City of Independence, Corvallis Road Waterline Improvements

PN: 2023-13

Keller Project: 223055-007

Addendum Page 1 of 2

ADDENDUM NO. 4

to the

CONTRACT DOCUMENTS

for

CITY OF INDEPENDENCE, OREGON

CORVALLIS ROAD WATERLINE

This Addendum, dated January 7, 2026, is for all persons preparing bids for the above-referenced project and, as such, shall be made a part of the Contract Documents.

All changes, corrections, deletions and/or additions to the initial bidding documents enumerated herein shall be included in the Bidder’s Proposal. In case of any conflict between the drawings, specifications, and this Addendum, this Addendum shall govern.

The Bidder shall acknowledge the receipt of this Addendum in the appropriate place in the Bidder’s Proposal. Failure to acknowledge the receipt of this Addendum may cause a Bid to be considered non-responsive.

Based on concerns and questions submitted from Contractors during bid time, the following items have been changed/addressed.

Item Description

1 - 1 Bidding Documents:

A. Exhibit 6, Performance Bond: replace with the attached.

B. Exhibit 7, Payment Bond: replace with the attached.

C. Exhibit 11, Supplementary Conditions, Article 6 – Bonds and Insurance o In SC 6.03(4) Strike out $10,000,000 and replace with $2,000,000.

SC 6.03 (4) Excess or Umbrella Liability:

Required Not required

Excess/umbrella insurance coverage in the sum of $10,000,000 $2,000,000 shall be provided and will apply over all liability policies, without exception, including but not limited to Commercial General Liability, Automobile Liability, and Employers' Liability coverage.

NOTE: The bid date is not changing as these changes are considered minor.

1 - 2 Specifications:

D. No change.

1 - 3 Contract Plans:

A. No change.

1 - 4 Bidder Questions:

A. No change.

City of Independence, Corvallis Road Waterline Improvements

Addendum Page 2 of 2

Keller Associates, Inc.

245 Commercial Street SE Suite 210, Salem, OR 97301

Corvallis Road Waterline Improvements

CITY OF INDEPENDENCE PAGE 1 OF 3 PERFORMANCE BOND

ADDENDUM 4

EXHIBIT 6 – PERFORMANCE BOND

Bond No.

Any singular reference to Contractor, Surety, Obligee, or other party shall be considered plural where applicable.

CONTRACTOR (Name and Address): SURETY (Name and Address):

OWNER: The City of Independence, PO Box 7 Independence, OR 97351

CONTRACT: Corvallis Road Waterline Improvements

Date:

(Contractor to fill in, match date on signature page of Agreement)

Amount: $

Description of Project:

BOND

Date:

(Contractor to fill in, match date on signature page of Agreement)

Amount: $

Modifications to this Bond: NONE

CONTRACTOR AS PRINCIPAL SURETY

Company: (Corporate Seal)

Company: (Corporate Seal)

Signature:

Name:

Title:

FOR INFORMATION ONLY – Name, Address and Telephone Agent Or Broker, Name & Address:

Agent/Broker Phone #:

ARTICLES

CITY OF INDEPENDENCE PAGE 2 OF 3 PERFORMANCE BOND

1. The condition of this obligation is such that, if Contractor shall promptly and faithfully perform said Contract, then this obligation shall be null and void; otherwise it shall remain in full force and effect.

2. The Surety hereby waives notice of any alteration or extension of time made by the Owner.

3. It is expressly agreed that the Bond shall be deemed amended automatically and immediately, without formal and separate amendments hereto, upon amendment of the Contract, so as to bind the Contractor and Surety to the full and faithful performance of the Contract as so amended. The term “Amendment,” wherever used in this Bond, and whether referring to this Bond, the Contract, or any Loan Documents shall include any alteration, addition, extension, or modification of any character whatsoever.

