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Home My WebLink AboutItem No. 12 Recycled Wood ProductsText File City of Lake Elsinore 130 South Main Street Lake Elsinore, CA 92530 www.lake-elsinore.org File Number: ID# 17-762 Agenda Date: 8/21/2018 Status: Consent AgendaVersion: 1 File Type: ReportIn Control: City Council / Successor Agency Agenda Number: 12) Page 1 City of Lake Elsinore Printed on 8/9/2018 REPORT TO CITY COUNCIL To:Honorable Mayorand Members of the City Council From:Grant Yates, City Manager Prepared By: Dave Nichols, Public Works General Service Manager Date:August21, 2018 Subject:FY18-19 Award of Contract toRecycled Wood Products (RWP)for the MulchMaintenanceof Citywide Streetscapes & LLMD Recommendation Authorize the City Manager to execute the agreement withRecycled Wood Products (RWP), in an amount not to exceed $89,600, in such final form as approved by the City Attorney. Background ARequest for Quote (RFQ)was emailedon June 4th, 2018,tosix (6)companies informing them of the informal bidrequestforthesupply and install of approximately 3200 cubic yards (CY) of mulch for various locations throughout the city. Theseareasincludemedians, parkways, parking lots and slopes.The following were responsive contractors: Quotefor 3,200 Cubic Yards: Recycled Wood Products (RWP)$89,600 Diversified Landscape Co.$92,480 Apollo Wood Products $115,720 Mulch Masters $194,980 Discussion There is a real need for the use of mulch in today’s climate. Mulch reduces water evaporation, which in turn saves on water bills. Mulch reduces soil erosion by up to 85 percent. Bark mulch breaks down and decomposes adding nutrients to the plants. Unfortunately, along with the decomposing, mulch is also lost when landscape contractors rake it out when removing leaves and debris. Mulch in our landscapes and slopes should be renewed every threeto five years. Fiscal Impact The City has identified funding for this project in the FY18-19 Citywide LLMD –Landscape Maintenance accounts. Award of Contract for Mulch Maintenance of Citywide Streetscapes & LLMD August 21, 2018 Page 2 Exhibits Recycled Wood Products (RWP)–Exhibit A –Proposal Recycled Wood Products (RWP) –Exhibit B –Contractor Service Agreement RECYCLED WOOD PRODUCTS SAWDUST • SHAVINGS - SOIL AMENI)MENTS ESTIMATE DATE:. `7 /3P0. COMPLETED BY: ' C� /�/ Company Name: ' eF Job Name: Job #: Delivery Address: � ,fob Date: Requested By: C1-'fZ - 'i5 Address: Phone: FAX; E -mail: Special Instructions:.�+f THE FOLLOWING QUOTATION IS VALID FOR THIRTY (30) DAYS ONLY Quantlt Unit Price Amount fDescription D2 ( %1 AJ4, NOTE: PLEASE ADD SALES TAX. PRICES INCLUDE FREIGHT CHARGES. Number of pages sent: (Including transmittal sheet): it you have any problems with this transmission, please call the phone number listed below. 1313 East Phillips. Boulevard Pomona, CA 91766 PHONE (909) 868 -6882 a FAX Sales: (909) 868 -1162 www.rwpmulch.com Exhibit B Cityof LakeElsinore Recycled Wood Product August 21, 2018 Page 1 AGREEMENT FOR CONTRACTOR SERVICES Recycle Wood Products (RWP Citywide LLMD –Landscape Mulch Maintenance ThisAgreementforContractorServices(the“Agreement”)ismadeandenteredintoasof August 21,2018,byandbetweentheCityofLakeElsinore,amunicipalcorporation(‘‘City")and Recycled Wood Products(“Contractor”). RECITALS A.TheCityhasdeterminedthat itrequiresthefollowingservices:Mulch maintenance for CitywideStreetscapes & LLMDs B.ContractorhassubmittedtoCityaproposal,datedJuly 13, 2018attachedhereto asExhibitA(“Contractor’sProposal”)andincorporatedherein,toprovideservicesandrelated work tothe Citypursuant tothetermsofthisAgreement. C.Contractorpossessestheskill,experience,ability,background,certificationand knowledgetoperformtheservicesandrelatedworkdescribedinthisAgreementonthetermsand conditionsdescribedherein. D.CitydesirestoretainContractortoperformtheservicesandrelatedworkas providedhereinandContractordesirestoprovidesuchservicesandrelatedworkassetforthinthis Agreement. AGREEMENT 1.ScopeofServices.Contractorshallperformtheservicesandrelatedworkdescribed inContractor’sProposal(ExhibitA).Contractorshallprovidesuchservicesandrelatedworkatthe time,place,andinthe mannerspecifiedinContractor’sProposal(ExhibitA),subjecttothe direction ofthe Citythroughitsstaff thatitmayprovidefrom timetotime. 