000 - FINAL Specs - 2024-11-19.pdf

CITY OF RICHMOND, MICHIGAN

2024 BUILDING DEMOLITION

CONTRACT 2024-D-1

CONTRACT DOCUMENTS

Bidding Documents

Specifications

October 2024

City of Richmond Public Works Department

69129 Beebe Street Phone: (586) 727-7575 Fax: (586) 727-1815

Email: richmonddpw@comcast.net

INDEX

FRONT END DOCUMENTS

ADVERTISEMENT 1 PAGE

INSTRUCTIONS TO BIDDERS 4 PAGES

PRELIMINARY SCHEDULE 1 PAGE

PROPOSAL 4 PAGES

AGREEMENT 5 PAGES

INSURANCE 1 PAGE

NOTICE OF AWARD 1 PAGE

NOTICE TO PROCEED 1 PAGE

ACT 524 OF 1980 - RETAINAGE 4 PAGES

CERTIFICATE OF SUBSTANTIAL COMPLETION 2 PAGES

CERTIFICATE OF FINAL COMPLETION 2 PAGES

SPECIAL CONDITIONS 1 PAGE

SPECIAL PROVISIONS

SITE CLEARING 2 PAGES

STRUCTURE DEMOLITION 4 PAGES

ATTACHMENTS

LOCATION MAP 1 PAGE

BUILDING DETAILS 1 PAGE

SITE PHOTOS 6 PAGES

ASBESTOS INSPECTION REPORT 19 PAGES

DEMOLITION PERMIT 4 PAGES

EGLE ASBESTOS NOTIFICATION FORM 2 PAGES

ADVERTISEMENT

CONTRACT 2024-D-1

Sealed proposals will be received by the City of Richmond, Michigan, at the office of the City Clerk, 36725 Division Road, P.O. Box 457, Richmond, Michigan 48062, until 10:30 a.m. local time on Tuesday, February 4, 2025, and then publicly opened and read aloud, for the performance of Contract 2024-D-1.

The work consists of complete structure demolition of one (1) residential property. Restoration of the site will also be required. Public and Private utilities will be abandoned/terminated by the utility owner prior to demolition. Property details and color photographs of the project areas are located in the Specifications for Bidder’s reference.

Asbestos containing materials were identified on the property and all state and federal laws relating to removal and disposal of these materials must be followed.

Bids shall be on a lump sum basis.

Plans and specifications may be obtained through the Michigan Inter-Governmental Trade Network (MITN) at www.mitn.info. All addendums will be posted on the MITN website. Any information not obtained from the MITN website should not be relied upon. All bidders must be a Plan Holder of record.

Sealed bids marked “2024 BUILDING DEMOLITION” should be mailed to the Richmond City Clerk, 36725 Division Road, P.O. Box 457, Richmond, Michigan 48062, or hand delivered to the office of the City Clerk prior to the scheduled bid opening stated in this advertisement. Bids must be submitted on the forms included with the bidding documents.

The right is reserved by the Owner to accept any Proposal, to reject any or all Proposals, and to waive any and all irregularities in Proposals.

No bids may be withdrawn after the above date and time for receiving bids for a period of sixty (60) days.

The Owner shall not engage in unlawful discrimination on the basis of race, color, religion, national origin, age, sex, height, weight, marital status, unrelated handicap, or handicap subject to reasonable accommodation. Bids from minority and female owned organizations are encouraged.

Jim Goetzinger, P.E.

Public Service Director 586.727.7575

Instructions – Page 1 of 4

INSTRUCTIONS TO BIDDERS

SCOPE OF WORK

The work under this contract includes the furnishing of all labor, materials equipment and construction equipment necessary for performing the work described in the Advertisement, all complete and in accordance with the and Specifications.

CONTRACT DOCUMENTS

It is understood and agreed that the Advertisement, Instructions to Bidders, Proposal, Agreement, General Conditions, Scope of Work, Specifications, Addenda, and Change Orders issued by the Owner, and specifications and engineering data furnished by the Contractor and approved by the Owner, are each included in this Contract and the work shall be done in accordance therewith.

CONSTRUCTION CONDITIONS

It is required that each bidder will examine the Contract Documents for this work and make a personal examination of the site of the proposed work and its surroundings. It is also expected that he will obtain first-hand information concerning the available facilities for receiving, transporting, handling and storage construction equipment and materials and concerning other local conditions that may affect his work.

EXPERIENCE AND FINANCIAL STATEMENT

It is the intention of the Owner to award this contract to a bidder competent to perform and complete all work in a satisfactory manner. It is required by the Owner that each bidder under consideration shall submit a statement of his experience and financial status when requested by the Owner. The Owner will request this information from bidders under consideration immediately following the opening of the bids.

Each bidder shall be prepared to submit to the Owner the following notarize statements pertaining to his financial resources, adequacy of plant and equipment, organization, prior experience and other facts, as his qualifications to enter into contract with and to perform construction work for the Owner.

1. Organization: State legal title of organization, business address, and if a corporation, where incorporated. Give names of principal officers and capitalization, number of and positions held by supervisory employees and number of employees regularly employed.

2. Financial Resources: Furnish complete financial statement.

3. Equipment Owned: Give manufacturer’s name, description, size and/or capacity and age of each piece or article of major equipment.

4. Experience Record: Give names of parties and dates for which work has been done, general description of work and contract price of work performed.

