ADVERTISEMENT

INSTRUCTION TO BIDDERS

FORM OF BID

GENERAL AND SPECIAL CONDITIONS

CONSTRUCTION SPECIFICATIONS

FORM OF AGREEMENT

FORM OF BONDS

LIST OF CONTRACT DRAWINGS

ADDITIONAL DOCUMENTS

POCOPSON TOWNSHIP

CHESTER COUNTY, PENNSYLVANIA

ROUTE 52 & PARKERSVILLE RD IMPROVEMENTS

August 2026

PENNONI ASSOCIATES INC.

CONSULTING ENGINEERS

WEST CHESTER, PA 19380

www.pennoni.com

PROJECT NO. POCOP 26002 SET NO.

U:\Accounts\POCOP\POCOP26002 - Route 52 and Parkersville Improvements\RESOURCES\DRAFT SPECS\Contract General Conditions.doc

All documents prepared by Pennoni Associates are instruments of service in respect of the project. They are not intended or represented to be suitable for reuse by Owner or others on extensions of the Project or on any other project. Any reuse without written verification or adaptation by Pennoni Associates will be at Owner's sole risk and without liability or legal exposure to Pennoni Associates; and Owner shall indemnify, and hold harmless Pennoni Associates from all claims, damages, losses and expenses arising out of or resulting therefrom.

TABLE OF CONTENTS NO.

A - ADVERTISEMENT A-1

B - INSTRUCTIONS TO BIDDERS B-1

C - FORM OF BID C-1

D - FORM OF GUARANTY D-1

Statement of Bidder’s Qualifications D-2 to D-4

Certification of Non-Debarment/Suspension D-5 Certification of Non-Discrimination/Sexual Harassment D-6

E - GENERAL CONDITIONS

1. Definitions E-1

2. Other Contracts E-1

3. Sub-Contracts E-2

4. Mutual Responsibility of Contractors E-2

5. Fitting and Coordination of Work E-2

6. Superintendence by Contractors E-2

7. Permits, Licenses and Taxes E-2

8. Provisions Required by Law E-3

9. Protection of Work and Property E-3

10. Temporary Provision for Public Travel E-4

11. Shop Drawings E-4

12. Termination; Delays; and Liquidated Damages E-4

13. Inconsistent Specifications and Drawings E-5

14. Use of Premises E-6

15. Possession Prior to Completion E-6

16. Changes in the Work E-6

17. Claims for Extra cost E-8

18. Disputes E-8

19. Materials and Workmanship E-9

20. Samples, Certificates and Tests E-9

21. Changes in Equipment and/or Materials E-10

22. Patents E-10

23. Warranty of Title E-10

24. The Owner's Right to do Work E-11

25. The Owner's Right to Terminate Contract E-11

26. Damages E-11

27. Engineers Status E-12

28. No Estoppel or Waiver of Legal Rights E-12

29. Safety and Health Regulations (OSHA) E-13

30. Remedies E-13

31. Indemnification E-13

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PAGE

F - SPECIAL CONDITIONS NO.

1. Contract Security F-1

2. Contractor's Insurance F-1

3. Special Coverage Terms F-3

4. Progress Schedule F-4

5. Location of Utilities F-4

6. Inspection of Work F-4

7. Use of Explosives (DELETED) F-5

8. Night, Weekend and Holiday Work F-6

9. Payment to Contractor F-6

10. Correction of Work After Final Payment F-9

11. General Guaranty F-9

12. Office Space (DELETED) F-9

13. Sanitary Facilities F-9

14. Water F-9

15. Electricity F-9

16. Lines, Grades and Construction Surveying F-10

17. Contract Standards Act F-10

18. Rates of Wages F-11

19. Steel Products Procurement Act F-14

20. Act 287 F-14

21 Act 127 F-14

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G - CONSTRUCTION SPECIFICATIONS

01001 SPECIAL PROVISIONS

01010 CONTRACTORS WORK

01015 PRECONSTRUCTION SURVEY

01025 MEASUREMENT AND PAYMENT

01340 SHOP DRAWINGS, PRODUCT DATA AND SAMPLES

01700 PROJECT CLOSEOUT

02010 MAINTENANCE & PROTECTION OF TRAFFIC

02120 SOIL EROSION AND SEDIMENT CONTROL

02210 ROUGH GRADING

02260 FINISH GRADING

02547 SUPERPAVE ASPHALT MIXTURE DESIGN, HMA BINDER AND WEARING COURSE

02930 LAWNS AND GRASSES

H - FORM OF AGREEMENT H-1

CONTRACTORS RELEASE

STATEMENT OF SURETY

I - CONTRACT BOND I-1

FORM OF PERFORMANCE BOND

FORM OF LABOR AND MATERIALMEN'S BOND

FORM OF MAINTENANCE BOND

J – PUBLIC WORKS EMPLOYMENT VERIFICATION FORM J-1

K – NON-DISCRIMINATION/SEXUAL HARRASSMENT CLAUSE K-1

L - LIST OF CONTRACT DRAWINGS L-1

HIGHWAY OCCUPANCY PERMIT PLANS 14 SHEETS

ROUTE 52 & PARKERSVILLE IMPROVEMENTS

E&S PLAN T901 1 SHEET

PENNDOT HOP PERMIT NO. 06126764

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A. ADVERTISEMENT

POCOPSON TOWNSHIP

Sealed bids will be received through PennBid™ by Pocopson Township for Route 52 and

Parkersville Road Improvements until 10:00 AM, prevailing time, on the 21st day of August 2026, at which time and place they will be opened and the bid results posted on

PennBid™.

