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HomeMy WebLinkAboutresolution.council.077-03 RESOLUTION NO. ~ Series of 2003 A RESOLUTION OF THE CITY OF ASPEN, COLORADO, APPROVING A PART 2 AGREEMENT BETWEEN THE CITY OF ASPEN, COLORADO, AND ASW BURLINGAME PARCEL D LLC, AND AUTHORIZING THE CITY MANAGER TO EXECUTE SAID DOCUMENT(S) ON BEHALF OF THE CITY OF ASPEN, COLORADO. WHEREAS, there has been submitted to the City Council a Pan 2 Agreement between the City of Aspen, Colorado and ASW Burlingame Parcel D LLC, a copy of which contract is armexed hereto and made a pan thereof. NOW, WHEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF ASPEN, COLORADO: Section One That the City Council of the City of Aspen hereby approves a Pan 2 Agreement between the City of Aspen, Colorado and ASW Burlingame Parcel D LLC, a copy of which is annexed hereto and incorporated herein, and does hereby authorize the City Manager of the City of Aspen to execute said contract on behalf of the City of Aspen. Dated: ~~~,~ Helefi K~lin K'7/~de~d, ~la~ I, Kathryn S. Koch, duly appointed and acting City Clerk do certify that the foregoing is a true and accurate copy of that resolution adopted by the City Council of the City of Aspen, Colorado, at a meeting held ~'~5~ oQ_~--,2003. rathr,~ ~. ~ch, City Clerk ~' JPW- 08/04/2003 -G: k j ohn~word~resos~Burlin~ame- Parcel-D. doc Part 2 Agreement Between City of Aspen and Developer ~itT ~rnef'~ O~li~e This Agreement, made and entered into on August 25, 2003, by and between the CITY OF ASPEN, 130 S. Galena Street, Aspen, Colorado 81611, hereinafter called the "City", and Developer: ASW Burlingame Parcel D LLC c/o Vincent Hooper Planner/Developer Manager P.O. Box 770720 Steamboat Springs, CO 80477 For the following project: Burlingame Parcel D Legal: Budingame Ranch Subdivision, Lot 3 Description: 40 one-bedroom affordable housing units , Location: Airport Business Center- Off of Ventnor Ave., between the old Federal Express Building and Qwest Telecommunications The architectural services described herein shall be provided by the following person or entity who is lawfully licensed to practice architecture: (Name and address) (Registration Numbed (Relationship to Developed Cottle, Graybeal and Yaw Architects, LTD c/o Doug Graybeal 228 Midland Avenue Basalt, CO 81621 The planning services described herein shall be provided contractually through the Architect except as indicated below: (Name and address) (Registration Numbed (Relationship to Developer) Design Workshop, Inc. Not Applicable Dvpmnt. Team Member ~)B4-03.doc **DB4 Page 1 Normal structural, mechanical and electrical engineering services shall be provided contractually through the Architect except as indicated below: (Name and address) (Registration Number) . (Relationship to Developer) Structural Engineer: Monroe & Newell Engineers, Inc, Hannes Spaeh, P.E. PE # 26799, Colorado Dvpmnt. Team Member Peter D. Monroe PE # 12082, Colorado Dvpmnt. Team Member Mechanical & Electrical Engineer: Beaudin Ganze Tyler Seals, P.E. PE #-34250 Dvpmnt. Team Member Dan Koelliker, P.E. PE # 35218 Dvpmnt. Team Member The construction services described herein shall be provided by the following person or entity: R.A. Nelson & Associates, Inc. The City of Aspen and Developer agree as set forth below: ARTICLE 1 DEFINITIONS 1.1. ~Whenever the words, forms, or phrases defined herein, or pronouns used in their place occur in the Contract Documents, the intent and meaning shall be interpreted as follows: ASCE American Society of Civil Engineers NACE National Society for Corrosion Engineers SSPC Special Society for Paint Council AASHTO American Association of State Highway and Transportation Officials AIA American Insurance Association SICS American Institute of Steel Construction AISI American Iron and Steel Institute ANSI American National Standards Institute (formerly ASA and USASI) ASME American Society of Mechanical Engineers ASTM American Society for Testing and Materials AWG American Wire Gauge AWS American Welding Society BAFO Best and Final Offer CDOT Department of Transportation, State of Colorado O&M Operations and Maintenance DHA Detailed Hazards Analysis EBD Escrow Bid Documents EIA Electronic Industries Association EPA United States Environmental Protection Agency FCC Federal Communications Commission ~B4-03.doc **DB4 Page 2 FHWA Federal Highway Administration FTA Federal Transit Administration HVAC Heating, Ventilation, and Air Conditioning NBS National Bureau of Standards NEC National Electdc Code NTP Notice to Proceed NESC National Electric Safety Code NFPA National Fire Protection Association OSHA Occupational Safety and Health Administration PHA Preliminary Hazards Analysis SAE Society of Automotive Engineers UL Underwdter's Laboratories, Inc. UMTA United States Department of Transportation, Urban Mass Transportation Authority UD&FCD Urban Drainage and Flood Control District MUTCD Manual on Uniform Traffic Control Devices 1.2, Wherever used in this Agreement or in the other Contract Documents the following terms have the meanings indicated which are applicable to both the singular and plural thereof: Addenda - Written or graphic instruments issued prior to the opening of Proposlas which cladfy, correct or change the bidding dOCuments, Contract Documents, drawings, details or specifications. Addenda also refers to City approved changes to Developer's Proposal submitted to City as part of the Part One Agreement. Bonds - Performance, payment, maintenance bonds and other acceptable instruments of financial security, furnished by the Developer and his/her surety in accordance with the Contract Documents. Change Order - A written order to the Developer authorizing an addition, deletion or revision in the Work within the general scope of the Contract Documents, or authorizing an adjustment in the Contract Pdce or Contract Time, issued on or after the Effective Date of this Part 2 Agreement. City or Owner - The City of Aspen in Pitkin County, Colorado. Contract - All contract documents referenced by this Agreement and made a part herein. Contract Documents - The Contract Documents which compdse the entire agreement between the City and Developer consist of the following: 1. This Part 2 Agreement. 2. Exhibits / Addendum to this Part 2 Agreement. (pages P293 to P319, inclusive) 3. All deliverables provided by Developer to City in accordance with the Part 1 Agreement, including, but not limited to, those deliverables identified as part of the Basic Services, including Developer's Proposal. 4. Developer's Proposal in response to City's Request for ProposalS, including the Statement of Qualifications, etc. 5. Notice of Award. 6. Notice to Proceed. 7. Special Conditions. ~B4-03.doc **DB4 Page 3 8. Technical Specifications and Drawings. 9. Addendum No, 10. All wdtten amendments to this Part 2. Agreement, including Change Orders. 11. Payment, performance, and maintenance bonds. Contract Price. The moneys payable by the City to the Developer under the Contract Documents as stated in this Agreement, except for the Minor Contract Revisions item(s) which are subject to the City's written authorization for expenditure. Contract Time - The number of the consecutive calendar days or the working days and/or the deadline set in the Contract Documents for the completion of the Work. Daily Construction Log - The form furnished by the City and used b'y the City's Representative to record the Developer's daily work quantities and project events. Daily construction Icg is the only verified justification for payment to the Developer. Defective - An adjective which when modifying the word Work refers to Work that is unsatisfactory, faulty or deficient, or does not conform to the Contract Documents, or does not meet the requirements of any inspection, reference standard, test or approval referred to in the Contract Documents, or has been damaged prior to the City's Representative's recommendation of final payment (unless responsibility for the protection thereof has been assumed by the City at Substantial Completion in accordance with paragraph 14.5 or 14.6). Developer - The qualified responsible and responsive firm or corporation with whom the City has entered into the Part 1 and/or Part 2 Agreement. Drawings - The part of the Contract Documents which show the character and scope of the Work to be performed and which have been prepared or approved by the City. Effective Date of the Agreement - The date indicated in this Agreement on which it becomes effective. Field Order - A written order affecting a change in the Work not involving an adjustment in the Contract Time, issued by the City to the Developer during construction. Hazardous Materials - The term "Hazardous Materials" shall have the meaning set forth at 42 U.S.C. ' 9601(14) and regulations promulgated pursuant thereto. Laws and Regulations; Laws or Regulations - Laws, rules regulations, ordinances, procurement code and/or orders. Notice of Award - The written notice by the City to the Developer stating that upon compliance by the Developer with the conditions precedent enumerated therein, within the time specified, the City will sign and deliver this Agreement. Notice to Proceed - A written notice given by the City to the Developer fixing the date on which the Contract Time will commence to run and on which Developer shall start to perform Developer's obligations under the Contract Documents. ~)B4-03.doc **DB4 Page 4 Partial Utilization - Placing a portion of the Work in service for the purpose for which it is intended (or a related purpose) before reaching Substantial Completion for all the Work. Procurement Code - Title 4 of the City of Aspen Municipal Code. Progress Pay Estimate o The form furnished by the City, which is to be used to record, approve, and process payment when the Developer requests progress or final payments and which is to include such supporting documentation as is required by the Contract Documents. Project - The total construction of which the Work to be provided under the Contract Documents may be the whole, or a part as indicated elsewhere in the Contract Documents. Proposer - Any qualified responsible and responsive firm or corporation submitting a Proposal in response to the City's Request for Proposals. Punch List - A form or letter that lists all incomplete or deficient Bid items, and is prepared upon substantial completion of the Work by the City. Shop Drawings o All drawings, diagrams, illustrations, brochures, schedules and other data which are specifically prepared by or for the Developer and the sub-Contractor to illustrate some portion of the Work and all illustrations, brochures, standard schedules, performance charts, instructions, diagrams and other information prepared by a Supplier and submitted by the Developer and the Sub-Contractor to illustrate material or equipment for some portion of the Work. Specifications - Those portions of the Contract Documents consisting of written technical descriptions of materials, equipment, construction systems, standards and workmanship as applied to the Work and certain administrative details applicable thereto. Subcontractor - A firm or corporation having a direct contract with the Developer or with any other Sub-Contractor for the performance of a part of the Work at the site. Substantial Completion - The Work (or a specified part thereof) has progressed to the point where, in the opinion of the City as evidenced by the CitY's acceptance, is sufficiently complete, in accordance with the Contract Documents, so that the Work can be utilized for the purposes for which it is intended. The terms "substantially complete" and "substantially completed" as applied to any Work refer to Substantial Completion thereof. The term Substantial Completion shall mean one hundred percent (100%) completion of the Work or a Certificate of Occupancy is awarded. Special Conditions or Special Provisions. The part of the Contract Documents which amends or supplements this Part 2 Agreement. Supplier - A manufacturer, fabricator, supplier, distributor, materialman or vendor who supplies materials or equipment for the Work including that fabricated to a special design but who does not perform labor at the site. Underground Facilities - All pipelines, conduits, ducts, cables, wires, manholes, vaults, tanks, tunnels or other such facilities or attachments, and any encasements containing such facilities ~B4-03.doc **DB4 Page 5 which have been installed underground to furnish any of the following services for materials; electricity, gases, steam, liquid petroleum products, telephone or other communications, cable television, water, wastewater and surface runoff removal, traffic or other control systems. Unit Price Work - Work to be paid for on the basis of unit pdces. Work - The services provided by the Developer and the entire completed construction or the various separately identifiable parts thereof required to be furnished under the Contract Documents. Work is the result of performing services, fumishing labor and furnishing and incorporating materials and equipment into the construction, all as required by the Contract Documents and those not specifically mentioned but necessary for successful completion of the Bid items. Written Notice or Written Notice of Amendment - A written amendment of the Contract Documents, signed by the City and the Developer on or after the Effective Date of this Part 2 Agreement and normally dealing with the non-engineering or non-technical rather than strictly Work-related aspects of the Contract Documents ARTICLE 2 PRELIMINARY MATTERS 2.1 Delivery of Bonds: When Developer delivers the executed Contract Documents to the City, the Developer shall also deliver such Bonds as the Developer is be required to furnish in accordance with paragraph 5.1. 2.2 Copies of Documents: The City shall furnish to the Developer up to three copies (unless otherwise specified in the Special Conditions) of the Contract Documents as are reasonably necessary for the execution of the Work. Additional copies will be furnished, upon request, at the cost of reproduction. 2.3 Commencement of Contract Time, Notice to Proceed: Prior to the City issuing a Notice to Proceed, the City of Aspen City Council shall approve the Contract Documents and either the City manager or the Mayor shall execute the same. Notwithstanding any representations to the contrary made by City's employees, either directly, indirectly, or by implication, no Contract shall De in effect nor shall be binding upon the City until such time as the Contract is executed by the City pursuant to authority granted in accordance with Section 4-08-040 of the Procurement Code. The City shall issue a Notice to Proceed after (a) the City Council has approved the Contract Documents and (b) the City Manager or Mayor has executed this Part 2 Agreement, and (c) the Developer has executed this Part 2 Agreement and other Contract Documents, and has delivered the specified bonds, Certificates of Insurance, as are required, and any other documents required to be delivered by the Special Conditions and Addenda(s), if any issued. The Contract Time will commence to run on the day indicated in the Notice to Proceed. ~)B4-O3.doc **DB4 Page 6 2.4 Starting the Project: The Developer shall start to perform the Work on the date when the Contract Time commences to run, but no Work, except for Work covered by the Part 1 Agreement, shall be done at the site prior to the date on which the Contract Time commences to run and pdor to a mandatory pre- construction conference conducted by the City. 2.5 Before starting the Project: Before undertaking each part of the Work, the Developer shall carefully study and compare the Contract Documents and check and vedfy pertinent figures shown thereon and all applicable field measurements. The Developer shall promptly report in writing to the City any conflict, error or discrepancy which Developer may discover and shall obtain a written interpretation or clarification from the City before proceeding with any Work affected thereby. 2.5.1. Within three days after the Effective Date of this Part 2 Agreement (unless otherwise specified in the Special Conditions), the Developer shall submit to the City for review: 2.5.1.1. An estimated progress schedule indicating the starting and completion dates of the various stages of the Work; 2.5.1.2. A preliminary schedule of Shop Drawing submissions; and 2.5.1.3. Quality Control and Quality Assurance (QA/QC) plan and policy to identify the specific steps the Developer will take to ensure the highest quality in the constructed items. 2.5.1.4. A Work Zone Safety Implementation & Enforcement Plan with specific action process. 2.5.2. Before any Work under this Part 2 Agreement at the site is started, the Developer shall deliver to the City, copies of certificates (and other evidence of insurance requested by the City) which the Developer is required to purchase and maintain. 2.6 Pre-construction Conference: Within seven (7) consecutive calendar days after the effective date of the Notice to Proceed, and before the DeVeloper starts the Work at the site, he/she and all of his/her subcontractors and suppliers shall attend a mandatory pre-construction conference, conducted by the City and others as appropriate to discuss coordination of construction activities, procedures for handling Shop Drawings and other issues, and to establish a working understanding among the parties as to the Work. 2. 7' Project Progress Meetings The City and the Developer shall meet once a week to review the construction activities, rate of progress, and other project related issues to ensure efficient and smooth progress of work. ~B4~03.doc **DB4 Page 7 ARTICLE 3 CONTRACT DOCUMENTS: INTENT, AMENDING, REUSE 3.1 Intent: The Contract Documents comprise the entire agreement between the City and the Developer concerning the Work. The Contract Documents are complementary; what is called for by one is as binding as if called for by all. The Contract Documents will be construed in accordance with the law of the State of Colorado. 3.1.1. It is the intent of the Contract Documents to describe a functionally complete Project (or part thereof) to be constructed in accordance with the Contract Documents. Any Work, materials or equipment that may reasonably be inferred from the Contract Documents as being required to produce the intended result will be supplied whether or not specifically called for. When words which have a well-known technical or trade meaning are used to describe Work, materials or equipment, such wordS shall be interpreted in accordance with that meaning. Reference to standard specifications, manuals or codes of any technical society, organization or association, or to the Laws or Regulations of any governmental authority, whether such reference be specific or by implication, shall mean the latest standard specification, manual, code or Laws or Regulations in effect on the effective date of this Part 2 Agreement except as may be otherwise specifically stated. However, no provision of any referenced standard specification, manual or code (whether or not specifically incorporated by reference in the Contract Documents) shall be effective to change the duties and responsibilities of the City or the Developer, or any of their consultants, agents or employees from those set forth in the Contract Do~cuments, nor shall it be effective to assign to the City, or any of the City's consultants, agents or employees, any duty or authority to supervise or direct the furnishing or performance of the Work, or any duty or authority to undertake responsibility contrary to the provisions of Article 9. Clarifications and interpretations of the Contract Documents shall be issued by the City as provided in section 9.4. 3.1.2. If, during the performance of the Work, Developer finds a conflict, error or discrepancy in the Contract Documents, the Developer shall so report to the City in writing at once and before proceeding with the Work affected thereby and shall obtain a written interpretation or clarification from the City. 3.1.3. Jf the Developer believes or is advised by the Amhitect or by another design professional retained to provide services on the Project that implementation of any instruction received from the City would cause a violation of any applicable law, the Developer shall notify the City in writing. Neither the Developer no the Architect shall be obligated to perform any act which either believes will violate any laws. 3.1.4. Nothing contained in the Part 2 Agreement shall create a contractual relationship between the City and any person or entity other than the Developer. 3.2 Amending and Supplementing Contract Documents: The Contract Documents may be amended to provide for additions, deletions and revisions in the Work or to modify the terms and conditions thereof in one or more of the following ways: ~B4-03.doc **DB4 Page 8 3.2.1. A formal Amendment of this Part 2 Agreement; 3.2.2. A Change Order pursuant to paragraph 10.3. As indicated in Article 11 Contract Pdce and Contract Time may only be changed by a Change Order or a Written Notice of Amendment. 3.2.3. In addition, the requirements of the Contract Documents may be supplemented, and minor variations and deviations in the Work may be authorized, in one or more of the following ways: 3.2.3.1. A Field Order (pursuant to paragraph 9.5); 3.2.3.2. The City's written interpretation or clarification (pursuant to paragraph 9.4). 3.3 Precedence of Contract Documents: In the event of discrepancies or conflicts between the various components of the Contract Documents, the order of precedence shall be as follows: 1. Change Order, Work Change Directives, or formal wdtten Amendment to this Part 2 Agreement. 2. Drawings: a. Detailed drawings. b. Standard drawings. 3. Technical Specifications. 4. Special Conditions. 5. Part 2 Agreement 6. Developer's Proposal and Addenda (approved by City) submitted as part of the Part 1 Agreement. 7. Developer's submittals as part of the Part 1 Agreement. 3.4. Ownership of Design Materials and Documents: 3.4.1. The copies or other tangible embodiments of all design materials, whether or not such materials are subject to intellectual property protection, including but not limited to documents, shop drawings, computer programs developed for the Project or if such programs are not the property of Developers the results of the use of them by Developer, data, plans, drawings, sketches, illustrations, specifications, descriptionS, models, the Design Documents, as-built documents and any other documents developed, prepared, furnished, delivered or required to be delivered by the Developer to City under the Contract Documents (collectively "Design Materials") shall be and remain the property of the City whether or not the Project or Work is commenced or completed; provided, however, that City makes payment for the documents in accordance with the Contract Documents. During the term of the Agreement, the Developer shall be responsible for any loss or damage to the Design Materials, while the Materials are in the possession of the Developer or any of its Subcontractors, and any such Design Materials lost or damaged shall be replaced or restored at the Developer's expense. The intellectual property rights, if any, to the contents of or concepts embodied in the Design Materials shall belong to the Developer or its Design Subcontractors in accordance with their contractual relationship and may be copyrighted by them ~)B4-03.doc *'DB4 Page 9 in the United States or in any other country, or be subject to any other intellectual property protection. 3.4.2. As to those Design Materials subject to copyright or as to which patent or trademark, or any other form of intellectual property protection has been, is er will be Obtained, the Developer grants to City as of the date that the Design Materials are delivered or required to be delivered to the City, a world-wide, paid-up, nonexclusive, nontransferable (except as provided) license for the term of intellectual property protection, for the City to use, reproduce and have reproduced, display and allow others to display and to publish and allow others to publish, in any manner, at any time and as often as it desires, with or without compensation to the Developer or any third party subject to the following restrictions: (a) All copyright and other intellectual proprietary rights in or relating to any of the Design Materials, shall remain the property of the Developer or Design Subcontractor whether or not the Project is constructed. It is understood that, except as provided in this paragraph, the Developer and Design Subcontractor shall have the right to use any detail, part, concept or system(s) shown on, specified in, or inferable from the Design Materials on any other project and to retain copies for the Developer's or Design Subcontractor's future use; (b) City shall not, without prior written consent of the Developer or Design Subcontractor use Design Materials or documents, in whole or in part, for the construction of any other project. If, however, City agrees to indemnify the Developer and owner of the intellectual property rights against liability arising from the misuse or incorrect use of Design Materials by City, City shall be entitled to, at no additional cost to the City, use such materials and documents for additions, improvements, changes or alterations to the Project after completion. If Developer is in default under this Contract and the Contract is terminated, City shall be entitled to use the Design Materials for completion of the Project by others without additional compensation, or a release, indemnification or other action by City; (c) Any reproduction of the Design Materials or part of them shall be faithful and accurate to the original and of good quality; (d) City shall not remove or alter, and shall reproduce and prominently display on all copies made by City, the copyright notice and other proprietary legends appearing on the Design Materials when delivered to City. The restrictions set forth in (c) and (d) above shall be imposed by City on any third party to whom the City allows to display or publish the Design Materials. If the City should use any of the information or plans described herein on an other project or site, the Developer or its Design Subcontractors shall not be held responsible for any liability that might result from the City using and/or transferring such information. 