4. Whenever Contractor shall be, and declared by Owner to be in default under the Contract, the Owner having performed Owner's obligations thereunder, the Surety may promptly remedy the default, or shall promptly and at Surety's expense, take one of the following actions:

4.1. Arrange for the Contractor, with consent of the Owner, to perform and complete the

Construction Contract; or

4.2. Undertake to perform and complete the Construction Contract itself, through its agents or through independent contractors, which agents or independent contractors shall be acceptable to the Owner; or

4.3. Obtain bids or negotiated proposals from qualified contractors acceptable to the Owner for a contract for performance and completion of the Construction Contract, arrange for a contract to be prepared for execution by the Owner and the contractor selected with the Owner's concurrence, to be secured with performance and payment bonds executed by a qualified surety equivalent to the bonds issued on the Construction Contract, and pay to the Owner the amount of damages as described in Paragraph 6 in excess of the Balance of the Contract Price incurred by the Owner resulting from the Contractor's default.

5. If the Surety does not proceed as provided in Paragraph 4 with reasonable promptness, the Surety shall be deemed to be in default on this Bond fifteen (15) days after receipt of an additional written notice from the Owner to the Surety demanding that the Surety perform its obligations under this Bond, and the Owner shall be entitled to enforce any remedy available to the Owner.

6. Surety’s obligations to Owner under Subparagraphs 4.1, 4.2, or 4.3, above, shall not be greater than those of the Contractor under the Construction Contract, nor shall Owner’s responsibilities to Surety exceed those to Contractor under the Construction Contract. To the limit of the amount of this Bond, and subject to Owner’s obligation to pay the balance of the contract price, the Surety is obligated to pay for:

6.1. Correcting Contractor’s defective work and completing the Construction Contract;

6.2. Additional legal, design professional and delay costs resulting from the Contractor's Default, and resulting from the actions or failure to act of the Surety under Paragraph 4; and

6.3. Liquidated damages, or if no liquidated damages are specified in the Construction Contract, actual damages caused by delayed performance or non-performance of the Contractor.

7. Any proceeding, legal or equitable, under this Bond may be instituted in any court of competent jurisdiction in the location in which the work or part of the work is located and shall be instituted within the later of two (2) years after Contractor Default or two (2) years after the Contractor ceased working or two (2) years after the Surety refuses or fails to perform its obligations under this Bond

8. Notice to the Surety, the Owner or the Contractor shall be mailed by certified or registered mail or delivered to the address shown on the signature page.

9. If any provision of this Bond conflicts with state law, such portion will be deemed deleted therefrom and provisions conforming to such state law shall be deemed incorporated herein. The intent is that this Bond shall be construed as a statutory bond and not as a common law bond.

10. DEFINITIONS

CITY OF INDEPENDENCE PAGE 3 OF 3 PERFORMANCE BOND

10.1. Balance of the Contract Price: The total amount payable by the Owner to the Contractor under the Construction Contract and any amendments thereto, less the amount properly paid by Owner to Contractor.

10.2. Construction Contract: The agreement between the Owner and the Contractor identified on the signature page, including all Contract Documents and changes thereto.

10.3. Contractor Default: Failure of the Contractor, which has neither been remedied nor waived, to perform or otherwise to comply with the terms of the Construction Contract.

MODIFICATIONS TO THIS BOND ARE AS FOLLOWS:

None.

CITY OF INDEPENDENCE PAGE 1 OF 3 PAYMENT BOND

EXHIBIT 7 – PAYMENT BOND

Bond No.

Any singular reference to Contractor, Surety, Obligee, or other party shall be considered plural where applicable.

