2016 Sealcoat Project: Accept Bids and Award Contract�i
CITY OF
CHMNSEN
7700 Market Boulevard
PO Box 147
Chanhassen, MN 55317
Administration
Phone: 952.227.1100
Fax: 952.227.1110
Building Inspections
Phone: 952.227.1180
Fax: 952.227.1190
Engineering
Phone: 952.227.1160
Fax: 952.227.1170
Finance
Phone: 952.227.1140
Fax: 952.227.1110
Park & Recreation
Phone: 952.227.1120
Fax: 952.227.1110
Recreation Center
2310 Coulter Boulevard
Phone: 952.227.1400
Fax: 952.227.1404
MEMORANDUM
TO: Paul Oehme, Director of Public Works /City Engineer t
FROM: Stephanie Smith, Project Engineer 'o`a
DATE: April 11, 2016 o�p-
SUBJ: 2016 Sealcoat Project No. 16 -06: Accept Bids and Award Contract
PROPOSED MOTION
"The City Council approves a resolution accepting bids and awarding a contract
for the 2016 Sealcoat Project to Allied Blacktop Company for roadway
sealcoating in the amount of $195,283.66."
City Council approval requires a simple majority vote of the City Council present.
BACKGROUND
Annually, the City has completed a sealcoat project to extend the life of its streets and
parking lots. Streets and parking lots recommended for sealcoating this year were
identified with the Pavement Management Program and are shown on the attached
maps. Staff visited each street and visually reviewed the street condition to confirm
maintenance is required.
Chanhassen is a Community for Life - Providing for Today and Planning for Tomorrow
DISCUSSION
Planning &
Natural Resources
A sealcoat program is a cost - effective tool to protect the capital asset of a street and
Phone: 952,227.1130
extend the life of the street system. Sealcoating is the application of asphalt emulsion
Fax: 952.227.1110
followed immediately with an aggregate cover. Sealcoating of streets is beneficial
Public Works
because it can:
7901 Park Place
Phone: 952.227.1300
• Delay or eliminate further aging of pavement due to water and sun.
Fax: 952.227.1310
• Seals to provide a moisture barrier.
• Fills in raveled pavement areas.
Senior Center
• Enriches under - asphalt pavement.
Phone: 952.227.1125
Fax: 952.227.1110
• Seals cracks temporary or permanently.
• Performs minor leveling.
Website
Restores surface friction to improve wheel grip.
www.ci.chanhassen.mn.us
Economically prolongs the life of existing pavements.
Chanhassen is a Community for Life - Providing for Today and Planning for Tomorrow
Paul Oehme
2016 Sealcoat Program: Award Contract
April 11, 2016
Page 2
It is estimated that a sealcoat application extends the life of pavement from three to six years at a
fraction of the cost of street rehabilitation or bituminous overlay projects. It is, therefore, more cost
effective to sealcoat roadways when fewer pavement distresses are present versus letting the
pavement deteriorate until major, costly rehabilitation or reconstruction projects are required.
This project will also include a double -chip seal for parking lots that are in greater distress. This
sealcoat technique will provide additional aggregate to reinforce the distressed pavement surface.
A sealcoat emulsion with sand will be utilized on the trails in this project. This technique will result
in a smoother surface for recreational use by bicycles and rollerblades.
BIDS
City staff solicited bids by advertising in the local newspaper and QuestCDN two weeks prior to the
bid opening. On March 23, 2016, one bid was received for the 2016 Sealcoat Project No. 16 -06.
Bid amounts for the project are shown below.
Allied Blacktop has completed previous projects in the city of Chanhassen. Their past work has
been acceptable.
Sealcoating activities will tentatively start on July 11, 2016 with a completion date of August 31,
2016. Notifications to all affected property owners will be sent out prior to work commencing.
This project was budgeted for 2016 in the CIP Pavement Management (ST -018). The remaining
funds in this budget item are used for in -house projects such pothole patching, curb repairs, sidewalk
repairs, and other miscellaneous street and trail repairs.
Attachment: 1. Resolution
2. CIP Page
3. Project Map
c: Charlie Burke, Street Superintendent
g: \eng \sealcoat\2016 \communication \160411_cc_ award contract memo.doc
Base Bid
Engineer's Estimate
$248,658.99
Allied Blacktop Company
$195,283.66
Allied Blacktop has completed previous projects in the city of Chanhassen. Their past work has
been acceptable.
Sealcoating activities will tentatively start on July 11, 2016 with a completion date of August 31,
2016. Notifications to all affected property owners will be sent out prior to work commencing.
This project was budgeted for 2016 in the CIP Pavement Management (ST -018). The remaining
funds in this budget item are used for in -house projects such pothole patching, curb repairs, sidewalk
repairs, and other miscellaneous street and trail repairs.
Attachment: 1. Resolution
2. CIP Page
3. Project Map
c: Charlie Burke, Street Superintendent
g: \eng \sealcoat\2016 \communication \160411_cc_ award contract memo.doc
CITY OF CHANHASSEN
CARVER AND HENNEPIN COUNTIES, MINNESOTA
DATE: April 11, 2016 RESOLUTION NO: 2016 -XX
MOTION BY: SECONDED BY:
A RESOLUTION ACCEPTING BID AND AWARDING CONTRACT
FOR THE 2016 SEALCOAT PROJECT NO. 16 -06
WHEREAS, pursuant to an advertisement for bids for the 2016 Sealcoat Project, one bid
was received, opened and tabulated according to law, and the following bid was received complying
with the advertisement:
AND WHEREAS, it appears that Allied Blacktop Company is the lowest responsible
bidder.
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of
Chanhassen:
1. The mayor and clerk are hereby authorized and directed to enter into a contract with
Allied Blacktop Company in the name of the City of Chanhassen for the 2016 Sealcoat Project No.
16 -06 according to the plans and specifications on file in the office of the City Engineer.
2. The city clerk is hereby authorized and directed to return forthwith to all bidders the
deposits made with their bids, except that the deposits of the successful bidder and the next lowest
bidder shall be retained unto a contract has been signed.
Passed and adopted by the Chanhassen City Council this 11 th day of April, 2016.
