volunteers · . That such insurance ~s primary to any other insurance avmlable to the addmonal insured vnth respect to clmms covered under the pohcy and that ttus ~nsurance Bernard/James 20-Inch Water Line Bid # 2722 CITY OF DENTON apphes separately to each insured against whom claim 1S made or suit is brought The ~ncluslon of more than one msured shall not operate to increase the insurer's limit of hablhty · All policies shall be endorsed to read: "SAID POLICY SHALL NOT BE CANCELLED, NONRENEWED OR MATERIALLY CHANGE WITHOUT 30 DAYS ADVANCED WRITTEN NOTICE BEING GIVEN TO THE OWNER (CITY) EXCEPT WHEN THE POLICY IS BEING CANCELLED FOR NONPAYMENT OF PREMIUM IN WHICH CASE 10 DAYS ADVANCE WRITTEN NOTICE I$ REQUIRED" · Should any of the required ~nsurance be provided under a claims-made form, Contractor shall mmntam 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 wtuch give nsc to clmms made after expiration of the contract shall be covered · Should any of the required tnsurance be provided under a form of coverage that includes a general annual aggregate hmlt providing for claims investigation or legal defense costs to be included in the general annual aggregate limit, the Contractor shall either double the occurrence hmlts or obtmn 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 City receives satisfactory evidence of remstated coverage as required by this contract, effective as of the lapse date If insurance is not reinstated, City may, at 1ts sole option, terminate this agreement effective on the date of the lapse SPECIFIC ADDITIONAL INSURANCE REQUIREMENTS All insurance poheies proposed or obtained m satisfaction of this Contract shall additionally comply with the following marked specifications, and shall be maintained m compliance with these additional specifications throughout the duration of the Contract, or longer, if so noted General Llablhty Insurance. General Liability insurance w~th combined single limits of not less than $1,000,000 shall be provided and maintained by the Contractor The pohcy shall be wrltren on an occurrence basis either in a single policy or an a combination of underlying and umbrella or excess policies If the Commercial General Llablhty form (ISO Form CG 0001 current edition) as used · Coverage A shall include premises, operations, products, and completed operations, independent contractors, contractual hablhty covering this contract and broad form property damage coverage Bernard/James 20qnch Water Line Bid # 2722 CITY OF DENTON · Coverage B shall ~nclude personal injury · Coverage C, medacal payments, is not required If the Comprehensive General Laabflaty form (ISO Form GL 0002 Current Edation and ISO Form GL 0404) as used, at shall include at least · Bodily injury and Property Damage Llabflaty for premises, operatmns, products and completed operattons, independent contractors and property damage resulting from explosion, collapse or underground (XCU) exposures · Broad form contractual habfllty (preferably by endorsement) covering this contract, personal injury habdlty and broad form property damage habdlty IX] Automobile Lmbdtty Insurance: Contractor shall provide Commermal Automobile Lmbfl~ty insurance with Combined Sangle Llmits,(CSL) of not less than $500~000 either m a single policy or m a combination of basra and umbrella or excess pohcaes The pohcy wall include bodily injury and property damage habfltty arising out of the operation, mamtenance and use of all automobiles and mobile eqmpment used m conjunction with th~s contract Satlsfactaon of the above requirement shall be m the form of a policy endorsement for · any auto, or · all owned, hared and non-owned autos [X] Workers Compensataon Insurance ContrActor shall purchase and m0antam Worker's Compensation tnsurance whach, In addition to meetlr[g the mlmmum statutory reqmrements for issuance of such insurance, has Employer's Lmbflity hm~ts of at least $100,000 for each