3.4.3. It is understood that City considers the Project's aggregate architectural expression (that is, the overall combination of the Project's visually apparent design features) and any distinctive individual features, to be unique and of commercial value, and the Developer and its Design Subcontractors agree not to design or build, or allow other third parties the use of the Design Materials to design or build another structure(s) having a substantially similar architectural expression so that an average person would relate the structure(s) to the Project. Developer and its Design Subcontractors shall, however, be free to use individual features from the Project or combinations of features in other projects, so long as the Developer complies with the first sentence of this paragraph. Developer shall include this provision in its contracts with its Design Subcontractors and provide copies of these agreements to City. 3.4.4. As of the Date of Substantial Completion of the Project, or in the event of termination of the Agreement, Developer shall turn over to City any of the Design Materials referred to above which have not yet been submitted to City. Developer shall submit the Design Materials to City within ten days of the Date of Substantial Completion, or date of termination. In the event of the failure by ~B4-03.dec **DB4 Page 10 Developer to make such delivery as provided above, Developer shall pay City any damages City may sustain from the failure. ARTICLE 4 AVAILABILITY OF LANDS: PHYSICAL CONDITIONS: REFERENCE POINTS 4.1 Availability of Lands: The City shall furnish, as indicated in the Contract Documents and at no cost to Developer~ the Jands upon which the Work is to be performed, rights-of-way and easements for access. The City and the Developer shall jointly obtain easements for utilities necessary to perform the Work under the Contract Documents in accordance with the Schedule. The Developer shall have full responsibility with respect to any conditions or provisions contained in applicable easements relating to the lands Upon which the Work is to be performed.. 4.2 Physical Conditions: 4.2.1. EXPLORATIONS AND REPORTS: Reference is made to the Special Conditions for identification of those reports of explorations and tests of subsurface conditions at the site that have been utilized by the City in preparation of the Contract Documents, The Developer may not rely upon the accuracy of the technical data contained in such reports, or upon non-technical data, interpretations or opinions contained therein or for the completeness thereof for the Developer's purposes. Developer shaJl verify to its satisfaction the information and data contained in such reports. Developer shall have full responsibiJity with respect to subsurface conditions at the site. Developer shall exemise ordinary skill and competence with respect to reliance upon the accuracy of the technica} data contained in such reports. The City has no knowledge that the information provided to the Developer is in accurate and incomplete. 4.2.2. EXISTING STRUCTURES: Reference is made to the Special Conditions for identification of those drawings of physical conditions in or relating to existing surface and subsurface structures (except Underground Facilities referred to in paragraph 4.3) which are at or contiguous to the site that have been utilized by the'City in preparation of the Contract Documents. The Developer may not rely upon the accuracy of the technical data contained in such drawings, or for the completeness thereof for the Developer's purposes. Developer shall have full responsibility with respect to physical conditions in or relating to such structures. The Developer shall exemise ordinary skill and competence with respect to reliance upon the accuracy of the technical data contained in such drawings. 4.2.3. REPORT OF DIFFERING CONDITIONS: If the Developer believes that any physical condition uncovered or revealed at the site differs materially from that indicated, reflected or referred to in the Contract Documents, then, the Developer shall promptly, after becoming aware thereof and before performing any Work in connection therewith (except in an emergency as permitted by paragraph 6.18) notify the City in writing about the inaccurecy or difference. 4.2.4. CITY'S REVIEW: The City will promptly review the pertinent conditions, determine the necessity of obtaining additional explorations or tests with respect thereto and advise the Developer in writing of the City's findings and conclusions. ~)B4-03,doc **DB4 Page 11 4.2.5. POSSIBLE DOCUMENT CHANGE: If the City concludes that there is a material error in the Contract Documents caused by the City and not as a result of the Developer's unwarranted reliance thereon, a change in the Contract Documents is required, a Change Order will be issued as provided in Article 10 to reflect and document the consequences of the inaccuracy or difference. 4.2.6. POSSIBLE PRICE AND TIME ADJUSTMENTS: In each such case, an increase or decrease in the Contract Price or an extension or shortening of the Contract Time, or any combination thereof, may be allowable to the extent that they are attributable to any such inaccuracy or difference as described in Section 4.2.3. The Developer shall meet and obtain approval from the City prior to implementing any such change in the Work. 4.3 Physical Conditions - Underground Facilities: 4.3.1. SHOWN OR INDICATED: The information and data shown or indicated in the Contract Documents with respect to existing Underground Facilities at or contiguous to the site is based on information and data furnished to the City by the owners of such Underground Facilities or by others. Unless it is otherwise expressly provided in the Special Conditions: 4.3.1.1. The City shall not be responsible for the accuracy or completeness of any such information or data. The City has no knowledge that the information provided to the Developer is incomplete or inaccurate; and 4.3.1.2. The Developer shall have full responsibility for determining the existence of all Underground Facilities, for reviewing and checking and potholing for all such information and data, for locating all Underground Facilities shown or indicated in the Contract Documents, for coordination of the Work with the owners of such Underground Facilities during construction, for the safety and protection thereof as provided in paragraph 6.17 and for repairing any damage thereto resulting from the Work, the cost of all of which will be .. considered as having been included in the Contract Price. 4.3.2. NOT SHOWN OR INDICATED: If an Underground Facility is uncovered or revealed at or contiguous to the site which was not shown or indicated in the Contract Documents and which Developer could not reasonably have been expected to be aware of, Developer shall, promptly after becoming aware thereof and before performing any Work affected thereby (except in an emergency as permitted by paragraph 6.17.1), identify the owner of such Underground Facility and give written notice thereof to that owner and to the City. The City will promptly review the Underground Facility to determine the extent to which the Contract Documents should be modified to reflect and document the consequences of the existence of the Underground Facility, and the Contract Documents may be amended or supplemented to the extent necessary. During such time, Developer shall be responsible for the safety and protection of such Underground Facility as provided in paragraph 6.17.1. The Developer may be allowed an increase in the Contract Price or an extension of the Contract Time, or both, to the extent that they are attributable to the existence of any Underground Facility that was not shown or indicated in the Contract Documents and of which the Developer could not reasonably have been expected to be aware of such Underground Facility and subject to acceptance and approval by the City. ~B4-O3.doc *"DB4 Page 12 4.4 Reference Points: 4.4. The City shall provide engineering surveys to establish reference points for construction which in the City's judgment are necessary to enable Developer to proceed with the Work. Developer shall be responsible for laying out the Work, shall protect and preserve the established reference points and shall make no changes or re-locations without the prior written approval of the City. The Developer shall report to the City whenever any reference point is lost or destroyed or requires relocation because of necessary changes in grades or locations, and shall be responsible for the accurate replacement or relocation of such reference points by a Registered Professional Land Surveyor Licensed in the State of Colorado. 4.5 Protection and Restoration of Property and Landscape: 4.5.1. The Developer shall be responsible for the preservation of all public and private property and shall protect carefully from disturbance or damage all land and property and shall protect carefully from disturbance or damage all land and monuments and property marks until the City has witnessed or otherwise referenced their location and shall not remove them until directed. 4.5.2. The Developer shall be responsible for all damage or injury to property of any character, during the prosecution of the Work, resulting from any act, omission, neglect, or misconduct in his manner or method of executing the Work, or at any time due to defective Work or materials, and said responsibility shall not be released until the project shall have been completed and accepted. 4.5.3. When or where any direct or indirect damage or injury is done to public or private property by or on account of any act, omission, neglect, or misconduct by the Developer in the execution of the Work, or in consequence of the non-execution thereof by the Developer, he shall restore, at his own expense, such property to a condition similar or equal to that existing before such damage or injury was done, by repairing, rebuilding, or otherwise restoring as may be directed, or he shall make good such damage or injury in an acceptable manner. 4.5.4. State Highway 82 and the streets within the corporate limits of the City of Aspen are viewed by the City as a community asset which enhances the tourism industry. The City, therefore, desires to save all vegetation and other environmental features except for those which have been specifically identified for removal in the Contract Documents. 4.5,5. Materials storage, equipment parking, vehicle parking and stockpiling excavated materials shall be allowed only in those areas designated by the City. 4.5.6. Specific areas of vegetation and other environmental features to be protected shall be staked, fenced, or otherwise marked in the field jointly by the City and the Developer in a manner reasonably acceptable to both parties. The Developer shall perform all his activities in such a manner that the least environmental damage shall result. Any questionable areas or items shall be brought to the attention of the City for approval pdor to removal or any damage activity. Damage or destruction of unmarked trees or shrubs which could reasonably have been saved shall therefore be subject to the provisions this Part 2 Agreement. 4.5.7. If the fence, staking or marking is knocked down or destroyed by the Developer, the Developer shall suspend the Work in whole or in part, until the fence or other protection is repaired ~)B4-03.doc **DB4 Page 13 to the City's satisfaction at the Developer's expense. Time lost due to such suspension shall not be considered a basis for adjustment of Contract Time or for compensation to the Developer. 4.5.8. If the Developer disturbs any of the landscape not called for removal, he/she shall restore those areas as directed at the DevelOper's expense. 4.5.9. The City may require that the Developer replant a protected area that is damaged. The Work shall be done as directed by the City. If the Developer is deemed to be responsible, then the replanting shall be done by the Developer at his/her expense. If the City is responsible, the costs will be reimbursed on a minor contract revisions (MCR) basis unless existing cost proposal covers the Work. 4.5.10. With respect to replacement of protected trees and shrubs that have been damaged or destroyed, the following conditions shall apply: 4.5.10.1. Trees or shrubs of replaceable size shall be replaced by the Developer at his/her expense. If he/she fails to do so within a reasonable length of time as determined by the City and prior to the end of the contract time, the replacement value of the trees or shrubs will be deducted from any money due to the Developer. These values shall be based upon averages derived from current prices of nurseries growing the plants, plus the cost for planting and a guarantee for the first growing season. 4.5.10.2. When trees or shrubs beyond replaceable size have been damaged or destroyed, the value of such trees or shrubs shall be calculated as per square yard of surface area measured at the ground level. 4.5.10.3. Any deduction assessed as liquidated damages under this section shall not relieve the Developer from liability for any damages or costs resulting from delays to the City, traveling public or other Developers. 4.6 Hazardous Materials 4.6.1. Prior to commencement of any Work and as a condition precedent to payment by the City of any costs for it, the Developer shall at no additional cost to the City conduct tests the Developer deems necessary to determine the existence of Hazardous Materials by appropriately licensed Subcontractors or entities. The City shall reimburse the Developer for the invoice costs of the tests, only in the event that the Developer furnishes the City with certified test data and results which confirm the existence of Hazardous Materials. The City has obtained such environmental testing to surmise that no hazardous materials should exist on the property and the City has no knowledge that the information provided to the Developer is incomplete or inaccurate. 4.6.2. If Hazardous Materials are discovered on or under real property which is owned by the City before the date of Substantial Completion and Acceptance in accordance with Article 14 herein, the City shall, upon the request of the Developer, and at the City's sole cost and expense, cause any such Hazardous Materials to be encapsulated, treated or removed from such real property and transported for final disposal in accordance with all Laws and Regulations, and shall cause such real property to be restored to its condition existing prior to such removal (except for the absence of Hazardous Materials), including, to the extent required, any grading and reinforcement necessary ~B4-03.doc **DB4 Page 14 to restore the weight-bearing capacity of such real property prior to such event. The City shall remove the Hazardous Materials and restore the real property in such a manner as not to interfere with the Developer's construction or operation of the Project. 4.6.3. If Hazardous Materials are present on or Under the Project right-of-way as a result of any discharge, dumping or spilling on the Project right-of-way during the term of the Contract by any party under contract with or controlled by the Developer, excluding the employees, agents and representatives of the City and of an agency of the executive branch of State or Federal Government, the Developer shall at the Developer's sole cost and expense, cause any such Hazardous Materials to be encapsulated, treated or removed from the Project right-of-way and transported for final disposal in accordance with all applicable Laws and Regulations, and shall cause the Project right-of-way to be restored to its condition existing pdor to such removal (except for the absence of the Hazardous Materials), including, to the extent required, any grading and reinforcement necessary to restore the weight-bearing capacity of the Project right-of-way prior to such event, 4.6.4, The City shall not be responsible for the cost of and the removal or clean-up of Hazardous Materials found in any materials brought to the Project Site, after the Project Site is turned over to the Developer. 4.6.5. The Developer shall be responsible for assuring that the materials and equipment used for the Affordable Housing Project either do not contain hazardous materials or are handled in accordance with all laws and regulations pertaining to the use of such hazardous materials. 4.6.6. The Developer and the City shall cooperate with each other in the prosecution of any claim against or defense of any claims made by third parties in connection with Hazardous Materials present on the Project right-of-way or contiguous properties owed or controlled by the City. 4.7 Developer Representations By executing this Part 2 Agreement, the Developer represents that he/she has visited the site, familiarized him/herself with the local conditions under which the Work is to be performed (including weather conditions which can be expected), and correlated his observations with the requirements of the Contract Documents. ARTICLE 5 BONDS, INDEMNIFICATION AND INSURANCE 5.1 Performance, Payment, and Maintenance Bonds: 5.1.1. Developer shall furnish performance, payment, and maintenance Bonds. each in an amount specified in the Special Conditions as security for the faithful performance and payment of apl the Developer's obligations under the Contract Documents. These Bonds shall remain in effect until the job is advertised and closed except for the Maintenance Bond which shall remain in full force and effect for one year from the date of project closure, except as otherwise provided by the Contract Documents. The Developer shall also furnish such other Bonds as are required by the Special Conditions. Ali Bonds shall be in the forms prescribed by Law or Regulation or by the ~B~t-03.doc **DB4 Page 15 Contract Documents and be executed by such sureties as are named in the current list of "Companies Holding Certificates of Authority as Acceptable Sureties on Federal Bonds and as Acceptable Reinsuring Companies" as published in Circular 570 (amended) by the Audit Staff Bureau of Accounts, U.S. Treasury Department. All Bonds signed by an agent must be accompanied by a certified copy of the authority to act. 5.1.2. If the surety on any Bond furnished by Developer is declared a bankrupt or becomes insolvent or its right to do business is terminated in any state or it ceases to meet the requirements of paragraph 5.1, Developer shall within five days thereafter substitute another Bond and Surety, both of which must be acceptable to the City. 5.2 Indemnification: The Developer agrees to indemnify and hold harmless the City, its officers, employees, insurers, and self-insurance pool, from and against all liability, claims, and demands, on account of injury, loss, or damage, including without limitation claims adsing from bodily injury, personal injury, sickness, disease, death, property loss or damage, or any other loss of any kind whatsoever, which arise out of or are in any manner connected with this contract, to the extent that such injury, loss, or damage is caused in whole or in part by, or is claimed to be caused in whole or in part by, the act, omission, error, professional error, mistake, negligence, or other fault of the Developer, any Subcontractor of the Developer, or any officer, employee, representative, or agent of the Developer or of any Subcontractor of the Developer, or which adses out of any workmen's compensation claim of any employee of the Developer or of any employee of any Subcontractor of the Developer. The Developer agrees to investigate, handle, respond to, and provide defense for and defend against, any such liability, claims or demands at the sole expense of the Developer, or at the option of the City, agrees to pay the City or reimburse the City for the defense costs incurred by the City in connection with, any such liability, claims, or demands. The Developer also agrees to bear all other costs and expenses related thereto, including court costs and attorney fees, whether or not any such liability, claims, or demands alleged are groundless, false, or fraudulent. If it is determined by the final judgment of a court of competent jurisdiction that such injury, loss, or damage was caused in whole or in part by the act, omission, or other fault of the City, its officers, or its employees, the City shall reimburse the Developer for the portion of the judgment attributable to such act, omission, or other fault of the City, its officers, or employees. 5.3 Developer's Insurance: 5.3.1. The Developer agrees to procure and maintain, at its own expense, a policy or policies of insurance sufficient to insure against all liability, claims, demands, and other obligations assumed by the Developer pursuant to Section 5.2 above. Such insurance shall be in addition to any other insurance requirements imposed by this contract or by law. The Developer shall not be relieved of any liability, claims, demands, or other obligations assumed pursuant to Section 5.2 above by reason of its failure to procure or maintain insurance, or by reason of its failure to procure or maintain insurance in sufficient amounts, duration, or types. 5.3.2. Developer shall procure and maintain, and shall cause any Subcontractor of the Developer to procure and maintain, the minimum insurance coverages listed in the Special Conditions. If the Special Conditions do not set forth minimum insurance coverage, then the minimum coverage shall be as set forth below. Such coverage shall be 2rocured and maintained with forms and ~)B4-03.doc **DB4 Page 16 insurance acceptable to City. All coverage shall be continuously maintained to cover all liability, claims, demands, and other obligations assumed by the Developer pursuant to Section 5.2 above. In the case of any claims-made policy, the necessary retroactive dates and extended reporting periods shall be procured to maintain such continuous coverage. 5.3.2.1. Workmen's Compensation insurance to cover obligations imposed by applicable laws for any employee engaged in the performance of work under this contract, and Employers' Liability insurance with minimum limits of FIVE HUNDRED THOUSAND DOLLARS ($500,000.00) for each accident, FIVE HUNDRED THOUSAND DOLLARS ($500,000.00) disease - policy limit, and FIVE HUNDRED THOUSAND DOLLARS ($500,000.00) disease - each employee. Evidence of qualified self-insured status may be substituted for the Workmen's Compensation requirements of this paragraph. 5.3.2.2. Commercial General Liability insurance with minimum combined single limits of ONE MILLION DOLLARS ($1,000,000.00) each occurrence and ONE MILLION DOLLARS ($1,000,000.00) aggregate. The policy shall be applicable to all premises and operations. The policy shall include coverage for bodily injury, broad form property damage (including completed operations), personal injury (including coverage for contractual and employee acts), blanket contractual, independent Developers, products, and completed operations. The policy shall include coverage for explosion, collapse, and underground hazards. The policy shall contain a severabJlity of interests provision. 5.3.2.3. Comprehensive Automobile Liability insurance with minimum combined single limits for bodily injury and property damage of not less than ONE MILLION DOLLARS ($1,000,000.00) each occurrence and ONE MILLION DOLLARS ($1,000,000.00) aggregate with respect to each Developer's owned, hired and non-owned vehicles assigned to or used in performance of the services. The policy shall contain a severability of interests provision. If the Developer has no owned automobiles, the requirements of this Section 5.4.2.3 shall be met by each employee of the Developer providing services to the City under this contract. 5.2.2.4 Property Insurance upon the Construction at the site in an amount equal to the full replacement cost thereof and to include, at a minimum, the interests of the City, Developer and subcontractors each of whom shall be considered to have an insurable interest and shall be listed as additional insureds; be written on a Builder's Risk "all-risk" or open pedl or special causes of loss policy form that shall at least include insurance for physical loss and damage to the Construction, temporary buildings, false work and all materials and equipment in transit, and shall insure against at least the following pedls or causes of loss: fire, lightning, extended coverage, theft, vandalism and malicious mischief, earthquake, collapse, debris removal, demolition occasioned by enforcement of Laws and Regulations, water damage, and such other perils or causes of loss as may be specifically required by the Special Conditions; said coverage to also include expenses incurred in the repair or replacement of any insured property (including but not limited to fees and charges of engineers and architects); and shall also include coverage to cover materials and equipment stored at the Site or at another location that was agreed to in writing by City prior to being incorporated in the Work, provided such materials and equipment have been included in an Application for payment approved by the City; and shall be maintained in effect until final payment is made. ~B4-03.doc **DB4 Page 17 5.2.2.5. Professional Liability Insurance (with respect to design professionals only) with minimum limits of not less than FIVE HUNDRED THOUSAND DOLLARS ($500,000.00) each claim and in the aggregate. The budget attached to the Agreement contains an allowance of $363,000 to cover bonds and insurance related to this project. If the bonds and insurance cost more than this allowance amount, the amount of compensation will be adjusted to reflect the exact amount of such costs unless the City agrees to reduce or waive the bond and/or insurance requirements, but the Developer shall take reasonable measures, which shall be documented and dated, to provide appropriate coverage before approaching the City. Reasonable measures in this situation is defined as researching three different alternative bonds / insurance agencies' coverage and associated cost. 5.3.3. Except for any Professional Liability insurance that may be required, the policy or policies required above shall be endorsed to include the City of Aspen and the City of Aspen's officers and employees as additional insureds. Every policy required above shall be pdmary insurance, and any insurance carried by the City of Aspen, its officers or employees, or carded by or provided through any insurance pool of the City of Aspen, shall be excess and not contributory insurance to that provided by Developer. No additional insured endorsement to the policy required above shall contain any exclusion for bodily injury or property damage arising from completed operations. The Developer shall be solely responsible for any deductible losses under any policy required above. 