All documents and solicitation details are available online anytime at no cost at PennBid™

(www.pennbid.bonfirehub.com). Note, PennBid™ assesses a fee to the bidder who is issued the award. Click on the “Solicitations” and “View” tabs.

Each bid must be accompanied by a certified check or bid bond payable to the Owner in an amount of not less than ten percent (10%) of the bid or bids. Only bonds from companies licensed to do business in the State where the Owner is located will be accepted and the bond shall so state same.

This contract involves asphalt and concrete roadway removal, asphalt paving, pavement markings, and grass restoration.

The successful bidder shall furnish a performance bond and a separate labor and materials bond both in the amount of 100% of the contract.

Bids must be submitted unconditionally. No bidder may withdraw bid within SIXTY (60) days after the scheduled closing time for receipt of bids.

The Owner reserves the right to waive any informalities, or to reject any or all bids.

A-1

B-1

B. INSTRUCTIONS TO BIDDERS

1. BIDDER'S RESPONSIBILITY

Each bidder shall familiarize himself with all of the attached forms, Instructions, General

Conditions, Plans, Specifications, Drawings, et cetera (collectively “Contract Documents”), as he will be held responsible to fully comply therewith. Each bidder must visit the site of the work and acquaint himself with conditions affecting the work.

2. SUBMISSION OF BIDS:

Bids will be accepted online via the PennBID Program (www.pennbid.bonfirehub.com). It is the responsibility of the bidder to submit his bid prior to the time of opening. No bid shall be considered after the time set for the receipt of bids.

Bids shall be submitted on the electronic Form of Bid furnished at PennBID. Submission of paper bid forms by mail, hand-delivery, fax, e-mail or other method will not be accepted and shall not constitute a responsive bid.

3. ADDENDA:

The apparent three (3) low bidders shall be prepared to provide the original paper copy of all requested bid forms, including original signatures and seals within three (3) days of the bid opening to the offices of the Owner, if requested to do so by the Owner.

Bidders shall acknowledge receipt of all addenda which have been issued during period of bidding and agree that said bulletins shall become part of this contract.

4. BID GUARANTY:

Each Bid shall be accompanied by either a certified check or Surety Company's Bid Bond as specified herein under "ADVERTISEMENT", in an amount of not less than ten (10) percent of the base bid, which check or bond shall be payable to the Owner as payee or obligee, and shall be forfeited as liquidated damages if the bidder fails to execute the contract in conformity with the Agreement incorporated in the Contract Documents, and furnish bonds as specified, within ten (10) days after receipt of Contract Documents. Such checks or bid bonds will be returned, to all except the three lowest bidders immediately after the award, and the remaining unsuccessful bidders checks or bid bonds will be returned when the contracts executed by both parties are delivered to the successful bidder.

5. METHOD FOR SUBMITTING BIDS:

Sealed bids shall be accepted online at PennBID (www.pennbid.bonfirehub.com).

No bid will be considered unless submitted upon the electronic bid form for the project via

PennBID. The blank spaces in the bid form shall be filled in correctly, where indicated, for each and every item for which a description is given, and the bidder must state the prices for which he proposes to do each part of the work contemplated.

B-2

The bidder shall submit his signed bid electronically in addition to attaching the associated signed forms. Bidder shall answer all questions associated with the bid.

If bidder has been incorporated in some state other than Pennsylvania, bidder shall state whether the corporation is registered to do business in Pennsylvania. If bidder operates under an assumed or fictitious name, he shall state whether such name has been registered in Pennsylvania.

No contract will be awarded to a bidder who is a foreign corporation or operating under a fictitious or assumed name unless he has complied or agreed to comply with the proper registration under the laws of this Commonwealth.

6. PROOF OF BIDDER'S RESPONSIBILITY:

On request, bidder shall file an experience questionnaire and financial statement with the Owner.

The questionnaire and statement shall be certified to be true and correct by an affidavit sworn to or affirmed before a notary public, or other officer empowered to administer oaths or affirmations.

Upon request, bidder shall prove that he has liquid assets, available for the project upon which he is bidding in an amount equal to fifteen percentum (15%) of the first $100,000.00 of the amount of the bid plus ten percentum (10%) of the next $900,000.00 plus five percentum (5%) of the remainder of the bid.

None of the following will be considered as liquid assets:

(a) Capital Stock of the Contractor.

(b) Accounts receivable against which assignments have been made.

(c) Equity in real estate.

(d) Life Insurance.

(e) Reserve representing pre-payment of taxes or other expenses.

(f) Deposits held as security for other contracts.

(g) Capital of proposed sub-contractors.

In addition to the financial qualifications, the bidder may be required to prove to the satisfaction of the Owner that he has successfully completed a contract for similar work in an amount of not less than seventy-five percentum (75%) of the amount of the proposed contract.

The foregoing will guide the Owner in determining the responsibility of the bidder, but additional information may be requested by the Owner whenever in its judgment such information is necessary to determine the responsibility of the bidder.

B-3

7. CHANGES WHILE BIDDING:

During the bidding period, bidders may be furnished addenda or bulletins for additions to or alterations of the plans or specifications, if any, which shall be included in the work covered by the Bid and become a part of the contract documents.