NAME, ADDRESS AND LEGAL STATUS OF BIDDER

The name, and legal status of the bidder, that is, as a corporation, partnership, or an individual shall be stated in the Proposal. A corporation bidder shall name the state in which its articles of incorporation are held and must give the title of the official having authority, under the by-laws, to sign contracts. A partnership bidder shall give full names and addresses of all parties.

Anyone signing a Proposal as an agent of another or others must submit with his Proposal legal evidence of his authority to do so. The place of residence of the bidder, or the office address in the case of a firm or company, with county and state, must be given after his signature.

Instructions – Page 2 of 4

BID DEPOSITS

Each Proposal must be accompanied by a bid deposit in the amount and type as identified in the ADVERTISEMENT. Bonds shall be issued by a surety company authorized to do business in Michigan. The bid deposit is a guarantee on the part of the bidder that he will, if called upon to do so, enter into contract, in the attached form, to do the work covered by such Proposal, and at the prices stated therein and to furnish acceptable surety for its faithful and entire fulfillment. Such bidder’s deposit shall be made out to the Owner, and shall be subject to the conditions specified in the Proposal.

RETURN OF BIDDER’S DEPOSIT

The bid deposits of all except the two lowest bidders will be returned within three days after the opening of bids. The bid deposits of the two lowest bidders will be returned within 48 hours after the executed Contract and required bonds and insurance have been fully approved by the Owner or after rejection of all bids.

FORM OF PROPOSAL

All Proposals must be made and signed by the bidder on the form attached hereto.

All prices stated in the Proposal must be plainly written in legible words and figures using black ink or typed. Illegibility of any word or figure in the Proposal may be sufficient cause for rejection of the Proposal by the Owner.

Supplemental statements by the bidder written into the Proposal form or by letter modifying the terms of the base Proposal will be considered as irregular and will make the Proposal subject to rejection by the Owner.

Each Proposal must be enclosed in a sealed envelope plainly marked with the name and address of Bidder and labeled as follows:

Addressed to: Labeled as Proposal for:

City of Richmond, Michigan City of Richmond, Michigan 36725 Division Road 2024 Building Demolition P.O. Box 457 Contract 2024-D-1 Richmond, Michigan 48062-0457

BASIS OF PROPOSAL

Proposals are solicited on a lump sum basis as provided in the Proposal form.

INTERPRETATION OF CONTRACT DOCUMENTS

The Owner will not give verbal answers to any inquiries regarding the meaning of Drawings and Specifications, or verbal instructions prior to the award of the Contract. Any verbal statement regarding same by persons, prior to award, shall be unauthorized.

Any explanation desired by bidders must be requested of the Owner in writing not less than five

(5) days prior to the bidding date and, if explanation is necessary, a reply will be made in the form of an Addendum, a copy of which will be forwarded to each prospective bidder who has received a set of the Contract Documents and to such other interested parties as have requested that they be furnished with a copy of each Addendum.

Instructions – Page 3 of 4

All Addenda issued to bidders prior to date of receipt of bids shall become a part of the Contract Documents and all bids are to include the work therein described. Each Proposal submitted shall list all Addenda by numbers which have been received prior to time scheduled for receipt of bids.

INSURANCE

The Worker’s Compensation Insurance, Public Liability and Property Damage Insurance, in the amounts specified in the Agreement must be carried by the Contractor.

RIGHT TO ACCEPT, TO REJECT AND TO WAIVE DEFECTS

The Owner reserves the right to accept any Proposal, to reject any or all Proposals, and to waive defects or irregularities in any Proposal. In particular, any alteration, erasure or interlineation of the Contract Documents and of the form of Proposal shall render the accompanying Proposal irregular and subject to rejection by the Owner.

WITHDRAWAL OF BIDS

Any bidder who has submitted a Proposal to the Owner may withdraw his bid at any time prior to the scheduled time for the receipt of bids. No bidder may withdraw his bid after the time stated in the Advertisement for receiving bids, and his bid shall be firm and shall remain firm for a period of thirty (30) days thereafter.

TAXES

The Contractor shall pay all sales, use, and other taxes that are lawfully assessed against the Owner or Contractor in connection with the work included in this Contract.

AWARD AND EXECUTION OF CONTRACT

The Contract, if awarded, shall be awarded to the lowest responsive and responsible bidder on the basis of the lowest total sum of the extended unit prices for the items of work included in the Proposal. The Contract shall be deemed as having been awarded when formal Notice of Award shall have been duly served by the Owner upon the bidder.

Although it is impossible to list all the reasons a bidder may be disqualified as not responsive or not responsible, the following list provides some examples:

1. Evidence of collusion among bidders.

2. Lack of competency as revealed by records such as financial statement, statement of organization, experience record, or other information submitted.

3. Lack of responsibility shown by past work judged from the standpoint of workmanship and progress.

4. Uncompleted work under other contracts, which in the judgment of the Owner, might hinder or prevent the prompt completion of the work, if awarded.

5. Being in arrears on existing contracts, being in litigation with the Owner, or having defaulted on a previous contract.

Instructions – Page 4 of 4

6. Noncompliance with Instructions to Bidders or failure to accurately complete the entire Proposal package.

The bidder to whom the Contract shall have been awarded will be required to execute the Agreement on the form attached hereto and to furnish surety and insurance certificates all as required within ten (10) calendar days from the date when Notice of Award is delivered to the bidder. The Notice of Award shall be accompanied by the necessary contract and bond forms as required by the Agreement.