2.TimeofPerformance. a.TimeofEssence.Timeisoftheessenceintheperformanceofthis Agreement.Thetimeforcompletionoftheservicesandrelatedworktobeperformedby ContractorisanessentialconditionofthisAgreement.Contractorshallprosecuteregularlyand diligentlytheservicesandrelatedworkcontemplatedpursuanttothisAgreement consistent with Contractor’sProposal(ExhibitA)andshallprovide,furnishandpayalllabor,materials,necessary tools,expendableequipment,andalltaxes,utilityandtransportationservicesrequiredtoperform suchtheservicesandrelatedwork. b.PerformanceSchedule.Contractorshallcommencetheservicesand relatedworkpursuanttothisAgreementuponreceiptofawrittennoticetoproceedandshall performallservicesandrelatedworkwithinthetimeperiod(s)establishedintheContractor’s Proposal(ExhibitA).WhenrequestedbyContractor,extensionstothetimeperiod(s)specifiedmay beapprovedinwritingbythe CityManager. Page 2 3.Term.UnlessearlierterminatedasprovidedelsewhereinthisAgreement,this Agreementshallcontinueinfullforceandeffectforaperiodoften(10)months,commencingon August 21, 2018 and ending on June 30, 2018. 4.Compensation.CompensationtobepaidtoContractorshallbeinaccordancewith thefeessetforthinContractor’sProposal(ExhibitA),whichisattachedheretoandincorporated hereinbyreference.In noeventshallContractor’scompensationexceedEighty Nine Thousand Six Hundred dollars($89,600)withoutadditionalwrittenauthorizationfromtheCity.Notwithstandingany provisionofContractor’sProposaltothecontrary,outofpocketexpensessetforthinExhibitA shallbereimbursedatcostwithoutaninflatororadministrativecharge.PaymentbyCityunder thisAgreementshallnotbedeemedawaiverofdefects,evenifsuchdefectswereknowntothe Cityatthetimeof payment. 5.MethodofPayment.ContractorshallpromptlysubmitbillingstotheCitydescribing theservicesandrelatedworkperformedduringtheprecedingmonthtotheextentthatsuch servicesandrelatedworkwereperformed.Contractor’sbillsshallbesegregatedbyprojecttask,if applicable,suchthattheCityreceivesaseparateaccountingforworkdoneoneachindividualtask forwhichContractorprovidesservices.Contractor’sbillsshallincludeabriefdescriptionofthe servicesperformed,thedatetheserviceswereperformed,thenumberofhoursspentandbywhom, andadescriptionofanyreimbursableexpenditures.CityshallpayContractornolaterthanforty- five(45) daysafter receiptofthemonthlyinvoicebyCitystaff. 6.Reserved. 7.SuspensionorTermination. a.TheCitymayatanytime,foranyreason,withorwithoutcause,suspend orterminatethisAgreement,oranyportionhereof,byservingupontheContractoratleastten (10)dayspriorwrittennotice.Uponreceiptofsuchnotice,theContractorshallimmediatelyceaseall workunderthisAgreement,unlessthenoticeprovidesotherwise.IftheCitysuspendsor terminatesaportionofthisAgreementsuchsuspensionorterminationshallnotmakevoidor invalidatetheremainder of thisAgreement. b.IntheeventthisAgreementisterminatedpursuanttothisSection,theCity shallpaytoContractortheactualvalueoftheworkperformeduptothetimeoftermination, providedthattheworkperformedisofvaluetotheCity.UponterminationoftheAgreement pursuanttothisSection,theContractorwillsubmitaninvoicetotheCity,pursuanttoSection entitled“MethodofPayment” herein. 