If any prospective bidder on the proposed contract is in doubt as to the true meaning of any part of the plans, specifications or other proposed contract documents, he may submit to the

Engineer, electronically via PennBID, a written request for an interpretation thereof. The bidder submitting the request will be responsible for its prompt delivery. Any interpretation of the proposed documents will be made electronically by an addendum duly issued electronically at

PennBID. A copy of all questions and responses may be downloaded or viewed at any time by each registered bidder. The Engineer and/or Owner will not be responsible for any other explanations or interpretations of the proposed documents.

8. BID OPENING PROCEDURE:

Sealed bids on projects, will be received by the Owner via the PennBID Program until the time stated in the "Advertisement" at which time all bids will be publicly read at the Township Building. The Owner reserves the right to reject any or all bids, or parts thereof, as it may deem best for the interest of the Owner.

9. COLLUSIVE BIDS:

The bid of any bidder or bidders who engage in collusive bidding shall be rejected. Any bidder who submits more than one bid in such manner as to make it appear that the bids submitted are on a competitive basis from different parties shall be considered a collusive bidder. The Owner may reject the bid proposals of any collusive bidder upon bid opening. However, nothing in this section shall prevent a bidder from superseding a bid proposal by a subsequent bid delivered prior to bid opening which expressly revokes the previous bid.

10. WITHDRAWAL OF BIDS:

No bidder may withdraw his bid unless the request is made in writing and is received by the Owner prior to the time set for bid opening. After bid opening, no bidder may withdraw his bid within the time period indicated herein under "ADVERTISEMENT". Requests for withdrawal of bids after bid opening due to clerical error shall be made in accordance with Commonwealth of Pennsylvania Act. No. 4 (S.B. 793).

11. AWARD OF CONTRACT:

The Owner shall have the right to reject any or all bids or any parts thereof, or items therein. If an award of Contract is made, it will be made to the lowest responsible bidder, based on the Base Bid or any combination of the Base Bid and any of the selected Add Alternates within the time period indicated herein under “ADVERTISEMENT” or if not specified, within 60 days of the bid opening.

B-4

Thirty (30) day extensions of time may be made by the mutual written consent of the Owner and the lowest responsible bidder. If the lowest bidder withdraws his bid or refuses or fails to proceed according to the Contract Documents, the Owner shall have the right to award the

Contract to the next lowest responsible bidder or to reject all bids and re-bid the Project.

12. EXECUTION OF CONTRACT

The individual, firm or corporation to whom or to which the contract has been awarded within ten (10) days after receipt of said documents shall sign and return to the Owner, the contract documents and substitute for the certified check, or bid bond, which accompanied the bid, a contract bond or bonds in the penal sum at least equal to the amount of such contract, for the faithful performance of the contract, and also an additional bond for labor and materials, in the penal sum at least equal to the amount of such contract, to cover the prompt payment in full for all materials furnished and labor supplied or performed, executed by a surety company or companies qualified to do business in the state where bid and a maintenance bond in the amount stipulated herein under "SPECIAL CONDITIONS". Each such bond shall be on the form approved by the Owner’s Solicitor.

No bids or awards shall be considered binding upon the Owner unless and until the contract documents are properly executed by both parties.

13. FAILURE TO EXECUTE CONTRACT:

If the lowest responsible bidder to whom the contract is awarded fails to submit bonds or execute the contract within the time specified, the amount of the bid guaranty shall be paid to the Owner as liquidated damages. In such case the Owner, at his discretion, may award the contract to the next lowest responsible bidder, or reject all bids.

14. SUBLETTING OR ASSIGNING OF CONTRACT:

The Contractor shall not sublet, sell, transfer, assign or otherwise dispose of the contract or any portion thereof, of his right, title or interest therein, without the written consent of the Owner.

15. REJECTION OF BIDS:

The right is reserved by the Owner at its discretion to reject any or all bids or parts thereof. Bids may be rejected if they show any omission, alterations of form, addition or deductions not called for, conditional or uninvited alternate bids, or irregularities of any kind, or any other reason as the Owner shall determine. However, the Owner reserves the right to waive any defects or irregularities on bids.

B-5

16. SUB-SURFACE INFORMATION:

If a prospective bidder desires to make borings or soundings or to dig test pits at or near the site of the work he shall do so at his own expense subject to written approval of the Owner. Before making any excavations, borings or sounding or digging test pits the bidder shall check the records for any municipal, public utility, or privately owned structures that may be disturbed and notify the OWNER(s) of such structures forty-eight (48) hours in advance of starting work. In Pennsylvania, notification per PA One Call requires notice prior to start of work by calling

1-800-242-1776. Bidders must obtain OWNER’S or ENGINEER’S permission three (3) working days before making any borings and shall close bore holes and test pits.

C-1

THIS SET OF FORMS IS TO BE COMPLETED ELECTRONICALLY VIA PENNBID

C. FORM OF BID

TO: POCOPSON TOWNSHIP

664 S Wawaset Road

West Chester, PA 19382

Gentlemen:

This bid is submitted in accordance with your advertisement inviting bids to be received until 10:00

AM on the 21st day of August 2026 for:

ROUTE 52 & PARKERSVILLE ROAD IMPROVEMENTS

Having carefully examined the Contract Documents together with all Addenda or Bulletins, as prepared by the Engineers, and being familiar with the various conditions affecting the work, (including those under the General Conditions which provide for the payment of liquidated damages to the owner, hereafter set at $500.00 per calendar day, in the event that the contract is not completed within the allocated time). The undersigned agrees to furnish all labor, materials and equipment to construct and complete the project within Thirty (30) calendar days as set forth under the schedule outlined in Section 01001 of these specifications including all the necessary contract work, in accordance with said contract documents, for which the following units and/or lump sum prices are submitted.