ATTEST:
Todd Gerhardt, City Manager Denny Laufenburger, Mayor
YES NO ABSENT
Base Bid
Engineer's Estimate
$248,658.99
Allied Blacktop Company
$195,283.66
AND WHEREAS, it appears that Allied Blacktop Company is the lowest responsible
bidder.
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of
Chanhassen:
1. The mayor and clerk are hereby authorized and directed to enter into a contract with
Allied Blacktop Company in the name of the City of Chanhassen for the 2016 Sealcoat Project No.
16 -06 according to the plans and specifications on file in the office of the City Engineer.
2. The city clerk is hereby authorized and directed to return forthwith to all bidders the
deposits made with their bids, except that the deposits of the successful bidder and the next lowest
bidder shall be retained unto a contract has been signed.
Passed and adopted by the Chanhassen City Council this 11 th day of April, 2016.
ATTEST:
Todd Gerhardt, City Manager Denny Laufenburger, Mayor
YES NO ABSENT
Capital Improvement Program 2016 thru 2020
City of Chanhassen, MN
Project # ST -018
Project dame Pavement Management
Department
Street Improvements
Contact
Paul Oehme
Type
Maintenance
Useful Life
7 -10 years
Category
Streets/Highways
Account 41 420 - 00004751 Account #3 Priority n/a
Account #2 Account #4
Description Total Project Cost: $3,760,000
This project will provide maintenance such as crack sealing, seal - coating, pothole patching, replacement of curb and gutter and sidewalk repairs for
"ity streets. Also included in this project are trails and City parking lot rehabilitations. Seal -coat projects will be determined annually based on
he pavement condition index as generated by the pavement management program. The street department uses this funding source to pay for
)ituminous material for annual street patching.
Justification J
This will provide a centralized funding mechanism that will help reduce the effect on General Fund operating expenditures.
Prior Expenditures
2,135; Maintenance
Total
2016 2017 2018 2019 2020 Total
485,000 285,000 285,000 285,000 285,000 1,625,000
Total 485,000 285,000 285,000 285,000 285,000 1,625,000
Prior
Funding Sources
2016
2017
2018
2019
2020
Total
2,135,000
Street Pavement Management
100,000
100,000
100,000
100,000
100,000
500,000
Total
Tax Levy
385,000
185,000
185,000
185,000
185,000
1,125,000
Total
485,000
285,000
285,000
285,000
285,000
1,625,000
Budget Impact/Other e
Phese improvements will cost effectively prolong the life of the street so major improvements such as reconstruction projects can be delayed.
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CITY OF CHANHA48EN
IRMIYED
APR 2 2 2016
FORM OF AGREEMENT
BETWEEN CITY OF CHANHASSEN AND CONTRACTOR ENGINEERING DEPT.
THIS AGREEMENT, made this 11 `h day of April, 2016, by and between the CITY OF
CHANHASSEN, a Minnesota municipal corporation ( "Owner ") and ALLIED BLACKTOP
COMPANY ( "Contractor "). Owner and Contractor, in consideration of the mutual covenants set
forth herein, agree as follows:
1. CONTRACT DOCUMENTS. The following documents shall be referred to as
the "Contract Documents ", all of which shall be taken together as a whole as the contract
between the parties as if they were set verbatim and in full herein:
A. This Agreement;
B. Specifications dated March, 2016;
C. City of Chanhassen General Conditions of the Construction Contract;
D. Quote/Bid dated March 23, 2016 for the 2016 Sealcoat Project 16 -06.
In the event of a conflict among the provisions of the Contract Documents, the order in which
they are listed above shall control in resolving any such conflicts with Contract Document "A"
having the first priority and Contract Document "D" having the last priority.
2. OBLIGATIONS OF THE CONTRACTOR. The contractor shall provide the
goods, services, and perform the work in accordance with the Contract Documents.
3. CONTRACT PRICE. Owner shall pay Contractor for completion of the Work
in accordance with the Contract Documents the amount of One Hundred Ninety Five Thousand
Two Hundred Eighty Three Dollars and 66/100 ($195,283.66).
4. PAYMENT PROCEDURES.
A. Contractor shall submit Applications for Payment. Applications for
Payment will be processed by Engineer as provided in the General
Conditions.
B. Progress Payments; Retainage. Owner shall make 95% progress payments
on account of the Contract Price on the basis of Contractor's Applications
for Payment during performance of the Work.
C. Payments to Subcontractor.
(1) Prompt Payment to Subcontractors. Pursuant to Minn. Stat. §
471.25, Subd. 4a, the Contractor must pay any subcontractor
175881vI
within ten (10) days of the Contractor's receipt of payment from
the City for undisputed services provided by the subcontractor.
The Contractor must pay interest of 1 '/z percent per month or any
part of a month to the Subcontractor on any undisputed amount not
paid on time to the subcontractor. The minimum monthly interest
penalty payment for an unpaid balance of $100.00 or more is
$10.00. For an unpaid balance of less than $100.00, the Contractor
shall pay the actual penalty due to the subcontractor.
(2) Form IC -134 (attached) required from general contractor. Minn.
Stat. § 290.92 requires that the City of Chanhassen obtain a
Withholding Affidavit for Contractors, Form IC -134, before
making final payments to Contractors. This form needs to be
submitted by the Contractor to the Minnesota Department of
Revenue for approval.
The form is used to receive certification from the state that the
vendor has complied with the requirement to withhold and remit
state withholding taxes for employee salaries paid.
D. Final Payment. Upon final completion of the Work, Owner shall pay the
remainder of the Contract Price as recommended by Engineer.
5. COMPLETION DATE/LIQUIDATED DAMAGES.
A. The Work must be completed on or before August 31, 2016 and ready for
final payment in accordance with the General Conditions.
B. Contract and Owner recognize that time is of the essence of this
Agreement and that Owner will suffer financial loss if the Work is not
completed within the times specified in Paragraph 5.A. above, plus any
extensions thereof allowed. The parties also recognize the delays,
expense, and difficulties involved in proving in a legal or arbitration
proceeding the actual loss suffered by Owner if the Work is not completed
on time. Accordingly, instead of requiring any such proof, Owner and
Contractor agree that as liquidated damages for delay (but not as a
penalty), Contractor shall pay Owner $ $500.00 for each calendar day
that expires after the time specified in Paragraph 5.A. for Completion until
the Work is complete.