8.Confidentiality.Allideas,memoranda,specifications,plans,procedures,drawings, descriptions,computerprogramdata,inputrecorddata,writteninformation,andotherDocuments &Dataprovidedby City toContractorinconnectionwiththeperformanceofthisAgreementshallbe heldconfidentialbyContractor.Suchmaterialsshallnot,withoutthepriorwrittenconsent ofCity, beusedbyContractorforanypurposesotherthantheperformanceoftheservicesunderthis Agreement.Norshallsuchmaterialsbedisclosedtoanypersonorentitynotconnectedwiththe performanceoftheservicesunderthisAgreement.NothingfurnishedtoContractorwhichis otherwiseknowntoContractororisgenerallyknown,orhasbecomeknown,totherelated industryshallbedeemedconfidential.ContractorshallnotuseCity’snameorinsignia, photographsrelatingtoprojectforwhichContractor’sservicesarerendered,oranypublicity pertainingtotheContractor’sservicesunderthisAgreementinanymagazine,tradepaper, newspaper,televisionorradioproductionorothersimilarmediumwithoutthe priorwrittenconsent of City. Page 3 Exhibit B 9.Contractor’sBooksandRecords. a.Contractorshallmaintainanyandallledgers,booksofaccount,invoices, vouchers,canceledchecks,andotherrecordsordocumentsevidencingorrelatingtochargesfor services,orexpendituresanddisbursementschargedtoCityforaminimumperiodofthree(3) years,orforanylongerperiodrequiredbylaw,fromthedateoffinalpaymenttoContractortothis Agreement. b.Contractorshallmaintainalldocumentsandrecordswhichdemonstrate performanceunderthisAgreementforaminimumperiodofthree(3)years,orforanylonger periodrequiredbylaw, from the dateofterminationor completionof thisAgreement. c.Any records or documents required to be maintained pursuant tothis Agreementshallbemadeavailable, given reasonable notice,forinspectionoraudit,atanytime duringregularbusinesshours,uponwrittenrequestbytheCityManager,CityAttorney,City Auditororadesignatedrepresentativeoftheseofficers.Copiesofsuchdocumentsshallbe providedtotheCityforinspectionatCityHallwhenitispracticaltodoso.Otherwise,unlessan alternativeismutuallyagreedupon,therecordsshallbeavailableatContractor’saddressindicated forreceiptofnoticesinthisAgreement. d.WhereCityhasreasontobelievethatsuchrecordsordocumentsmaybe lostordiscardedduetodissolution,disbandmentorterminationofContractor’sbusiness,City may,bywrittenrequestbyanyoftheabove-namedofficers,requirethatcustodyoftherecordsbe giventotheCityandthattherecordsanddocumentsbemaintainedinCityHall.Accesstosuch recordsanddocumentsshallbegrantedtoanypartyauthorizedbyContractor,Contractor’s representatives,orContractor’ssuccessor-in-interest. 10.IndependentContractor.ItisunderstoodthatContractor,intheperformanceof theworkandservicesagreedtobeperformed,shallactasandbeanindependentcontractorand shallnotactasanagentoremployeeofthe City. 11.PERSEligibilityIndemnification.IntheeventthatContractororanyemployee, agent,orsubcontractorofContractorprovidingservicesunderthisAgreementclaimsoris determinedbyacourtofcompetentjurisdictionortheCaliforniaPublicEmployeesRetirement System(PERS)tobeeligibleforenrollmentinPERSasanemployeeoftheCity,Contractorshall indemnify,defend,andholdharmlessCityforthepaymentofanyemployeeand/oremployer contributionsforPERSbenefitsonbehalfofContractororitsemployees,agents,or subcontractors,aswellasforthepaymentofanypenaltiesandinterestonsuchcontributions, whichwouldotherwisebetheresponsibilityofCity. Notwithstandinganyotherfederal,stateandlocallaws,codes,ordinancesand regulationstothecontrary,Contractorandanyofitsemployees,agents,andsubcontractors providingserviceunderthisAgreementshallnotqualifyfororbecomeentitledto,andhereby agreeto waiveanyclaimsto,anycompensation, benefit,oranyincidentofemploymentbyCity, includingbutnotlimitedtoeligibilitytoenrollinPERSasanemployeeofCityandentitlementtoany contributiontobepaidbyCityforemployercontributionand/oremployeecontributionsforPERS benefits. 