By submission of this bid, the Contractor certifies that:

1. He has carefully examined the Contract documents, has examined carefully the site upon which the work is performed and has become familiar, by its own investigation, with the various conditions which may affect the performance of work.

2. He shall not at any time after the execution of this Contract set up any claims whatsoever based upon insufficient data or incorrectly assumed conditions, nor shall he claim any misunderstanding in regard to the nature, conditions or character of the work to be done under this Contract, and shall assume all risk resulting from any change in the conditions, which may occur during the progress of this work.

3. He assumes all risk as to the nature of the conditions in the area where work is to be performed under this Contract and any other unfavorable condition that may be encountered in the performance of that work. If a perspective bidder desires to obtain any information with regard to the worksite or conditions, the Owner will afford such perspective bidder the opportunity, at bidder’s own expense to make any such site visits, evaluations or determination of the conditions.

C-2

List of Electronic Copies of Documents to be Uploaded with Bid

____ Form of Bid (C-3 through C-7)

____ Bid Bond with Bonding Company Form

____ Form of Guaranty (D-1) PennBID only

____ Statement of Bidder’s Qualifications (D-2 through D-4)

____ Certification of Non-Debarment (D-5)

____ Prime Contractor

____ Subcontractor(s)

____ Suppliers

____ Acknowledgement of Nondiscrimination/Sexual Harassment Clause (D-6)

C-3

THE FOLLOWING BID SHEET IS FOR INFORMATIONAL PURPOSES ONLY.

ACTUAL BID SHEET IS POSTED ON THE PENNBID WEBSITE.

POCOPSON TOWNSHIP

ROUTE 52 & PARKERSVILLE ROAD IMPROVEMENTS

ITEM

NO. QUANTITY DESCRIPTION

UNIT

PRICE TOTAL

1 91 S.Y. Full Depth Removal; Asphalt and Concrete.

Price Complete, in place per square yard:

DOLLARS $ $

2 35 S.Y. Full Depth Asphalt Pavement. Price

Complete, in place per square yard:

3 900 S.F. Lawn Restoration, including Topsoil. Price

Complete, in place per square foot:

4 1 L.S. Pavement Markings and Signage. Price

Complete, in place, for the lump sum price of:

5 1 L.S. Erosion and Sedimentation Controls. Price

Complete, in place, for the lump sum price of:

BID

TOTAL

(ITEMS 1 THROUGH 5 BASED ON

ESTIMATED QUANTITIES)

D. FORM OF GUARANTY:

Information regarding the Form of Guaranty (Bid Form RFI) shall be entered online via the

PennBID Program (www.pennbid.bonfirehub.com)

D-1

(TO BE UPLOADED WITH BID)

STATEMENT OF BIDDER'S QUALIFICATIONS

All questions must be answered and the date given must be clear and comprehensive. This statement must be notarized. If necessary, questions may be answered on separate sheets. The Bidder may submit any additional information he desires.

1. Name of Bidder

2 . Permanent main office address

3 . When organized

4. If a corporation, where incorporated

5. How many years have you been engaged in improvements work of this type under your present firm or trade name?

6. Contract on hand: (Schedule these showing gross amount of each contract and the appropriate anticipated dates of completion).

7. General character of work performed by you

8 . Have you ever failed to complete any work awarded to you? If so, where and why?

9. Have you ever defaulted on a contract? If so, where and why?

10. List the more important contracts recently by you, stating approximate gross cost for each, and the month and year completed.

11. List your major equipment available for this contract.

D-2

12. Experience in improvement work similar in importance to this project.

13 Background and experience of the principal members of your organization, including the officers.

14. Give bank references and address.

15. Enclosed or attached is a detailed financial statement.

16. Will you, upon request, furnish any other information that may be required by the

17. The undersigned hereby authorizes and requests any person, firm or corporation to furnish any information requested by the in verification of the recitals comprising this Statement of Bidder's Qualifications.

Dated at this day of 20 __

Name of Bidder

D-3

By

Title

STATE OF )

) SS

COUNTY OF )

, being duly sworn, deposes and says that he is of

Name of Bidder’s Organization and that the answers to the foregoing questions and all statements therein contained are true and correct.

Subscribed and sworn to before me this ___________________ day of ___________________, 20___.

Notary Public

My Commission Expires :

D-4

(TO BE SUBMITTED WITH BID)

CERTIFICATION OF NON-DEBARMENT/SUSPENSION

CONTRACTOR, SUBCONTRACTOR & SUPPLIER

I, ___________________________________ as the ____________________________

(Name) (Title) of _______________________________________________________________ hereby certify

(Legal Company Name) that _______________________________________________________________ is neither currently or has been in the past under suspension or debarment by the Commonwealth of Pennsylvania or any governmental entity, instrumentality, or Authority.