accident, $100,000 per each employee, and a $500,000 policy hmlt for occupational disease The Caty need not be named as an "Addmonal Insured" but the insurer shall agree to wmve all rights of subrogation agmnst the City, 1ts officaals, 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 provtslons of Attachment 1 in accordance vath §406 096 of the Texas Labor Code and role 28TAC 110 110 of the Texas Worker's Compensation Commlssmn (TWCC) [ ] Owner's and Contractor's Proteetave Lmbfilty Insurance The Contractor shall obtain, pay for and maintain at all tames during the prosecution of the work under thas contract, an Owner's and Contractor's Protective Llablhty insurance policy naming the City as insured for property damage and bodily injury which may arise m the Bernard/James 20.Inch Water Line Bid # 2722 CITY OF DENTON prosecution of the work or Contractor's operations under this contract Coverage shall be on an"occurrence" basis, and the policy shall be issued by the same ~nsurance company that carries the Coatractor's liability ~nsuranee Policy limits will be at least combined bodily injury ~md property damage per occurrence with a aggregate [ ] Fire Damage Legal Lmbdity Insurance Coverage is required if Broad form General Liability is not provided or is unavailable to the contractor or if a contractor leases or rents a portion of a City bmldmg Limits of not less than each ogcurrence are reqmred [ ] Professional Liability Insurance Professional liability insurance with hm~ts not less than per claim with respect to neghgent acts, errors or omissions in connection with professional services is reqmred under this Agreement [ ] Budders' Risk Insurance Builders' Risk Insurance, on an All-Risk form for 100% of the completed value shall be provided Such pohey shall include as "Named Insured" the City of Demon and all subcontractors as their interests may appear [ ] Add~tional Insurance Other imsurance may be required on an individual basis for extra hazardous contracts and specific service agreements If such additional insurance is required for a specific contract, that reqmrcment will be described in the "Specific Conchtlons" of the contract specifications Bernard/James 20-Inch Water Line Bid # 2722 CITY OF DENTON ATTACHMENT 1 IX] Worker's Compensation Coverage for Building or Construction Projects for Governmental Entities A Defimtlons Certificate of coverage ("certlficate")-A copy of a certificate of insurance, a certificate of authority to self-insure issued by the commission, or a coverage agreement (TWCC-81, TWCC-82, TWCC-83, or TWCC-84), showing statutory workers~ compensation insurance coverage for the person's or entlty's employees providing services on a project, for the duration of the project Dm'atlon of the project - includes the time from the beginning of the work on the project until the contractor's/person's work on the project has been completed and accepted by the governmental entity Persons providing services on the project ("subcontractor" in §406 096) - includes all persons or entitles performing all or part of the services the contractor has undertaken to perform on the project, regardless of whether that person contracted directly with the contractor and regardless of whether that person has employees This includes, without hiTlltatlon, independent contractors, subcontractors, leasing compames, motor carriers, owner-operators, employees of any such entity, or employees of any entity, wluch furmshes persons to provide services on the project "Services" include, without limitation, providing, hauling, or dehvenng equipment or materials, or providing labor, transportation, or other service related to a project "Services" does not include activities u~related to the project, such as food/beverage vendors, office supply deliveries, and d6hvery of portable toilets B The contractor shall provide coverage, based on proper reporting of classification