Daily costs are based on MnDOT Table 1807 -1, "Schedule of Liquidated
Damages as follows:
2
175881v1
TABLE 1807 -1
SCHEDULE OF LIQUIDATED
DAMAGES
Original Contract Amount
Charge
Per Cal.
Day
M
From More Than
$
To and Including
M
0
25,000
75
25,000
50,000
125
50,000
100,000
250
100,000
500,000
500
500,000
1,000,000
750
1,000,000
2,000,000
1,250
2,000,000
5,000,000
1,750
5,000,000
10,000,000
29500
10,000,000
- - --
3,000
6. CONTRACTOR'S REPRESENTATIONS.
A. Contractor has examined and carefully studied the Contract Documents
and other related data identified in the Contract Documents.
B. Contractor has visited the Site and become familiar with and is satisfied as
to the general, local, and Site conditions that may affect cost, progress, and
performance of the Work.
C. Contractor is familiar with and is satisfied as to all federal, state, and local
Laws and Regulations that may affect cost, progress, and performance of
the Work.
D. Contractor has carefully studied all: (1) reports of explorations and tests
of subsurface conditions at or contiguous to the Site and all drawings of
physical conditions in or relating to existing surface or subsurface
structures at or contiguous to the Site (except Underground Facilities)
which have been identified in the General Conditions and (2) reports and
drawings of a Hazardous Environmental Condition, if any, at the site.
E. Contractor has obtained and carefully studied (or assumes responsibility
for doing so) all additional or supplementary examinations, investigations,
explorations, tests, studies, and data concerning conditions (surface,
subsurface, and Underground Facilities) at or contiguous to the Site which
may affect cost, progress, or performance of the Work or which relate to
any aspect of the means, methods, techniques, sequences, and procedures
of construction to be employed by Contractor, including any specific
means, methods, techniques, sequences, and procedures of construction
3
i75881vi
expressly required by the Bidding Documents, and safety precautions and
programs incident thereto.
F. Contractor does not consider that any further examinations, investigations,
explorations, tests, studies, or data are necessary for the performance of
the Work at the Contract Price, within the Contract Times, and in
accordance with the other terms and conditions of the Contract
Documents.
G. Contractor is aware of the general nature of work to be performed by
Owner and others at the Site that relates to the Work as indicated in the
Contract Documents.
H. Contractor has correlated the information known to Contractor,
information and observations obtained from visits to the Site, reports and
drawings identified in the Contract Documents, and all additional
examinations, investigations, explorations, tests, studies, and data with the
Contract Documents.
I. Contractor has given Engineer written notice of all conflicts, errors,
ambiguities, or discrepancies that Contractor has discovered in the
Contract Documents, and the written resolution thereof by Engineer is
acceptable to Contractor.
J. The Contract Documents are generally sufficient to indicate and convey
understanding of all terms and conditions for performance and furnishing
of the Work.
K. Subcontracts:
(1) Unless otherwise specified in the Contract Documents, the
Contractor shall, upon receipt of the executed Contract Documents,
submit in writing to the Owner the names of the Subcontractors
proposed for the work. Subcontractors may not be changed except
at the request or with the consent of the Owner.
(2) The Contractor is responsible to the Owner for the acts and
omissions of the Contractor's subcontractors, and of their direct
and indirect employees, to the same extent as the Contractor is
responsible for the acts and omissions of the Contractor's
employees.
(3) The Contract Documents shall not be construed as creating any
contractual relation between the Owner, the Engineer, and any
Subcontractor.
4
»sssivl
(4) The Contractor shall bind every Subcontractor by the terms of the
Contract Documents.
7. WORKER'S COMPENSATION. The Contractor shall obtain and maintain for
the duration of this Contract, statutory Worker's Compensation Insurance and Employer's
Liability Insurance as required under the laws of the State of Minnesota.
8. COMPREHENSIVE GENERAL LIABILITY. Contractor shall obtain the
following minimum insurance coverage and maintain it at all times throughout the life of the
Contract, with the City included as an additional name insured on a primary and non-
contributory basis. The Contractor shall furnish the City a certificate of insurance satisfactory to
the City evidencing the required coverage:
Bodily Injury: $2,000,000 each occurrence
$2,000,000 aggregate products and
completed operations
Property Damage: $2,000,000 each occurrence
$2,000,000 aggregate
Contractual Liability (identifying the contract):
Bodily Injury: $2,000,000 each occurrence
Property Damage: $2,000,000 each occurrence
$2,000,000 aggregate
Personal Injury, with Employment Exclusion deleted:
$2,000,000 aggregate
Comprehensive Automobile Liability (owned, non - owned, hired):
Bodily Injury: $2,000,000 each occurrence
$2,000,000 each accident
Property Damage: $2,000,000 each occurrence
9. WARRANTY. The Contractor guarantees that all new equipment warranties as
specified within the quote shall be in full force and transferred to the City upon payment by the
City. The Contractor shall be held responsible for any and all defects in workmanship, materials,
and equipment which may develop in any part of the contracted service, and upon proper
notification by the City shall immediately replace, without cost to the City, any such faulty part
or parts and damage done by reason of the same in accordance with the bid specifications.
10. INDEMNITY. The Contractor agrees to indemnify and hold the City harmless
from any claim made by third parties as a result of the services performed by it. In addition, the
175881v1
Contractor shall reimburse the City for any cost of reasonable attorney's fees it may incur as a
result of any such claims.
11. MISCELLANEOUS.
A. Terms used in this Agreement have the meanings stated in the General
Conditions.
B. Owner and Contractor each binds itself, its partners, successors, assigns
and legal representatives to the other party hereto, its partners, successors,
assigns and legal representatives in respect to all covenants, agreements,
and obligations contained in the Contract Documents.
C. Any provision or part of the Contract Documents held to be void or
unenforceable under any Law or Regulation shall be deemed stricken, and
all remaining provisions shall continue to be valid and binding upon
Owner and Contractor, who agree that the Contract Documents shall be
reformed to replace such stricken provision or part thereof with a valid and
enforceable provision that comes as close as possible to expressing the
intention of the stricken provisions.