By: _____________________________________ Witness:

(Name) (Name)

(Title) (Date)

(Date)

D-5

(TO BE SUBMITTED WITH BID)

CERTIFICATION OF NON-DISCRIMINATION/SEXUAL HARASSMENT

I, ___________________________________ as the ____________________________

(Name) (Title) of _______________________________________________________________ hereby certify that _______________________________________________________________ has read the

Nondiscrimination/Sexual Harassment Clause in Section L of the specifications and hereby agree to abide by all applicable Federal, State and Local Laws concerning nondiscrimination and sexual harassment.

By: _____________________________________ Witness:

(Name) (Name)

(Title) (Date)

(Date)

D-6

E. GENERAL CONDITIONS

1. DEFINITIONS:

The OWNER is the party referred to in the Advertisement and whenever the word Owner is used herein it shall refer to and designate the party of the first part of the contract contained herein.

The CONTRACTOR is the individual, group, partnership or corporation undertaking to do the work herein specified (including his or their heirs, legal representatives, successors or assigns) and is the party of second part of the contract contained herein.

The ENGINEER, the person, firm or corporation who is designated by the OWNER on the contract contained herein.

The CONTRACT DOCUMENTS consist of the Advertisement, Instructions to Bidders, Form of Bid, General and Special Conditions, Construction Specifications, Form of Agreement, Form of Bond, List of Contract Drawings, Standard Details and the plans.

A SUB-CONTRACTOR is an individual group, partnership or corporation, having a direct contract with the Contractor to furnish a special service, labor or material towards the completion for the Contractors contract.

An INSPECTOR is an authorized representative of the Engineers and/or Owner, assigned to inspect the work performed and the materials supplied by the Contractor as to compliance with the Contract

Documents.

The term WORK, used herein, includes all labor and/or materials, equipment and any other facilities necessary for the Contractor to complete the contract.

The term APPROVED, used herein, shall be held to mean as approved by the Engineer.

The term SUBSTANTIAL COMPLETION used herein shall be held to mean construction that is sufficiently completed in accordance with the Contract Documents and certified by the Engineer of the

Owner, as modified by change orders agreed to by the parties, so that a project can be used, occupied or operated for its intended use. In no event shall a project be certified as substantially complete until at least 90% of the work on the project is completed.

NOTICE shall be deemed to have been duly served if written and delivered in person to the individual, or to a member of the firm, or to an officer of the corporation for whom it is intended, or if delivered at or sent by registered mail to the last business address known to him who gives notice.

2. OTHER CONTRACTS

The Owner may award, or may have awarded other contracts for additional work, and the Contractor shall cooperate fully with such other Contractors, by scheduling his own work with that to be performed under other contracts as may be directed by the Owner. The Contractor shall not commit or permit any act which will interfere with the performance of work by any other Contractor as scheduled.

E-1

3. SUB-CONTRACTS

No part of the contract shall be sublet without the prior written approval of the Owner and setting forth requirements to be met.

4. MUTUAL RESPONSIBILITY OF CONTRACTORS

If, through acts or neglect on the part of the Contractor, any other Contractors, or any subcontractor, shall suffer loss or damage on the work, the Contractor shall settle with such other

Contractor or subcontractor by agreement or arbitration, if such other Contractor or subcontractor will so settle. If such other Contractor, or subcontractor shall assert any claim against the Owner on account of any damage alleged to have been so sustained, the Owner will notify this Contractor, who shall defend at his own expense any suit based upon such claim and, if any judgment or claims against the Owner shall be allowed, the Contractor shall pay or satisfy such judgment or claim and pay all costs and expenses in connection therewith.

5. FITTING AND COORDINATION OF WORK

The Contractor shall be responsible for the proper fitting of all work and for the coordination of the operations of all trades, subcontractors, or materialmen engaged upon this contract. He shall be prepared to guarantee to each of his subcontractors the locations and measurements which they may require for the fitting of their work to all surrounding work.

6. SUPERINTENDENCE BY CONTRACTOR

At all times during which work is being performed under or affecting this contract, the

Contractor shall keep a competent superintendent acceptable to the Engineer constantly on the site from the commencement of work under this contract until the completion thereof, who shall be constantly in touch with work and in all interlocking contracts affected thereby. The superintendent shall, in the absence of the Contractor, see that the instructions of the Engineer are carried out and all directions given such superintendent shall be as binding as if given to the Contractor.

7. PERMITS, LICENSES AND TAXES

The Contractor shall give all notice required by and comply with all applicable laws, ordinances, and codes of the Local Government, all construction work and/or utility installations shall comply with all applicable ordinances, and codes including all written waivers. Before installing any work, the Contractor shall examine the Drawing and Detail Specifications for compliance with applicable ordinances and codes and shall immediately report any discrepancy to the Owner. Where the requirements of the Drawings and Detail Specifications fail to comply with such applicable ordinances or codes, the Owner will adjust the Contract by Change Order to conform to such ordinances or codes (unless waivers in writing covering the difference have been granted by the governing body or department) and make appropriate adjustment in the

Contract Price or stipulated unit prices.

E-2

Should the Contractor fail to observe the foregoing provisions and proceed with the construction and/or install any utility varying with any applicable Ordinance or code, including any written waivers (not withstanding the fact that such installation is in compliance with the Drawings and

Detail Specifications) the Contractor shall remove such work without cost to the Owner.

The Contractor shall at his own expense, secure and pay to the appropriate department of the

Local Government the fees, or charges for all permits required by the local regulatory body or any of its agencies.