codes and payroll amounts and filing of any overage agreements, whach meets the statutory requirements of Texas Labor Code, Section 401 011(44) for all employees of the Contractor providing services on the project, for the duration of the project C The Contractor must prowde 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, prior 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 T~e contractor shall obtaan from each person providing services on a project, and provide to the governmental entity Bernard/James 20-Inch Water Lare Btd# 2722 CITY OF DENTON (1) a certfficate of coverage, prior to that person beg~nmng work on the project, so the governmental entity w~ll have on file certfficates of coverage show~ng coverage for all persons promdang serwces on the project, and (2) no later than seven days after receipt by the contractor, a new certfficate of coverage show~ng extension of coverage, ff the coverage period shown on the current certfficate of coverage ends during the duration of the project The contractor shall retmn all reqmred certificates of coverage for the duratmn of the project and for one year thereafter The contractor shall not~fy the governmental entity in writing by certified marl or personal dehvery, w~thm 10 days after the contractor knew or should have known, of any change that materially affects the provas~on of coverage of any person prowd~ng serwces on the project The contractor shall post on each project s~te a notme, an the text, form and manner prescribed by the Texas Workers' Compensatmn Corntmsslon, ~nformmg all persons prowdmg services on the project that they are required to be covered, and stating how a person may verify coverage and report lack of coverage The contractor shall contractually require each person with whom ~t contracts to provide servaces on a project, to (1) prowde coverage, based on proper reporting of classfficataon codes and payroll mounts and fihng of any coverage agreements, which meets the statutory reqmrements of Texas Labor Code, Section 401 011(44) for all of 1ts employees promdang servmes on the project, for the duration of the project, (2) prowde to the contractor, prior to that person beglmung work on the project, a eemficate of coverage showang that coverage ~s being prowded for all employees of the person prowd~ng serwces on the project, for the duratmn of the project, (3) provide the contractor, prior to the end of the coverage period, a new certtficate of coverage show~ng extension of coverage, ff the coverage period shown on the current certificate of coverage ends dunng the duratxon of the project, (4) obtmn from each other person w~th whom at contracts, and provide to the contractor (a) a certffieate of coverage, prior to the other person beginning work on the project, and (b) a new cemficate of coverage show~ng extensaon 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) retatn all requzred certfficates of coverage on file for the duratmn of the project and Bernard/James 20~Inch Water Line Bid # 2722 CITY OF DENTON (6) notify the govermnental entity m wntang by certified mm1 or personal dehvery, within 10 days a~er the person knew or should have known, of any change that materially affects the prowsmn of coverage of any person providing serwces on the project, and (7) contractually reqmre each person with whom ~t contracts, to perform as required by paragraphs (1) - (7), with the eertfficates of coverage to be provided to the person for whom they are prowdmg services J By sxgmng th~s contract or provldmg or causing to be provided a certificate of coverage, the contractor is representmg to the governmental entity that all employees of the contractor who will provide services on the project will be covered by workers' compensation coverage for the duration of the project, that the coverage wfl! be based on pr6per reportmg of classification codes and payroll amounts, and that all coverage