The Notice to Proceed shall be issued following the execution of the Agreement by the Owner.

TIME OF COMPLETION AND LIQUIDATED DAMAGES

The bidder’s attention is directed to the Time and Liquidated Damages articles in the Agreement.

SOIL EROSION AND SEDIMENTATION CONTROL

The Contractor shall make himself thoroughly familiar with the requirements of these Specifications in connection with prevention of soil erosion and sedimentation.

The Contractor will be responsible for erosion control during the life of the contract.

The cost of such control will be incidental to the work under this contract and costs will be included in applicable unit price items listed in the Proposal.

The Contractor shall designate a person who shall be responsible for soil erosion and sedimentation control during the life of the contract.

TRAFFIC CONTROL

The Contractor shall be responsible for traffic control during the life of the contract as required by the Specifications. The cost for traffic control shall be considered incidental to other items of work under this contract and shall be included in other unit prices listed in the Proposal.

PROGRESS PAYMENTS

Progress payments will be made in accordance with the schedule stated in the Proposal and Agreement.

NON-DISCRIMINATION PROVISIONS

The Contractor shall not discriminate against any employee or applicant for employment with respect to hire, tenure, terms, conditions, or privileges of employment, or a matter directly or indirectly related to employment, because of race, color, religion, national origin, age, sex, height, weight, marital status, or a handicap that is unrelated to the individual’s ability to perform the duties of a particular job or position, or a handicap that is subject to reasonable accommodation.

Also, the contractor shall place this covenant in any subcontract related to this project. Breach of the covenant in this Contract or any subcontract shall be regarded as a material breach of this Contract.

SUBMITTAL OF BID

Please note the data required to be submitted with the bid form.

1. N/A

Preliminary Schedule – Page 1 of 1

PRELIMINARY SCHEDULE

This schedule is provided as a preliminary project schedule and is subject to revision by the Owner.

Contract Advertised ........................................................................................................... January 8, 2025

Pre-bid Meeting .................................................................................................................................. None

Opening of Bids ............................................................................................... February 4, 2025, 10:30am

Tentative Award of Contract ............................................................................................... March 3, 2025

Tentative Start ...................................................................................................................... April 15, 2025

Contract Completion ............................................................................................................. June 15, 2025

Proposal – Page 1 of 4

PROPOSAL

TO: CITY OF RICHMOND, MICHIGAN

The undersigned Bidder proposes and agrees, if this Bid is accepted, to enter into an Agreement with OWNER in the form included in the Bidding Documents to perform all Work as specified or indicated in the Bidding Documents for the prices and within the times indicated in this Bid and in accordance with the other terms and conditions of the Bidding Documents.

Bidder has obtained and carefully studied (or assumes responsibility for having done so) all examinations, investigations, explorations, tests, studies and data concerning conditions (surface, subsurface and Underground Facilities) at or contiguous to the Site which may affect cost, progress, or performance of the Work or which relate to any aspect of the means, methods, techniques, sequences, and procedures of construction to be employed by Bidder, including applying the specific means, methods, techniques, sequences, and procedures of construction expressly required by the Bidding Documents to be employed by Bidder, and safety precautions and programs incident thereto. Bidder does not consider that any further examinations, investigations, explorations, tests, studies, or data are necessary for the determination of this Bid for performance of the Work at the price(s) bid and within the times and in accordance with the other terms and conditions of the Bidding Documents.

In preparation of this Bid, Bidder acknowledges that it will not discriminate against any employee or applicant for employment with respect to hire, tenure, conditions, or privileges of employment, or a matter directly or indirectly related to employment, because of race, color, religion, national origin, age, sex, height, weight, marital status, or a disability that can be reasonable accommodated. OWNER will require this covenant be placed in the Contract with any subcontractor employed in the performance of this Contract.

The undersigned, having familiarized themselves with the local conditions affecting the cost of the work, and with the Contract Documents, including Advertisement, Proposal, Agreement, and Specifications on file in the offices of the OWNER, hereby propose to perform everything required to be performed and to provide and furnish all labor, materials, necessary tools, expendable tools, expendable equipment, and all utility and transportation services necessary to perform and complete in a workmanlike manner all of the work required, all in accordance with the Specifications entitled:

CITY OF RICHMOND, MICHIGAN

2024 BUILDING DEMOLITION

Contract 2024-D-1 prepared by the City of Richmond, OWNER, including Addenda No’s ______, ______, ______, and ______, issued thereto, at and for the following named cost as set forth below:

Proposal – Page 2 of 4

Item Estimated No. Description Quantity Unit Price

Base Bid – 69271 N. Forest Ave

1. Structure Demolition, 69271 N. Forest Ave 1 Lump Sum $___________

The undersigned affirms that in making such proposal, neither he nor any company that he may represent, nor anyone in behalf of him or company, directly or indirectly, has entered into any combination, collusion, undertaking or agreement with any other bidder or bidders to maintain the prices of said work, or any compact to prevent any other bidder or bidders from bidding on said contract or work, and further affirms that such Proposal is made without regard of reference to any other bidder or Proposal and without any agreement or understanding or combination, either directly or indirectly, with any other person or persons with reference to such bidding in any way or manner whatsoever.

The undersigned hereby agrees that, if this foregoing Proposal shall be accepted by the said Owner, after receiving a Notice to Proceed from the Owner, he shall have all work completed on or before the date specified in the Agreement.