5.3.4. The certificate of insurance provided by the City of Aspen shall be completed by the Developer's insurance agent as evidence that policies providing the required coverage, conditions, and minimum limits are in full force and effect, and shall be reviewed and approved by the City of Aspen pdor to commencement of the contract. No other form of certificate shall be used. The certificate shall identify this contract and shall provide that the coverage afforded under the policies shall not be canceled, terminated or materially changed until at least thirty (30) days prior written notice has been given to the City of Aspen. 5.3.5. In addition, these Certificates of Insurance shall contain the following clauses: Underwriters and issuers shall have no dght of recovery or subrogation against the City of Aspen, it being the intention of the parties that the insurance policies so effected shall protect all parties and be primary coverage for any and all losses covered by the above- described insurance. To the extent that the City's insurer(s) may become liable for secondary or excess coverage, the City's underwriters and insurers shall have no right of recovery or subrogation against the Developer and issuers shall have no right of recovery or subrogation against the City of Aspen, it being the intention of the parties that the insurance policies so effected shall protect all parties and be primary coverage for any and all losses covered by the above-described insurance. The insurance companies issuing the policy or policies shall have no recourse against the City of Aspen for payment of any premiums or for assessments under any form of policy. Any and all deductibles in the above-described insurance policies shall be assumed by and be for the amount of, and at the sole risk of the Developer. ~)B4-O3.doc **DB4 Page 18 Location of operations shall be: "All operations and locations at which work in connection with the referenced project is done." Certificates of Insurance for all renewal policies shall be delivered to the City at least fifteen (15) days prior to a policy's expiration date except for any policy expiring on the expiration date of this agreement or thereafter. 5.3.6. Failure on the part of the Developer to procure or maintain policies providing the required coverage, conditions, and minimum limits shall constitute a material breach of contract upon which City may immediately terminate this contract, or at its discretion City may procure or renew any such policy or any extended reporting period thereto and may pay any and all premiums in connection therewith. All moneys so paid by City shall be repaid by Developer to City upon demand, or City may offset the cost of the premiums against moneys due to Developer from City. 5.3.7, City reserves the dght to request and receive a certified copy of any policy and any endorsement thereto. 5.4 City's Liability lnsurance: 5.4.1. The parties hereto understand that the City is a member of the Colorado Intergovernmental Risk Sharing Agency (CIRSA) and as such participates in the CIRSA Property/Casualty Pool. Copies of the ClRSA policies and manual are kept at the City of Aspen Finance Department and are available to Developer for inspection during normal business hours. City makes no representations whatsoever with respect to specific coverage offered by CIRSA. City shall provide Developer reasonable notice of any changes in its membership or participation in ClRSA. 5.4.2. The parties hereto further understand and agree that City is relying on, and does not waive or intend to waive by any provision of this contract, the monetary limitations or any other rights, immunities, and protections provided by the Colorado Governmental Immunity Act, Section 24-10- 101 et seq., C.R.S., as from time to time amended, or otherwise available to City, its officers, or its employees. Further, nothing in the Contract Documents shall be construed or interpreted to require or provide for indemnification of the Developer by the City for any ~njury to any person or any property damage whatsoever which is caused by the negligence or other misconduct of City or its agents or employees. ARTICLE 6 DEVELOPER'S RESPONSIBILITIES 6.1 General Responsibilities: 6.1,1. Design services required by this Part 2 Agreement shall be performed by qualified architects and other design professionals. The contractual obligations of such professional persons or entities are undertaken and performed in the interest of the Developer. The agreements between Developer and the persons or entities identified in the Part 2 Agreement, and any subsequent modifications, shall be in writing. These agreements, including financial arrangements with respect to this Project, shall be promptly and fully disclosed to the City. ~)B4-03.doc **DB4 Page 19 6.1.2. The Developer covenants and warrants that it shall be responsible for performing the Work, and that it shall do or cause to be done the Work and services as required in the Contract Documents and any additional, collateral, and incidental Work and services as may be necessary in order to complete the Project in accordance with the requirements of the Contract Documents, shall be responsible for providing completed Work which meets the results required by the Contract Documents, and shall achieve Substantial Completion (100% of the Work) by the Contract Time. The Developer shall be responsible to City for acts and omissions of the Developer's employees, subcontractors and their agents and employees, and other persons, including Architect and other design professionals, performing any portion of the Developer's obligations under this Part 2 Agreement. 6.1.3. Construction services shall be performed in accordance with those professional standards listed in the Special COnditions for quality and scope and shall be performed by the entities and persons, SUbcontractors and specific personnel identified in the Developer's Proposal in accordance with their respective degrees of participation provided and represented to City. Other construction services shall be performed by qualified construction Subcontractors and Suppliers, selected and paid by the Developer. Nothing contained in the Contract Documents shall be construed to create any obligation or contractual liability running from the City to any of these persons or entities. 6.2 Supervision and Superintendence: 6.2.1. The Developer shall supervise and direct the Work competently and efficiently devoting such attention thereto and applying such skills and expertise as may be necessary to perform the Work in accordance with the Contract Documents. The Developer shall be solely responsible for the means, methods, techniques, sequences and procedures of construction. The Developer shall be responsible to see that the finished Work complies accurately with the Contract Documents. 6.2.2. The Developer shall keep on the Work at all times during its progress a competent resident superintendent, who shall not be replaced without written notice to the City except under extraordinary circumstances. The superintendent will be the Developer's representative at the site and shall have authority to act on behalf of the Developer. All communications given to the superintendent shall be as binding as if given to the Developer. 6.3 Labor, Materials and Equipment: 6.3.1. The Developer shall provide competent, suitably qualified personnel to survey and lay out the Work and perform construction as required by the Contract Documents. The Developer shall at all times maintain good discipline and order at the site. Except in connection with the safety or protection of persons or the work or property at the site or adjacent thereto, and except as otherwise indicated in the Contract Documents, all Work at the site shall be performed at such times and on such days as determined by the Developer in its reasonable discretion and subject to any noise and/or other City and/or County regulations governing when work may be performed. If the City wishes to limit the times of the work performed, the Contract time shall be modified accordingly. ~)B4-03.doc **DB4 Page 20 6.3.2. Unless otherwise specified in the Specific Conditions or Specific Provisions, the Developer shall furnish and assume full responsibility for all materials, equipment, labor, transportation, construction equipment and machinery, tools, appliances, fuel, power, light, heat, telephone, water, sanitary facilities, temporary facilities and all other facilities and incidentals necessary for the furnishing, performance, testing, start-up and completion of the Work. 6.3.3. All materials and equipment shall be of good quality and new, except as otherwise provided in the Contract Documents. If required by the City, the Developer shall furnish satisfactory evidence (including reports of required tests) as to the kind and quality of materials and equipment. All materials and equipment shall be applied, installed, connected, erected, used, cleaned and conditioned in accordance with the instructions of the applicable SupPlier except as otherwise provided in the Contract Documents; but no provision of any such instructions will be effective to assign to the City, or any of the City's consultants, agents or employees, any duty or authority to supervise or direct the furnishing or performance of the Work or any duty or authority to undertake responsibility contra ry to the provisions of paragraph 9.10.1. or 9.10.2. 6.4. Services and Responsibilities. 6.4.1. Design services required by this Part 2 Agreement shall be performed by qualified architects and other design professionals. The contractual obligations of such professional persons or entities are undertaken and performed in the interests of the Developer. 6.4.2. The agreements between the Developer and the persons or entities in this Part 2 Agreement, and any subsequent modifications, shall be in writing. These agreements, including financial arrangements with respect to the Project, shall be promptly and fully disclosed to the City upon request. 6.4.3. The Developer shall be responsible to the City for acts and omissions of the 'Developer's employees, subcontractors and their agents and employees, and other persons, including the Architect and other design professionals, performing any portion of the Developer's obligations under this Part 2 Agreement. 6.5, Work Schedule: 6.5.1. The Developer shall submit to the City for acceptance such schedule of work prOgress reports, estimates, records, and other data as the City may require concerning work performed or to be performed. The final detailed schedule approved by both parties is attached to this Contact. Please see attached "P304 and P305." 6.5.2. Prior to beginning of Work and or before the Pre-construction Conference, the Developer shall submit schedules showing the order in which he/she proposed to carry on the Work, including dates at which he/she will start the various parts of the Work, estimated date of completion of each part. 6.6. Substitutes of "or-equal" Items: 6.6.1. Whenever materials or equipment are specified or described in the Contract Documents by using the name of a proprietary item or the name of a particular Supplier the naming of the item is ~B4-03.doc *~DB4 Page 21 intended to establish the type, function and quality required. Unless the name is followed bywords indicating that no substitution is permitted, materials or equipment of other Suppliers may be accepted by the City if sufficient information is submitted by the Developer to allow the City to determine that the material or equipment proposed is equivalent or equal to that named. The City will include the following as supplemented in the General Requirements. Requests for review of substitute items of material and equipment will not be accepted by the City from anyone other than the Developer. If the Developer wishes to furnish or use a substitute item of material or equipment, the Developer shall make written application to the City for acceptance thereof, certifying that the proposed substitute will perform adequately the functions and achieve the results called for by the general design, be similar and of equal substance to that specified and be suited to the same use as that specified. The application will state that the evaluation and acceptance of the proposed substitute will not prejudice the Developer's achievement of Substantial Completion on time, whether or not acceptance of the substitute for use in the Work will require a change in any of the Contract Documents (or in the provisions of any other direct contract with the City for work on the Project) to adapt the design to the proposed substitute and whether or not incorporation or use of the substitute in connection with the Work is subject to payment of any license fee or royalty. All variations of the proposed substitute from that specified will be identified in the application and available maintenance, repair and replacement service will be indicated. The application will also contain an itemized estimate of all costs that will result directly or indirectly from acceptance of such substitute, including costs of redesign and claims of other Developers affected by the resulting change, all of which shall be considered by Architect in evaluating the proposed substitute. The City may require the Developer to furnish at Developer's expense additional data about the proposed substitute. 6.6.2. If a sPecific means, method, technique, sequence or procedure of construction is indicated in or required by the Contract Documents, the Developer may furnish or utilize a substitute means, method, sequence, technique or procedure of construction acceptable to the City. The procedure for review by the City shall be similar to that provided in paragraph 6.8.1. 6.6.3. The City will be allowed a reasonable time within which to evaluate each proposed substitute. The City will be the sole judge of acceptability, and no substitute will be ordered, installed or utilized without the City's prior written acceptance which will be evidenced by an approved Shop Drawing. The City may require the Developer to furnish at the Developer's expense a special performance guarantee or other surety with respect to any substitute. The City will record time required by the City and the City's consultants in evaluating substitutions proposed by the Developer and in making changes in the Contract Documents occasioned thereby. Whether or not the City accepts a proposed substitute, the Developer shall reimburse the City for the charges of the City and the City's consultants for evaluating each proposed substitute. 6.7 Deleted 6.8 Deleted 6.9 Subcontractors, Suppliers and Others: 6.9.1. The Developer shall not employ any Subcontractor, Supplier or other person or organization (including those acceptable to the City as indicated in paragraph 6.9.2), whether initially or as a substitute, against whom the City may have reasonable objection. ~B4-03.doc **DB4 Page 22 6.9.2. Developer shall identify all Subcontractors, Suppliers or other persons or organizations who are to furnish the principal items of materials and equipment to be submitted to the City in advance of the specified date prior to the Effective Date of this Part 2 Agreement for acceptance by the City and if the Developer has submitted a list thereof, the City's acceptance (either in writing or by failing to make written objection thereto by the date indicated for acceptance or objection in the bidding documents or the Contract Documents) of any such Subcontractor, Supplier or other person or organization so identified may be revoked on the basis of reasonable objection after due investigation, in which case the Developer shall submit an acceptable substitute, the Contract Price will be increased by the difference in the cost occasioned by such suSstitution and an appropriate Written Notice of Amendment signed. No acceptance by the City of any such Subcontractor, Supplier or other person or organization shall constitute a waiver of any right of the City to reject Defective Work. 6.9.3. The Developer shall be fully responsible to the City for all acts and omissions of the Subcontractors, Suppliers and other persons and organizations performing or furnishing any of the Work under a direct or indirect contract with Developer just as Developer is responsible for Developer's own acts and omissions. Nothing in the Contract Documents shall create any contractual relationship between the City and any such Subcontractor, Supplier or other person or organization, nor shall it create any obligation on the part of the City to pay or to see to the payment of any moneys due any such Subcontractor, Supplier or other person or organization except as may otherwise be required by Laws and Regulations. 6.9.4. The divisions and sections of the Specifications and the identifications of any Drawings shall not control the Developer in dividing the Work among Subcontractors or Suppliers or delineating the Work to be performed by any specific trade. 6.9.5. All Work performed for Developer by a Subcontractor will be pursuant to an appropriate agreement between the Developer and the Subcontractor which specifically binds the Subcontractor to the Applicable terms and conditions of the Contract Documents for the benefit of the City and contain waiver provisions as required by Section 5.3. The Developer shall pay each Subcontractor a just share of any insurance moneys received by the Developer on account of losses. 6.10 Subcontracting and Percentage of Work Awarded to Subcontractor(s): 6.10.1. The Developer may utilize the services of specialty Subcontractors on those parts of the Work, which under normal contracting practices, are performed by specialty Subcontractors. 6.10.2. The Developer shall provide the City with the name of any subcontractor which will provide work to the project representing more than 20% of the Contract Price. 6,11 Patent Fees and Royalties: The Developer shall pay all license fees and royalties and assume all costs incident to the use in the performance of the Work or the incorporation in the Work of any invention, design, process, product or device which is the subject of patent rights or copyrights held by others. Developer shall indemnify and hold harmless the City and anyone directly or indirectly employed by either of them ~B4-03.doc **DB4 Page 23 from and against all claims, damages, losses and expenses (including attorney's fees and court costs) arising out of any infringement of patent rights or copyrights incident to the use in the performance of the Work or resulting from the product or device not specified in the Contract Documents, and shall defend all such claims in connection with any alleged infringement of such rights. 6.12 Permits: Unless otherwise provided in the Special Conditions or in this paragraph, the Developer shall obtain and pay for all construction permits and licenses. The City shall assist the Developer, when necessary, in obtaining such permits and licenses. The City and the Developer shall jointly prepare a list of the fees for all potential permits and licenses. The Developer shall pay all governmental charges and inspection fees necessary for the prosecution of the Work, which are applicable at the time of the Effective Date of this Part 2 Agreement. The Developer shall pay all charges of utility owners for connections to the Work, and the City shall pay all charges of such utility owners for capital costs related thereto such as plant investment fees. The budget attached to this Agreement contains an allowance to cover all fees for licenses and permits required for the performance of the Work. The Developer will confirm in writing to the City that it has researched and appropriately budgeted for the previously noted permits and their associated fees. If the fees and permits cost more or less than this allowance amount, the Contract Price will be adjusted in accordance with Article 11 to reflect the exact amount of such costs. With respect to gas and electric utility fees, the City will enter into any required agreements with providers, pay any assessed fees and be entitled to any refunds allowed by such providers. 6.13 Laws and Regulations: 6.13.1 .The Developer shall give all notices and comply with all Laws and Regulations applicable to furnishing and performance of the Work. Except where otherwise expressly required by applicable Laws and Regulations, the City shall be responsible for monitoring the Developer's compliance with any Laws or Regulations. 6.13.2.1f the Developer observes that the Specifications or Drawings are at variance with any Laws or Regulations, the Developer shall give the City prompt written notice thereof, and any necessary changes will be authorized by one of the methods indicated in paragraph 3.4. If the Developer performs any Work knov(,ing or having reason to know that it is COntrary to Laws or Regulations, and without such notice to the City, the Developer shall bear all costs arising therefrom. 6.14 Taxes: The Developer, in its capacity as contractor for construction of the Project, shall pay all existing and future applicable Federal, State and local sales, consumer, use and other similar taxes whether direct or indirect which may be imposed as a result of this Agreement. Federal excise tax may not apply to materials pumhased by the City. The Contract Price shall include all other Federal, state, and/or local direct or indirect taxes which do apply as of the date hereof. The Contract Price shall include the COst of compliance with all other Federal Laws and Regulations at no additional cost to the City (except as provided in the Contract Documents). The Developer shall not be reimbursed separately for any taxes which may apply except as provided in the Contract Documents and the Developer shall be responsible for all taxes which may apply as a result of this Agreement. The ~B4-03,doc **DB4 Page 24 City is tax exempt from Federal Excise Tax under Chapter 32 of the Internal Revenue Code. The City is exempt from such taxes under registration numbers 98-02624. The Developer and its Subcontractors shall apply to the Colorado Department of Revenue for a Certificate of Exemption indicating that the Developer or Subcontractor's purchase of construction material or building materials is for use in a building, structure, or other public work owned and used by the City. 6.15 Use of Premises: 6.15.1.The Developer shall confine construction equipment, the storage of materials and equipment and the operations of workers to the Projec~ site and land and areas identified in, and permitted by, the Contract Documents and other land and areas permitted by Laws and Regulations, rights-of-way, permits and easements, and shall not unreasonably encumber the premises with construction equipment or other materials or equipment. The Developer shall assume full responsibility for any damage to any such land or area, or to the owner or occupant thereof or of any land or areas contiguous thereto, resulting from the performance of the Work. Should any claim be made against the City by any such owner or occupant because of the performance of the Work, Developer shall promptly settle with such other party by agreement or otherwise resolve the claim by law. The Developer shall, to the fullest extent permitted by Laws and Regulations, indemnify and hold the City harmless from and against all claims, damages, losses and expenses (including, but not limited to, fees of engineers, architects, attorneys and other professionals and court costs) arising directly, indirectly or consequentially out of any action, legal or equitable, brought by any such other party against the City to the extent based on a claim arising out of the Developer's performance of the Work. 6.15.2. During the progress of the Work, the Developer shall keep the premises free from accumulations of waste materials, rubbish and other debris resulting from the Work. At the completion of the Work, the Developer shall remove all waste materials, rubbish and debris from and about the premises as well as all tools, appliances, construction equipment and machinery, and surplus materials, and shall leave the site clean and ready for occupancy by the City. The Developer shall restore to original condition all property not designated for alteration by the Contract Documents. 6.15.3.The Developer shall not load or permit any part of any structure to be loaded in any manner that will endanger the structure, nor shall the Developer subject any part of the Work or adjacent property to stresses or pressures that will endanger it: 6.16 Record Documents: The Developer shall maintain in a safe place at the site one record copy of all Drawings, Specifications, Addenda, Written Amendments, Change Orders, Work Directive Changes, Field Orders and written interpretations and clarifications in good order and annotated to show all changes made during construction. These record documents together with all approved samples and a counterpart of all approved Shop Drawings will be available to the City for reference. Upon completion of the Work, these record documents, samples and Shop Drawings will be delivered to the City. 6.17 Safety and Protection: ~B4-03.doc **DB4 Page 25 6.17.1.The Developer shall be responsible for initiating, maintaining and supervising all safety precautions and programs in connection with the Work. The Developer shall take all necessary precautions for the safety of, and shall provide the necessary protection to prevent damage, injury or loss to: 6.17.1.1. All employees on the Work and other persons and organizations who may be affected thereby; 6.17.1.2. All the Work and materials and equipment to be incorporated therein, whether in storage on or off the site; and 6.17.1.3. Other property at the site or adjacent thereto, including trees, shrubs, lawns, walks, pavements, road-ways, structures, utilities and Underground .Facilities not designated for removal, relocation or replacement in the course of construction. The Developer shall comply with all applicable Laws and Regulations of any public body having jurisdiction for the safety of persons or property or to protect them from damage, injury or loss; and shall erect and maintain all necessary safeguards for such safety and protection. The Developer shall notify owners of adjacent property and of Underground Facilities and utility owners when prosecution of the Work may affect them, and shall cooperate with them in the protection, removal, relocation and replacement of their property. All damage, injury or loss to any property referred to in paragraph 6.17.1.2 or 6.17.1.3 caused, directly or indirectly, in whole or in part, by the Developer, any Subcontractor, Supplier or any other person or organization directly or indirectly employed by any of them to perform or furnish any of the Work or anyone for whose acts any of them may be liable, shall be remedied by the Developer. The Developer's duties and responsibilities for the safety and protection of the Work shall continue until such time as all the Work is completed and the City has issued a notice to the City and the Developer in accordance with Section 14;5 that the Work is acceptable (except as otherwise expressly provided in connection with Substantial Completion). 