a~eements will be flied w~th the appropriate msurance carnet or, in the case of a self- m~ured, wth the commission's Dxwslon of Self-Insurance Regulation Promdmg false or m~sleadmg information may subject the contractor to adm~mstrat~ve penalties, criminal penalties, civil penalties, or other mvfl aeUons K T~ae contractor's fmlure to comply with any of these provisions is a breach of contract by ~e contractor which entitles the governmental entity to declare the contract vmd ff the contractor does not remedy the breach within ten days after receipt of notice of breach from the governmental entay B~d #2722 - Bernard/James 20-Inch Water Line ACORD. CERTIFICATE OF LIABILITY INSURANCE t oF a la.OV2OO1 FRODUCER 86463 'rl~li~ CERTIFICATE IS ISSUED AS A MA'II'ER OF INFORMATION Wdhs of Texas Inc ONLY AND CONFERS NO RIGHTS UPON THE CERTIFICATE One Riverway HOLDER THIS CERTIFICATE DOES NOT AMEND, EXTEND OR Sure 900 ALTER THE COVERAGE AFFORDED BY THE POLICIES BELOW Houston TX 77086 COMPANIES AFFORDING COVERAGE (713) 961 3800 193724)Ol (HOUSI COMPANY Northern Insurance Company of New York Karen Wdhams A INSURED 19364001 HOUS) COMPANY Natlona Standard nsurance Company B 266114)01 (HOUS PATE BROTHERS CONSTRUCTION, INC COMRANYVa rant nsurance Company 780 WEST MANSFIELD HW C KENNEDALE TX 76060 COMPANY THIS IS TO CERTIFY THAT THE POLICIES OF INSURANCE LISTED BELOW HAVE kEEN iSSUED TO THE INSURED NAMED ABOVE FOR THE POLICY PERIOD INDICATED NOTWITHSTANDING ANY REQUIREMENT TERM OR CONDITION OF ANY CONTRACT OR OTHER DOCUMENT WITH RESPECT TO WHICH TH~S CERTIFICATE MAY BE ISSUED OR MAY PERTAIN THE INSURANCE AFFORDED BY THE POLICIES DESCRIBED HEREIN IS SUBJECT TO ALL THE TERMS EXCLUSIONS AND CONDITIONS OF SUCH POLICIES LIMITS SHOWN MAY HAVE BEEN REDUCED BY PAID CLAIMS CO POLICY EFFECTIVE POLICY EXPIRATION 'rYPE OF INSURANCE POLICY NUMBER LIMITS LTR DATE (M M/DD/YY) DATE (MM/DD~Y) A GENERAL LIABILITY CON69551951 01-JAN2001 01-JAN2002 G~ENERALAGGREGATE S X RA~.L PROOUOTS~OMP/OP AGG $ 2,{}00,000 COMMERCIAL GENERA UASILITY I CLAIMS MADE OCCUR PERSONAL & ADVINJURY $ 000 000 OWNER S & CONTRACTOR S PROT EACH CCCURRENCE $ ~, 000,{}0{} ~- XCU FiREDAMAGE(Anyoneflre) $ 30{} 000 B AU~TOMOBILE LIABILITY CON69561993 01-JAN 2001 01-JAN 2002 COMBINED S(NOLE LIMIT $ X ANYAUTO __ ALL OWNED AUTOS BODILY ~NJURY SCHEDULED AUTOS (Per person) $ ~ HIREO AUTOS BODILY INJURY $ X NON*OWNED AUTOS Per accident) -- PROPERTY DAMAGE $ GARAGE LIABILITY AUTO C~NLY EA ACCID_ENT ANY AUTO OTHER TH_AN AUTO ONLY EACH ACCIDENT $ A EXCEESUABILITY CON68200265 01-JAN2001 01-JAN-2002 EACHOCCURRENCE $ 10,000,000  UMBRELLA FORM AGGREGATE OTHER THAN UMBRELLiA FORM WC STATU C WORKERECOMPENSATIDNAND TC269551910 01~AN2001 01-,JAN2002 X ITOPYL, M,TSI IE%H EMPLOYERS LIABILITY EL EACH ACCIOENT $ 1,000,000 PARTNERS/EXECUTIVE INCL EL DISEASE POLICY LIMIT $ OFFICERS ARE EXCL EL DISEASE EA EMPLOYEE OTHER DESCRIPTION OF OPERATIONS/LOCA'rlONS/VEHICL~/aFECIAL ITEMS SEE ATTACHED aHOULD ANY OF THE ABOVE DEECRIBED POLICIEa BE CANCELLED BEFORE THE EXPIRATION DATE TNEREOF~ THE IEEUINO COMPANY WILL ~*~ MAIL 30 DAYa WRITTEN NOTICE TO THE CERTIFICATE HOLDER NAMED TO THE '" Wdhs C' .:: I;RTIffiOATE OFtNSURANCE ........................ .^as 2' 3 '"uB' -"OV-2oo1U"E IS RTIFC $ TTF TO Y CO FE S GS UPON TH TIFICA E 86463 INSURED PRODUCER Wflhs of Texas Inc One R~verway Suite 900 PATE BROTHER6 CONSTRUCTION, INC Houston TX 77056 780 WEST MANSFIELD HW (713) 961-3800 KENNEDALE TX 76060 Karen Wdhams THIS IS TO CERTIFY THAT THE POLICIES OF INSURANCE LISTED BELOW HAVE BEEN ISSUED TO THE INSURED NAMED ABOVE FOR THE POLICY PERIOC INDICATED NOTWITHSTANDINQ ANY REQUIREMENT TERM OR CONDITION OF ANY CONTRACT OR OTHER DOCUMENT WITH RESPECT TO WHICH THIS CERTIFICATE MAY BE ISSUED OR MAY PERTAIN THE INSURANCE AFFORDED BY THE POLICIES DESCRIBED HEREIN IS SUBJECT TO ALL THE TERMS EXCLUSIONS AND CONDITIONS OF SUCH POLICIES LIMITS MAY HAVE BEEN REDUCED BY PAID CLAIMS T, PE OF,SSUSARCEPOL,=Y