It is agreed that this bid may not be withdrawn for the period identified in the ADVERTISEMENT.

Bidder acknowledges that estimated quantities are not guaranteed, and are solely for the purpose of comparison of Bids, and final payment for all Unit Price Bid items will be based on actual quantities provided, determined as provided in the Contract Documents.

Bidder acknowledges that discrepancies between the multiplication of units of Work and unit prices will be resolved in favor of the unit prices. Discrepancies between the indicated sum of any column of figures and the correct sum thereof will be resolved in favor of the correct sum.

Discrepancies between words and figures will be resolved in favor of the words.

In submitting this bid it is understood that the right is reserved by the Owner to accept any Proposal, to reject any or all Proposals, and to waive any irregularities in Proposals.

Dated and signed at ____________________________, State of ________________________, this _______ day of _____________________, 2024.

Proposal – Page 3 of 4

If Bidder is:

An Individual

Name (typed or printed):

By: (SEAL)

(Individual’s signature)

Doing business as:

Business address:

Phone No.: FAX No.:

Email Address:

A Partnership

Partnership Name: (SEAL)

By:

(Signature of general partner -- attach evidence of authority to sign)

Name (typed or printed):

A Corporation

Corporation Name: (SEAL)

State of Incorporation:

Type (General Business, Professional, Service, Limited Liability):

By:

(Signature -- attach evidence of authority to sign)

Name (typed or printed):

Title:

Attest (Signature of Corporate Secretary)

Date of Qualification to do business is

Proposal – Page 4 of 4

A Joint Venture

Joint Venturer Name: (SEAL)

By:

(Signature of joint venture partner -- attach evidence of authority to sign)

Name (typed or printed):

Title:

Joint Venturer Name: (SEAL)

(Signature -- attach evidence of authority to sign)

Name (typed or printed):

Title:

Phone, FAX Number, Email and Mail Address for receipt of official communications:

(Each joint venturer must sign. The manner of signing for each individual, partnership, and corporation that is a party to the joint venture should be in the manner indicated above.)

END OF SECTION

Agreement – Page 1 of 5

THE AGREEMENT

AGREEMENT IS HEREBY MADE on this day of , 2025, between the City of Richmond, a Michigan Municipal Corporation, (hereinafter OWNER) and the independent contractor, (hereinafter CONTRACTOR) whose address is

The AGREEMENT is as follows:

I. WORK TO BE PERFORMED

CONTRACTOR will perform the following described work:

Everything required to be performed and to provide and furnish all labor, materials, necessary tools, expendable equipment and all utility and transportation services necessary to perform and complete in a workmanlike manner all of the work required, all in accordance with the proposal and specifications entitled:

II. TIME

It is agreed that the CONTRACTOR shall begin work under this AGREEMENT within 10 days of the NOTICE TO PROCEED.

The work shall be substantially completed on or before June 15, 2025, except as such time limits may be advanced in accordance with the provisions of Section XVIII herein. The time of beginning, rate of progress and date of completion are considered essential elements of the AGREEMENT.

The work shall be completed and ready for final payment on or before June 30, 2025.

III. TERMS OF PAYMENT

OWNER shall pay CONTRACTOR according to the following terms:

OWNER shall pay CONTRACTOR one lump sum payment following acceptance of work, in accordance with the PAYMENT section of the GENERAL CONDITIONS.

IV. FEDERAL, STATE AND LOCAL TAXES

Neither federal nor state income taxes, nor payroll taxes of any kind shall be withheld or paid by

OWNER on behalf of CONTRACTOR. Neither CONTRACTOR nor its employees shall be treated as employees of the OWNER with respect to the services performed under this AGREEMENT for any purposes, including federal or state taxes.

Agreement – Page 2 of 5

V. LIABILITY FOR EXPENSES, EQUIPMENT AND LABOR

OWNER shall not be liable to CONTRACTOR for any expense paid or incurred by

CONTRACTOR unless otherwise agreed in writing. CONTRACTOR shall supply, at its own expense, all equipment, tools, materials, labor and supplies necessary to perform this AGREEMENT, unless otherwise agreed in writing.

VI. NO AUTHORITY TO BIND OWNER

CONTRACTOR has no authority to enter into contracts or agreements that bind OWNER to any sub-contractors, employees, suppliers, or any party unless otherwise agreed in writing.

VII. TERMINATION FOR REASONABLE CAUSE

With reasonable cause, either party may terminate this AGREEMENT upon written notice of termination for cause. Reasonable cause shall include, but is not limited to:

1. Material violation of this AGREEMENT

2. Any act exposing the other party to liability to others for personal injury or property Damage.

VIII. DECLARATION OF COMPLIANCE WITH LAW REGARDING PERMITS AND

LICENSES

CONTRACTOR declares that CONTRACTOR has complied, or will comply, with all federal, state and local laws regarding business permits and licenses that may be required to carry out the work to be performed under this AGREEMENT.

IX. NON-WAIVER OF RIGHTS TO REMEDIES

The failure of either party to exercise any of its rights under this AGREEMENT upon breach thereof by the other party, shall not constitute a waiver of such rights or a waiver of any remedy.

X. OWNER NOT RESPONSIBLE FOR WORKER’S COMPENSATION

OWNER shall not be responsible for obtaining worker’s compensation insurance for

CONTRACTOR or its employees or sub-contractors. CONTRACTOR shall comply with the worker’s compensation laws of the State of Michigan.