6.17.2.The Developer shall designate a person competent in OSHA safety related matters at the site at all times during construction whose duty shall be the prevention of accidents including confined space entry and work in the confined spaces. 6.18 Emergencies: In emergencies affecting the safety or protection of persons or the Work or property at the site or adjacent thereto, the Developer, without special instruction or authorization from the City, is obligated to act to prevent threatened damage, injury or loss. The Developer shall give the City prompt written notice if the Developer believes that any significant changes in the Work or variations from the Contract Documents have been caused thereby. If the City determines that a change in the Contract Documents is required because of the action taken in response to an emergency, a written order will be issued to document the consequences of the changes or variations. 6.19 Shop Drawings and Samples: ~B4-03.doc **DB4 Page 26 6.19.1.After checking and verifying all field measurements and after complying with applicable procedures specified in the Contract Documents, the Developer shall submit to the City for review and approval in accordance with the approved schedule of Shop Drawing submissions prior to Pre- construction Conference, or for other appropriate action if so indicated in the Special Conditions, three (3) copies (unless otherwise specified) of all Shop Drawings, which will bear a stamp or specific wdtten indication that the Developer has satisfied the Developer's responsibilities under the Contract Documents with respect to the review of the submission. All submissions will be identified as the City may require. The data shown on the Shop Drawings will be complete with respect to quantities, dimensions, specified performance and design criteria, materials and similar data to enable the City to review the information as required. 6.19.2.The Developer shall also submit to the City for review and approval with such promptnes& as to cause no delay in Work, all samples required by the Contract Documents. All samples will have been checked by and accompanied by a specific written indication that the Developer has satisfied the Developer's responsibilities under the Contract Documents with respect to the review of the submission and will be identified clearly as to material, Supplier, pertinent data such as catalog numbers and the use for which intended. 6.19.3.Before submission of each Shop Drawing or sample, the Developer shall have determined and verified all quantities, dimensions, specified performance criteria, installation requirements, materials, catalog numbers and similar data with respect thereto; and reviewed or coordinated each Shop Drawing or sample with other Shop Drawings and samples and with the requirements of the Work and the Contract Documents. 6.19.4.At the time of each submission, the Developer shall give the City specific written notice of each variation that the Shop Drawings or samples may have from the requirements of the Contract Documents, and, in addition, shall cause a specific notation to be made on each Shop Drawing submitted to the City for review and approval of each such variation. 6.19.5.The City will review and approve within 5 business days of receipt Shop Drawings and samples, but the City's review and approval will be only for conformance with the design concept of the Project and for compliance with the information given in the Contract Documents and shall not extend to means., methods, techniques, sequences or procedures of construction (except where a specific means, method, technique, sequence or procedure of construction is indicated in or required by the Contract Documents or specified by manufacturers) or to safety precautions or programs incident thereto. The review and approval of a separate item as such will not indicate approval of the assembly in which the item functions. The Developer shall make corrections required by the City, and shall return the required number of corrected copies of Shop Drawings and submit as required new samples for review and approval. The Developer shall direct specific attention in writing to revisions other than the corrections called for by the City on previous submittals. 6.19.6.The City's review and approval of Shop Drawings or samples shall not relieve the Developer from responsibility for any variation from the requirements of the Contract Documents unless the Developer has in writing called the City's attention to each such variation at the time of submission as required by paragraph 6.19.4 and the City has given written approval of each such variation by a specific written notation thereof incorporated in or accompanying the Shop Drawing or sample approval; nor will any approval by the City relieve the Developer from responsibility for ~B4-03.doc **DB4 Page 2~' errors or omissions in the Shop Drawings or from responsibility for having complied with the provisions of paragraph 6.19.3. 6.19.7. Where a Shop Drawing or sample is required by the .Specifications, any related Work performed prior to the City's review and approval of the pertinent submission will be the sole expense and responsibility of the Developer. 6.20 Mechanics'Liens: 6.20.1. The Developer covenants and agrees that, to the extent permitted by law, no claims or mechanics' liens against public funds (mechanic's liens) or claims of any kind, will be permitted to arise, be filed or maintained against the Project or any part of it, any interest in it or any improvementS on it, against any moneys due or to become due from the City to the Developer, for or on account of any work, labor, services, materials, equipment or other items performed or furnished for or in connection with the Project, and the Developer for itself, its Subcontractors, laborers and material suppliers and employees does waive, release and relinquish these claims or liens and all rights to file or maintain these liens and agrees further that this waiver of liens and waiver of the right to file or maintain liens shall be independent covenant and shall apply also to work, labor, services performed, materials, equipment and other items furnished under any Change Order or supplemental agreement for extra or additional work in connection with the Project. The Developer agrees to defend, indemnify, protect and save harmless the City from and against any and all claims or liens and actions brought or judgments rendered, and from and against any and all loss, damages, liability, costs and expenses, including legal fees and disbursements, which the City may sustain or incur in connection with the Project. 6.20.2.The Developer also agrees as above for all of its Subcontractors, including but not limited to suppliers and employees. If any of the Developer's Subcontractors, suppliers, employees or any other person directly or indirectly acting for, through or under its authority or any of them files or maintains a lien or claim as described above, the Developer agrees to cause claims or liens to be satisfied, removed or discharged at its own expense by bond, payment or otherwise within thirty (30) consecutive calendar days from he date of the filing, and upon the Developer's failure to do so the City shall have the right, in addition to all other rights and remedies provided under this Contract or by law, to cause the liens or claims to be satisfied, removed or discharged by whatever means the City chooses, at the entire cost and expense of the Developer, the expense to include legal fees and disbursements. The Developer shall give a copy of Claim Release form to all Subcontractors and suppliers and shall include these provisions in all written contracts with Subcontractors, or give written notice to all Subcontractors, suppliers or other persons having oral agreements with the Developer. 6.20.3.The Developer agrees that moneys received for the performance of this Contract shall be used first for payment due for labor, material, and services for the Project and taxes, and the moneys shall not be diverted to satisfy obligations of the Developer on other accounts or contracts. The Developer shall pay Subcontractors within ten (10) consecutive calendar days of receipt of a progress payment from the City. The Developer shall furnish sworn affidavits in accordance with the form furnished by the City, which shall state that amounts due or to become due, amounts paid, and any other information necessary to indicate the financial condition of the Developer, insofar as it relates to services, labor and material furnished, and to be furnished, under this Contract. The City may take steps it may deem necessary to protect itself against any claims. ~B4-03.do¢ **DB4 Page 28 6.21 Continuing the Work: The Developer shall carry on the Work and adhere to the progress schedule during all disputes or disagreements with the City. No Work shall be delayed or postponed pending resolution of any disputes or disagreements, except as Permitted herein or as the Developer and the City may otherwise agree in writing. 6.22 Developer Facilities: All temporary Developer facilities shall be in accordance with regulations and codes governing such construction. The types of temporary construction facilities required for the Project may include, but are not necessarily limited to, the following: (a) job site office space, (b) construction water distribution, (c) temporary closures, (d) temporary heat, (e) hoists and temporary cranes, (f) temporary roads and paving, (g) construction aids and miscellaneous facilities, (h) temporary power distribution, (i) temporary lighting, (j) temporary toilet facilities. All operations of the Developer, including storage of materials, upon the City's premises shall be confined to areas authorized or approved by Owner in writing. Temporary buildings, storage sheds, shops, offices, may be erected by the Developer only with the written approval of the City and shall be built or provided with labor and materials furnished by the Developer without expense to the City. Such temporary buildings and utilities shall remain the property of the Developer and shall be removed by it at its expense upon completion of the Work. ARTICLE 7 OTHER WORK 7.1 Related Work at Site: 7.1.1. The City may perform other work related to the Project at the site by the City's own forces, have other work performed by utility owners or let other direct contracts therefor which shall contain General Conditions similar to the provisions contained in this Part 2 Agreement. The Developer shall perform and coordinate his/her activities with other Developers to avoid conflict and minimize disruptions. 7.1.2. The Developer shall afford each utility owner and other Developer who is a party to such a direct contract (or the City if the City is performing the additional work with the City's employees) proper and safe access to the site and a reasonable opportunity for the introduction and storage of materials and equipment and the execution of such work, and shall properly connect and coordinate the Work with theirs. The Developer shall do all cutting, fitting and patching of the Work that may be required to make its several parts come together properly and integrate with such other work. The Developer shall not endanger any work of others by cutting, excavating or otherwise altering their work and will only cut or alter their work with the wdtten consent of Architect and the others whose work will be affected. The duties and responsibilities of Developer under this paragraph are for the benefit of such utility owners and other Developers to the extent that there are comparable provisions for the benefit of the Developer in said direct contracts between the City and such utility owners and other Developers. ~B4-03.doc **DB4 Page 29 7.1.3. If any part of the Developer's Work depends for proper execution or results upon the work of any such other Developer or utility owner (or the City), the Developer shall inspect and promptly report to the City in writing any delays, defects or deficiencies in such work that render it unavailable or unsuitable for such proper execution and results. The Developer's failure to report such conditions will constitute an acceptance of the other work as fit and proper for integration with the Developer's Work except for latent or non-apparent defects and deficiencies in the other work. 7.2 Coordination: if the City contracts with others for the performance of other work on the Project at the site, the person or organization of the activities among the various prime Developers may be identified in the Special Conditions, and the specific matters to be covered by such authority and responsibility may be itemized, and the extent of such authority and responsibilities may be provided, in the Special Conditions. Unless otherwise provided in the Special Conditions, neither the City nor the City shall have any authority or responsibility in respect of such coordination. ARTICLE 8 CITY'S RESPONSIBILITIES 8.1. The City shall issue all communications to the Developer through the City's Representative or his/her designated person. 8.2. The City shall furnish the data required of the City under the Contract Documents promptly and shall make payments to the Developer through processing of the monthly Progress Pay Estimate forms within 30 days from the cut-off date for a pay estimate form, 8.3. The City represents that an amount of money equal to the Contract Price has been duly appropriated in accordance with the Municipal Code of the City of Aspen, under a purchase order. The City shall not issue any Change Order or execute a Written Amendment requinng additional compensable work, which work causes the aggregate amount appropriated by the City, unless the Developer is given a written assurance that a lawful appropriations to cover the costs of the additional work shall be made. ARTICLE 9 CITY'S REPRESENTATIVE STATUS DURING CONSTRUCTION 9.1 City's Representative: The City's Representative shall be identified to the Developer prior to the commencement of any Work. The duties and responsibilities and the limitations of authority of the City's Representative during construction are set forth in the Contract Documents and shall not be extended without written consent of the City. ~B4-03.doc **DB4 Page 30 9.2 Visits to Site: The City's Representative shall make visits to the site at intervals appropriate to the various stages of construction to observe the progress and quality of the executed Work and to determine, in general, if the Work is proceeding in accordance with the Contract Documents. The City's Representative shall make on-site inspections to observe the quality or quantity of the Work. The City's Representative's efforts will be directed toward providing for the City a greater degree of confidence that the completed Work will conform to the Contract Documents. On the basis of such visits and on-site observations, the City's Representative will keep the City informed of the progress of the Work and will endeavor to guard the City against defects and deficiencies in the Work. 9.3 Reserved 9.4 Clarification and Interpretations: The City's Representative will issue with reasonable promptness such written clarifications or interpretations of the requirements of the Contract Documents (in the form of Drawings or otherwise) as the City's Representative may determine necessary, which shall be consistent with or reasonably inferable from the overall intent of the Contract Documents. If a'written clarification or interpretation justifies an increase in the Contract Price or an extension of the Contract Time, the Developer shall meet with the City's Representative and resolve the issae. All such requests or claims shall be submitted to the City's Representative. 9.5 Authorized Variations in Work and Minor Contract Revisions: The City's Representative may request or authorize minor variations in the Work from the requirements of the Contract Documents which do not involve an adjustment in the Contract Price or the Contract Time and are consistent with the overall intent of the Contract Documents. These may be accomplished by a wdtten request or a field order and will be binding on the City, and also on the Developer who shall perform the Work involved promptly. If the Developer believes that a field order justifies an extension of the Contract Time and the parties are unable to agree as to the extent thereof, the Developer may make a claim therefore as provided herein. 9.6 Rejecting Defective Work: The City's Representative will have authority to disapprove or reject Work which the City's Representative believes to be Defective, and will also have authority to require special inspection or testing of the Work as provided herein below, whether or not the. Work is fabricated, installed or completed. 9. 7. Shop Drawings, Change Orders and Payments: 9.7.1 Reserved. 9.7~2. In connection with the City's Representative's responsibilities as to Change Orders, see Article 10 and Article 11. ~B4-03.doc **DB4 Page 31 9.7.3. In connection with the City's Representative's responsibilities in respect of request for Payment, etc. 9.8 Decisions on Disputes: 9.8.1. The City's Representative will be the initial interpreter of the requirements of the Contract Documents and judge of the acceptability of the Work thereunder. Claims, disputes and other matters raised by Developer relating to the acceptability of the Work or the interpretation .of the requirements of the Contract Documents pertaining to the performance and furnishing of the Work and claims under Articles 11 and 12 in respect to changes in the Contract Price or Contract Time shall be referred initially to the City's Representative in writing with a request for a formal decision in accordance with this paragraph, which the City's Representative will render in writing within a reasonable time. Written notice of each such claim, dispute and other matter by the Developer will be delivered to the City's Representative promptly (but in no event later than thirty days) after the occurrence of the event giving rise thereto, and written supporting data will be submitted to the City's Representative and the City within sixty days after such occurrence unless the City's Representative allows an additional period of time to ascertain more accurate data in support of the claim. 9.8.2. The rendering of a decision by the City's Representative pursuant to paragraph 9.8.1. with respect to any such claim, dispute or other matter shall be a condition precedent to any exercise by the Developer of such rights or remedies as the Developer may otherwise have under the Contract Documents or by Laws or Regulations in respect of any such claim, dispute or other matter. The City shall not be bound by any initial interpretation by the City's Representative of the requirements of the Contract Documents, judgment on the acceptability of the Work thereunder, or formal decision made by the City's Representative in accordance with paragraph 9.8.1. Any dispute not resolved by the initial decision of the City's Representative shall be decided by the City, who shall reduce the decision in writing and furnish a copy thereof to the Developer and the City's Representative. The decision of the City shall be final subject to review by the Pitkin County District Court in Pitkin County, Colorado. Pending final decision of a dispute hereunder, the Developer shall proceed diligently with the performance of the Work and in accordance with the City's Representative's interpretation. 9.9 Reserved 9.10 Limitations on City's Representative's Responsibilities: 9.10.1.Neither the City's Representative's authority to act under this Article 9 or elsewhere in the Contract Documents nor any decision made by the City's Representative in good faith either to exercise or not exercise such authorit, y shall give rise to any duty or responsibility of the City's Representative to the Developer, any Subcontractor, any Supplier, or any other person or organization performing any of the Work, or to any surety for any of them. 9.10.2.Whenever in the Contract Documents the terms "as ordered", "as directed", "as required", "as allowed", "as approved" or terms of like effect or import are used, or the adjectives "reasonable", "suitable", "acceptable", "proper" or "satisfactory" or adjectives of like effect or import are used to describe a requirement, direction, review or judgment of the City's Representative as to ~B4-03.do¢ **DB4 Page 32 the Work, it is intended that such requirement, direction, review or judgment will be solely to evaluate the Work for compliance with the Contract Documents (unless there is a specific statement indicating otherwise). The use of any such term or adjective shall not be effective to assign to the City's Representative any duty or authority to supervise or direct the furnishing or performance of the Work or any duty or authority to undertake responsibility contrary to the Contract Documents. ARTICLE 10 CHANGES IN THE WORK 10.1 City Initiated Changes 10.1.1.The City may require, without notification to sureties, the Developer to perform changes, additions or deletions to the Work at anytime after execution of the Contract without invalidating the Contract. Changes shall be accomplished as set forth in Section 3.2, above. 10.1 ~2. Provided the changes in the Work are the subject of a Change Order executed by the City and Developer covering the scope of the change, the Developer shall promptly perform changes in the Work in accordance with applicable provisions of the Contract Documents, unless otherwise provided in a Change Order or Amendment to this Part 2 Agreement. 10.1.3. The following procedure shall be followed for the City notifying the Developer of proposed City initiated changes. The City's Representative shall issue a notice informing the Developer of a planned change in the Work and its scope, and requesting the Developer's detailed price proposal. The Developer, at no expense to the City, shall submit a priced proposal for performing the proposed change in [he Work. The Developer, within ten (10) consecutive calendar days after receiving the Notice of Change, or such longer time which the City's Representative in his/her discretion has granted, shall provide the City's Representative with a complete and itemized proposal which includes the estimated increase or decrease in the Contract Price and/or in the Contract Time attributable to the planned changes on the criteria and methods described in Article 11. The Developer shall be responsible for delays to the Work and any additional costs incurred by the City caused by its failure to submit complete pricing information within the time provided above. The Developer shall participate with the City in prompt joint analysis and negotiations to finalize a Change Order, if necessary. 10.2 Written Notice of Change 10.2.1. A Written Notice of Change may be used when: a) The City determines that the Developer must proceed immediately to perform a change in the Work in order to avoid an adverse im pact on the schedule or other unchanged Work, and sufficient time ~s not available to negotiate an adjustment to the Contract Price or Contract Time; or b) The City and Developer have not completed their negotiation and reached agreement on all of the terms of a Change Order, but the City requires the Developer to proceed without such agreement. ~B4-03.doc **DB4 Page 33 10.2.2. Upon receipt of a Wdtten Notice of Change the Developer shall promptly proceed with performing the change in the Work. Additionally, the Developer shall comply with all the requirements of 10.3 of this Part 2 Agreement. 10.3 Change Order When the Developer and the City reach agreement on the adjustments to the Contract Price and/or Contract Time, such agreements shall be promptly recorded in an executed Change Order. 10.4 Developer Change Request 10.4.1. if the Developer: (i) receives any oral or written instructions, directives or interpretations of Contract Documents, or determinations from the City or, (ii) identifies what it believes are design errors or omissions in the Contract Drawings or Specifications, or (iii) encounters a differing site condition; or, (iv) is delayed in the progress of the Work; or, (v) becomes aware of any other matter or circumstance which it believes would require a change in the Contract Price or Contract Time, the Developer shall give the City prompt written notice of such matters in a letter or notice denominated "Developer Change Request". 10.4.2~ All Developer Change Requests shall be dated, numbered sequentially, and shall describe the action or event which the Developer believes may require an extension in time or price. The Developer shall also provide descriptions of possible Developer actions or solutions to minimize the cost of the Developer Change Request and, provide an estimate of the adjustment in the Contract Price and/or Contract Time which it believes is appropriate~ 10.4.3. With respect to orders, instructions, directives, interpretations, determinations, or the discovery of any errors or omissions in the Contract Documents, a Developer Change Request shall be submitted before the Developer acts on them, but in no event more than ten (10) consecutive calendar days after they were received or discovered. 10.4.4. With respect to any differing site conditions, a Developer Change Request shall be submitted before the conditions are disturbed, but in no event more than ten (10) consecutive calendar days after the conditions are first discovered. 10.4.5. With respect to delays, a Developer Change Request shall be submitted as soon as the Developer has knowledge of the delay, but in no event more than ten (10) consecutive calendar days therefrom. 10.4.6. With respect to any matters or cimumstance which the Developer believes would require a change, including delays, a Developer Change Request shall be submitted as soon as the Developer has knowledge of the matter or circumstance, but in no event more than ten (10) consecutive calendar days after the Developer becomes aware of such circumstance or matter. 