12.Interests of Contractor.Contractor (including principals,associates and managementemployees)covenantsandrepresentsthat it doesnotnowhaveanyinvestmentor interestinrealpropertyandshallnotacquireanyinterest,directorindirect,intheareacoveredby thisAgreementoranyothersourceofincome,interestinrealpropertyorinvestmentwhichwould beaffectedinanymannerordegreebytheperformanceofContractor’sserviceshereunder. Page 4 Exhibit B Contractorfurthercovenantsandrepresentsthatintheperformanceofitsdutieshereunder no personhavinganysuchinterest shallperform anyservicesunder thisAgreement. Contractorisnot adesignatedemployeewithinthemeaningofthePoliticalReformAct becauseContractor: a.willconductresearchandarriveatconclusionswithrespecttohis/her renditionofinformation,advice,recommendationorcounselindependentofthecontroland directionofthe Cityor ofanyCityofficial, other thannormalagreementmonitoring;and b.possessesnoauthoritywithrespect to anyCitydecisionbeyondrenditionof information, advice, recommendationorcounsel.(FPPCReg. 18700(a)(2).) 13.AbilityofContractor.CityhasrelieduponthetrainingandabilityofContractorto performtheserviceshereunderasamaterialinducementtoenterintothisAgreement.Contractor shallthereforeprovideproperlyskilledpersonneltoperformallservicesunderthisAgreement.All workperformedbyContractorunderthisAgreementshallbeinaccordancewithapplicablelegal requirementsandshallmeetthestandardofqualityordinarilytobeexpectedofcompetent contractorsinContractor’sfieldof expertise. 14.CompliancewithLaws.Contractorshallusethestandardofcareinitsprofession to complywithallapplicablefederal, stateandlocallaws,codes,ordinancesandregulations. 15.Licenses.ContractorrepresentsandwarrantstoCitythatithasthelicenses, permits,qualifications,insuranceandapprovalsofwhatsoevernaturewhicharelegallyrequiredof Contractortopracticeitsprofession.ContractorrepresentsandwarrantstoCitythatContractorshall, atitssolecostandexpense,keepineffectorobtainatalltimesduringthetermofthisAgreement, anylicenses,permits,insuranceandapprovalswhicharelegallyrequiredofContractortopractice itsprofession.ContractorshallmaintainaCityofLakeElsinorebusinesslicense. 16.Indemnity.Contractorshallindemnify,defend,andholdharmlessthe Cityandits officials,officers,employees,agents,andvolunteersfromandagainstanyandalllosses,liability, claims,suits,actions,damages,andcausesofactionarisingoutofanypersonalinjury,bodily injury,lossoflife,ordamagetoproperty,oranyviolationofanyfederal,state,ormunicipallawor ordinance, tothe extentcaused,inwholeorinpart,bythewillfulmisconductornegligentactsor omissionsofContractororitsemployees,subcontractors,oragents,or byactsforwhichthey couldbeheldstrictlyliable,.TheforegoingobligationofContractorshallnotapplywhen(1)the injury,lossoflife,damagetoproperty,orviolationoflawarisesfromthesolenegligenceorwillful misconductoftheCityoritsofficers,employees,agents,orvolunteersand(2)theactionsof Contractororitsemployees,subcontractor,oragentshavecontributedinnopartto theinjury,loss oflife,damagetoproperty,orviolationoflaw.ItisunderstoodthatthedutyofContractortoindemnify andholdharmlessincludesthedutytodefendassetforthinSection2778oftheCaliforniaCivil Code.AcceptancebyCityofinsurancecertificatesandendorsementsrequiredunderthis AgreementdoesnotrelieveContractorfromliabilityunderthisindemnificationandholdharmless clause.Thisindemnificationandholdharmlessclauseshallapplytoanydamagesorclaimsfor damageswhetherornotsuchinsurancepoliciesshallhavebeendeterminedtoapply.By executionofthisAgreement,Contractoracknowledgesandagreestotheprovisionsofthis Sectionandthatitisamaterialelementofconsideration. Notwithstanding the foregoing, or anything in this Agreement to the contrary, under no circumstances shall either party be liable to the other for any consequential, special, incidental, indirect or punitive losses or damages (including lost profits, interest or savings), or other similar damages, however denominated, whether or not caused by the fault or negligence of either party and whether or not either party had knowledge that such Page 5 Exhibit B losses or damages might be incurred. 