XI. NON-DISCRIMINATION BY CONTRACTOR

CONTRACTOR shall not discriminate against an employee or applicant for employment with

Agreement – Page 3 of 5 respect to hire, tenure, wage, terms, conditions or privileges of employment, or a matter directly or indirectly related to employment because of race, color, religion, national origin, age, sex, height, weight, marital status, or a handicap unrelated to the individual’s ability to perform the duties of a particular job or position.

XII. NON-ASSIGNMENT

This AGREEMENT shall not be assigned by CONTRACTOR without written consent of

OWNER.

XIII. CHOICE OF LAW

Any dispute under or related to this AGREEMENT shall be decided in accordance with the laws of the State of Michigan.

XIV. HOW NOTICE SHALL BE GIVEN

Any notice given in connection with this AGREEMENT shall be given in writing and shall be delivered either by hand to the party or by certified mail, return requested, to the party at the party’s address stated herein.

XV. PERFORMANCE BOND

In lieu of providing a Performance Bond, Contractor agrees to indemnify and hold the Owner harmless for any default in performance of defect in workmanship. The Owner may assert all of its legal remedies in the event of breach or default and if found liable, the Contractor shall be responsible for all costs incurred by the Owner in securing performance, including but not limited to cost and attorney fees;

removal, repair and replacement costs; and any consequential damages assessed against or incurred by the Owner or indirectly related to the Contractor’s breach.

XVI. CONTRACTOR’S COMPREHENSIVE GENERAL LIABILITY INSURANCE

The CONTRACTOR shall procure and maintain Contractor’s Personal Injury Insurance, in an amount not less than $500,000 for injuries, including accidental death to each person; in an amount not less than $1,000,000 on account of each occurrence; and Contractor’s Property Damage Insurance in an amount not less than $500,000 for each occurrence, and $500,000 aggregate including completed Operations and Contractual Liability Coverage. CONTRACTOR shall procure a separate OCP policy per section 5.05 of the General Conditions.

The CONTRACTOR shall provide OWNER with evidence of such insurance prior to beginning any work under this AGREEMENT.

Agreement – Page 4 of 5

XVII. CONTRACTOR’S AUTOMOBILE BODILY INJURY AND PROPERTY INSURANCE

The CONTRACTOR shall procure and maintain Automobile Bodily Injury Insurance, in an amount not less than $500,000 for injuries, including accidental death to each person; in an amount not less than $1,000,000 for each occurrence; and property damage in an amount not less than $500,000 for each occurrence.

The CONTRACTOR shall provide OWNER with evidence of such insurance prior to beginning any work under this AGREEMENT.

XVIII. EXTENSION OF TIME

It is agreed that, if the CONTRACTOR shall be unavoidably delayed in the beginning or fulfilling this AGREEMENT by reason of excessive storms or floods, or by acts of Providence, or by general strikes, or by court jurisdiction, or by stopping of the work by the OWNER because of any emergency or public necessity, or by the actions of other contractors engaged in this program, or by reason of alterations ordered by the OWNER, the CONTRACTOR shall have no valid claim for damages on account of any cause or delay, but he shall in such case be entitled to such an extension or advancement of the time periods specified in Section I herein as the OWNER shall adjudge to be just and reasonable; provided however, that formal claim for such extension shall be made in writing by the CONTRACTOR within a week after the date upon which such alleged cause or delay shall have occurred.

XIX. LIQUIDATED DAMAGES

It is expressly covenanted and agreed that the time is and shall be considered of the essence of the

AGREEMENT. In the event that the CONTRACTOR shall fail in due performance of the entire work to be performed under this AGREEMENT, or to perform any certain portions thereof for which definite stipulations have agreed to, by and at the times herein mentioned and referred to in Section I, or within some other certain date subsequent to this to which the time limit for the completion of the work may have been advanced under the provisions of Section XVIII, the CONTRACTOR shall pay unto OWNER, as and for liquidated damages and not as penalty, the sum of One Hundred Dollars ($100.00) for each and every calendar day that the CONTRACTOR shall be in default. Said sum of One Hundred Dollars ($100.00) per day, in view of the difficulty of estimating such damages with exactness, is hereby expressly fixed and agreed upon as the damages which will be suffered by the OWNER for reason of such defaults.

It is also understood and agreed that the liquidated damages hereinbefore mentioned are in lieu of the actual damages arising from such breaches of the AGREEMENT, which said sums the OWNER shall have the right to deduct from any monies in its hands, otherwise due, or to become due, to the

CONTRACTOR.

It is understood that the foregoing provisions of this Section apply only in the situation in which the CONTRACTOR’S performance is completely satisfactory except for its failure to meet the specified completion deadlines. It is further understood and agreed that the foregoing provisions of this Section are without prejudice to any other right or remedy the OWNER may have under this AGREEMENT, at law, or in equity for any other breach.

Agreement – Page 5 of 5

XX. INDEMNIFICATION

The CONTRACTOR shall hold harmless from, and indemnify OWNER against, all claims, suits, actions, costs, counsel fees, expenses, damages, judgements or decrees by reason of any person or persons or property being damaged or injured by the acts or omissions of the CONTRACTOR or any person or entity employed by the CONTRACTOR.

XXI. ENTIRE AGREEMENT

This AGREEMENT, along with any notice to bidders, bid proposals, addenda, specifications and drawings constitute the entire agreement between the CONTRACTOR and OWNER for the project described in Section I. Any revisions or supplements to the AGREEMENT must be in writing and signed by both parties.