HUMSER I I [ L,Ur DESCRLPTI'ON 01; OPERAT/ONS/LOCAT]~ONS/VEHI'CLES/SPEC][AL [TEMS RE. Bernard/James 20" Idater Ltne The above referenced policies have been endorsed to name City of Oenton, its Officials, Agents, Employees and volunteers as Additional Insured on 511 policies except t~orker's Compensation and provide I~atver of Subrogation on 511 policies if required by written contract Liability policies ars primary to any other insurance. Said policy shall not be canceled, nonrenewed or materially changed without 30 days advanced written notice being given to the owner (City) except when the policy is being canceled for non-payment of premium in which case 10 days advance written notice is required The above referenced policies cannot be cancelled, non-renewed or materially changed without 30 days advance written notice being given to the owner, except 10 days for non-payment T#PORTANT If the certificate holder is an ADDTT]ONAL INSURED, the policy(les) must be endorsed A statement on this certificate does not confer rights to the certificate holder in lieu of such endorsement(s). If SUSROGAT]ON IS tdA]VEO, sub~iect to the terms and conditions of the po1~cy, certain pollc]es may requtre an endorsement. A statement on th~s certificate dOeS not confer r~ghts to the certificate holder tn l tau of such endorsement(s) O~SCLA]MER Th~s Certificate of Insurance does not constitute a contract between the ~nsur~ng Insurer(s), authorized representative or producer, and the '~T~'~OLb~ '~ ............. ~ ...... bA~N ae~ ~a ~y~ .................... SHOULD ANY OF THE ABOVE DESCRIBED PO~IE8 BE CANCELLED BEFORE THE EXPIRA~ON DATE THEREOF, THE 18SUING COMPANY WILL ~ MAIL 30 DAYS WR~EN NOTICE TO THE CERTIFICATE HOLDER NAMED TO THE LE~ CERTiFiCATE OF iNSURANCE ~' IS ER"i~b'~ ~; .....TT F Y'~ LY A D CO' ~E S '~"i~ ~S UPN THE TI CATE 86463 INSURED PRODUCER Willis of Texas, Inc One R~ve~ay Suite 900 PATE BROTHERS CONSTRU~ION INC Houston TX 77056 780 WEST MANSFIELD HW (713) 961-3800 KENNEDALE TX 76060 Karen Wdhams FHIS IS TO CERTIFY THAT THE POLICIES OF INSURANCE USTED BELOW HAVE BEEN ISSUED TO THE INSURED NAMED ABOVE FOR THE POLICY PERIOE INDICATED NO~ITHSTANDING ANY REQUIREMENT TERM OR CONDITION OF ANY CONTRACT OR OTHER DOCUMENT WITH RESPECT TO WHICH THIS CERTIFICATE MAY BE ISSUED OR MAY PERTAIN THE INSURANCE AFFORDED BY THE POLICIES DESCRIBED HEREIN IS SU~ECT TO ALL THE TERMS ~CLUSIONS AND CONDITIONS OF SUCH POLICIES UMITS MAY HAVE BEEN REDUCED BY PAID C~IMS certificate holder, nor does tt afftrBattveix or negattve;x amend, extend or after the coverage afforded bx the pottctes ;tsted thereon. SHOULD ANY OF THE ABOVE DESCRIBED POLICIES BE CANCELLED BEFORE THE EXPIRATION DATE THEREOF~ THE ISaUIRG COMPANY WILL )~IX~'I) MAIL 30 DAYS WRITTEN NOTICE TO THE CERTIFICATE HOLDER NAMED TO THE LEFT, ,~lL~l~ ~W~ ~) ,,r, ~ .... '' , ~e~X, / .... ~,,,,~ ~ STATE OF TEXAS COUNTY OF DENTON RELEASE, DISTRIBUTION OF FUNDS AND HOLD HARMLESS AGREEMENT PROJECT: City of Denton, Texas - BemardJJames 20-inch Waterline ("Project") OWNER: City of Denton, Texas ("City") CONTRACTOR: Pate & Pate, LLc. ("Contractor") SURETY: Fidelity and Guaranty Insurance Underwriters, Inc., a Wisconsiu Corporation ("FGIU") PERFORMANCE BOND: Bid No. 2722 - Dated November 6, 2001 - Issued by Fidehty & Guaranty Underwriters, a Wisconsin Corporation PAYMENT BOND: Bid No. 2722 - Dated November 6, 2001 -Issued by Fidelity & Guaranty Underwriters, a Wisconsin Corporation AMOUNT OF BOND: $1,130,294.80 Remaining funds cuITently held by the City of Denton regarding the above Contract: $205,304.22 Less amounts billed by City of Denton incident to completion of the Contract: Raising valve boxes to grade (August 20, 2002 to January 2, 2003) $7,265.94 Street repairs incUITed by the City of Denton (from September 20,2002 to November 15, 2002) $13 995.99 $21,261.93 Net remaining available balance on Contract to be paid to FGIU by the City, upon the execution of this Release, Distribution of Funds and Hold Harmless Agreement: $184042.29 COVENANTS OF THE CITY OF DENTON AND FGJU INSURANCE 1. That City and FOIU agree that the Contractor, Pate & Pate, LLc. who11y abandoned its work on the Project in the month of August 2002. 