17.InsuranceRequirements. a.Insurance.Contractor,atContractor’sowncostandexpense,shallprocure andmaintain,forthedurationofthecontract,unlessmodifiedbytheCity’sRiskManager,thefollowing insurancepolicies. i.Workers’Compensation Coverage.Contractor shallmaintain Workers’CompensationInsuranceandEmployer’sLiabilityInsuranceforhis/heremployeesin accordancewiththelawsoftheStateofCalifornia.Inaddition,Contractorshallrequireeach subcontractortosimilarlymaintainWorkers’CompensationInsuranceandEmployer’sLiability InsuranceinaccordancewiththelawsoftheStateofCaliforniaforallofthesubcontractor’s employees.Anynoticeofcancellationornon-renewalofallWorkers’Compensationpoliciesmust bereceivedbytheCityatleastthirty(30)daysprior tosuchchange.Theinsurershallagreetowaiveallrightsofsubrogationagainst City, itsofficers, agents,employeesandvolunteersforlossesarisingfromworkperformedbyContractorforCity. IntheeventthatContractorisexemptfromWorker’sCompensationInsuranceandEmployer’s LiabilityInsuranceforhis/heremployeesinaccordancewiththelawsoftheStateofCalifornia, ContractorshallsubmittotheCityaCertificateofExemptionfromWorkersCompensation InsuranceinaformapprovedbytheCityAttorney. ii.GeneralLiabilityCoverage.Contractorshallmaintaincommercial generalliabilityinsuranceinanamountnotlessthanonemilliondollars($1,000,000)peroccurrence forbodilyinjury,personalinjuryandpropertydamage.Ifacommercialgeneralliabilityinsuranceform orotherformwithageneralaggregatelimitisused,eitherthegeneralaggregatelimitshall applyseparatelytotheworktobeperformedunderthisAgreementorthegeneralaggregatelimit shallbeatleasttwicetherequiredoccurrencelimit.Requiredcommercialgeneralliability coverageshallbeatleastasbroadasInsuranceServicesOfficeCommercialGeneralLiability occurrenceformCG0001(ed.11/88)orInsuranceServicesOfficeformnumberGL0002(ed. 1/73)coveringcomprehensiveGeneralLiabilityandInsuranceServicesOfficeformnumberGL 0404coveringBroadFormComprehensiveGeneralLiability.Noendorsementmaybeattached limitingthecoverage. iii.AutomobileLiabilityCoverage.Contractorshallmaintainautomobile liabilityinsurancecoveringbodilyinjuryandpropertydamageforallactivitiesoftheContractor arisingoutoforinconnectionwiththeworktobeperformedunderthisAgreement,including coverageforowned,hiredandnon-ownedvehicles,inanamountofnotlessthanonemilliondollars ($1,000,000)combinedsinglelimitforeachoccurrence.Automobileliabilitycoveragemustbeat leastasbroadasInsuranceServicesOfficeAutomobileLiabilityformCA0001(ed.12/90)Code 1(“anyauto”).Noendorsementmaybeattachedlimitingthecoverage. b.Endorsements.Eachgeneralliabilityandautomobileliabilityinsurance policyshallbewithinsurerspossessingaBest’sratingofnolessthanA:VIIandshallbeendorsed withthefollowingspecificlanguage: i.TheCity,itselectedorappointedofficers,officials,employees, agentsandvolunteersaretobecoveredasadditionalinsuredwithrespecttoliabilityarisingout ofworkperformedbyoronbehalfoftheContractor,includingmaterials,partsorequipmentfurnished inconnectionwithsuchworkoroperations. Page 6 Exhibit B ii.Thispolicyshallbeconsideredprimaryinsuranceasrespectsthe City,itselectedor appointedofficers,officials,employees,agentsandvolunteers.Anyinsurance maintainedbytheCity,includinganyself-insuredretentiontheCitymayhave,shallbeconsidered excessinsuranceonlyandshallnot contributewithit. iii.Thisinsuranceshallactforeachinsuredandadditionalinsuredas thoughaseparatepolicyhadbeenwrittenforeach,exceptwithrespecttothelimitsofliabilityof theinsuringcompany. iv.TheinsurerwaivesallrightsofsubrogationagainsttheCity,its electedor appointedofficers, officials,employeesor agents. v.Anyfailuretocomplywithreportingprovisionsofthepoliciesshallnot