Permits for the opening and/or occupation of Township or Borough roads shall be obtained by the Contractor and State Highway permits shall be obtained by the Owner. However, all inspection fees and/or any other charges shall be borne by the Contractor, whether same is billed directly to him or to the Owner. Should any such bill be left unpaid by the Contractor, the Owner shall be empowered to pay such bills and the cost thereof deducted from any monies due or to become due the Contractor.

Whenever the proposed construction requires a sales, consumers use, or other similar tax, the contractor shall pay for same.

8. PROVISIONS REQUIRED BY LAW

Each and every provision of law and clause required by law to be inserted in this Contract shall be deemed to be inserted herein and the Contract shall be read and enforced as though it were included herein; and, if through mistake or otherwise, any such provision is not inserted or is not correctly inserted, then upon the application of either party the Contract shall forthwith be physically amended to make such insertion.

9. PROTECTION OF WORK AND PROPERTY

The Contractor shall provide adequate protection against injury or loss arising in connection with this contract for all his work and the property of the Owner. He shall make good any such damage, injury or loss, except such as may be due directly to errors in the drawings or specifications or caused by agents or employees of the Owner. He shall adequately protect adjacent property as provided by law and the specifications and drawings. He shall provide facilities for protection required by public authority or local conditions as passageways, guard fences, lights, etc.

The Contractor shall preserve and protect all trees, shrubs and grass on or adjacent to the site which do not reasonably interfere with the construction as may be determined by the Engineer and the Contractor shall be responsible for all unauthorized cutting or damaging or trees and shrubs, including damage due to careless operation of equipment, stockpiling of materials or tracking of grass areas by equipment. The Contractor shall remove only those trees designated by the Engineer to be removed.

E-3

10. TEMPORARY PROVISION FOR PUBLIC TRAVEL

The Contractor shall perform his work in such a manner as to interfere as little as possible with the use of intersecting roads or adjoining property. No excavation shall be left open or other obstruction allowed to remain longer than is absolutely necessary; and the Contractor shall provide all safeguards and temporary passageways that may be necessary for the convenience and protection of all persons using said property either day or night.

11. SHOP DRAWINGS

The Contractor shall check and verify all field measurements and shall submit with such promptness as to cause no delay in his own work or in that of any other Contractor, three copies, checked and approved by him, of all shop or setting drawings and schedules required for the work of the various trades. The Engineers shall review, with reasonable promptness, such schedules and drawings only for conformance with the design concept of the Project and compliance with the information given in the Contract Documents. The Contractor shall make any corrections required by the Engineers, file with him two copies and furnish such other copies as may be needed. The Engineers' review of such drawings or schedules shall not relieve the

Contractor from responsibility for deviations from Drawings or Specifications, unless he has in writing called the Engineers' attention to such deviations at the time of submission, and secured his written approval, nor shall it relieve him from responsibility for errors in shop drawings or schedules.

12. TERMINATION; DELAYS; LIQUIDATED DAMAGES

If the Contractor refuses or fails to prosecute the work with such diligence as will insure its completion within the time specified in these Contract Documents, or as modified as provided in these Contract Documents, the Owner, by written notice to the Contractor, may terminate the Contract and the Contractor's right to proceed with the work. Upon such termination, the Owner may take over the work and prosecute the same to completion by contract or otherwise, and the

Contractor and his sureties shall be liable to the Owner for additional cost incurred by the Owner, as well as liquidated damages for any delay in the completion of the work as provided below. If the Contractor's right to proceed is so terminated, the Owner may take possession of and utilize in completing the work any materials, tools, equipment and plant on the site of the work as necessary to complete the project.

If the work is not completed within the time stipulated, including any extensions of time for excusable delays as herein provided, the Contractor shall pay to the Owner Liquidated Damages for each calendar day of delay, as set forth in the Form of Agreement, and the Contractor and his sureties shall be liable to the Owner for the amount thereof.

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The right of the Contractor to proceed shall not be terminated nor shall the Contractor be charged with Liquidated Damages for any delays in the completion of the work due:

To any acts of the Government, including controls or restriction upon or requisitioning of materials, equipment, tools, or labor by reason or war, national defense, or any other national emergency;

To any acts of the Owner;

To causes not reasonably foreseeable by the parties to this contract at the time of the execution of the contract which are beyond the control and without the fault of negligence of the Contractor, including, but not restricted to, acts of God or of the public enemy, acts of another Contractor in the performance of some other contract with the Owner, fires, floods, epidemics, quarantine, restrictions, strikes, freight embargoes, and weather of unusual severity such as hurricanes, tornadoes, cyclones and other extreme weather conditions; and

To any delay of any subcontractor occasioned by any of the causes specified in sub-paragraphs above.

Provided, however, that the contractor promptly notified the Owner within ten (10) days in writing of the cause of the delay. Upon receipt of such notification, the Owner shall ascertain the facts and the cause and extent of delay. If, upon the basis of the facts and the terms of this contract, the delay is properly excusable, the Owner shall extend the time of completing the work for a period of time commensurate with the period of excusable delay.

Should the completion of the work be delayed beyond the time herein specified for completion for any reason other than the act of neglect of the Owner, or an approved extension of time, the Contractor shall pay the Owner the actual engineering expenses incurred by the Owner as a result of such delay and the Owner may deduct such engineering costs from any payments due or to become due the Contractor.