D. Data Practices /Records.
(1) All data created, collected, received, maintained or disseminated
for any purpose in the course of this Contract is governed by the
Minnesota Government Data Practices Act, Minn. Stat. Ch. 13, any
other applicable state statute, or any state rules adopted to
implement the act, as well as federal regulations on data privacy.
(2) All books, records, documents and accounting procedures and
practices to the Contractor and its subcontractors, if any, relative to
this Contract are subject to examination by the City.
E. Software License. If the equipment provided by the Contractor pursuant
to this Contract contains software, including that which the manufacturer
may have embedded into the hardware as an integral part of the
equipment, the Contractor shall pay all software licensing fees. The
Contractor shall also pay for all software updating fees for a period of one
year following cutover. The Contractor shall have no obligation to pay for
such fees thereafter. Nothing in the software license or licensing
agreement shall obligate the City to pay any additional fees as a condition
for continuing to use the software.
F. Patented devices, materials and processes. If the Contract requires, or the
Contractor desires, the use of any design, devise, material or process
covered by letters, patent or copyright, trademark or trade name, the
6
i7sss]vi
Contractor shall provide for such use by suitable legal agreement with the
patentee or owner and a copy of said agreement shall be filed with the
Owner. If no such agreement is made or filed as noted, the Contractor
shall indemnify and hold harmless the Owner from any and all claims for
infringement by reason of the use of any such patented designed, device,
material or process, or any trademark or trade name or copyright in
connection with the Project agreed to be performed under the Contract,
and shall indemnify and defend the Owner for any costs, liability,
expenses and attorney's fees that result from any such infringement
G. Assignment. Neither party may assign, sublet, or transfer any interest or
obligation in this Contract without the prior written consent of the other
party, and then only upon such terms and conditions as both parties may
agree to and set forth in writing.
H. Waiver. In the particular event that either party shall at any time or times
waive any breach of this Contract by the other, such waiver shall not
constitute a waiver of any other or any succeeding breach of this Contract
by either party, whether of the same or any other covenant, condition or
obligation.
I. Governing LawNenue. The laws of the State of Minnesota govern the
interpretation of this Contract. In the event of litigation, the exclusive
venue shall be in the District Court of the State of Minnesota for Carver
County.
J. Severability. If any provision, term or condition of this Contract is found
to be or become unenforceable or invalid, it shall not affect the remaining
provisions, terms and conditions of this Contract, unless such invalid or
unenforceable provision, term or condition renders this Contract
impossible to perform. Such remaining terms and conditions of the
Contract shall continue in full force and effect and shall continue to
operate as the parties' entire contract.
K. Entire Agreement. This Contract represents the entire agreement of the
parties and is a final, complete and all inclusive statement of the terms
thereof, and supersedes and terminates any prior agreement(s),
understandings or written or verbal representations made between the
parties with respect thereto.
L. Permits and Licenses; Rights -of -Way and Easements. The Contractor
shall procure all permits and licenses, pay all charges and fees therefore,
and give all notices necessary and incidental to the construction and
completion of the Project. The City will obtain all necessary rights -of-
way and easements. The Contractor shall not be entitled to any additional
7
17ssa1v]
compensation for any construction delay resulting from the City's not
timely obtaining rights -of -way or easements.
M. If the work is delayed or the sequencing of work is altered because of the
action or inaction of the Owner, the Contractor shall be allowed a time
extension to complete the work but shall not be entitled to any other
compensation.
CITY OFAHANHASSEN
i
Denny Iiufenbyfger, Mayo /rte"
BY:
odd Gerhardt, City Manager
175881vl
ALLIED BLACKTOP COMPANY:
BY:
Its
Bond No. 929630609
PERFORMANCE BOND
Any singular reference to Contractor, Surety, Owner or other party shall be considered plural where applicable.
CONTRACTOR (Name and Address)-
Allied Blacktop Company
10503 -89th Avenue North
Maple Urove, MN bb:369
OWNER (Name and Address)
_City of Chanhassen
7700 Market Blvd.
Chanhassen.
CONSTRUCTION CONTRACT
r,.,o. 4 -11 -2016
SURETY (Name and Address of Prineiml Place of 3usimn)•
Western Surety Company
101 South Phillips Avenue
Sioux Falls. SD 57104
Amount: $195,283.66
Description (Name and Location): 2016 Sealcoat Project, Project No. 16 -06
Date (Not earlier than Construction Contract Date): 4 -19 -2016
Amount: $195,283.66
Modification to this Bond Form: None.
CONTRACTOR AS PRINCIPAL
Allied Blacktop Company (Seal)
Bidde ame and Co rate Seal
By: �nre
Pte.
Sign l e;;, sw Ylh
CONTRACTOR AS PRINCIPAL
(Seal)
Bidder's Name and Corporate Seal
1.g_1 171
Western Surety Com ny,c
Surety's Name Name d e<
By:
Signature and Title
John G. Hagberg, Attorney -in -Fact
.'1u1: 51—bW
Surety's Name and Corporate Seal
By: By:
Signature and Title Signature and Title
GC -59
1. The Contractor and the Surety, jointly and severally, bind themselves, their heirs, executors, administrators, successors and
assigns to the Owner for the performance of the Construction Contract, which is incorporated herein by reference.
2. If the Contractor performs the Construction Contract, the Surety and the Contractor shall have no obligation under this Bond,
except to participate in conferences as provided in Subparagraph 3.1.
3. If there is no Owner Default, the Surety's obligation under this Bond shall arise after.
31. The Owner has notified the Contractor and the Surety at its address described in Paragraph 10 below, that the Owner is
considering declaring a Contractor Default and has requested and attempted to arrange a conference with the Contractor
and the Surety to be held not later than fifteen days after receipts of such notice to discuss methods of performing the
Construction Contract If the Owner, the Contractor and the Surety agree, the Contractor shall be allowed a reasonable
time to perform the Construction Contract, but such an agreement shall not waive the Owner's right, if any, subsequently
to declare a Contractor Default; and
32 The Owner has declared a Contractor Default and formally terminated the Contractor's right to complete the contract
Such Contractor Default shall not be declared earlier than twenty days after the Contractor and the Surety have received
notice as provided in Subparagraph 3.1; and
33. The Owner has agreed to pay the Balance of the Contract Price to the Surety in accordance with the terms of the
Construction Contract or to a contractor selected to perform the Construction Contract in accordance with the terms of
the contract with the Owner.