affectcoverageprovidedtotheCity,its electedorappointedofficers,officials,employees, agentsorvolunteers. vi.TheinsuranceprovidedbythisPolicyshallnotbesuspended,voided, canceled,orreducedincoverageorinlimitsexceptafterthirty(30)dayswrittennoticehasbeen receivedbythe City. c.DeductiblesandSelf-InsuredRetentions.Anydeductiblesorself-insured retentionsmustbedeclaredtoandapprovedbytheCity.AttheCity’soption,Contractorshall demonstratefinancialcapabilityforpayment of suchdeductiblesorself-insuredretentions. d.CertificatesofInsurance.Contractorshallprovidecertificatesofinsurance withoriginalendorsementstoCityasevidenceoftheinsurancecoveragerequiredherein. CertificatesofsuchinsuranceshallbefiledwiththeCityonorbeforecommencementof performanceofthisAgreement.CurrentcertificationofinsuranceshallbekeptonfilewiththeCity at alltimesduringtheterm of thisAgreement. 18.Notices.AnynoticerequiredtobegivenunderthisAgreementshallbeinwriting andeitherservedpersonallyorsentprepaid,firstclassmail.Anysuchnoticeshallbeaddressedto theotherpartyattheaddresssetforthbelow.Noticeshallbedeemedcommunicatedwithin48 hoursfrom thetime ofmailingif mailedasprovidedinthissection. IftoCity:Cityof LakeElsinoreAttn:CityManager 130SouthMainStreet LakeElsinore, CA92530 Withacopyto:Cityof LakeElsinore Attn:CityClerk 130SouthMainStreet LakeElsinore, CA92530 IftoContractor:Recycled Wood Products Attn: Mr. Hank Egigian–Vice President 1313 East Phillips Boulevard Pomona, CA 91766 Email: Hank@rwpmulch.com 19.EntireAgreement.ThisAgreementconstitutesthecompleteandexclusive statementofAgreementbetweentheCityandContractor.Allpriorwrittenandoral Page 7 Exhibit B communications,includingcorrespondence,drafts,memoranda,andrepresentations,are supersededintotalbythisAgreement. 20.Amendments.ThisAgreementmaybemodifiedoramendedonlybyawritten document executedbybothContractorandCityandapprovedastoform bytheCityAttorney. 21.AssignmentandSubcontracting.Thepartiesrecognizethatasubstantial inducementtoCityforenteringintothisAgreementisthereputation,experienceandcompetenceof ContractorandthesubcontractorslistedinExhibitB.ContractorshallbefullyresponsibletoCity forallactsoromissionsofanysubcontractors.Assignmentsofanyorallrights,dutiesor obligationsoftheContractorunderthisAgreementwillbepermittedonlywiththeexpressconsent oftheCity.Contractorshallnotsubcontractanyportionoftheworktobeperformedunderthis AgreementexceptasprovidedinExhibitBwithoutthewrittenauthorizationoftheCity.IfCity consentstosuchsubcontract,ContractorshallbefullyresponsibletoCityforallactsoromissionsof thosesubcontractors.NothinginthisAgreementshallcreateanycontractualrelationshipbetween CityandanysubcontractornorshallitcreateanyobligationonthepartoftheCitytopayor toseeto thepaymentof anymoniesduetoanysuchsubcontractor other thanasotherwiseisrequiredby law. 22.Waiver.Waiver ofabreachor defaultunderthisAgreementshallnotconstitutea continuingwaiverofasubsequentbreachofthesameoranyotherprovisionunder this Agreement. 23.Severability.IfanytermorportionofthisAgreementisheldtobeinvalid,illegal,or otherwiseunenforceablebyacourtofcompetentjurisdiction,theremainingprovisionsofthis Agreementshallcontinueinfullforceandeffect. 24.ControllingLawVenue.ThisAgreementandallmattersrelatingtoitshallbe governedby thelawsoftheStateofCaliforniaandanyactionbrought relatingtothisAgreement shallbeheldexclusivelyina statecourtintheCountyofRiverside. 