2. That City and FGIU agree that the Contractor, Pate & Patc, LLc. did not finish the Project. The City and FGIU agree that FGIU came forward and pursuant to its contractual duties, as Surety, completed the Project. The City and FGIU also agree that the City spent some $21,261.93 in order to complete the Contract after Contractor's abandonment of the Project. FOIU is aware of the elements of that claim by the City, has received substantiation and documentation, and hereby authorizes that the City may be paid the sum of$2],261.93 as a reasonable sum, in reimbursement for amounts that the City spent to complete the Project, as stated above. 3. The City and FOIU agree that the City holds $205,304.22 in remaining funds owing on the Contract. The City and FOIU agree that the funds will be distributed by the City as follows: $184,042.29 payable to FGIU in full and ftnal satisfaction of payment of the City's obhgatiou to FGIU under the teITllS of the above stated Payment and 667147.2 PerfoITllance Bonds. The balance of $21,263.93 shall be retained by the City for completion expenses regarding the Contract. The City shall prepare an invoice for that amount and shall pay itself once it mails the check to FOIU's Texas attorneys, set forth below. 4. FOIU agrees to indemnify and to fully defend the city, and to hold the city, its officials, officers, employees, and assigns harmless from any claims, losses or liabilities whatsoever regarding obligations that are brought by anyone, including, without limitation, the contractor or its successors or assigns; any fiduciary respecting the contractor, his successors or assigns; any valid payment bond claims for unpaid work perfoITlled on the project; any claims brought respecting the contract proceeds by Madisonville State Bank, its successors or assigns, or others; and any valid payment bond claims brought by materialmen, for unpaid materials used or specially fabricated for the project. FGIU and the city each recognize that the likelihood of any such claim(s) being brought against the city on the contract is remote, considering the facts and the applicable Texas statutes of limitation. Provided, however, that this indemnity and agreement to defend will in no event exceed $184,042.29. 5. Other than those obligations created herehy, the City and FOIU, intend to fully settle and compromise any disputes or controversies that have arisen between them, by the execution of this Agreement. City shall transmit a check for the agreed-upon amount to Texas legal counsel for FGIU once it receives an itemized bill for $184,042.29 from FOIU and once this Release, Distribution of Funds and Hold Harmless Agreement is fully executed by FGIU and the City; City shall transmit the eheck payable to FOIU, within seven (7) days from the date of final execution ofthis Agreement, to FGIU's Texas legal counsel.. 6. FOIU and the City each agree that the fo11owing described individuals have the power and authority to legally bind them. EXECUTED on this the ~ day of J.uoE ,2005. APPROVED AND AGREED: APPROVED AND AGREED: FIDELITY AND GUARANTY INSURANCE UNDERWRITERS, INC. CITY OF DENTON, TEXAS A Texas Municipal Corporation By their agent: By: &lqIO~ St. Paul Fire and Marine Insurance Company By: rn'~' w ^~~,. CD"':' ^"Y By: ,'1ÎIÛ ,!Lv ¿t'<7.-.tlß1 <2 J Its: d aM-1If .t V ATTEST! . - ,/] l}yG¿/ß~ ~ L/"" APPROVED AS TO LEGAL FORM: COATS ROSE YALE RYMAN LEE, P.C. A Texas Professional Corporation APPROVED AS TO LEGAL FORM: EDWIN M. SNYDER, ACTING CITY ATTORNEY By ~ft vl-i Vt f{1MtvYl ",ØA~~ S:IOo, Docoment<IContmt<IO5IFGlU Release and Indemnification Bem"d-James Watcc Line.doc 667147.2