4. When the Owner has satisfied the conditions of Paragraph 3, the Surety shall promptly and at the Surety's expense take one
of the following actions:
4.1. Arrange for the Contractor, with consent of the Owner, to perform and complete the Construction Contract; or
4.2. Undertake to perform and complete the Construction Contract itself; through its agents or through independent
contractors; or
4.3. Obtain bids or negotiated proposals from qualified contractors acceptable to the Owner for a contract for performance
and completion of the Construction Contract, arrange for a contract to be prepared for execution by the Owner and the
contractor selected with the Owner's concurrence, to be secured with performance and payment bonds executed by a
qualified surety equivalent to the bonds issued on the Construction Contract, and pay to the Owner the amount of
damages as described in Paragraph 6 in excess of the Balance of the Contract Price incurred by the resulting from the
Contractor's default; or
4.4. Waive its right to perform and complete, arrange for completion, or obtain a new contractor and with reasonable
promptness under the circumstances:
1. After investigation, determine the amount for which it may be liable to the Owner and, as soon as practicable after
the amount is determined, tender payment therefore to the Owner, or
2. Deny liability in whole or in part and notify the Owner citing reasons therefore.
5. If the Surety does not proceed as provided in Paragraph 4 with reasonable promptness, the Surety shall be deemed to be in
default on this Bond fifteen days after receipt of an additional written notice from the Owner to the Surety demanding that
the Surety perform its obligations under this Bond, and the Owner shall be entitled to enforce any remedy available to the
Owner. Ifthe Surety proceeds as provided in Subparagraph 4.4, and the Owner refuses the payment tendered or the Surety
has denied liability, in whole or in part, without further notice the Owner shall be entitled to enforce any remedy available to
the Owner.
6. After the Owner has terminated the Contractors right to complete the Construction Contract, and if the Surety elected to act
under Subparagraph 4.1, 4.2, or 43 above, dim the responsibilities of the Surety to the Owner shall not be greater than those
of the Contractor under the Construction Contract, and the responsibilities ofthe Owner to the Surety shall not be greater
than those of the Owner under the Construction Contract. To the limit of the mount of this Bond, but subject to
commitment by the Owner ofthe Balance of the Contract Price to mitigation of costs and damages on the Construction
Contract, the Surety is obligated without duplication for.
6.1. The responsibilities of the Contractor for correction of defective work and completion of the Construction Contract:
62 Additional legal, design professional and delay costs resulting from the Contractor's Default, and resulting from the
actions or failure to act of the Surety under Paragraph 4; and
63. Liquidated damages, or if nmliquidated damages are speed in the Construction Contract, actual damages caused by
delayed performance or non - performance of the Contractor.
7. The Surety shall not be liable to the Owner or others for obligations of the Contractor that are unrelated to the Construction
Contract, and the Balance of the Contract Price shall not be reduced or set offon account ofany such unrelated obligations.
No right of actionshall accrue on this Bond to any person or entity other than the Owner or its heirs, executors,
administrators, orsuccessors.
S. The Surety hereby waives notice of any change, including changes of time, to the Construction Contract or to related
subcontractors, purchase orders and other obligations.
9. Any proceeding, legal or equitable, under this Bond may be instituted in any court of competent jurisdiction in the location in
which the work or part of the work is located and shall be instituted within two years after Contractor Default or within two
years after the Surety refuses or fails to perform its obligations under this Bond, whichever occurs first If the provisions of
GC -60
this Paragraph are void or prohibited by law, the minimum period of limitation available to sureties as a defense in the
jurisdiction of the suit shall be applicable.
10. Notice to the Surety, the Owner or the Contractor shall be mailed or delivered to the address shown on the signature page.
11. When this Bond has been furnished to comply with a statutory or other legal requirement in the location where the
construction was to be performed, any provision in this Bond conflicting with said statutory or legal requirement shall be
deemed incorporated herein. The intent is that this Bond shall be construed as a statutory bond and not as a common law
bond.
12. DEFINITIONS
12.I.Balance of the Contract Price: The total amount payable by the Owner to the Contractor under the Construction
Contract after all proper adjustments have been made, including allowance to the Contractor of any amounts received or
to be received by the Owner in settlement of insurance or other claims for damages to which the Contractor is entitled,
reduced by all valid and proper payments made do or on behalf of the Contractor under the Construction Contract.
122.Construction Contract: The agreement between the Owner and the Contractor identified on the signature page,
including all Contract Documents and changes thereto.
123.Contractor Default: Failure of the Contractor, which has neither been remedied nor waived, to perform or
otherwise to comply with the terms of the Construction Contract.
12.4.Owner Default: Failure of the Owner, which has neither been remedied nor waived, to pay the Contractor as
required by the Construction Contract or to perform and complete or comply with the other terms thereof.
GC -61
Bond No. 929630609
PAYMENT BOND
Any singular reference to Contractor, Surety, Owner or other party shall be considered plural where applicable.
CONTRACTOR (Name and Address):
Allied Blacktop Company
10503 -89th Avenue North
Maple Grove, MN 55369
OWNER (Name and Address):
City of Chanhassen
7700 Market Blvd.
Chanhassen, MN 55317
CONTRACT
Date: 4 -11 -2016
Amount: $195,283.66
SURETY (Name and Address of Principal Place
Of Business):
Western Surety Company
101 South Phillips Avenue
Sioux Falls, SD 57104
Descnptton (Name and Location): 2016 Sealcoat Project, Project No. 16 -06
BOND
Date (Not earlier than Contract Date): 4 -19 -2016
Amount: $195,283.66
Modifications to this Bond Form: None
Surety and Contractor, intending to be legally bound hereby, subject to the terms printed on the reverse side hereof,
do each cause this Performance Bond to be duly executed on its behalf by its authorized officer, agent or
representative.
CONTRACTOR AS PRINCIPAL SURETY
Company: (Corp. Seal) Company: Corp. eal
Allied BI top Com a Western Surety o p
Signature: Signature:
Name and Title: 1A Name and Title G. Ha ber Att me -in -Fact
�l(Attach Power mey)
(Space is provided below for signatures of additional parties, if required.)