By signing this AGREEMENT, the undersigned individuals affirm that they are authorized by the OWNER and CONTRACTOR to sign on behalf of the respective parties.

(OWNER)

Attest: By:

Jim Goetzinger, P.E.

Public Service Director

(TITLE)

586.727.7575

TELEPHONE NO.

richmonddpw@comcast.net

EMAIL ADDRESS

(CONTRACTOR)

Attest: By:

(AUTHORIZED SIGNATURE)

(TITLE)

TELEPHONE NO.

EMAIL ADDRESS

Insurance – Page 1 of 1

INSURANCE

(Attach certificate(s) of insurance to this page)

Award – Page 1 of 1

NOTICE OF AWARD

To: Dated:

Project Description: 2024 BUILDING DEMOLITION - CONTRACT 2024-D-1

The OWNER has considered your BID dated for the above Contract.

You are hereby notified that your BID has been accepted for items listed in the PROPOSAL in the amounts shown in the PROPOSAL.

You are required by the INSTRUCTIONS TO BIDDERS to furnish the required Certificates of Insurance and to execute the Agreement. If you fail to execute said Agreement within ten (10) days from the date of this Notice, said OWNER will be entitled to consider all your rights arising out of the OWNER’S acceptance of your BID as abandoned and as a forfeiture of your BID SECURITY. The OWNER will be entitled to such other rights as may be granted by law.

You are required to return an acknowledged copy of this NOTICE OF AWARD to the OWNER.

CITY OF RICHMOND, MICHIGAN

(OWNER)

By:

Jim Goetzinger, P.E.

Public Service Director

ACKNOWLEDGEMENT OF ACCEPTANCE OF NOTICE OF AWARD

CONTRACTOR acknowledges receipt of this Notice of Award this day of , 2024.

Proceed – Page 1 of 1

NOTICE TO PROCEED

To: Dated:

Project Description: 2024 BUILDING DEMOLITION - CONTRACT 2024-D-1

You are hereby notified to commence WORK in accordance with the AGREEMENT dated , 2024, and you are to complete the WORK in accordance with the time periods listed in the AGREEMENT.

You are required to return an acknowledged copy of this NOTICE TO PROCEED to the OWNER.

(OWNER)

By:

Jim Goetzinger, P.E.

Public Services Director

ACKNOWLEDGEMENT OF ACCEPTANCE OF NOTICE TO PROCEED

CONTRACTOR acknowledges receipt of this Notice to Proceed this day of , 2024.

Act 524 – Page 1 of 4

CONSTRUCTION CONTRACTS WITH CERTAIN PUBLIC AGENCIES

Act 524 of 1980

AN ACT to provide for the terms of certain construction contracts with certain public agencies; to regulate the payment and retainage of payments on construction contracts with certain public agencies; and to provide for the resolution of certain disputes.

History: 1980, Act 524, Eff. Jan. 1, 1983.

The People of the State of Michigan enact:

125.1561 Definitions. [M.S.A. 5.2949(101)]

Sec. 1. As used in this act:

(a) “Agent” means the person or persons agreed to or selected by the contractor and the public agency pursuant to section 4(2).

(b) “Architect or professional engineer” means an architect or professional engineer licensed under Act No.

299 of the Public Acts of 1980, being sections 339.101 to 339.2601 of the Michigan Compiled Laws, and designated by a public agency in a construction contract to recommend progress payments.

(c) “Construction contract” or “contract” means a written agreement between a contractor and a public agency for the construction, alteration, demolition, or repair of a facility, other than a contract having a dollar value of less than $30,000.00 or a contract that provides for 3 or fewer payments.

(d) “Contract documents” means the construction contract; instructions to bidders; proposal; conditions of the contract; performance bond; labor and material bond; drawings; specifications; all addenda issued before execution of the construction contract and all modifications issued subsequently.

(e) “Contractor” means an individual, sole proprietorship, partnership, corporation, or joint venture, that is a party to a construction contract with a public agency.

(f) “Facility” means a building, utility, road, street, boulevard, parkway, bridge, ditch, drain, levee, dike, sewer, park, playground, or other structure or work that is paid for with public funds or a special assessment.

(g) “Progress payment” means a payment by a public agency to a contractor for work in place under the terms of a construction contract.

(h) “Public agency” means this state, or a county, city, township, village, assessment district, or other political subdivision, corporation, commission, agency, or authority created by law. However, public agency does not include the state transportation department, a school district, junior or community college, the Michigan state housing development authority created in Act No. 346 of the Public Acts of 1966, as amended, being sections

125.1401 to 125.1496 of the Michigan Compiled Laws, and a municipal electric utility or agency. “Assessment district” means the real property within a distinct area upon which special assessments are levied or imposed for the construction, reconstruction, betterment, replacement, or repair of a facility to be paid for by funds derived from those special assessments imposed or levied on the benefited real property.

(i) “Retainage” or “retained funds” means the amount withheld from a progress payment to a contractor pursuant to section 3.

125.1562 Construction contract; designation of person to submit written requests for progress payments; designation of person to whom requests for progress payments to be submitted; manner and times of submissions; deferring the processing of progress payments; payment of requested progress payment; failure of public agency to make timely progress payment; interest. [M.S.A. 5.2949(102)]

Sec. 2. (1) The construction contract shall designate a person representing the contractor who will submit written requests for progress payments, and a person representing the public agency to whom request for progress payments are to be submitted. The written requests for progress payments shall be submitted to the designated person in a manner and at such times as provided in the construction contract.