10.5 Down Time: ~B4-03.doc *'DB4 Page 34 The Developer may be granted time extension for down time. No other compensation of any kind shall be made to the Developer for down time. Equipment failure, lack of adequate labor or tools or materials to perform the Work shall not constitute down time. 10.6 Submittal Requirements and Waiver of Claims 10.6.1. If the Developer does not submit a Developer Change Request within the time required above, any action bythe Developer related to such Order, direction, instruction, interpretation; determination, design error or omission, or other matter, including delays or differing site conditions, will not be considered by the City as a change to the Work and the Developer waives any claim for an adjustment on the Contract Price or the Contract Time. 10.6.2. The Developer shall, within ten (10) consecutive calendar days submit in detail, a Developer Change Request, and provide the City a complete and itemized proposal which contains the information described in Article 11. The proposal shall also contain a detailed explanation, citing all applicable provisions in the Contract Documents, which supports the Developer Change Request. If the Developer does not submit its itemized proposal within the time described above or within such extension which the City, in his/her discretion may have granted in writing, it waives any claim for an adjustment in the Contract Price or Contract Time arising out of the act or event described in the Contract Change Request. 10.6.3. If a Developer Change Request is denied by the City, in whole or in part, any claim for an increase in the Contract Price or Contract Time arising out of the act or event described in the Developer Change Request is waived unless the Developer timely complies with the provisions of paragraphs 10.4.1. through 10.4.6. ARTICLE 11 CHANGE OF CONTRACT PRICE OR CONTRACT TIME 11.1 Contract Price Adjustments. All adjustments to the Contract Price shall be determined by using one or moro of the following methods: 11.1.1 A negotiated lump sum for work items that cannot be itemized. The Developer shall promptly provide sufficient substantiating data, including calculations, measurements, cost rocords, production rates, equipment types and capacity, labor costs by craft and other information which the City may roasonably requiro the Developer to produce in order to permit the City to evaluate the Developer's lump sum change order proposals. In pricing this proposal, the Developer shall include estimates of the type of costs described in Section 11.4 below. 11.1.2 Unit prices stated in the Contract Documents or subsequently agroed upon multiplied by final verified quantities of work performed; 11,1.3 Cost to be determined in a manner agroed upon by the parties which includes markups that do not exceed those set forth in Section 1114 below. ~B4-03.doc **DB4 Page 35 11.1.4 Costs to be determined in the manner described in Section 11.3.1. 11.2 Contract Time Adjustments. 11.2.1. Any extension of the Contract Time must be requested in a Developer Change Request which complies with all of the requirements of paragraphs 10.4.1 through 10.4.6. Failure to strictly comply with the timing and submittal requirements shall constitute a Waiver of any request or claim. 11.2.2. if the Developer is delayed at any time in the progress of the Work and such delay was caused, in whole or in part, by the act or omission of the City, or by changes ordered in the Work pursuant to strikes, lockouts, fire, unusual delay by common carriers, unavoidable casualties, or any other causes beyond the Developer's control, then the Contract Time shall be extended by the City. Such extension will be for a period of time equal to the time of the delay, provided however, that such delay could not have been avoided by the exercise of due diligence by the Developer and did not result from the acts or omissions of the Developer and, provided further, that they Developer has taken reasonable actions to mitigate or prevent further delays resulting from such causes. 11.2.3. If abnormal weather conditions are the basis for a claim for an extension of the Contract Time, such claim shall be documented on the City's Daily Construction Log forms substantiating that weather conditions were unusually severe for the period of time, and could not have been reasonably anticipated. Regardless of actual weather conditions, any day in which the Developer is able to work sixty percent (60%) or more of its scheduled work force shall not be counted as an abnormal weather day for purposes of calculating weather related time extensions. 11.2.4. The Developer agrees that delays resulting from any causes other than acts or omissions of the City, its employees, agents or officials shall be considered fully compenSated by a time extension only and agrees to make no claim for monetary damages for such delays. In no event shall the Developer be entitled to recover any delay costs caused by the acts or omissions of the Developer, its employees or agents. 11.2.5. If the Developer believes that it has suffered delays in performing the Work that are caused by acts or omissions of the City, the Developer may submit a Developer Change Request with detailed justifications acceptable to the City. Failure of the Developer to comply with all requirements shall constitute a waiver of any claim for damages resulting from such delays. 11.3 Force Account Work. 11.3.1 In situations where the cost or time for performing a required change cannot be adequately defined or agreed upon but the changed Work must proceed, the City may direct the Developer to perform the Work on a Force Account basis. Adjustment shall be determined on the basis of reasonable expenditures and savings of those performing the change in the Work including, in case of an increase in the Contract Amount, an allowance for overhead and profit which shall not exceed the allowance described in' 11.4.7 below. In such case, the Developer shall keep and present, in such form as the City may prescribe, an itemized detailed accounting together with appropriate supporting data of all of the costs described in Section 11.4.1 through Section 11.4.4 which clearly distinguishes the cost of changed Work from base contract Work. Information which ~B4-O3.doc **DB4 Page 36 shall be required on these forms includes an itemization of all costs for labor, materials and equipment rental and total costs to date for force account work. The Developer shall include hours worked, rates of pay, names and job classifications for all workers and size, type, identification number, rental rate and hours of operation for equipment. 11.3.2 Unless otherwise provided in the Contract Documents, costs for the purposes of Force Account Work shall be itemized daily on Daily Force Account Forms provided by the City which are signed by the Developer and the City. Such costs shall form the basis for determining the maximum amount to be paid the Developer, but this amount may be reduced where necessary to take into account the cost of base contract Work, Work included in approved Change Orders, Work described in Work Directive Changes, idle time for workers and/or equipment when work could have been performed in other locations or the number of workers or amount of equipment provided exceeds the number or amount required to perform the Work, unsatisfactory Work or Work which may be performed concurrently with the changed Work and which cannot be easily segregated from the changed Work. The worker hours, equipment hours, and materials installed shall be logged on the City's Daily Construction Log form for every day the work is performed. 11.4 Contract Sum Determination 11.4 In no event shall the charge or credit to the City associated with any change exceed the sum of the following: 11.4.1 Direct Labor. Actual net direct increase or decrease in the cost of the Developer's labor for all work associated with the change. Developer's labor shall be limited to Davis-Bacon Act work categories or other labor (including salaried field personnel) that perform the individual change in Work full-time. For shop work, the direct labor includes workers who work directly on the item being manufactured or operators of equipment being used to handle items being manufactured. 11.4.2 Labor Burden. Developer's actual costs for worker's compensation and liability insurance, payrOll taxes, social security and employees fringe benefits (including employer paid health insurance) imposed on the basis of payrolls. This burden must reflect the variability of some burdens, i.e., social security. The burden shall include all small tools which cost less than $200 apiece. 11.4.3 Direct Material, Supplies, Installed Equipment. Actual net direct cost of materials, supplies and equipment incorporated in or consumed by the Work. If actual costs are not available, the cost shall be the lowest commercially available price including all discounts and rebates and all applicable taxes. Cost shall be based on buying the material, supplies and equipment in the largest practical quantity to receive quantity discounts. 11.4.4 Equipment. Actual net cost to the Developer of owned and/or rented equipment other than small tools, to be determined using the following method(s): (1) Owned equipment operating costs shall be determined using accepted industry standard forms and methods for "Owning and Operating Equipment" as described by the U.S. Army Corps of Engineers (CO'E) in its latest edition of the "Construction Equipment Ownership and Operating Expense Schedule, Region V" (Document No. EP 1110-1-8, Volume 5). ~)B4-O3.doc **DB4 Page 37 (2) Rental equipment costs shall be determined using actual invoiced rates less all discounts for bare equipment rental. Operating costs will be determined based on rates in the above-cited C.O.E. manual. (3) Mobilization/demobilization costs will be paid if the equipment is mobilized exclusively for Work described in a change requested by the City or a Change Order. If the equipment is used on base contract work, no mobilization or demobilization cost will be paid. Mobilization/demobilization cost will be based on using the least expensive means to mobilize or demobilize. Equipment shall be obtained from the nearest available source. When the least expensive methods are used, then costs shown in the actual invoice will be the basis for pricing. 11.4.5 Bonds, Insurance, Permits and Taxes. Actual increases or decreases in the cost of premiums for all bonds and insurance, permit fees, and sales, use or similar taxes related to the Work. 11.4.6 Subcontract Costs. Net cost of Subcontractor work at any tier, provided that the cost of the Subcontractor is determined in accordance with the above requirements. When possible, the Developer shall obtain quotes from two or more Subcontractors. 11.4.7 Overhead and Profit. (1) Ten percent (10%) of the sum of Section 11.4.1 through Section 11.4.5 above, to cover a profit for Work performed by that Developer or Subcontractor. (2) Two percent (2%) of Section 11.4.6 above to cover Developer's and Subcontractor's overhead and profit for work performed by the Developer or Subcontractor. (3) Neither the Developer nor any Subcontractor, nor the City in the case of a credit, will attempt to apply these percentage adjustments in a way which would pyramid either the cost or credit because a Subcontractor or Subc°ntractors at any tier are involved. 11.4.8 Totals as Equitable Adjustment. The Developer agrees that the total of the above constitutes an equitable adjustment for any and all damages resulting from a change or due to delay or disruption caused by the City. The Developer's choice of idling and Down Time shall not constitute a City's cause for delay or disruption. 11.5 Cost and Pricing Data 11.5.1 Certificate of Current Cost or Pricin.q Data. The Developer shall submit a Certificate of Current Cost or Pricing Data with any agreed upon Contract Price adjustment, but prior to the execution of a Change Order for the work, in the following format: '~B4-03.doc **DB4 Page 38 Certificate of Current Cost and Pricing Data This is to certify that, to the best of my knowledge and belief, the cost of pricing data submitted in writing to the City in support of * are accurate, complete, and current as of ** and represent the best prices available at the time the work is required from suppliers and Subcontractors. This certification !ncludes the cost of pricing data supporting any advance agreements and forward pricing rate agreements between the °ffer or and the City that are part of the proposal. Firm Name Title Date * IdentifY the appropriate number of the Change Notice. ** Date when pricing negotiations were concluded and price agreement was reached. *** Date of signing, which should be as close as practicable to the date when the price neg°tiations were concluded and price agreement reached. 11.5.2 Vendor Statements. The Developer shall submit in support of all items which are not unit prices or lump sum prices established by the Contract, statements by the affected vendors that the prices are not in excess of those previously charged to the City or the supplier's regular commercial customers for the same items. 11.5.3 Price Reductions for Defective Costs or Pric n.q Data. If it is later determined that pricing adjustments to the Contract were not correct due to incomplete or inaccurate pricing data by the Developer or any SUbcontractor or supplier or that lower prices were readily available, the price shall be reduced accordingly and the Contract modified by a Change Order. 11.6 Variation in Quantity of Unit Priced Items: Where the quantity of a unit-priced item in this Contract is an estimated quantity and the actual quantity of the unit~priced item varies more than 25 percent above or below the estimated quantity, an equitable adjustment in the Contract Price may be made by a written Change approVed by the Developer and the City. The equitable adjustment shall be based upon any increase or decrease in cost due solely to the variation above 125 percent or below 75 percent of the estimated quantity. The City at any time after the aWard of the Contract, may delete Bid items, provided that the total of such deletions does not exceed twenty five percent (25%) of the total Contract Price, and such deletions will not justify an increase in other Bid prices, if the quantity variation is such as to cause an increase in the time necessary for completing the Work the Developer may request in writing, an extension of time only. ~)B4-03.doc ~*DB4 Page 39 ARTICLE 12 COMPENSATION 12.1 The initial payment provided below shall be made upon execution of this Part 2 Agreement and credited to City's account. 12.2 Subsequent payments for Basic Services and Additional Services provided for in this Part 2 Agreement shall be made as set forth in Article 14. 12.3 Payments due the Developer under this Part 2 Agreement which are not paid when due shall bear interest from the date due at a rate of 6% APR. 12.4 The City shall compensate the Developer in accordance with this Article and the other provisions of this Part 2 Agreement as described below: PAYMENT shall be made to the Developer by submitting a standard invoice to the City detailing work performed during the City's billing cycle. These invoices will be deducted from the agreed to $7,306,003 (Seven Million Three Hundred Six Thousand Three Dollars) sum minus an initial payment of $170,607.35 (One Hundred Seventy Thousand Six Hundred Seven Dollars and Thirty Five Cents) for Part I of the two part Contract. Any remaining balance will be forward to the Developer upon the City receiving Certificate of Occupancy. 12.4.4 FOR ADDITIONAL SERVICES, compensation Shall be based on the formula in Section 11.4. ARTICLE 13 WARRANTY AND GUARANTEE; TESTS AND INSPECTIONS; CORRECTION, REMOVAL OR ACCEPTANCE OF DEFECTIVE WORK 13.1 Warranty: 13.1.1. The Developer warrants and guarantees to City that all Work, whether supplied, furnished, installed, provided, or performed by Developer, a Subcontractor, or Supplier, will be in accordance with the Contract Documents and will not be Defective. All Defective Work, whether Or not in place, must be rejected, corrected or accepted as provided in this Article 13. Work shall be performed in a skillful and workmanlike manner. Except where longer periods of warranty are indicated for certain items, Developer warrants Work, whether furnished, installed, provided, performed or supplied by Developer, a Subcontractor or Supplier, to be free from faulty materials and workmanship for a period of not less than one year from date of Substantial Completion, which one year period shall be covered by the Maintenance Bond and Payment Bond as specified in the Contract Documents. Landscaping replacement shall be warranted for two growing seasons. 13:1.2. The Developer, at no additional expense to the City, shall remedy damage to equipment, the site, or the buildings or the contents thereof which is the result of any failure or defect in the Work, and restore any work damaged in fulfilling the requirements of the Contract Documents. ~B4-03.doc **DB4 Page 40 13.1.3. With respect to all warranties, express or implied, from Subcontractors, manufacturers, or Suppliers for Work performed and materials fumished under the Agreement, the Developer shall: 13.1.3.1. Obtain all warranties that would be given in normal commercial practice. To the extent that the Subcontractor's, manufacturer's, or Supplier's, standard warranty exceeds the minimum City requirements as set forth in this Article or elsewhere in the Contract Documents, the Subcontractor's, manufacturer's, or Supplier's standard warranty shall apply. Otherwise, the Developer shall be responsible for a two year term under the Maintenance Bond. 13.1.3.2. Require all warranties to be executed, in writing, for the benefit of the City, if directed by the City; or 13.1.3.3. Enforce all warranties for the benefit of the City, if directed by the City. 13.1.3.4. Assign all warranties and guarantees in writing to the City upon the request of the City. 13.1.4. Notwithstanding anything to the contrary above, the Developer shall warrant that all equipment which are incorporated into the Work or any subsystem shall be new, free from liens and defects in design, have clear title, be free from faulty materials and workmanship, and shall conform in all aspects to the terms of the Contract Documents, to the drawings issued for manufacture by the Developer, and shall be in conformance with the Technical Specifications and Developer's Proposal (except in those instances where the Developer's Proposal has been amended by subsequent Technical Specifications). Unless the warranty period is otherwise extended or modified, the following warranty shall apply. If, within fourteen months of the date of a temporary certificate of occupancy issued by the City, it appears that the equipment or any part thereof covered by such temporary certificate of occupancy does not conform to the above warranty and guarantee provisions, and the City so notifies the Developer within a reasonable time after its discovery, the Developer shall thereupon promptly correct such nonconformity to the satisfaction of the City, at the Developer's sole expense; failing which the City may reject the item and cover by purchasing substitute items or the City may proceed to make corrections or accomplish the Developer's performance by the most expeditious means available, the cost of cover or correction shall be charged to the Developer. With respect to any equipment which is covered by warranty from the manufacturer, the warranty under this Section shall be limited to the terms of such warranty provided that Developer has assigned the warranty to the City. The City shall not disapprove of any warranty which is standard in the industry for such equipment. 13.1.4.1. The preservation, packaging, packing, and marking, and the preparation for, and method of, shipment of such equipment shall conform with the requirements of the Contract Documents. 13.1.4.2. When return, corrections, or replacement is required, transportation charges and responsibility for the supplies and equipment while in transit shall be borne by the Developer. ~B4-03.doc *'DB4 Page 41 13.1.5. In addition to the foregoing, in the event that any single component in the Work experiences failures during the warranty period such that the number of failures under normal service conditions exceeds ten percent (10%) of the Work population of that component, the Developer shall perform a design defects analysis. If the analysis shows the component design to be defective, the component shall be redesigned, and the entire population of that component shall be replaced and/or retrofitted. 13.1.6. Whenever there is a conflict between the warranties required by the Contract Documents and the warranty provided by a Subcontractor, manufacturer or Supplier, the terms and conditions of the warranty that affords the City the greatest protection shall be binding upon the Developer. 13.1.7. The above warranties or other warranties agreed to by Developer shall not limit the City's rights under other provisions of this Article with respect to latent defects, gross mistakes, or fraud. 13.1.8. Neither the foregoing nor any provision in the Contract Documents, nor any special guarantee time limit, shall be held to limit the Developer's liability for defects, to less than the legal limit of liability in accordance with the law of the place of building. 13.1.9. Any supplies or equipment, or parts thereof, corrected or furnished in replacement under this Article, shall also be subject to the terms of the warranty provisions herein to the same extent as supplies and equipment initially delivered. The warranty, with respect to supplies, equipment, or parts thereof, shall be equal in duration as if initially delivered and shall run from the date of delivery of the corrected or replaced supply, or upon the date it is placed in service, whichever is later. 13.2 Access to Work: The City, other representatives of the City, testing agencies and governmental agencies with jurisdictional interests shall have access to the Work, at any time for their observation, inspecting and testing. Developer shall provide proper and safe conditions for such access. ~3.3 Tests and Inspections: 13.3.1. The Developer shall cooperate with material testing persons and firms, and for required inspections, and compliance and approval tests for the Work performed by the Developer or his/her Subcontractor(s). 13.3.2. If Laws or Regulations of any public body having jurisdiction require any Work (or part thereof) to specifically be inspected, tested or approved, the Developer shall assume full responsibility therefore, pay all costs in connection therewith and furnish the City the required certificates of inspection, testing or approval. The Developer shall also be responsible for and shall pay all costs in connection with any inspection or Re-testing required in connection with the City's acceptance of a Supplier of materials or equipment proposed to be incorporated in the Work, or of materials or equipment submitted for approval prior to The Developer's purchase thereof for incorporation in the Work. The cost of all inspections, testing, re-testing and approvals in addition to the above which are required by the Contract Documents shall be paid by the Developer (unless otherwise specified). The City will conduct and pay for the conformance tests on materials ~B4-03.doc **DB4 Page 42 installed in-place, and the Developer shall pay for re-testing of all failing and non-conforming materials thereafter. 13.3.3. All inspections, tests or approvals other than those required by Laws or Regulations of any public body having jurisdiction shall be performed by professional firms or certified materials laboratories acceptable to the City. 13.3.4. If any Work (including the work of others) that is to be inspected, tested or approved is covered without written concurrence of the City, it must, be uncovered for observation. Such uncovering and testing when required by the City shall be at the Developer's expense. 13.3.5. Neither observations by the City nor inspections, tests or approvals by others shall relieve the Developer from the Developer's obligations to perform the Work in accordance with the Contract Documents. 13.4 Uncovering Work: 13.4.1. If any Work is covered contrary to the written request of the City it must, if requested by the City, be uncovered for the City's observation and replaced at the Developer's expense. 13.4.2. If the City considers it necessary or advisable that covered Work be observed by the City or ~nspected or tested by others, the Developer, at the Developer's re(l uest, shall uncover, expose or otherwise make available for observation, inspectio~ or testing as the City may require, that portion of the Work in question, furnishing all necessary labor, material and ecuipment. If it is found that such Work is Defective, the Developer shall bear all direct; indirect and consequential costs of such uncovering, exposure, observation, inspection and testing and of satisfactory reconstruction, (including but not limited to fees and charges of engineers, architects, attorneys and other ~)rofessionals), and the City shall be entitled to an appropriate decrease in the Contract Price. 13.5 City May Stop The Work: If the Work is defective, or the Developer fails to su ~)ply sufficient skilled workers or suitable materials or equipment, or fails to furnish or perform the Work in such a way that the completed Work will conform to the Contract Documents the City may order the Developer to stop the Work, or any portion thereof, until the cause for such order has been eliminated; however, this right of the City to stop the Work shall not g~ve rise to any duty on the part of the City to exercise this right for the benefit of the Developer or any other party. 