25.LitigationExpensesandAttorneys’Fees.IfeitherpartytothisAgreement commencesanylegalactionagainsttheotherpartyarisingoutofthisAgreement,theprevailing partyshallbeentitledtorecoveritsreasonablelitigationexpenses,includingcourtcosts,expert witnessfees, discoveryexpenses, andattorneys’fees. 26.Mediation.Thepartiesagreetomakeagoodfaithattempttoresolveanydisputes arisingoutof thisAgreementthroughmediationpriorto commencinglitigation.Thepartiesshall mutuallyagreeuponthemediatorandsharethecostsofmediationequally.Ifthepartiesare unabletoagreeuponamediator,thedisputeshallbesubmittedtoJAMSoritssuccessorin interest.JAMSshallprovidethepartieswiththenamesoffivequalifiedmediators.Eachpartyshall havetheoptiontostriketwoofthefivemediatorsselectedbyJAMSandthereafterthemediator remainingshallhearthedispute.Ifthedisputeremainsunresolvedaftermediation,eitherparty maycommencelitigation. 27.AuthoritytoEnterAgreement.Contractorhasallrequisitepowerandauthorityto conductitsbusinessandtoexecute,deliver,andperformtheAgreement.Eachpartywarrantsthat the individualswhohavesignedthisAgreementhavethelegalpower,right, andauthoritytomake thisAgreementandtobindeachrespectiveparty.TheCityManagerisauthorizedtoenterintoan amendmentorotherwisetakeactiononbehalfoftheCity tomakethefollowingmodificationsto theAgreement:(a)anamechange;(b)grantextensionsoftime;(c)non-monetarychanges in thescopeofservices;and/or(d) suspendorterminatetheAgreement. Page 8 Exhibit B 28.ProhibitedInterests.Contractormaintainsandwarrantsthatithasnotemployed norretainedanycompanyorperson,otherthanabonafideemployeeworkingsolelyfor Contractor,tosolicitorsecurethisAgreement.Further,Contractorwarrantsthatithasnotpaidnor hasitagreedtopayanycompanyorperson,otherthanabonafideemployeeworkingsolelyfor Contractor,anyfee,commission,percentage,brokeragefee,giftorotherconsideration contingentuponorresultingfromtheawardormakingofthisAgreement.Forbreachorviolationof thiswarranty,Cityshallhavethe rightto rescindthisAgreementwithoutliability.Forthe termofthis Agreement,nomember,officeroremployeeofCity,duringthetermofhisorherservice withCity,shallhaveanydirectinterestinthisAgreement,orobtainanypresentoranticipated materialbenefit arisingtherefrom. 29.EqualOpportunityEmployment.Contractorrepresentsthatitisanequal opportunityemployeranditshallnotdiscriminateagainstanysubcontractor,employeeorapplicant foremploymentbecauseofrace,religion,color,nationalorigin,handicap,ancestry,sexorage.Such non-discriminationshallinclude,butnotbelimitedto,allactivitiesrelatedtoinitialemployment, upgrading,demotion,transfer,recruitmentorrecruitmentadvertising,layoffortermination. 30.PrevailingWages.ContractorisawareoftherequirementsofCaliforniaLabor CodeSection1720,etseq., and1770,etseq., as wellasCaliforniaCodeof Regulations, Title8, Section16000,etseq.,("PrevailingWageLaws"),whichrequirethepaymentofprevailingwage ratesandtheperformanceofotherrequirementson"publicworks"and"maintenance"projects. Contractoragreestofullycomplywithallapplicablefederalandstatelaborlaws(including, withoutlimitation,ifapplicable,thePrevailingWageLaws).Itisagreedbythepartiesthat,in connectionwiththeWorkorServicesprovidedpursuanttothisAgreement,Contractorshallbearall risksofpaymentornon-paymentofprevailingwagesunderCalifornialaw,andContractorhereby agreestodefend,indemnify,andholdtheCity,anditsofficials,officers,employees,agents, andvolunteers,freeandharmlessfromanyclaimorliabilityarisingoutofanyfailureoralleged failuretocomplywiththePrevailingWageLaws.Theforegoingindemnityshallsurvivetermination ofthisAgreement. 31.Execution.ThisAgreementmaybeexecutedinseveralcounterparts,eachof whichshallconstituteoneandthesameinstrumentandshallbecomebindingupontheparties whenatleastonecopyhereofshallhavebeensignedbybothpartieshereto.Inapprovingthis Agreement, itshallnotbenecessaryto produceoraccount formorethanonesuchcounterpart. [Signaturesonnext page] Page 9 Exhibit B IN WITNESSWHEREOF,the partieshavecausedthisAgreementto beexecutedonthe datefirstwrittenabove. “CITY” CITYOFLAKEELSINORE,amunicipal corporation “CONTRACTOR” Recycled Wood Products GrantYates, CityManager ATTEST: By:Hank Egigian Its:Vice President Date: CityClerk APPROVEDASTO FORM: CityAttorney Exhibit B