(2) The processing of progress payments by the public agency may be deferred by the public agency until work having a prior sequence, as provided in the contract documents, is in place and is approved.

Act 524 – Page 2 of 4

(3) Each progress payment requested, including reasonable interest if requested under subsection (4), shall be paid within 1 of the following time periods, whichever is later:

(a) Thirty days after the architect or professional engineer has certified to the public agency that work is in place in the portion of the facility covered by the applicable request for payment in accordance with the contract documents.

(b) Fifteen days after the public agency has received the funds with which to make the progress payment from a department or agency of the federal or state government, if any funds are to come from either of those sources.

(4) Upon failure of a public agency to make a timely progress payment pursuant to this section, the person designated to submit requests for progress payments may include reasonable interest on amounts past due in the next request for payment.

125.1563 Retaining portion of each progress payment to assure proper performance of construction contract; retainage; limitations; exceeding pro rata share of public agency's matching requirement;

commingling and deposit of retained funds; releasing to contractor retainage and interest earned on retainage; irrevocable letter of credit. [M.S.A. 5.2949(103)]

Sec. 3. (1) To assure proper performance of a construction contract by the contractor, a public agency may retain a portion of each progress payment otherwise due as provided in this section.

(2) The retainage shall be limited to the following:

(a) Not more than 10% of the dollar value of all work in place until work is 50% in place.

(b) After the work in 50% in place, additional retainage shall not be withheld unless the public agency determines that the contractor is not making satisfactory progress, or for other specific cause relating to the contractor's performance under the contract. If the public agency so determines, the public agency may retain not more than 10% of the dollar value of work more than 50% in place.

(3) The retained funds shall not exceed the pro rata share of the public agency's matching requirement under the construction contract and shall not be commingled with other funds of the public agency and shall be deposited in an interest bearing account in a regulated financial institution in this state wherein all such retained funds are kept by the public agency which shall account for both retainage and interest on each construction contract separately. A public agency is not required to deposit retained funds in an interest bearing account if the retained funds are to be provided under a state or federal grant and the retained funds have not been paid to the public agency.

(4) Except as provided in section 4(7) and (8), retainage and interest earned on retainage shall be released to a contractor together with the final progress payment.

(5) At any time after 94% of work under the contract is in place and at the request of the original contractor, the public agency shall release the retainage plus interest to the original contractor only if the original contractor provides to the public agency an irrevocable letter of credit in the amount of the retainage plus interest, issued by a bank authorized to do business in this state, containing terms mutually acceptable to the contractor and the public agency.

125.1564 Construction contract; agreement to submit matters described in subsection (3) to decision of agent; designation of agent; dispute resolution process; use; agent to receive pertinent information and provide opportunity for informal meeting; decision of agent to be final and binding; vacation of decision by circuit court; dispute resolution resulting in decision; final progress payment to original contractor where public agency contracts with subsequent contractor. [M.S.A. 5.2949(104)]

Sec. 4. (1) The construction contract shall contain an agreement to submit those matters described in subsection (3) to the decision of an agent at the option of the public agency.

(2) If a dispute regarding a matter described in subsection (3) arises, the contractor and the public agency shall designate an agent who has background, training, and experience in the construction of facilities similar to that which is the subject of the contract, as follows:

(a) In an agreement reached within 10 days after a dispute arises.

Act 524 – Page 3 of 4

(b) If an agreement cannot be reached within 10 days after a dispute arises, the public agency shall designate an agent who has background, training, and experience in the construction of facilities similar to that which is the subject of the contract and who is not an employee of the agency.

(3) The public agency may request dispute resolution by the agent regarding the following:

(a) At any time during the term of the contract, to determine whether there has been a delay for reasons that were within the control of the contractor, and the period of time that delay has been caused, continued, or aggravated by actions of the contractor.

(b) At any time after 94% of work under the contract is in place, whether there has been an unacceptable delay by the contractor in the performance of the remaining 6% of work under the contract. The agent shall consider the terms of the contract and the procedures normally followed in the industry and shall determine whether the delay was for failure to follow reasonable and prudent practices in the industry for completion of the project.

(4) This dispute resolution process shall be used only for the purpose of determining the rights of the parties to retained funds and interest earned on retained funds and is not intended to alter, abrogate, or limit any rights with respect to remedies that are available to enforce or compel performance of the terms of the contract by either party.

(5) The agent may request and shall receive all pertinent information from the parties and shall provide an opportunity for an informal meeting to receive comments, documents, and other relevant information in order to resolve the dispute. The agent shall determine the time, place, and procedure for the informal meeting. A written decision and reasons for the decision shall be given to the parties within 14 days after the meeting.

(6) The decision of the agent shall be final and binding upon all parties. Upon application of either party, the decision of the agent may be vacated by order of the circuit court only upon a finding by the court that the decision was procured by fraud, duress, or other illegal means.

(7) If the dispute resolution results in a decision:

(a) That there has been a delay as described in subsection (3)(a), all interest earned on retained funds during the period of delay shall become the property of the public agency.

(b) That there has been unacceptable delay as described in subsection (3)(b), the public agency may contract with a subsequent contractor to complete the remaining 6% of work under the contract, and interest earned on retained funds shall become the property of the public agency. A subsequent contractor under this subdivision shall be paid by the public agency from the following sources until each source is depleted, in the order listed below:

(i) The dollar value of the original contract, less the dollar value of funds already paid to the original contractor and the dollar value of work in place for which the original contractor has not received payment.