13. INCONSISTENT SPECIFICATIONS AND DRAWINGS

Anything mentioned in the Detail Specifications and not shown on the Drawings, or shown on the Drawings and not mentioned in the Detail Specifications, shall be of like effect as if shown on or mentioned in both. In case of differences between the Drawings and Detail Specifications, the engineer shall make a determination as to what requirements shall be included in the bid, and unless otherwise ordered in writing, shall be performed or furnished.

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14. USE OF PREMISES

The Contractor shall confine his equipment, storage of materials and construction operations to the Contract Limits as shown on the Drawings and as prescribed by ordinances or permits, or as may be directed by the Owner, and shall not unreasonably encumber the site or public rights of way with his materials and construction equipment. No material of any kind may be stored on Borough, Township or State Roads.

The Contractor shall comply with all reasonable instructions of the Owner and the ordinances and codes of the Local Government regarding signs, advertising, traffic, fires, explosives, danger signals, and barricades.

15. POSSESSION PRIOR TO COMPLETION

The Owner shall have the right to take possession or use any completed or partially completed part of the work, but such possession or use shall not be deemed an acceptance of any work not completed in accordance with the Contractor.

16. CHANGES IN THE WORK

Except for the purpose of affording protection against endangering life or property, the Contractor shall make no changes in the materials used or in the specified manner of constructing and/or installing the improvements or supply additional labor, services, or materials beyond that actually required for the execution of the Contract, unless in pursuance of a written order from the Owner authorizing the Contractor to proceed with the change. No claim for an adjustment of the Contract price will be valid unless so ordered.

Where applicable, when unit prices are contained in the Bid, the Owner may order the Contractor to proceed with desired changes in the work. The value of such changes are to be determined by the measured quantities involved and the applicable unit prices specified in the Contract. The Owner shall, before ordering the Contractor to proceed with desired changes, request an itemized bid from him covering the work involved in the change, following which the procedure shall be as follows:

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If the bid is acceptable, the Owner will prepare the change order in accordance therewith for acceptance by the Contractor and;

If the bid is not acceptable, and prompt agreement between the two parties cannot be reached, the

Owner may order the Contractor to proceed with the work on a COST OF WORK basis.

Payment under COST OF WORK will be for the actual and necessary direct cost of the work in accordance with the orders of the Engineer, and in addition thereto the percentage of such cost hereafter stated. "Actual and necessary direct cost" shall be deemed to include the following:

(1) The actual expenditure for labor for the time actually engaged in the work, including the distributed cost of foreman in direct charge of such labor and insurance, taxes and other payments applicable to such labor.

(2) The actual expenditure for materials used up or incorporated in the work.

(3) A reasonable hourly, weekly or monthly rental as applicable, as determined by the Engineers, for use of motor trucks and special equipment such as power-operated shovels, cranes, drills, paving breakers, etc. (but not including small hand tools), at a rate not to exceed the current local rate charged for the type of equipment used, for the time that such equipment is required on the work for the performance of COST OF WORK EXCLUSIVELY. The rental price shall be for the equipment provided on the work and shall include transportation to and from the work, fuel, power, lubricants, operating tools, repairs, depreciation, replacements, and the sharpening of drills and other tools required to keep them in the best working condition.

To the actual and necessary direct cost of the work done under COST OF WORK as noted above, fifteen (15) percent will be added to the expenditure for labor as set forth in sub-paragraph (1) above and then (10) percent will be added to the expenditure for materials. No additions will be allowed to the rental of trucks, and special equipment. These percentages, and the rental price for equipment furnished, shall be deemed to cover the cost of heat, light, use and upkeep of small hand tools, administration, engineering, superintendence, all loss, damage, risk, and expenses incidental to the work and profit. The Contractor shall have no claim in excess of the above, such payments being in full compensation for the performance of such work and the furnishing of such materials and for all expense in connection therewith and incidental thereto.

Should the Contractor sublet any portion of the work to be executed under COST OF WORK payment for that portion will be computed as the actual and necessary direct cost as defined above, exclusive of any profit to the subcontractor, plus the percentages allowed, plus five (5) percent of the total paid to the sub-contractor.

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The Contractor shall submit daily a statement in duplicate of work done on a COST OF WORK basis within twenty-four hours of the time the work is done, and representatives of the Engineer and the Contractor shall make daily comparison of the time and rates of labor, material used, etc., as given therein. After correction, if necessary, this comparison shall be signed by each and filed with the Engineer and the Contractor. The Contractor shall submit to the Engineer monthly, prior to each current estimate, four copies of an itemized statement of the amount and value of labor and materials furnished, accompanied by the original receipted bills for commodities purchased or for work performed under a subcontract, and by an affidavit certifying the correctness of the said statement. The Engineer shall have access to any books, vouchers, records, and memoranda showing the labor employed and the materials actually used on the specific operation and the actual net cost thereof.

17. CLAIMS FOR EXTRA COST

If the Contractor claims that any instructions by Drawing or otherwise involve extra cost or extension of time, he shall, within ten (10) days after the receipt of such instructions, and in any event before proceeding to execute the work, submit his protest thereto in writing to the Owner, stating clearly and in detail the basis of his objections. No such claim will be considered unless so made.

Any discrepancies which may be discovered between actual conditions and those represented by the Drawings and maps shall at once be reported to the Owner and work shall not proceed except at the Contractor's risk, until written instructions have been received by him from the Owner.

If, on the basis of the available evidence, the Owner determines that an adjustment of the Contract Price and/or Time is justifiable, the procedure shall then be as provided herein.