CONTRACTOR AS PRINCIPAL SURETY
Company: (Corp. Seal) Company: (Corp. Seal)
Signature: Signature:
Name and Title: Name and Title:
EJCDE No. 1910 -28 -A (1996 Edition)
Originally prepared through the joint efforts of the Surety Association of America, Engineers Joint Contract Documents Committee, the
Associated General Contractors of America, and the American Institute of Architects.
GC -62
I. The CONTRACTOR and the Surety, jointly and severally, bind themselves, (FOR INFORMATION ONLY —Name, Address, and Telephone)
their heirs, executors, administrator, successors and assigns to the OWNER to AGENT or BROKER: OWNER'S REPRESENTATIVE (ENGINEER or
pay for labor, materials and equipment furnished for use in the performance of other party)
the Contract, which is incorporated herein by reference.
2. With respect to the OWNER, this obligation shall be null and void if the
CONTRACTOR
2.1 Promptly makes payment, directly or indirectly, for all sums due
Claimants, and
2.2 Defends, indemnifies and holds harmless the OWNER from all claims,
demands, liens or suits by any person or entity who furnished labor, materials or
equipment for use in the performance of the Contract, provided the OWNER has
promptly notified the CONTRACTOR and the Surety (at the addresses described
in paragraph 12) of any claims, demands, liens or suits and tendered defense of
such claims, demands, liens or suits to the CONTRACTOR and the Surety, and
provided there is no OWNER Default.
3. With respect to Claimants, this obligation shall be null and void ifthe
CONTRACTOR promptly makes payment, directly or indirectly, for all sums
due.
4. The Surety shall have no obligation to Claimants under this bonduntil:
4.1 Claimants who are employed by or have a direct contract with the
CONTRACTOR have given notice to the Surety (at the addresses described in
paragraph 12) and sent a copy, of notice thereof, to the OWNER, stating that a
claim is being made under this Bond and, with substantial accuracy, the amount
of the claim.
4.2 Claimants who do not have a direct contract with the CONTRACTOR
I. Have furnished written notice to the CONTRACTOR and sent acopy
or notice thereof, to the OWNER, within 90 days after having last performed
labor or last furnished materials or equipment included in the claim stating, with
substantial accuracy, the amount of the claim and the name of the party to who
the materials are furnished or supplied or for whom the labor was done or
formed; and
9. The Surety shall not be liable to the OWNER, Claimants or others for
obligations of the CONTRACTOR that are unrelated to the Contract. The
OWNER shall not be liable for payment of any costs or expenses of any
Claimant under this Bond, and shall have under this Bond no obligations to
make payments to, give notices on behalf of, or otherwise have obligations
to Claimants under this Bond.
10. The Surety hereby waives notice of any change, including changes of
time, to the Contract or to related Subcontracts, purchase orders and other
obligations.
11. No suit or action shall be commenced by the Claimant under this Bond
other than in a court of competent jurisdiction in the location in which the
Work or par of the Work is located or after the expiration of one year from
the date (I) on which the Claimant gave the notice required by paragraph
4.1 or paragraph 4.2.3, or (2) on which the last labor or service was
performed by anyone or the last materials or equipment were furnished by
anyone under the Construction Contract, whichever of (1) or (2) first
occurs. If the provisions of this paragraph are void or prohibited by law,
the minimum period of limitation available to sureties as a defense in the
jurisdiction of the suit shall be applicable.
12. Notice to the Surety, the OWNER or the CONTRACTOR shall be
mailed or delivered to the addresses shown on the signature page. Actual
receipt of notice by Surety, the OWNER or the CONTRACTOR, however
accomplished, shall be sufficient compliance as of the date received at the
address shown on the signature page.
13. When this bond has been fumished to comply with a statutory or other
legal requirement in the location where the Contract was to be performed,
any provision in this Bond conflicting with said statutory or legal
requirement shall be deemed deleted here from and provisions confirming
to such statutory or other legal requirement shall be deemed incorporated
herein. The intent is, that this Bond shall be construed as a statutory Bond
and not as a common lawbond.
2. Have either received a rejection in whole or in part from the 14. Upon request of any person or entity appearing to be a potential
CONTRACTOR, or not received within 30 days of furnishing the above notice beneficiary of this Bond, the CONTRACTOR shall promptly furnisha
any communication from the CONTRACTOR by which the CONTRACTOR copy of this Bond or shall permit a copy to bemade.
had indicated the claim will be paid directly or indirectly;and
15. DEFINITIONS
3. Not having been paid within the above 30 days, have sent a written
notice to the Surety and sent a copy, or notice thereof, to the OWNER, stating
that a claim is being made under this Bond and enclosing a copy of the previous
written notice furnished to the CONTRACTOR-
5. If a notice required by paragraph 4 is given by the OWNER tothe
CONTRACTOR or to the Surety, that is sufficient compliance.
6. When the Claimant has satisfied the conditions of paragraph 4, theSurety
shall promptly and at the Surety's expense take the followingactions:
6.1 Send an answerto the Claimant, with a copy to the OWNER, within 45
days after receipt of the claim, stating the amounts that are undisputed and the
basis for challenging any amounts that are disputed.
6.2 Pay or arrange for payment of any undisputed amounts.
15.1 Claimant An individual or entity having a direct contract with
the CONTRACTOR or with a Subcontractor of the CONTRACTOR to
furnish labor, materials or equipment for use in the performance of the
Contract. The intent of this Bond shall be to include within limitation in
the terms "labor, materials or equipment" that part of water, gas, power,
light, heat, oil, gasoline, telephone service or rental equipment used in the
Contract, architectural and engineering services required for performance
of the Work of the CONTRACTOR and the CONTRACTOR's
Subcontractors, and all other items for which a mechanic's lien may be
asserted in the jurisdiction where the labor, materials or equipment were
furnished.
15.2 Contract: The agreement between the OWNER and the
CONTRACTOR identified on the signature page, including all Contract
Documents and changes thereto.