(ii) Retainage from the original contractor, or funds made available under a letter of credit provided under section 3(5).

(iii) Interest earned on retainage from the original contractor, or funds made available under a letter of credit provided under section 3(5).

(8) If the public agency contracts with a subsequent contractor as provided in subsection (7)(b), the final progress payment shall be payable to the original contractor within the time period specified in section 2(3). The amount of the final progress payment to the original contractor shall not include interest earned on retained funds.

The public agency may deduct from the final progress payment all expenses of contracting with the subsequent contractor. This act shall not impair the right of the public agency to bring an action or to otherwise enforce a performance bond to complete work under a construction contract.

125.1565 Construction contracts to which act applicable. [M.S.A. 5.2949(105)] Sec. 5. (1) Except as provided in subsection (2), this act shall apply only to a construction contract entered into after the effective date of this act.

(2) For a construction contract entered into before the effective date of this act, the provisions of this act may be implemented by a public agency, through a contract amendment, upon the written request of the contractor, with such consideration as the public agency considers adequate.

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125.1566 Effective date. [M.S.A. 5.2949(106)]

Sec. 6. This act shall take effect January 1, 1983.

Substantial Completion – Page 1 of 2

CERTIFICATE OF SUBSTANTIAL COMPLETION

Contract

Contract No.

Date Issued:

OWNER

CONTRACTOR

This Certificate of Substantial Completion applies to all Work under the Contract Documents or to the following specified parts thereof:

The Work to which this Certificate applies has been inspected by authorized representatives of OWNER, CONTRACTOR and ENGINEER, and that Work is hereby declared to be substantially complete in accordance with the Contract Documents on

DATE OF SUBSTANTIAL COMPLETION

A tentative list of items to be completed or corrected is attached hereto as Attachment No. A. This list may not be all-inclusive, and the failure to include an item in it does not alter the responsibility of CONTRACTOR to complete all the Work in accordance with the Contract Documents. The items in the tentative list shall be completed or corrected by CONTRACTOR within days of the above date of Substantial Completion.

The responsibilities between OWNER and CONTRACTOR for security, operation, safety, maintenance, heat, utilities, insurance and warranties and guarantees pending final payment shall be as follows:

OWNER: Shall perform and/or maintain insurances, if any, in accordance with Article 5 of the General Conditions, and allow CONTRACTOR reasonable access to complete or correct items on the tentative list. Additional responsibilities are:

Substantial Completion – Page 2 of 2

CONTRACTOR: Shall perform and/or maintain Site security, temporary facilities, Bonds and insurances in accordance with Article 5 of the General Conditions, and protect the Work.

Additional responsibilities are:

The following documents are attached to and made a part of this Certificate:

Attachment A: Tentative List of Items to be completed prior to Final Payment (Pages 1 to 1, inclusive).

This certificate does not constitute an acceptance of Work not in accordance with the Contract Documents nor is it a release of CONTRACTOR's obligation to complete the Work in accordance with the Contract Documents.

Executed by OWNER on Date

OWNER

Jim Goetzinger, Public Service Director

CONTRACTOR accepts this Certificate of Substantial Completion on Date

CONTRACTOR

(Authorized Signature)

Final Completion – Page 1 of 2

CERTIFICATE OF FINAL COMPLETION

Contract

Contract No.

Date Issued:

OWNER

CONTRACTOR

This Certificate of Final Completion applies to all Work under the Contract Documents or to the following specified parts thereof:

The Work to which this Certificate applies has been inspected by authorized representatives of OWNER, CONTRACTOR and ENGINEER, in accordance with Paragraph 14.06 of the General Conditions, and that Work is hereby declared to be finally complete in accordance with the Contract Documents on

DATE OF FINAL COMPLETION

CONTRACTOR's general warranty and guarantee period commences on and terminates on .

CONTRACTOR's special warranty and guarantee are:

warranty and guarantee period commences on and terminates warranty and guarantee period commences on and terminates

Final Completion – Page 2 of 2

This certificate does not constitute an acceptance of Work not in accordance with the Contract Documents nor is it a release of CONTRACTOR's obligation to correct defective Work in accordance with the General Conditions of the Contract Documents.

Executed by OWNER on

OWNER

Jim Goetzinger, Public Service Director

CONTRACTOR accepts this Certificate of Substantial Completion on

CONTRACTOR

(Authorized Signature)

Special Conditions – Page 1 of 1

SPECIAL CONDITIONS

1) Non-discrimination

The Contractor shall comply with the Elliott Larsen Civil Rights Act, 1976 PA 453, as amended, MCL 37.2101 et seq., the Persons with Disabilities Civil Rights Act, 1976 PA 220, as amended, MCL 37.1101 et seq., and all other federal, State, and local fair employment practices and equal opportunity laws. Contractor covenants that it shall not discriminate against any employee or applicant for employment, to be employed in the performance of this Contract, with respect to his or her hire, tenure, terms, conditions, or privileges of employment, or any matter directly or indirectly related to employment, because of his or her race, religion, color, national origin, age, sex, height, weight, marital status, or physical or mental disability that is unrelated to the individual’s ability to perform the duties of a particular job or position. The Contractor agrees to include in every subcontract entered into for the performance of this Contract this covenant not to discriminate in employment.