13.6 Correction or Removal of Defective Work: If required by the City, the Developer shall promptly, as directed, either correct all Defective Work, whether or not fabricated, installed or completed, or, if the Work has been rejected by the City, remove it from the site and replace it with non-defective Work. The Developer shall bear all direct, indirect and consequential costs of such correction or removal (including but not limited to fees and charges of engineers, architects, attorneys and other professionals) made necessary thereby. ~B4-03.doc **DB4 Page 43 13.8 Acceptance of Defective Work: If, instead of requiring correction or removal and replacement of Defective Work, the City prefers to accept it, the City may do so. The Developer shall bear all direct, indirect and consequential costs attributable to the City's evaluation of and determination to accept such Defective Work. All accepted defective Work shall be subject to significant price reduction acceptable to the City. 13.9 City May Correct Defective Work: If the Developer failS within ten (10) consecutive calendar days after written notiCe of the City to proceed to correct and to correct Defective Work or to remove and replace rejected Work as required by the City in accordance with paragraph 13.6, or if the Developer fails to perform the Work in accordance with the Contract Documents, or if the Developer fails to comply with any other provision of the Contract Documents, the City may, after seven days' written notice to the Developer, correct and remedy any such deficiency. In exercising the rights and remedies under this paragraph the City shall proceed expeditiously to the extent necessary to complete corrective and remedial action. The City may exclude the Developer from all or part of the site, take possession of all or part of the Work, and suspend the Developer's services related thereto, take possession of the Developer's tools, appliances, construction equipment and machinery at the site and incorporate in the Work all materials and equipment stored at the site or for which the City has paid the Developer but which are stored elsewhere. The Developer shall allow the City, the City's representatives, agents and employees such access to the site as may be necessary to enable the City to exercise the rights and remedies under this paragraph. All direct, indirect and consequential costs of the City in exercising such rights and remedies will be charged against the Developer, and a Change Order will be issued by the City incorporating the necessary revisions in the Contract Price. Such direct, indirect and consequential costs will include but not be limited to fees and charges of engineers, architects, attorneys and other professionals, all court costs and all costs of repair and replacement of work of others destroyed or damaged by correction, removal or replacement of the Developer's Defective WOrk. The Developer shall not be allowed an extension of the Contract Time because of any delay in performance of the Work attributable to the exercise by the City of the City's rights and remedies hereUnder, except to the extent the City's actions have prevented the Developer from completing the Project in a timely manner. 13.10 Unauthorized Work: Work performed beyond the lines and grades on the Drawings or approved Design Documents, Construction Documents or Shop Drawings and extra work done without written authorization, will be considered as unauthorized work, and the Developer will receive no compensation therefore. If required by the City, unauthorized work will be remedied, removed, or replaced by the DevelOper at the Developer's expense. ARTICLE 14 PAYMENTS TO DEVELOPER AND COMPLETION ~B4-03.doc **DB4 Page 44 14.1 Determination of Work Value: The Work quantities recorded on the City's Daily Construction Log forms shall serve as the basis for preparation and justification of the progress payments. Payments to the Developer shall be prepared on the City's Progress Pay Estimate Form on account of Unit Price Work based on the number of units actually installed complete in place and transferred from the Daily Construction Logs. 14.2 Application for Progress Payment: 14.2.1.Progress payments shall be made once each month as ~the Work progresses, when the Developer is performing satisfactorily under the terms of the Contract Documents. Said payments shall be based upon progress estimates prepared by the City, of the value of work performed and materials placed in accordance with the Contract Documents and the value of materials on hand in accordance with this Part 2 Agreement. The amount of the progress estimate to be paid to the Developer shall be subject to the following: 14.2.1.1 STANDARD RETAINMENT. The City shall make a deduction from the progress estimate in the amount considered necessary to protect the interests of the City, pursuant to Section 24-91-103, CRS. That amount to be retained shall be as follows: (a) for contract price of less than $50,000 the retained amount shall be 10% of the value of the completed work; (b) for contract price between $50,000 to $1,000,000.00 the retained amount shall be 7% of the value of the completed work; and, (c) for contract price over $1,000,000.00 the retained amount shall be 5% of the value of the completed work. No further retainment shall be withheld if the Contractor makes satisfactory progress in the Contract Work. The amount retained shall be in effect until such time as final payment is made, with the following exceptions: a) Upon Substantial Completion, the City may reduce the retainment to fifty pement of the required retainage. In addition to standard retainment, the City shall withhold funds for claims against the Contractor filed by Subcontractors and Suppliers, pursuant to Section 38-26-107, CRS. b) Retainment shall apply to direct construction costs, and shall not apply to project soft costs including design services, permit fees, bonds and insurance premiums. 14.2.2. NO PAYMENT. A progress payment shall not be made when the total value of the work done since the last estimate amounts is less than $500.00. 1412.3. LUMP SUM ITEMS. All lump Sum Bid items shall be paid on a pro-rata basis determined by the percentage of the total Work completed or if the Bid item is installed or completed one hundred percent (100%) in place and accepted by the City. 14.2.4. SUBCONTRACTOR PAYMENTS. in addition to the other requirements regarding subcontracting the Work, the Developer is responsible for prompt payments to all Subcontractors. As a minimum, the Developer shall incorporate provisions in all subcontracts to satisfy the following requirements: ~B4-03.doc **DB4 Page 45 14.2.4.1. The Developer shall make payments to all Subcontractors at least once each month as the Work progresses, when the Subcontractor is performing satisfactorily under the terms of the Contract Documents between the Developer and Subcontractor; 14.2.4.2. Payments to Subcontractors shall be based on all moneys due the Subcontractor under the terms of the contract between the Developer and Subcontractor; The Developer shall make payments to Subcontractors within 10 days of receipt of the City's payment to the Developer; Subcontractors and lower tier Subcontractors shall make payments to their Subcontractors. according to the requirements above and shall make payments within 10 days of receipt of payment from the next higher tier. 14.3 Developer's Warranty of Title: The Developer warrants and guarantees that title to all Work, materials and equipment covered by any progress pay estimate approved for Payment, whether incorporated in the Project or not. will pass to the City no later than the time of payment free and clear of all Liens. 14.4 City's Review of Progress Payments, 14.4.1. The City's representative's recommendation of any payment requested in an Application for Payment will constitute a representation by the City's Representative to the City, based on the City's Representative's on-site observations of the Work in progress and on the City's Representative's review of the pay estimate form and the accompanying data and schedules that the Work has progressed to the point indicated; that to the best of the City's Representative's knowledge, information and belief, the quality of the Work is in accordance with the Contract Documents (subject to an evaluation of the Work as a functioning whole prior to or upon Substantial Completion, to the results of any subsequent tests called for in the Contract Documents, to a final determination of quantifies and classifications for Unit Price Work in the Bid Proposal form, and to any other qualifications stated in the recommendation); and that the Developer is entitled to payment of the amount recommended. However, by recommending any such payment the City's Representative will not thereby be deemed to have represented that exhaustive or continuous on-site inspections have been made to check the quality or the quantity of the Work beyond the responsibilities specifically assigned to the City's Representative in the Contract Documents or that there may not be other matters or issues between the parties that might entitle the Developer to be paid additionally by the City or the City to withhold payment to Developer. 14.4.2. The City's Representative may refuse to recommend the whole or any part of any payment if, in the City's Representative's opinion, it would be incorrect to make such representations to the City. The City's Representative may also refuse to recommend any such payment, or, because of subsequently discovered evidence or the results of subsequent inspections or tests, nullify any such payment previously recommended, to such extent as may be necessary in the City's Representative's opinion to protect the City from loss because: '14.4.2.1. The Work is Defective, or completed Work has been damaged requiring ~B4-03.doc **DB4 Page 46 correction or replacement; 14.4.2.2. The Contract Price has been reduced by Wdtten Amendment or Change Order; 14.4.2.3. The City has been required to correct Defective Work or complete Work in accordance with paragraph 13.9.; or, 14.4.2.4. Of the City's Representative's actual knowledge of the occurrence of any of the events enumerated in Article 15. The City may refuse to make payment of the full amount recommended by the City's Representative because claims have been made against the City on account of the Developer's performance or furnishing of the Work or Liens have been filed in connection with the Work or there are other items entitling the City to a set-off against the amount recommended, but the City must give the Developer immediate wdtten notice stating the reasons for such action. 14.5 Substantial Completion: 14.5.1. The date when the Work has progressed to the point where it can be utilized for the purposes for which it is intended, as evidenced by the issuance of a Certificate of Occupancy. 14.5.2. When the Developer considers the entire Work ready for its intended use, the Developer shall coordinate With the City an inspection of the Work and conduct such tests as required to ensure the Work meets or exceeds all Performance Standards to help determine the status of completion. If the City does not consider the Work Satisfactorily complete, the City shall notify the Developer in writing giving the reasons therefore. There shall be a Punch List of the items to be completed before final inspection and final payment At the time of delivery of the completed punch list items, the City must conduct a final inspection and upon acceptance by the City, the Developer shall deliver a fully executed Claim Release form to facilitate the project closure. 14.6 Partial Utilization: Use by the City of any finished part of the Work, which has specifically been identified in the Contract Documents, or which the City and the Developer agree constitutes a separately functioning and useable part of the Work that can be used by the City without significant interference with the Developer's performance of the remainder of the Work, may be accomplished prior to Final Completion of all the Work subject to the following: a) Prior to such use by the City, the City shal have made all applicable payments with respect to such portion of the Work desired to be used. The City shall be responsible for any damage sue to such' prior use prior to completion of the balance of the Project. 14.6.1. The City at any time may request the Developer in writing to permit the City to use any such part of the Work which the City believes to be ready for its intended use and substantially complete. If the Developer agrees, the Developer will certify to the City that said part of the Work is substantially complete. ~)B4-03.doc **DB4 Page 47 14. 7 Final Inspections: Upon written notice from the Developer that the entire Work or an agreed portion thereof is complete, the City will make a final inspection with the Developer and will notify the Developer in writing of all particulars in which this inspection reveals that the Work is incomplete or Defective. The Developer shall immediately take such measures as are necessary to remove and eliminate all such deficiencies. All deficiencies or incomplete Work items shall be recorded by the City Project Inspector on a Punch List Sheet(s) and distributed to the Developer and the City immediately. 14.8 Final Progress Payment: 14.8.1. After the Developer has completed all such corrections to the.satisfaction of the City and delivered all maintenance and operating instructions, schedules, guarantees, as-built documentation and other documents - all as required by the Contract Documents, and after the City has indicated that the Work is acceptable, the Developer shall deliver to the City a fully executed and notarized Claim Release Form and the City will advertise for project closure and release of the final retainment. The final pay estimate will consist of retainment amount only. Final payment will be released following a thirty (30) day waiting period from the date of the second publication of the advertisement for final settlement and closure if no verified claim has been filed with the City. 14.9 Settlement Date, Notice to Subcontractors, Acceptance and Final Payment: 14.9.1 If, on the basis of the City's observation of the Work during construction and final inspection, and the City's review of the final progress Payment and accompanying documentation - all as required by the Contract Documents, the City's Representative represents to the City that the Work has been completed and the City is satisfied that the Work has been completed and the Developer's other obligations under the Contract Documents have been fulfilled, the City shall cause to be published on two (2) consecutive weeks in the weekly editions of the Aspen Times, a public notice setting a final settlement date; which said settlement date shall be at least ten (10). days after the second publication. Said notice shall advise all persons, co-partnerships, associations of persons, companies, or corporations that have furnished labor, provisions, materials, team hire, sustenance, or other supplies used or consumed by Developer or his Subcontractor(s), that they may file a claim with the City, at any time up to and including the time of final settlement. Upon filing of any such claim, the City shall withhold from retainment withheld in accordance with the Contract Documents, to insure the payment of said claims until the same have been paid or such claims as filed have been withdrawn, such payment or withdrawal to be evidenced by filing with City a receipt in full or an order for withdrawal in writing and signed by the person filing such claim or his duly authorized agents or assigns. Such funds shall not be withheld longer than ninety days following the date fixed for final settlement as published unless an action is commenced within that time to enforce such unpaid claim and a notice of Lis Pendens is filed with the City. At the expiration of such ninety day period, the City shall pay to Developer such moneys and funds as are not subject of suit and Lis Pendens notices and shall retain thereafter, subject to the final outcome thereof, only such .balance of funds to insure the payment of judgments which may result from such suit. ~B4-03.doc **DB4 Page 48 14.9.2. If, the remaining balance to be held by the City for Work not fully completed or corrected is less than the retainage set forth at paragraph 14.2., and if Bonds have been furnished as required in Article 5, the written consent of the surety to the payment of the balance due for that portion of the Work fully completed and accepted shall be submitted by the Developer to the City. Such payment shall be made under the terms and conditions governing final payment, except that it shall not constitute a waiver of claims. 14,10 Developer's Continuing Obligation: The Developer's obligation to perform and complete the Work in accordance with the Contract Documents shall be absolute. Neither recommendation of any progress or final payment by the City, nor the issuance of a certificate of Substantial Completion, nor any payment by the City to the Developer under the Contract Documents, nor any act of acceptance by the City nor any failure to do so, nor any review and approval of a Shop Drawing or sample submission, nor the issuance of a notice of acceptability by the City's Representative pursuant to paragraph 14.9, nor any correction of Defective Work by the City will constitute an acceptance of Work not in accordance with the contract Documents or a release of the Developer's obligation to perform the Work in accordance with the Contract Documents. 14.11 I. iquidated Damages: 14.i 1.1. TIME FOR COMPLETION: It is hereby underStood and mutually agreed, by and between the Developer and the City, that the date of beginning Work and the time of completion as specified herein are essential conditions of the Agreement. The Developer agrees that said Work shall be prosecuted regularly, diligently, and at such rate of progress as will ensure completion within the time(s) specified. It is expressly understood and agreed, by and between the Developer and the City, that the time(s) for completion of the Work described herein are reasonable time(s) for the completion of the Work, taking into consideration the average climatic conditions prevailing in the locality of the Work. 14.11.2. TIME IS OF THE ESSENCE TQ THE AGREEMENT: It is further agreed that time is of the essence in completing the Work, and that the Project Work Schedule referenced in Article 6 - Developer's Responsibilities and the Submittal Schedule referenced at paragraph 6.5. and all dates set forth therein and where in the Contract Documents, an additional time is allowed for the completion of the Work, the new time limit fixed by such extension shall be of the essence of the Contract. 14.11.3. LIQUIDATED DAMAGES: Substantial Completion of the Construction Phase are of paramount importance to the City. If any portion of the Work is not completed in accordance with any time extensions granted by the City, the City will suffer damage, the extent of which will be impractical and extremely difficult to estimate accurately. Therefore, as part of the consideration for executing the Contract, it is hereby agreed that'the Developer shall pay to the City the amounts specified in the Liquidated Dama.qes Form included in the Contract Documents. This particular provision shall not be construed as a penalty upon said Developer for failing fully to complete said Work as agreed in the Proposal and Contract Documents nor is it intended, but as Liquidated Damages to compensate the City for all costs incurred as a result of such breach of Contract. ~B4-03.doc *'DB4 Page 49 14.11.4. DELAYS IN WORK COMPLETION OF CONSTRUCTION PHASE: Subject to the terms of "Excusable Delays", as contained in Section 14.11.6. of this Part 2 Agreement, Developer expressly agrees to pay the City as a reasonable estimate of just compensation for damages contemplated with the clause, the amount set forth in the Liquidated Damages Form for each consecutive calendar day that Substantial Completion is delayed in the Construction of the project. In no event shall the total amount of liquidated damages exceed twenty percent (20%) of the total Contract Price for the Construction. 14.11.5. DELAYS IN SUBMITTAL OF AS-BUILT DOCUMENTATION: Should the Developer fail to make delivery of the as-built documentation covered in the Contract Documents prior to release of the final payment, it shall pay liquidated damages to the City the amounts equal to preparation cost of the As-Built drawings by the City and its engineers and surveyors. 14.11.6. EXCUSABLE DELAYS - FORCE MAJEURE: If, by reason of Force Majeure, any party hereto shall be rendered unable wholly or in part to carry out its obligations under this Agreement then such party shall give notice and full particulars of such Force Majeure in writing to the other party within a reasonable time after occurrence of the event or cause relied upon, and the obligation of the party giving such notice, so far as it is affected by such Force Majeure, shall be suspended during the continuance of the liability then claimed, but for no longer period, and any such party shall remove or overcome such inability with all reasonable dispatch. The term Force Majeure as employed herein, shall mean acts of God, strikes, lockouts, or other industrial disturbances, acts of public enemy, orders of any kind of the Government of the United States or the State Of Colorado or any political subdivision, except the City, or any civil or military authority, insurrection, riots, epidemics, landslides, lightning, earthquakes, fires, hurricanes, storms, floods, washouts, droughts, arrests, restraint of government and people, civil disturbances, explosions, breakage or accidents to machinery, pipelines, or canals, or other causes not reasonably within the control of the party claiming such inability. It is understood and agreed that the settlement of strikes and lockouts shall be entirely within the discretion Of the party having the difficulty, and that the above requirement that any Force Majeure shall be remedied with all reasonable dispatch shall not require the settlement of strikes and lockouts by acceding to the demands of the opposing party or parties when such settlement is unfavorable to it in the judgment of the party having the difficulty. 14.11.7. CUMULATIVE REMEDY: The liquidated damages referred to herein are intended to be and are cumulative and shall be in addition to every other remedy now or hereafter enforceable at law, in equity, by statute, or under contract. ARTICLE 15 SUSPENSION OF WORK AND TERMINATION 15.1 City May Suspend Work: The City may, at any time and without cause, suspend the Work or any portion thereof for a period of not more than sixty days by notice in writing to the Developer and will fix the date on which work will be resumed. The Developer shall resume the Work on the date so fixed. The Developer shall be allowed an increase in the Contract Price or an extension of the Contract Time, or both if the Consecutive Calendar Days are used to complete the Work, directly attributable to any suspension if the Developer makes an approved claim therefor as provided in Article 11. Other Work ~B4-03.doc **DB4 Page 50 suspensions such as delayed start or phased construction shall not entitle the Developer to any compensation of payment or time. 15,2 City May Terminate: Upon the occurrence of any one or more of the following events: 15.2.1 .If the Developer commences a voluntary case under any chapter of the Bankruptcy Code (Title II, United States Code), as now or hereafter in effect, or if Developer takes any equivalent or similar action by filing a petition or otherwise under any other federal or state law in effect at such time relating to the bankruptcy or insolvency; 15.2.2.1f a petition is filed against Developer under any chapter of the Bankruptcy Code as now or hereafter in effect at the time of filing, or if a petition is filed seeking any such equivalent or similar relief against Developer under any other federal or state law in effect at the time relating to bankruptcy or insolvency and such petition is not discharqed within 60 days of the filing thereof; 15.2.3.1f the Developer makes a general assignment for the benefit of creditors; 15.2.4.1f a trustee, receiver, custodian or agent of Developer is appointed under applicable law or under contract, whose appointment or authority to take charge of property of Developer is for the purpose of enforcing a Lien against such property or for the purpose of general administration of such property for the benefit of Developer's creditors; 15.2.5.1f the Developer admits in writing an inability to pay its debts generally as they become due; 15.2.6.1f the Developer persistently fails to perform the Work in accordance with the Contract Documents (including but not limited to, failure to supply sufficient skilled workers or suitable materials or equipment or failure to adhere to the progress schedule established under paragraph 2.9 as revised from time to time); 15.2.7.1f the Developer disregards Laws or Regulations of any public body having jurisdiction; 15.2.8.1f the Developer disregards the authority of Architect; or, 15.2.9.1f the Developer otherwise violates in any substantial way any provisions of the Contract Documents: The City may, after giving the Developer (and the surety, if there be one) fifteen (15) days written notice and the opportunity to cure the default (or if the default of the Developer cannot be cured within fifteen (15) days, then such reasonable time necessary in order to cure the default) and to the extent permitted by Laws and Regulations, terminate the services of Developer, exclude the Developer from the site and take possession of the Work and of all the Developer's tools, appliances, construction equipment and machinery at the site and use the same to the full extent they could be used by the Developer (without liability to the Developer for trespass or conversion), ~B4-03.doc **DB4 Page 51 incorporate in the Work all materials and equipment stored at the site or for which the City has paid the Developer but which are stored elsewhere, and finish the Work as the City may deem expedient. In such case the Developer shall not be entitled to receive any further payment until the Work is finished. If the unpaid balance of the Contract Price exceeds the direct, indirect and consequential costs of completing the Work (including but not limited to fees and charges of engineers, architects, attorneys and other professionals and court and arbitration costs) such excess will be paid to the Developer. If such costs exceed such unpaid balance, the Developer shall pay the difference to the City. Such costs incurred by the City will be approved as to reasonableness by the City and incorporated in a Change Order, but when exercising any rights or remedies under this paragraph the City shall not be required to obtain the lowest price for the Work performed. 15.2.10. Where the Developer's services have been so terminated by the City, the termination will not affect any rights or remedies of the City against the Developer then existing or which may thereafter accrue. Any retention or payment of moneys due the Developer by the City will not release the Developer from liability. 15.2.11. Upon fifteen (15) days' written notice to the Developer, the City may, without cause and without prejudice to any other right or remedy, elect to abandon the Work and terminate the Contract. In such case, the Developer shall be paid for all Work executed and any expense sustained plus reasonable termination expenses. 