7. The Surety's total obligation shall not exceed the amount of this Bond, and the 15.3 OWNER Default: Failure of the OWNER, which has neither
amount of this Bond shall be credited for any payments made in good faith by the been remedied nor waived, to pay the CONTRACTOR as required by the
Surety. Contractor or to perform and complete or comply with the other terms
thereof.
S. Amounts owed by the OWNER to the CONTRACTOR under the Contract
shall be used for the performance of the Contract and to satisfy claims, if any,
under any Performance Bond. By the CONTRACTOR furnishing and the
OWNER accepting this Bond, they agree that all funds earned by the
CONTRACTOR in the performance of the Contract are dedicated to satisfy
obligations of the CONTRACTOR and the Surety under this Bond, subject tothe
OWNER s priority to use the funds for the completion of the Work.
GC -63
STATE OF_
COUNTY OF
ACKNOWLEDGMENT OF PRINCIPAL (Individual)
} SS.:
On this day of in the year , before me
personally come(s)
to me known and known to me to be the person(s) who (is) (are) described in and who executed the foregoing instrument and
acknowledge(s) to me that he executed the same.
NOTARY PUBLIC
ACKNOWLEDGMENT OF PRINCIPAL (Partnership)
STATE OF
COUNTY OF ss..
On this day of in the year , before me
personally come(s)
a member of the co- partnership of
to me known and known to me to be the person who is described in and who executed the foregoing instrument, and
acknowledges to me that he executed the same as and for the act and deed of the said co- partnership.
NOTARY PUBLIC
ACKNOWLEDGMENT OF PRINCIPAL (Corporation)
STATE OF
COUNTY OF f ss.:
On this (� day of 8gV in the year 2XI O, before me
personally come(s) ,
to me known, who being b4 me duly sworn, deposes and says that he resides in the City /of
that he is the I l' of the d5✓
the corporation described in and which executed the foregoing instrument; that he knows the seal of the said c rporation;
that the seal affixed to the said instrument is such corporate seal; that it was so affixed by the order of the Board of Directors
of said corporation, and that he signed his name thereto by like order.
1044!, NAOMI BRETZ
Notary Public �jU State of Minnesota NOTARY PUBLIC My Commission Expires January 3i , 2020 ACKNOWLEDGMENT OF SURETY
STATE OF Minnesota
COUNTY OF Hennepin } SS..
On this I day of A-OkL- , in the year p before me
personally come(s) John G. Haeberiz
Attorney(s) -in -Fact of Western Surety Company with whom I am personally acquainted,
and who, being by me duly sworn, says that he reside(s) in Plymouth, MN
that he is (are) the Attorney(s) -in -Fact of Western Surety Company the
Company described in and which executed the within instrument; that he know(s) the corporate seal of such Company; and
that the seal affixed to the within instrument is such corporate seal and that it was affixed by order of the Board of Directors
of said Company, and that he signed said instrument as Attorney(s) -in -Fact o e s id Compan by like order.
DONNA JOYCE HAGBEHG
N ARY PU IC
j NOTARY PUBLIC - MINNESOTA
F.9713 -8/81 7, MY COMMISSION EXPIRES 011311202+
Western Surety Company
POWER OF ATTORNEY APPOINTING INDIVIDUAL ATTORNEY -IN-FACT
Know All Men By These Presents, That WESTERN SURETY COMPANY, a South Dakota corporation, is a duly organized and existing corporation
having its principal office in the City of Sioux Falls, and State of South Dakota, and that it does by virtue of the signature and seal herein affixed hereby
make, constitute and appoint
John G Hagberg, Judith L Jorissen, Garth R Fisher, Individually
of Bloomington, MN, its true and lawful Attorney (s) -in -Fact with full power and authority hereby conferred to sign, seal and execute for and on its behalf
bonds, undertakings and other obligatory instruments of similar nature
- In Unlimited Amounts -
and to bind it thereby as fully and to the same extent as if such instruments were signed by a duly authorized officer of the corporation and all the acts of said
Attorney, pursuant to the authority hereby given, are hereby ratified and confirmed.
This Power of Attorney is made and executed pursuant to and by authority of the By -Law printed on the reverse hereof, duly adopted, as indicated, by
the shareholders of the corporation.
In Witness Whereof, WESTERN SURETY COMPANY has caused these presents to be signed by its Vice President and its corporate seal to be
hereto affixed on this 7th day of October, 2015.
err WESTERN SURETY COMPANY
co
P
ul T. Bruflat, Vice President
State of South Dakota
ss
County of Minnehaha
On this 7th day of October, 2015, before me personally came Paul T. Bruflat, to me known, who, being by me duly sworn, did depose and say: that he
resides in the City of Sioux Falls, State of South Dakota; that he is the Vice President of WESTERN SURETY COMPANY described in and which executed
the above instrument; that he knows the seal of said corporation; that the seal affixed to the said instrument is such corporate seal; that it was so affixed
pursuant to authority given by the Board of Directors of said corporation and that he signed his name thereto pursuant to like authority, and acknowledges
same to be the act and deed of said corporation.
My commission expires . S EI
i"....+w.a......sw
I S. CH �
February 12, 2021 1 HMARY PUK1CQjb;'
SOUTH DAKOTA +
S. Eich, Notary Public
CERTIFICATE
I, L. Nelson, Assistant Secretary of WESTERN SURETY COMPANY do hereby certify that the Power of Attorney hereinabove set forth is still in
force, and further certify that the By -law of the corporation printed on the reverse hereof is still in force. In testimony whereof I have hereunto subscribed re
my name and affixed the seal of the said corporation this day of A r" t L ,
Tr WESTERN SURETY COMPANY
rer �QO:Z
3� `gf P.'t.; i
• L. Nelson, Assistant Secretary
Form F4280 -7 -2012
Authmizing By -law
ADOPTED BY THE SHAREHOLDERS OF WESTERN SURETY COMPANY
This Power of Attorney is made and executed pursuant to and by authority of the following By-Law duly adopted by the shareholders
of the Company.
Section 7. All bonds, policies, undertakings, Powers of Attorney, or other obligations of the corporation shall be executed in the
corporate name of the Company by the President, Secretary, and Assistant Secretary, Treasurer, or any Vice President, or by such other
officers as the Board of Directors may authorize. The President, any Vice President, Secretary, any Assistant Secretary, or the Treasurer
may appoint Attorneys in Fact or agents who shall have authority to issue bonds, policies, or undertakings in the name of the Company.