18. DISPUTES

All disputes arising under this Contract or its interpretation, whether involving law or fact or both, or extra work and all claims for alleged breach of contract within (10) days of commencement of the dispute be presented by the Contractor to the Owner for decision. All papers pertaining to claims shall be filed in quadruplicate. Such notice need not detail the amount of the claim but shall state the facts surrounding the claims in sufficient detail to identify the claim, together with its character and scope. In the meantime, the Contractor shall proceed with the work as directed. Any claim not presented within the time limit specified within this paragraph shall be deemed to have been waived, except that if the claim is of a continuing character and notice of the claim is not given within ten (10) days of its commencement, the claim will be considered only for a period commencing ten (10) days prior to the receipt by the

Owner of notice thereof.

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The Contractor shall submit in detail his claim and his proof thereof. Each decision by the governing body of the Owner will be in writing and will be mailed to the Contractor by registered mail, return receipt requested.

If the Contractor does not agree with any decision of the Owner, he shall in no case allow the dispute to delay the work but shall notify the Owner promptly that he is proceeding with the work under protest and he may then except the matter in question from the final release.

19. MATERIALS AND WORKMANSHIP

Unless otherwise specifically provided for in the Detail Specifications, all workmanship, equipment, materials and articles incorporated in the work shall be new and the best grade of the respective kinds for their purpose. Where equipment, materials, articles or workmanship are referred to in the Detail Specifications as "Equal To" any particular standard, the Engineer shall decide the question of equality.

The Contractor shall furnish to the ENGINEERS for review the manufacturer's detailed specifications for all machinery, mechanical and other special equipment, which he contemplates installing together with full information as to type, performance characteristics, and all other pertinent information as required, and shall likewise submit for review as required full information concerning all other materials or articles which he proposes to incorporate in the work.

Machinery, mechanical and other equipment, materials or articles installed or used without such prior approval shall be at the risk of subsequent rejections.

Materials specified by reference to the number or symbol of a specific standard, such as an A.S.T.M. Specification, a Federal Specification or other similar standard, shall comply with requirements in the latest revision thereof and any amendment or supplement thereto in effect on the date of the Invitation for Bids, except as limited to type, class or grade, or modified in such reference. The standards referred to, except as modified in the Detail Specifications, shall have full force and effect as though printed therein.

The Owner may require the Contractor to dismiss from the work such employee or employees as the Owner or the Engineer may deem incompetent or careless or insubordinate.

20. SAMPLES, CERTIFICATES AND TESTS

The Contractor shall submit all material or equipment samples, certificates, affidavits, etc., as called for in the Contract Documents or required by the Engineer; promptly after award of the Contract and acceptance of the Contractor's bond. No such material or equipment shall be manufactured or delivered to the site, except at the Contractor's own risk, until the required samples or certificates have been reviewed by the Engineer. Any delay in the work caused by late or improper submission of samples or certificates for review shall not be considered just cause for an extension of the contract time.

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Each sample submitted by the Contractor shall carry a label giving the name of the Contractor, the project for which it is intended, and the name of the producer. The accompanying certificates or letter from the Contractor shall state that the sample complies with contract requirements, shall give the name and brand of the product, its place of origin, the name and address of the producer and all specifications or other detailed information which will assist the Engineer in passing upon the acceptability of the sample promptly. It shall also include the statement that all materials or equipment furnished for use in the project will comply with the samples and/or certified statements.

Review of any materials shall be general only and shall not constitute a waiver of the Owner's right to demand full compliance with Contract requirements. After actual deliveries, the Engineer will have such tests made as he deems necessary in each instance and may reject materials and equipment and accessories for cause, even though such materials and articles have been given general approval. If materials, equipment or accessories which fail to meet check tests have been incorporated in the work, the Engineer will have the right to cause their removal and replacement by proper materials or to demand and secure such reparation by the Contractor as is equitable. If materials, equipment or accessories are rejected, the Contractor shall reimburse the Owner for Engineering costs incurred as a result of the rejected materials, equipment, or accessories.

21. CHANGES IN EQUIPMENT AND/OR MATERIALS

In these specifications and on accompanying drawings, there are specified and shown certain pieces of equipment and/or materials which are deemed most suitable for service anticipated.

This is not done to eliminate other equipment and material equally as good and efficient.

Contractor shall prepare his bid on particular material and equipment specified. Following award of contract, should Contractor desire to use some other make of machinery, equipment or material, he shall submit to Engineers a written request for such change and in same shall state advantage to Owner and saving or additional cost involved by substitution. Determination as to whether or not such change will be permitted rests solely with the Engineer.

If the requested change resulted in added engineering costs, the Contractor and Owner will be notified of the magnitude of same, by the Engineer, and the change will only be processed upon agreement by the Contractor to pay for the added engineering costs. If the Contractor refuses to pay said added costs, he must supply the equipment and/or materials specified.

22. PATENTS

The Contractor shall hold and save the Owner, its officers, and employees, harmless from liability of any nature or kind including costs and expenses, for, or on account of, any patented or unpatented invention, process, article, or appliance manufactured or used in the performance of the Contract including its use by the Owner unless otherwise specifically stipulated in the Detail Specifications.

23. WARRANTY OF TITLE

No material, supplies, or equipment for the work shall be purchased subject to any chattel mortgage or under a conditional sale or other agreement by which an interest therein or in

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