15.3 Developer May Stop Work or Terminate: If, through no act or fault of the Developer, the Work is suspended for a period of more than Sixty days by the City or under an order of court or other public authority, then the Developer may, upon fifteen (15) days written notice to the City, terminate the Contract and recover from the City payment for all Work executed and installed in place and any expense sustained plus reasonable termination expenses. In addition, if the City defaults under the Contract Documents and remains in default for sixty (60) days after delivery of notice thereof from Developer without a cure having been made, then the Developer may upon written notice to the City terminate the Contract and recover from the City payment for all Work executed and installed in place and any expense sustained plus reasonable termination expenses. The provisions of this paragraph shall not relieve the Developer of the obligations under Article 6 to carry on the Work in accordance with the progress schedule and without delay during disputes and disagreements with the City. 15.4. Termination of Professional Design Services. ' P. rior to termination of the services of the Architect or any other design professional designated in this Part 2 Agreement, the Developer shall identify to the City in writing another architect or other design professional with respect to whom the City has no reasonable objection, who will provide the services originally to have been provided by the Architect or other design professional whose services are being terminated. ~B4-03.doc **DB4 Page 52 ARTICLE 16 MISCELLANEOUS 16. f Nondiscrimination During the performance of this Contract, the Developer agrees as follows: '16.1.1. The Developer will not discriminate against any employee or applicant for em~)loyment because of race, color, religion, sex, national origin, age, marital status, sexual orientation, being handicapped, a disadvantage~ person, or a disabled or Viet Nam era veteran. The Developer will take affirmative action to insure that applicants are employed, and that employees are treated during employment without regard to their race, color, religion, sex, national ongin, sex. age, sexual orientation, handicapped, a disadvantaged person, or a disabled or Viet Nam era veteran. Such action shall include, but not be limited to, the following: employment, upgrading, demotion or transfer; recruitment or recruitment advertising; layoff or termination; rates of pay or other forms of compensation; and selection for training, including apprenticeship. The Developer agrees to post in conspicuous places, available to employees and applicants for employment, notices to be pro- vided setting forth the previsions of this nondiscrimination clause. 16.1.2. The Developer, with regard to the Work performed by it during the Contract, shall not discriminate on the grounds of race, color, religion, sex, national origin, sexual orientation, age, marital status, being handicapped, a disadvantaged oerson, or a disabled or Vier Nam era veteran in the selection and retention of Subcontractors, including procurements of materials and leases of equipment. 16.1.3. The Developer will, in all solicitations or advertisements for employees placed by or on behalf of the Developer, state that all qualified applicants will receive consideration for employment without regard to race, color, religion, sex, national origin, sexual orientation, age, marital status, being handicapped, a disadvantaged person, or a disabled or Viet Nam era veteran. 16.1.4. In all solicitations either by competitive bidding or negotiation made by the Developer for work to be performed under a subcontract, including procurements of materials or leases of equipment, each potential Subcontractor or Supplier shall be notified by the Developer of the Subcontractor's obligations under this Contract and the regulations relative to nondiscrimination on the grounds of race, color, religion, sex, national origin, sexual orientation, age, marital status, being handicapped, a disadvantaged person, or a disabled or Vier Nam era veteran. 16.1.5. The Developer will send to each labor union or representative of workers, with which it has a collective bargaining agreement or other contract or understanding, a notice to be provided advising the said labor union or workers' representatives of the Developer's commitments under this section, and shall post copies of the notice in conspicuous places available to employees and applicants for employment. 16.2 Giving Notice: Whenever any provision of the Contract Documents requires the giving of written notice, it will be deemed to have been validly given if delivered in person to the individual or to a member of the ~B4-03.doc **DB4 Page 53 firm or to an officer of the corporation for whom it is intended, or if delivered at or sent by registered or certified mail, postage prepaid, to the last business address known to the giver of the notice. 16.3 Computation of Time: 16.3.1. When any period of time is referred to in the Contract Documents by days, it will be computed to exclude the first and include the last day of such period. If the last day of any such period falls on a Saturday or Sunday or on a day made a legal holiday by the law of the applicable jurisdiction, such day will be omitted from the computation. 16.3.2. A consecutive calendar day of twenty-four hours measured from midnight to the next midnight shall constitute a day. A working day is any day; Monday through Friday of each week, also called business day. 16.4 Generak Should the City or the Developer suffer injury or damage to person or property because of any error, omission or act of the other party or of any of the other party's employees or agents or others for whose acts the other party is legally liable, claim will be made in writing to the other party within a reasonable time of the first observance of such injury or damage. The provisions of this paragraph shall not be construed as a substitute for or a waiver of the provisions of any applicable statute of limitations or repose. 16.4.1. The duties and obligations imposed by this Part 2 Agreement and the dghts and remedies available hereunder to the parties hereto, and, in particular but without limitation, the warranties, guarantees and obligations imposed upon the Developer by this Part 2 Agreement, and all of the rights and remedies available to the City thereunder, are in addition to, and ara not to be construed in any way as a limitation of, any rights and remedies available to any or all of them which are otherwise imposed or available by Laws or Regulations, by special warranty or guarantee or by other provisions of the Contract Documents, and the provisions of this paragraph will be as effective as if repeated specifically'in the Contract Documents in connection with each particular duty, obligation, dght and remedy to which they apply: All representations, warranties and guarantees made in the Contract Documents will survive final payment and termination or completion of the Agreement. 16.5 Independent Contractor Status: It is expressly acknowledged and understood by the parties that nothing in this agreement shall result in, or be construed as establishing an employment relationship. The Developer shall be, and shall perform as, an independent the Developer who agrees to use his best efforts to provide the Work on behalf of the City. No agent, employee, or servant of the Developer shall be, or shall be deemed to be, the employee, agent or servant of the City. The City is interested only in the results obtained under the Contract Documents. The manner and means of conducting the Work are under the sole control of the Developer. None of the benefits provided by the City to its employees including, but not limited to, worker's compensation insurance and unemployment insurance, are available from the City to the employees, agents or servants of the Developer. The Developer shall be solely and entirely responsible for its acts and for the acts of the Developer's agents, employees, servants and Subcontractors during the performance of the Agreement. THE ~B4-03.doc **DB4 Page 54 DEVELOPER, AS AN INDEPENDENT DEVELOPER, SHALL NOT BE ENTITLED TO WORKERS' COMPENSATION BENEFITS AND SHALL BE OBLIGATED TO PAY FEDERAL AND STATE INCOME TAX ON ANY MONEYS EARNED PURSUANT TO THE AGREEMENT. 16.6 Prohibited Interest: No member, officer, or employee of the City of Aspen, Pitkin County or the Town of Snowmass Village shall have any interest, direct or indirect, in this Agreement or the proceeds thereof. · 16,7 Warranties Against Contingent Fees, Gratuities, Kickbacks and Conflict of Interest: The Developer warrants that no person or selling agency has been employed or retained to solicit or secure this Agreement upon an agreement or understanding for a commission, percentage, brokerage, or contingency fee, excepting bona fide employees or bona fide established commercial or selling agencies maintained by the Developer for the purpose of securing business. 16.7.1. The Developer agrees not to give any employee or former employee Of the City a gratuity or any offer of employment in connection with any decision, approval, disapproval, recommendation, preparation of any part of a program requirement or a purchase request, influencing the content of any specification or procurement standard, rendering of advice, investigation, auditing, or in any other advisory capacity in any proceeding or application, request for ruling, determination, claim or controversy, or other particular matter, pertaining to this Agreement or to any solicitation or proposal therefor. 16.7.2. It shall be a material breach of the Agreement for any payment, gratuity, or offer of employment to be made by or on behalf of a SubcOntractor under a contract to the prime Developer or higher tier Subcontractor or any person associated therewith, as an inducement for the award of a Subcontract or order. The Developer is prohibited from inducing, by any means, any person employed under this Agreement to give up any part of the compensation to which he/she is otherwise entitled. The Developer shall comply with all applicable local, state and federal "anti- kickback" statutes or regulations. 16.8 Payments Subject to Annual Appropriations: If the Agreement awarded extends beyond the calendar year, nothing herein shall be construed as an obligation by the City beyond any amounts that may be, from time to time, appropriated by the City on an annual basis. It is understood that payment under any Agreement is conditiOnal upon annual appropriation of funds by said governing body and that before providing services, the Developer, if it so requests, will be advised as to the status of funds appropriated for services or materials and shall not be obligated to provide services or materials for which funds have not been appropriated. 16.9 DeveloperAcceptance: 16.9~1. No action shall be maintained by Developer, its successors or assigns, against the City on any claims based upon or arising out of this Agreement or out of anything done in connection with this Agreement unless such action shall be commenced within 180 days after the date approval of the final progress payment hereunder, or within 180 days of the termination of this Agreement. ~B4-03.doc **DB4 Page 55 16.10 Successors and Assigns This Agreement and all of the covenants hereof shall inure to the benefit of and be bidding upon the City and the Developer respectively and their agents, representatives, employees, successors, assigns and legal representatives. Neither the City nor the Developer shall have the right to assign, transfer or sublet his or her interest or obligations hereunder without the written consent of the other party. 16.11 Third Parties This Agreement does not and shall not be deemed or construed to confer upon or grant to any third party or parties, except to parties to whom the Developer of the City may assign this Agreement in accordance with the specific written consent, any rights to claim damages or to bring suit, action or other proceeding against either the City or the Developer because of any breach hereof or because of any of the terms, covenants, agreements or conditions herein contained. 16.12 Waiver No waiver of default by either party of any terms, covenants or conditions hereof to be performed, kept and observed by the other party shall be construed, or operate as, a waiver of any subsequent default of any of the terms, covenants or conditions herein contained, to be performed, kept and observed by the other party. 16.13 ContraCt Made in Colorado The Parties agree that this Agreement was made in accordance with the laws of the State of Colorado and shall be so construed. Venue is agreed to be exclusively in the courts of Pitkin County, Colorado. 16.14 Attorney's Fees In the event that legal action is necessary to enforce any of the provisions of this Agreement, the prevailing party shall be entitled to its costs and reasonable attorney's fees. 16.15 Waiver of Presumption This Agreement was negotiated and reviewed through the mutual efforts of the parties hereto and the parties agree that no construction shall be made or presumption shall arise for or against either party based on any alleged unequal status of the parties in the negotiation, review or drafting of this Agreement. 16.16 Severability Clause: If any provision of the Agreement is subsequently declared by legislative or judicial authority to be unlawful, unenforceable, or not in accordance with applicable laws, statutes, and regulations of the United States of America or the State of Colorado, all other provisions of the Agreement shall remain in full force and effect. ~)B4-03.doc **DB4 Page 56 16.17 Audit and Records The Developer shall maintain all data and records pertinent to the Work performed under this Agreement, in accordance with generally accepted accounting principles, and shall preserve and make available all data and records until the expiration of three {3) years from the date of final payment under this Agreement, or for such longer period, if any, as is required by applicable statute or by other articles of the Contract Documents. The authorized representatives of the U.S. Department of Transportation, Comptroller General of the United States, the State of Colorado and the City shall have access to all such data and records for such time period to inspect, audit and make copies thereof during normal business hours. The Developer covenants and agrees that it shall require that any Subcontractor utilized in the performance of this Agreement shall permit the authorized representatives of the United States Department of Transportation, the State of Colorado, and the City, to similarly inspect and audit all data and records of said Subcontractors relating to the performance of said Subcontractors under this Agreement for the same time period. 16.18 Audit 16.18.1. COST OR PRICING DATA: If the Developer has submitted cost or pricing data in connection with the pricing of any modification to the Agreement, unless the pricing was based on adequate price competition, established catalog or market prices of commercial items sold in substantial quantities to the general public, or prices set by law or regulation, the City or a representative of the City shall have the right to examine and audit all books, records, documents. and other data of the Developer (including computations and projections) related to negotiating, pricing or performing the modification, in order to evaluate the accuracy, completeness, and currency of the cost and pricing data. In the case of pricing any modification, the authorized representatives of the U.S. Department of Transportation, and the State of Colorado shall have the same rights. 16.18.2. AVAILABILITY: The Developer shall make available at its offices at all reasonable times the materials described in the Contract Documents, for examination, audit, or reproduction, until three (3) years after final payment under the Agreement, or for any period, if any, as is required by applicable statute or by other articles of this Agreement. 16.18.3. If this Agreement is completely or partially terminated, the records relating to the Work terminated shall be made available for three years after any resulting final termination payment. 16.18.4. Records pertaining to appeals under the disputes clause or to litigation or the settlement of claims arising under or relating to the performance of this Agreement shall be made available until disposition of such appeals, litigation, or claims. his Agreement shall not be binding upon the City of Aspen unless duly executed by the ity Manager or the Mayor of the City of Aspen following a resolution of the Aspen City ouncil authorizing the City Manager or Mayor to execute the same. IN WITNESS WHEREOF, the parties agree hereto have executed this Part 2 Agreement on the date first above written. ATTESTED BY: CITY OF ,~,SI~EN~,COLORADO .~ Title: ~-4.~,-{ ¢V~&~/~¢~ ,~.~_.~ ENDED,,FOR APPROVAL: APPROVED AS TO FORM: '- / " / ~e~~'~ - ATTESTED BY: DEVELOPER: ASW BURLINGAME PARCEL, D LLC Note: CeAification of Incorporation shall be executed if Developer is a Corporation. If a paAnership, the Agreement shall be signed by a Principal a0d indicate title. ~B4-03.doc **DB4 Page 58 CERTIFICATE OF INCORPORATION (To be completed if Developer is a Corporation) STATE OF .) )ss. COUNTY OF ) On this day of ., 19 , before me appeared ., to me personally known, who, being by me first duly sworn, did say that s/he is of and that the seal affixed to said instrument is the corporate seal of said corporation, and that said instrument was signed and sealed in behalf of said corporation by authority of its board of directors, and said deponent acknowledged said instrument to be the free act and deed of said corporation. WITNESS MY HAND AND NOTARIAL SEAL the day and year in this certificate first above written. Notary Public Address My commission expires: ASW/agmr-aspPrt2-8-14 ~)B4-03.doc **DB4 Page 59 ~% ~ P293 Memorandum To: Mayor Klanderud and City Council City of Aspen, Colordao From: Ed Sadler. Assistant City Manager Troy Rayburn, Project Manager Steve Bossart, 7Project Manager Through: Steve Barwick, City Manager Date: August 25, 2003 RE: Burlingame Ranch Subdivision. Lot 3 '~ Accept or Deny Additional Project Rems * Approval Of Part II of Contract Summary / Previous Council Action: Ar~ached is the contract and information needed for Council to make it's fmal decisions on approving the Part II contract with ASW ro build the 40 units for Parcel D as approved by Council on August 5. Council will recall that the City's Developer. ASW Reality Parmers. and City Staff were to return to Council with two procedural steps that need to be completed: (1) re¥~ew and select those additional items to the project as proposed by ASW Realty; and (2) approval of ar~ached resolution author/zinc the Part II Ageement (Contract) Between City of Aspen and Developer. Staff has intentionally left blank the Contract' s amount for purposes of determining -- or the need to factor in -- those additional project items selected by the Council. Staff will add the Council's project additions to the Contract amount, ha addition, si~ematures will be obtained after a final. amount has been tabulated. Please note, that Staff w/ll confirm with the City'g Developer that the final amount is for 39 units, not Regarding number one noted above, please find enclosed in y >ur information packet a separate package of information from your Developer and/ts Development Team. Background Information: Under the "Discussion" section of this memorandum the City Council will review Staffs recommendations to the Developer's proposed additions. Staffs approach to accepting or denying the Developer's recommendati ~ns ts as follows: Approval - · If a City Department requested add/nons of the Developer then Staff is reclined to approve; or · If an unforeseen issue or problem arose then Staff is inclined to approve. P296 16. Add Bxposed B~ess Stair $15,000 Deny- Developer's responsibility. Developer should have reasonably anticipated. 17.1Kedesigm of Building A to Fit into Grading $ 7,500 Deny - Developer's responsibility. 18. Heating of garage Space $60,960 Deny - Developer's responsibility. Developer should have reasonably anticipated. 19. Add 2 Weeks for Winter Conditions ro Start Date $20,000 Accept - Roiling affect of 2 week delay in approval of Part ti of Contract. 20. Solar Hot Water Construction $ I44,000 Deny - Not cost effective. Would have to redesi~ the buildings' architectural design ro accommodate a solar system. Financial Implications: Staffs recommended additional kerns total $289,212.00 Additions - 1. Topsoil Stripping $23. 300 2. Rock Excavation Allowance $15,300 3. Additional gite Fill $29,650 4. Colored Concrete Bike Path $31,240 5. Green Building Points $38,370 6. Repair Asphalt Water Main $26,200 7. [ncrease Livable Space $29,227 8. Boulder Walls $38,000 9. Extension of Concrete Wails $31,525 10.Garbage Disposals $ 7,000 11 Winter Delay Cost 2 Weeks $20,00C TOTAL $289,212.00 If Council should except Grip Strut at $25,000 the revised total = $314,212.00. The sum of the selected additional project items will be added To the Contract's standing total ~minus the initial payment per Sec. 8.5.2. of Part l of the Contract and invoices for work performed). After Council reviewed and selected additional desig-n related additions on March 23, 2003, the standing total eq[mled $6,705,650.00 (Part I, Sec. 8.5.2). If CounciI went with just Staffs approvals, the project additions would revise the Contract amount to reflect $6.994,862.00. If Council should choose to add Grip Strut at $25,000 the revised Contract amount = $7,0 i9,862. P295 ?. > Exterior Slab on Grade 221,752 Deny - Developer's responsibility, Developer should have reasonably anticipa%ed. $. Repair Asphalt Concrete ar Water Main Tie-in thru BMC Further Deviation in Water Main ~26,200 Accept - Water Dept. desired route. Water Dept. has looked ar other alternatives and believes going through BMC West is the best alternative. 9. Transformer Phone?edestal Relocation ~ 5,000 Deny - Developer's responsibility. Dexeloper should have anticipated a pending issue relocating. 10. Increase Livable Space / Sq. ft. 229,227 Accept- Benefit to City customer or buyer. 11, Increase Site Boulder Walls Due to Redesig'n of Fire Truck Tram Around 238,000 Accept concept, but staff does not like solution. Developer needs a different solution. 12. Grip Strut Decking for Balconies 225,000 Den), - Staff understands that Council may warn m include due to very brief conversation from when Council reviewed and selected their Developers' first set of projec~ additions. 13. Extension of Concrete Walls to Undisturbed Suitable Soils Due to Top Soil Depth $31,525 Accept - Unforeseen cost 14. Garbage Disposals $ 7,000 Accept- Improves unk and customer / buyer satisfaction. 15. Add Individual Water Meter to Each Unit $67,000 Den), - Developer's Responsibility, required. P297 Conclusion / Recommendation: Approve Staft's recommended list totaling $289,212.00 for the 1 ] additional items noted above. City Manager's Comments: P~98 P~SOLUTION NO. ~ Series of 2003 A PdESOLUTION OF THB CITY OF ASPEN. COLORADO, APPROVING A PART 2 AGREEMENT BETWEEN THE CITY OF ASPEN, COLORADO, AND ASW BURLINGAM~ PARCEL D LLC, AND AUTHORIZING THE CITY MANAGER TO EXECUTE SAID DOCUMENT(S) ON BEHALF OF THE CITY OF ASPEN, COLORADO. WHEREAS, there has been submitted to the City Council a Part 2 A~eement between the City of Aspen, Colorado and ASW Burlingame Parcel D LLC, a copy of which contract is am~exed hereto and made a part thereof. NOW, WHEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF ASPEN, COLORADO: Section One That the City Council of the City of Aspen hereby approves apart 2 Agreement between the City of Aspen, Colorado and ASW Burtingame Parcel D LLC, a copy of which is annexed hereto and hncorporated herein, and does hereby authorize the City Manager of the City of Aspen To execute said contract on behal£ofthe City of Aspen. Dated: ,2003. Helen Kalin I<Janderud, Mayor I, Kathryn S. Koch, duly appointed and acting City Clerk do certify that the foregoing is a m~e and accurate copy of that resolution adopted by the City Council of the City of Aspen, Colorado, ar a meeting held ,2003. Kathryn S. Koch, City Clerk JPW-08, 04 2003~G John\word resos Burl~ngame-~arcel-D.doc P299 ASW Realty Partners Californ,a NewMex,co Colorado Ed Sadler. Assistant City Manager City of Aspen 130 S. Galena Street Aspen, CO 81611 8 - 15 - 03 Re: Bur]Lngame l~nch Lot 3 & McB~de Approval De~ Ed. ASW 1Kea]ity Paz~ers is pleased to advise you a~d the City Council that our development team members. Doug Oreybeal of COY Architects and Ricl-~-d Shaw of DWI, have met with. ][ohn McBride and the Airport Bnsiness Center Architecraral Review Board and obtained conditional approval of our Burlingame Ranch Lot 3 development plans. The conditions of approval will require modifmations to the current design and approved PUD Plan. The most signiScmat changes are the elimination of anupper dwelling unit on the north elevation of Building A, and a lim/tation oftbe building hei~at. Please see attached notice of approval for specific conditions. It will be necessary for CGY to redesign the architectural plans for Building A to reflect the ABC Architectural Review Board changes. Our stracturaI e%oineer will need to revise the stractural plans. DWI will need to revise the landscaping plans and prepare revised PUD Plan documems. RA Nelson will need to prepare revised budgets. These changes will cost a total o£ $25,300 to complete. These changes will reqmre your authorization as an Additional Service ~.mder section 1.4.1 of Part I :ontracr. According to section 1.4.1, we can not initiate these changes without your written authorization. 