The corporate seal is not necessary for the validity of any bonds, policies, undertakings, Powers of Attorney or other obligations of the
corporation. The signature of any such officer and the corporate seal may be printed by facsimile.
ALLIE12 OP ID: BL
A�Rl7" CERTIFICATE OF LIABILITY INSURANCE
DATE(MM19/201 YY)
1
0412016
THIS CERTIFICATE IS ISSUED AS A MATTER OF INFORMATION ONLY AND CONFERS NO RIGHTS UPON THE CERTIFICATE HOLDER. THIS
CERTIFICATE DOES NOT AFFIRMATIVELY OR NEGATIVELY AMEND, EXTEND OR ALTER THE COVERAGE AFFORDED BY THE POLICIES
BELOW. THIS CERTIFICATE OF INSURANCE DOES NOT CONSTITUTE A CONTRACT BETWEEN THE ISSUING INSURER(S), AUTHORIZED
REPRESENTATIVE OR PRODUCER, AND THE CERTIFICATE HOLDER.
IMPORTANT: If the certificate holder is an ADDITIONAL INSURED, the policy(ies) must be endorsed. If SUBROGATION IS WAIVED, subject to
the terms and conditions of the policy, certain policies may require an endorsement. A statement on this certificate does not confer rights to the
certificate holder in lieu of such endorsement(s).
PRODUCER
Northern Capital Insurance Gro
Wayne Mann Agency
P.O. Box 9396
Minneapolis, MN 55440 -9396
NAME; Brenda L Parker
PHONE
Al No , •952 - 996 -8866 Arc No: 952-829-0482
E-MAIL
ADDRESS: brenda arker northernca ital- mn.com
INSURER(S) AFFORDING COVERAGE
NAIC 1
Paul Domaas
INSURERA: United Fire & Casualty Company
113021
_
INSURED Allied Blacktop Company
10503 69th Avenue No
INSURERS: Midwest Employers Casualty /TBG
123612
X COMMERCIAL GENERALLIABILITY
CLAIMS -MACE aX OCCUR
—
Maple Grove, MN 55369
INSURER C:
05/01/2016
INSURER D
PREMISES Eaoccurrence
$ 300,00
INSURER E:
$ 15,00
INSURER F :
X BLKTADDTLINSD
COVERAGES CERTIFICATE NUMBER: RFVISION NHMRFR-
THIS IS TO CERTIFY THAT THE POLICIES OF INSURANCE LISTED BELOW HAVE BEEN 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 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 SHOWN MAY HAVE BEEN REDUCED BY PAID CLAIMS.
INSR
LTR
TYPE OF INSURANCE
POLICY NUMBER
MMIDDIYYY
MMIDDIYYYY
LIMITS
GENERAL LIABILITY
EACH OCCURRENCE
$ 1,000,00
A
X COMMERCIAL GENERALLIABILITY
CLAIMS -MACE aX OCCUR
604630026
05/01/2016
05/01/2017
PREMISES Eaoccurrence
$ 300,00
MED EXP (Any one person)
$ 15,00
X BLKTADDTLINSD
EXTENDED ULTRA LIABILITY
PERSONAL & ADV INJURY
$ 1,000,000
X
CMPLTD OPS A/I
GENERAL AGGREGATE
$ 2,000,00
#CG72010215 INCLUDED
GEN'L AGGREGATE LIMIT APPLIES PER
PRODUCTS- COMPIOP AGG
$ 2,000,000
POLICY X PRO 1 LGC
1PD, DED
$ 500
A
AUTOMOBILE
X
LIABILITY
ANY AUTO
1604630026
05/01/2016
05/01/2017
COMBINED SINGLE LIMIT
Ea accident
$ 1,000,000
BODILY INJURY (Per person)
$
ALL OWNED SCHEDULED
LIT
A AUTOS
j
BODLY INJURY Per accident
( )
$
X
I HIRED AUTOS NON -OWNED
X AUTOS
Y DAMAGE
PER ACCIDENT
$
$
i
A
X
UMBRELLA LIAB X OCCUR
EXCESS LIAB CLAIMS -MADE
X604630026
05101/2016
05/01/2017
EACH OCCURRENCE
S 5,000,000
AGGREGATE
$ 5,_000,0.00_
DED I X I RETENTION $ 10,000'
$
B
WORKERS COMPENSATION
AW EMPLOYERS' LIABILITY
ANY PROPRIETOR,1PARTNER/EXECUTIVE YIN
(Mandatory ER EXCLUDED? ��
(Mandatory In NH)
1.` yes, describe under
DESCRIPTION OF OPERATIONS below
NIA
114-
0000303
M N EMPLOYEES ONLY
01/01/2016
01/01/2017
iE.L.DISEASE
WC A U- H-
X
E.L EACH ACCIDENT
$ 1,DDO,Dl7
- EA EMPLOYEE
$ 1,000,00
E.L DISEASE - POLICY (MIT
$ 1,000,000
A lEquipment
Floater
604630026
05/01/2016
05/01/2017
Equipment 2,385,97
Q IRental
Equipment
604630026
Blanket 175,00
DESCRIPTION OF OPERATIONS I LOCATIONS 1 VEHICLES (Attach ACORD 101, Additional Remarks Schedule, If more spats Is required)
Re; 2016 Sealcoat Project, #16 -06
City of Chanhassen is included as additional insured on the general
liability on a primary and non - contributory basis when required by written
contract /agreement, provided the agreement was executed prior to a loss.
es- emsr►���
City of Chanhassen
7700 Market Blvd
P.O. Box 147
Chanhassen, MN 55317
ci'ry ""IVIED �SE�i THE SHOULD EXPIRATIONH DATE ABOVE THEREOF, NOTICE POLICIES WILL CANCELLED BEFORE
DELIVERED IN
ACCORDANCE WITH THE POLICY PROVISIONS.
APR 2 2 2016 1 AUTHORIZED REPRESENTATIVE
DEPT ;;0�11
OO 1988 -2010 ACORD CORPORATION. All rights reserved.
ACORD 25 (2010/05) The ACORD name and logo are registered marks of ACORD