1120 Lincoln Suite 204 PO Box 770720 Steamboat Springs, CO 80477 -si: 970 871-93'66 · Fax: 9T0 871-9362 P300 In order for these revisions to have as little impact upon the consm~clion schedule as possible we are proposing ro proceed with the cun-ent architectural plans and PUD Plan approval for Bu21dings B and C. This will a!low us to obtain a building permit to begin N'adLng for the overal2 site work and begin fotmdations, and Buildings B and C. We wotfld prepare the revisions to the architectural plans and PUD documents to reflect McBride's changes to Building & gain the CommurEty Development Dept.'s approval of those plans, record them, and puL! a buildi2g permit for Building A. (Pre2minary indications from the Community Development Depamnem are that these changes to the PUD Plans wfI1 be handled administratively.) These revisions ,,viii also require a chaxtge m the Part 2 Contract. It is our desire to have Part 2 approved by the City Cotmcil reflecting the City Councils recent approval with an addendurn stating that Part 2 wit be modified to reflect the McBride changes (plans, budget, and schedtde~. Once the revisions are finalized we can then integrate them ~nto Part 2 Contract. Please authorize this Additional Service knmediateiy. Sincerely, Vince Hooper ~ P301 ASW Realty Partners California ewM × oo Ca o,aoc Helen Klandemd, Mayor City of Aspen 130 S. Galena St. Aspen, CO 81611 8- 18 - 03 P~e: Burlingame Ranch Lot 3 Affordable Housing Pm1 2 Contract Dear Mayor Klandemd, ASW Rezlity Partners, a]ong with our developmem mare members, would like to thank you and the City Council for approval of the Burlingame Ranch Lot 3 Pb~D Plan on Aug. 5, 2003. This approval has allowed us m proceed with the nex~ stages of the Burlingame Parcel D development. We are please to present to The City Council Part 2 of the Burlingame Lot 3 Contract. The Part 2 Contract is attached. We have spent the last several weeks reviewing the Contract with City staff and have recently obtaLned a~eement with the City staff on the attached Cofltract. We are presenting it ~o the City Council for finsfl approval and szgma~ure. There are a couple of additional components to the Contract that I would like to draw the Council's attention to. First is the revised schedule. As I advised you in our recen~ public heatings for the approval of the PUD, delays in gaimng approval of the pro['ect have required us ~o make revisions to the construction schedule. Our curren~ schedule anticip ares the start o f construction, 8 - 26 - 03. This is immediat ely after the approv aJ and si~img of the PmX 2 Contract. This later start date puts more of the work into winter months and winter conditions. 1/Vinter conditions will extend the completion date for the first building ~o be finished, Building C, to - - ~ - 04 for temporary C.O. The last building to be finished, Building A now has a ~emporary C.O. set for 9 - 28 - 04. The final project completion date is scheduled for 10 - 1 - 04. Ou~ previous schedule had a start date ors - 6 - 03, and a completion date of 8 - 30 - 04. This is a completion delay of approximately one month. 1120 Lincoln Suite 204 PO Box 770720 Steamboat Sorm§s CO 80477 Yeh 970 871-9366 · Fax: 970 871-9362 P302 The second additional component of the Contract is the budgeT. As you will see in the attached budget details, the cost of completing the development has increased. This increase reqmres an explanation. The purpose of separating our the proj eot into two p ar~s. Part 1 Contract, and Part 2 Contract, was in anticipation of refinements to both the design and thee budget. When the initial budget was prepared for Part i it was based upon Conceptual Plans. These plans are schematic in nature. The work perfonmed in Part 1 has permitted the desigh~ to be finalized so that the budget can be accurately determined. At each step of refining the design, we have been able to refine the budget. We have now come to the point where we can present a firm budget from which we are able to conmmit to completing the proj eot. Dming the design refinement process of Part 1 we have discovered areas in the desi~m2 in which we could save money. These savings have been program,'ned into the desitin. We have aisc discovered items that the constmcnon costs will be higher than originally estimated. In addition, there have been reqmremems placed upon the design through the review process which were not known at the Conceptual Plan. We have attached a report entitled Burlingame Affordable Housing Budget Variance 2-3-03 to 6-25-03 that details both these cost savings and the cost additions through our design refinement process. We have worked hard over the last several months to keep the City staff infonmed of our budget refinements. In the last severaI weeks we have been able to come to agreement with the staff' on almost all of our budget changes. As we have refined the budget, we have presented staff with ourjustifications as to why specific items are necessary. The staff has !greed with many of these items. Some items they have not. Of those that they have not, we have been able to accept their position on some. There have been some items which we feel strongly about and had not been able ~o accept the staffs position. In the last couple of days we have pushed hard on our development team to figure ont how to bridge the budget gap, We came to the conclusion that we are able to accep~ all of the City staffs on~nal recommendations except one. That one item was the rock excavation alIowance. We re-presented our justifications to the City staff. We are very pleased to say that today we have been able to reach an agreement with staff on this one renaming item. We have ageed to include a maximum of $15,000 for rock excavation as an additionaI budget item. Any unused portion of this $I5,000 will be returned to the City. The costs for the other items that we had previously requested as budget additions, but which staff has not agreed with, will be absorbed by the development team. 1[ have enclosed a regised c6st itemization and justificazions that fo=ned the basis for our discussions with City staff. We have taken the opportunity to omit those additional items which we have not gained the staff acceptance of and which we are absorbing. This report i~ entitled Preliminary Cost Increases from 2-03~03 Submittal Package. P303 I have also enclosed a revised budget summary, which is similar in fonanat to the Part 1 budget, for a quick and easy comparison between Pan 1 and Part 2 budgets. That summary is attached as Development Cost (August 15, 2003 .. We are prepared to explain each of these repons, as wel] as, discuss the justifications for each individual item with the City Council. However, recc gnizing the time involved in making such a presentation, it is our preference ro provide you with this detailed information as backyound and then focus on the single remgming ~ern necessary ro move forward. The conclusion is that we have reached a~eemenr with staff on all items and costs including the $15,000.00 for rock excavation. With the City Council's concurrence of the staff's recommendations and approval of these additional items, we are prepared to proceed with the Part 2 Contract and constr~ction activities. Therefore, we would respectfully request that the City Council approve the Part 2 Contract with the proposed schedule and budget as present herein. We look forward to meeting with yo~.~ on Aug. 25th ro explain our prop¢ sal as necessary, answer your ~nestions, and gain fingl approval of Part 2 Contract. Sincerely, Vince l-looper Part 2 Contract Construction Schedule Development Cost (August 15, 2003 Preliminary Cost Increases from 2-03-03 Submittal Package Burlingame Affordable Housing Budget Variance 2-3-03 to 6-25-03 P304 P307 Burlingam¢ P~anch Parcel D--Aspen Colozado Buildio9 Permit Fees 6 School hT ~act Fee -- 315 6 According to Denise with City ef Aspen 920-50901. (ne prolect is considered Subsidy) .33=7.88 x 40= $315.15 8/13/03 no road imeact fees v, ee essesee P306 Development Cost (August 15, 2003] Burl~ngam¢ Ranch Parcel D--Aspen Colorado Fatal Buager at Part I August 15. Contract 2003 ~evlsea Sienin¢] Budget ananc~ ~ta_rd Cost (RANA Subcontract' Site Devel¢ :mere (inmal suDm¢~a $ 723,000 $ 728.000 $ Below gradefTuckunder 2arking ~mt~al submittal 1,109 600 1.109.000 =inished Floor Area nitial submitta 2,404000 2 404,000 _anoscap~ng inc, Adc tional ltemsApproved byCounci Febrear72003 160.565 180,585 Changes aporoveo Dy Staff during Des ~n 327.812 327.612 Adlustmen~ for Final Bidding (conungency offset/ 241.392 241.392 Con[r, actor General Conditions OH & Profit 635,000 666,845 31.845 5 JOtOta~ ~aro Costs 5,031,565 5,632,414 600,849 ~Sofl 2osts ~rofess~ona/Fees: Architecture CGY subcontract Design Development 82.500 82.500 Construcuon Documents 132,500 132.500 Bid and Negouauor 5.000 5 000 Construction Obserca fion 50000 50,000 Plannin9 and Civil Engineering (Des 9n Workshoo subcomract~ Planning 7%000 71,000 Sun/eying 35.000 35,000 Civil Engineering 54,000 54 000 FieJd/Soil Invesbgatlor AllOWance 25000 25.000 Legal Review 25,000 25,000 Prolect Construction) Managemem 48,710 48,710 Bonos and Insurance" Allowance 175.000 375.000 200.000 Perm~m and Fees Allowance 220.038 265.000 44.962 o, eimbursable Expenses Allowance 25,000 25.000 Total Soft Costs 828,748 1 .t 73:71 o 244.962 Develooer Fee 487.100 487.100.00 Contingency 258,23? 14,699 (243,538/ Total Cost $ 6.708.650 $ 7.307.92~3 $ 602,273~ P3 ~_A. NELSON Preliminary Cost Increases from 2~03-03 S.bmitt~l Package P310 COTTLE GRAYBEAL YAW architects August 14 2003 Troy Rayburn Project Manager Burlingame Parcel D City of Aspen Troy, I was able to obtain approval from John McBride and The ABC Architectural Review Board for the Burlingame Parcel D project with the conditions noted in the attached fax from John McBride. John said he would send a letter to the City of Aspen incorporating that language granting approval The approval was granted with the removal of one unit. resulting m a total unit count of 39 Attached are the following: 1) Final Approval Language faxed to me from John McBride. which he said he would incorporate into his letter to the City of Aspen 2) John's initial letter to the City of Aspen stating his concerns. 3) My August 6, 220 letter to John Mc Bride responding to his questions per our phone conversations. 4) Color rendenng presented and approved by John McBride and the ABC Architectural Review Board. I will be available to answer any questions at the August 25th City of Aspen Council meeting. Please g~ve me a cai1 if.you have any questions. Sincerely, Principal ASPEN PostOff~ccDox529 ~asalr CO81621 wwwcgyarchitecrs.com //~Y ASPEN TELLURIDE VAIL [ I P311 The ABC Azch[t~cmT-A Review Board does hereby approve ~bar po~o:~, of "Parcel D' which is ]o~ted on ~C ~ven~ted I~d (~ Quest p~c~l) ~ sasubmiutd ~d red,signed on ~/12/03 by Doug ~aybeJ and ~c~d Shaw. Specific a~eemem~s ~cluded: aj L~dscaae: 5 new co~onwoods ~i be plated on ~e sou~ side of Vendor Aven~ ne~io ~ project. ~ey ~11 be a~ 1~ 1 1/2 c~p~ ~ 4~. '~ ~xis~g ~ong VenmOr ~l be repl~ted on ~e site Mong Venmoz, o~ moved elsewhers .~C if ~epl~fing on ~e site is mot f~s~ble. b) Eleva~on: Th~ ~edes~ed bull&ag A's firs~ ~mo~ t~ ~ac~s Veamor be at ~e s~e ~icvat~on as ~s Ero~d floor of B~lding 210 across ~e ~eet '~ 2' above that floor. To meet ~ height resection, unit A26 h~ been =Iim~nated. ti approved. ~so, approved {s ~s height ~ola~on of~ 27. 28, 29 where they 30', boca=se ~ey ~s sst back behind o~=r m~ts ~d some d{st~ca ~om Venmor. c) ~pp=~lc~ ~ Color: ~e new~o~ elavg~on ofB~ldin~ A is approved. [s o~ ~d~rst~ding ~at the siding colors ~11 be I~s the model w[fl~ a coupls of sage Nke ~eens or ~ays ~d aa accent red. ~e clad ~bndows ~Jl bca beige color, d) Roo5 W~le the Coven~rs c~ for black roo~ (simiI~ to o~er b~ld~gs ~ d,e ~C m~d ~e M~oon Creek Employee Hous~g] we ~1i cogent roa color lighter ~mn ~Be~dge Z~c ~rey' with co,gered ~sred me~ on ~e i2/12 ~r towers ~d balcony roofs for ~chitec~J relief It is presumed ~a~ ~ese ~o colars (or dmker) ~il1 be used ~roughout Ce whole project. If a lighter color is used on Buffings B&C 5~an O~e Be~idge Zinc Grey, ~hen Bufld~g A's roe'f will be black. ~: '-~ ..... Ali vents, ~cks ~d mech~cJ eqmpmem on the roofs must be p~nted s~ne color as ~e roofs ~hey ~e on. So too, ~e drip 5~ge om ~e ~cia shMI be roof color. e) P~kin~: It is ex~emely ~.pon~r to b~inesses on Venmor ~ha~ outdoor resident ~d gues~ p~king be cle~ly si~ed ~d enforce& ~ ~esr parking for B~I&ng A, at least, is much f~her a'way ~ 5~e coaveJen~ location of Building 210. P312 COTT~E GRAYBEAL YA~ A~gust6 ~00~ Mr. Ic hn McBride ? Aspen Business Center ~,~-~... 303 East viafc~x: 925-2704 ~'" '""~ -" Aspen, Zo 81611 ~"~ '-" ~"'~ Thank ) ou for ta~ng the time to discuss the concerns you expressed in'your August 4. 2003 letter [o the Aspen City Council in reg~d to the Buriingame Parcel D project. This ietter is to confirm the content and conclusions we reached during our discussion to ailow this project to move forward with your approval. Bo~ The City of Aspen and I understand the approval of the architectural review c~tree is required. I also understand you will be attendihg our meeung with the AABC design review co~rtee next Tuesda2 August 126~ at noon. The foliowi=g is a recount of our discussion, which cc aid be the used as a foundation for a memo,to the Cit~ ef , ~ allow for site grading, drainage and retention ponds We Mil work to elso discussed the o~don of loc~dng new Cottonwood trees ~Iong me ro~d to match the adjacent properties. We will study this option. B ~ ~ur quick analysis, it appears the road in front sf BuiIding 210 is at the  same elevation as the f~st floor on the portion of Bulldog A facing Ventnor. I understand from you that BuiIding 210 is higher than the road merefore this is nor an issue for you. We offered ro erect story poles for BuiIding A and in our latest conversation you felt that would not be necessary. Building '.A) The design of the project h~s evolved overtime as we worked our the Mnks. It  was necessary ro redesign the end of Building A facing Ventnor to accommodate grade changes and the internal garage. The unks in the lower level were redesi~ed creating the need ro relocate a unh (A26) on an upper level. While we maybe able to lower the roof over Unh A26 to be under ~e 30 feet height li~t k is your desire to rnrn the roof to slope the opposite directiofi per me model and el~nate this unit B) I understand that you ~e okay with me stair tower element adjacent to Unit A2~ being taller than the 30 feet height I[~t. With the efi~nation of Unit A26 this stak rower ma) be redttced ~ height. You have requested that t~s item be reviewed with the ~chkecmral review comrtee for final approval. C) We underst~d there is a desire t9 have the stair rower f~el more iight ~nd porous. ~_ ~.~ We desire this tower to be enclosed from the weather and the use of gross areas ivlr. lohn McBride Aagus~ 6. 2003 Page 2 within any openings :o achieve finis is okay with you Again, you have deferred final approval to the architectural revrew corm'm~ee. D) In regards to the number of balconies there are actually more balconies mom as snown on the model. This is no~ an issue for you. ~,, E] Wa will agree to install a dark color roof on the pornon of Building A that falls ~2~ under your covenanL As you ~xpl~n~d your cov~nam r~qnk~s a dark color roof because of your pr[~r approvals with PitOn County and th~ White Hors~ Spring H~m~owners, located abo~ your~ roj~ct, for dark co,or roofs so the build~ngs go away into the landscaping and ~do not interf~e ~vith air traf~c or views from F) W~ew alig~em ~s nor a concern ~er x G Guest paring will be signed, You are co~ortable with this solution. / H' Siding colors ~ili be si~lar to those shown on the modal. You ha~e agreed is appropna:s. We also discussed the window colors. Wa are cmxently showing ~ ( a white clad window because of the residential appe~ance and eas} ma~snanc~. Lighter color w[ndows will last longer in this climate and are not as hot to the touch as darker windows because of the raduc~ absor~ don of radfant hgat from the sun, If this is a concern please let me ~ow, I understand you would be happy with a beige color window because ~here are no wMte windows ~ the ~BC. I) We understand you deskre something other ~han skubs plated on Ventnor. We will :fy to reloca~e exisffng tree in this location and study the option of planting some Cottonwoods. The Cky nas made a co~tm~m to you to ~xplore your access reco~endafion. Yhank you for ~ our time. I hope this ktt~r does reject our conversations. If not please let me ~ow and ~ will make me appropriate modification In the spkk of ~low~ng us to connnue without any further ~uesdons or concerns I would request th[s 4ocument or a sh~lar document that clear states the agreement we will be reaching be produced and signed by you and I you again for your cooperation and warm welcoming to the neighborhood P~ncipa] 7314 To: The Cky Council FROM: John McBride DAT~; Augus: 5, 2003 Today, the ABC Architectura/Review Board met for the hz'st t/me to review the sire and the plans for Parcel D, which were submitted to us on July 15. Member~ of the Board who met included: EIJSe Bric~, Chris Ridings, J/m Petrie, John Galambos, Dick Byme, R/chard Seedorfand myself- 5 architects and 2 budders. The Bo~rd rea/izod they could review only one building as the rem of the project is outside the ABC: Concerns and issues e,'rpressed were as fo//ows. ~ Regarding the S.ite, x,Ve had to locate the building by Suesun~ras as there are no corner pins. Also, we had to try to envision the height as there are no story poles £or Building A. In any case, we reached a general coBsensus 0]2 a couple of issues- 2%) There are many beauttS, d trees on the North side of the site. We wofild like ro see them saved either in place or if they have ro be moved, placed along Venmor on the site. We will work with you ozz relocating. If there is no way to keep them there, we wiLl fred another location w/rhi~ the ABC. B) Since we cannot exactly determine the ~ound 15oor etevaSon, we would require that the lowest floor ofBu/Jdin§ A be no higher than 2' above the fLrst door of Building 210 wldch is r~ght across the streeL R_esardin~ the Bnildin~ Everyone was surprised to see that the plans for Building A were different f~orn the model Everyone liked the model better for sevaral reasons: It is lower; the roofs are broken up, the facade is more broken by thc hatconies, and Unit A2fi does not ex2st. ,~.. ASPEN BUSINESS CENTER · 303 E · ASPEN, CO 81611 - 970-925-2102 · FAX970-925-2104 P315 The sta/rwel/is also over 30' but perhaps k could stay ifi~ is made Hgh~, more porous: like a m/ne Tower - i.e. kind of a unique design element. Of course, it's b. eighr :s not necessary w/tiou~ A26, but architecn~rally k might serve ro bre~ up ~d ~prove a very long noCh facade, even if it were a li~e ~gher, B~co~es t~e on ~e ~odel wo~d help ~ well. The roof must be b]ack or yew d~k - nor rested met~. Vent, s~ac~ ~d ~l ~ech~ic~ eq~pment on tie roofm~ be p~ted ~e s~e color. W{ndows where possible sho~d ~ign over e~h o~er ve~c~y ~llie Bfickh~m0 The guest p~l~g for B~!ding A is no~ a~ B~I~ng A. I~ was very ~po~ to ~e Corm]nee ~g s~d p~ng be cle~Iy s{~ed so ~ ~esm nor p~k ar BuiI~g 210 or on Vendor. We understand and approve the siding marerlJ. Colors cmn be approved later. We request no wI0Jte clad windows or w~te f~ias. The p!~ show no l~ge ~ees on Venmor o~y s~bs. We wo~d t~e Aspen or couonwoods pt~ted ~ong Venmor (~ it is not possible ~o save ~d ~spI~t e~srmg ~ees on ~e site. Frei.y, everyone zelt ~at gene~ly ~d sooner ra~ar t'~s~ later some~g going to ~ve to be done to cream a bcucr ~cess at ~e sou~ end of~e _~C to Highway 82. 3 ~c:ss po~ coMd be ~d probably shoed be combined ~m one ~ ~e ~e. But ~at's for a later ~scnssion, ~so, ~e Bo~d felt it would mmke se~e ~ ~e ~e m fold ~e D) ~to ~e ~C ~d be ~der the. Cove~U for fu~e m~ten~ce, I~cape c~e, oh....by the way isn't there a better iden15_Ser than J'McB :jmr ~ P316 MEMORANDUM TO: MAYOR A2'~) COUNCIL THRU: ED SADLER. ASSET MANAGER FROM: STEVE BOSSART, ASSET - PROJECT MANAGER DATE: 31 JUL03 t:LE: Burlingame D - Design Development - Asset Department Review Summary: The selected developer team. ASW Realty Partners, through their architect, Cottle Greybeal Yaw, has presented design development (DD) level dra~vings and specifications for review. We've examined the drawings and specificatinns against the requirements outlined in the following: ASPEN AFORDABLE HOUSING BUILDING GUIDELINES trey 11/05/02- City of Aspen RESIDENTIAL DESIGN STANDARDS City of AsperfPitkin County Efficient Building Pro,am Checklist Background: The developer, under the current "developer model" plan, must provide a project meeting the above guidelines. ASW Real{y Parmers and their associates presented their concepmai design cormmitting to those requirements. Council eould make decisions confident that each finalist in the design competition was on an equal field Design development is the process whereby the design team can more thoroughly investigate the concept. Asset is responsible to CotmciI ro ensure our standards cominue ro be met. Discussion: We have performed a review consistent with the DD level. The methodology was to rewew the standards against the drawings and specifications. Following is list of questions. Some may be more evident at early Construction Drawing (CD) issues, once more dimensional information is provided. P317 The sit~, somewhat by its namr~ does not adhere to standards on pads, minimizing rszaming walls. Exterior private open space could not be fully determined Snowmelt is no~ included - however we have concerns that some roofs will shed and melt on and in shaded areas - gun,ers are ~cluded contra~ m the standards - the ~chitect/develop~r has m fact pu~ plug-~ns in many locations for fut~e snow- melt - we feel this need is guaranteed - this is a major variation ~om the desi~ ~d ~een standards Sola~ orientation of roofs in the approved AS~ plan was brougm ~o the attention of Council at the competition- roof slopes and orientation do not allow for effimem or economic solar installation - the developer has suggested yard concre[e pad installation Dimensional info~ation is not available to dete~ine compli~ce with unit and room sizes Exterior is a cementitious clapboard requiting paint - the st~d~ds call for Iow maintenance materials, ll]owing for painted wall s~faces if a color clad window is used - I believe the developer meem the st~d~ds but see co~ents belo~v The g~age, wi~ doors, is now presented as heated - the mechanical desirer is placing plumbing systems ~ough the garag~ space. The fire spfi~ler system in the g~age ~ea is desired as a wel system. These desi~ decisions. expedient economically today, are a v~afion ~om the desi~ and stand,ds. Also, some ffanua~ night, a garage door will fail to c~ose and the wa~er and spfi~ler lines will ~eeze ~d bre~. ~e developer has proposed a $50_000 contract additive change for elevators/lifts ~o comply with Building dep~men~ requirements. These requiremems, accordin~ ~o my conversations with our building officials, are no~ additions and ~e readily apparem in ali Codes ~d guidelines of the City of Aspen. including the Federal fair Housing Act. [NOTE: ~le this critique is raising some quesnc ns at this DD review, the developer uppers ~o be meeting the standards and guidelines in cther ~eas. ~e'lI conduc~ a review at ~ 50% CD tCons~ction Drawings) Ievel and report to you.] Financial Implications: Snowmelt on extefier reefs and the installation o~ gutters with snewmeIt is likely. This will result ~n ~gh epera~ng, maintenance, and replacement costs. A re~es~ to b~ng th~s back in m our ~een st~dards would be expensive. SoIar as a remo~e system wflI cas~ more whE a decrease in eYSc~ency. Exte~or painting will be reqmred ena five ~ seven ye~ bas~s ~+/-). 2 Addendum to Part 2 Agreement Between City of Aspen and Developer On Page 1, ~mder "For the following project:" Add to "Description: 40 one-bedroom affordable housing units" the following: "pursuant to City of Aspen_~City Council Ordinance No.36, Series of 2003 and the Final PUD Plans and Subdivision Plan as recorded with the Pitkin County Clerk and Recorder." P318 7he heated garage ~s proposed to add $61,000 to the construction budget. Energy usage and costs will be on going Count on periodic shut-down, demolition and reconstntction costs due to freezing (this could happen once every 20 years, or every 5 years - ir happened ro me on a prevmus project 2 months after apen/ng - then 5 months of repairs). Since elevators are required we will have armual maintenance and service costs. .Recommendation: Since the selected design has now progressed six months, massive changes are nor possible if the schedule is to be kept. But since this is the City of Aspen's 5rst projecr ~mder the new green ~fidelines, we should stick to those requirements. The roofs may be modified ro avoid snowmelt requiremems Active solar may not be feasible at ail Use an integral color siding to avoid future painting costs - however we should ail agree on an acceptable color - the design was selected heavily on its "traditional" appearance - a traditional stucco colorarion could be satisfactory The garage situation should be thoroughly reviewed. Heating space that is regularly opened to the outdoors is contrary ro our green desi~ requ~remems and philosophies. Building a system with extra mecharfical systems and exposed plumbing and fire sprinkler is nor wise. ]kIanager's Comments: Addendum to Part 2 Agreement Between City of Aspen and Developer On Page 1, under "For the following project:" Add to "Description: 40 one-bedroom affordable housing traits" the following: "pursuam to CiW. of Aspen, City Council Ordinance No.36, Series of 2003 and the Final PUD Plans and Subdivision Plan as recorded with the Pitk'm County Clerk and Recorder." P294 Deny- · If the Developer is required to include something that's stipulated in our building guidelines and did no,then Staff is inclined to deny; · if the Developer had been put-on-notice by Staff or Staff believes the Developer should have reasonably anticipated such an expenditure then Staff is reclined to deny: or · if the Developer added items ro the design which were meant ro facilitate design and were totally at the discretion of the Developer then Staff is inclined to deny. Discussion: Please see below ASW's proposed additions to the Project and Staffs recommendations: Addition Assoc. Cosl Staff Recommendation 1. Topsoil Stripping $23,000 Accept - Was not anticipated, unforeseen cost. 2. Rock Excavation Allo~vance $15,000 Accept - Conditioned on nor To exceed S15,O0( and if the m6ney is not needed the funds will be returned to the City. City previously warned Developer to factor in xvhat was encountered at North 40. Developer should have included in original proposal: 3. Additional Site Fill $29,650 Accept - But not mutually exclusive from gI. Developer should have combined into one item. 4. Colored Concrete Bike Path $31,240 Accept - City Parks' Dept. reqmrement 5. Add ADA Lifts to Each Bldg. $49,710 Deny- Developer's responsibility. ASW's reply to th~ City's official RFP states that, "the proposed design is in full compliance with ADA regulations." 6. Green Building Points $38,370 Accept - Currently ar 123 green building points. Goal = t30 poims..