CONTRACTOR (Name and Address): SURETY (Name and Address):

OWNER: The City of Independence, PO Box 7 Independence, OR 97351

CONTRACT: Corvallis Road Waterline Improvements

Date:

(Contractor to fill in, match date on signature page of Agreement)

Amount: $

Description of Project:

BOND

Date:

(Contractor to fill in, match date on signature page of Agreement)

Amount: $

Modifications to this Bond: NONE

CONTRACTOR AS PRINCIPAL SURETY

Company: (Corporate Seal) Company: (Corporate Seal)

FOR INFORMATION ONLY – Name, Address and Telephone Agent Or Broker, Name & Address:

Agent/Broker Phone #:

ARTICLES

CITY OF INDEPENDENCE PAGE 2 OF 3 PAYMENT BOND

1. The Contractor and the Surety, jointly and severally, bind themselves, their heirs, executors, and administrators, successors and assigns to the Owner to pay for labor, materials and equipment furnished for use in the performance of the Construction Contract, which is incorporated herein by reference. With respect to the Owner, this obligation shall be null and void if the Contractor:

1.1. Promptly makes payment, directly or indirectly, for all sums due Claimants, and

1.2. Defends, indemnifies, and holds harmless the Owner from claims, demands, liens or suits by any person or entity whose claim, demand, lien, or suit is for the payment for labor, materials or equipment furnished for use in the performance of the Construction Contract.

2. With respect to Claimants, this obligation shall be null and void if the Contractor promptly makes payment, directly or indirectly, for all sums due.

3. Surety shall have no obligation to Claimants under this Bond until:

3.1. Claimants who are employed by or have a direct contract with Contractor have given notice to Surety and sent a copy, or notice thereof, to Owner, stating that a claim is being made under this Bond and, with substantial accuracy, the amount of the claim.

3.2. Claimants who do not have a direct contract with Contractor:

3.2.1. Have furnished written notice to Contractor and sent a copy, or notice thereof, to Owner, stating, with substantial accuracy, the amount of the claim and the name of the party to whom the materials or equipment were furnished or supplied, or for whom the labor was done or performed; and

3.2.2. Have either received a rejection in whole or in part from Contractor, or not received within 30 days of furnishing the above notice any communication from Contractor by which Contractor indicated the claim will be paid directly or indirectly; and

3.2.3. Not having been paid within the above 30 days, have sent a written notice to Surety and sent a copy, or notice thereof, to Owner, stating that a claim is being made under this Bond and enclosing a copy of the previous written notice furnished to Contractor.

4. If a notice by a Claimant required by Paragraph 3 is provided by Owner to Contractor or to Surety, that is sufficient compliance.

5. When the Claimant has satisfied the conditions of Paragraph 4, the Surety shall promptly and at the Surety's expense take the following actions:

5.1. Send an answer to the Claimant, with a copy to the Owner, within sixty (60) days after receipt of the claim, stating the amounts that are undisputed and the basis for challenging any amounts that are disputed.

5.2. Pay or arrange for payment of any undisputed amounts.

5.3. The Surety’s failure to discharge its obligations under Section 5.1 or Section 5.2 shall not be deemed to constitute a waiver of defenses the Surety or Contractor may have or acquire at the time of the Claim, except as to undisputed amounts for which the Surety and Claimant have reached agreement. If, however, the Surety fails to discharge its obligations under Section 5.1 or Section 5.2, the Surety shall indemnify the Claimant for the reasonable attorney’s fees the Claimant incurs thereafter to recover any sums found to be due and owing to the Claimant.

6. The Surety's total obligation shall not exceed the amount of this Bond and any amendments thereto as outlined in Paragraph 1, plus the amount of reasonable attorney’s fees provided under Section 5.3, and the amount of this Bond shall be credited for any payments made in good faith by Surety.

7. Amounts owed by the Owner to the Contractor under the Construction Contract shall be used for the performance of the Construction Contract and to satisfy claims, if any, under any Construction Performance Bond. By the Contractor furnishing and the Owner accepting this Bond, they agree that all funds earned by the Contractor in the performance of the Construction Contract are dedicated to satisfy obligations of the Contractor and the Surety under this Bond, subject to the Owner's priority to use the funds for the completion of the work.

CITY OF INDEPENDENCE PAGE 3 OF 3 PAYMENT BOND

8. The Surety shall not be liable to the Owner, Claimants, or others for obligations of the Contractor that are unrelated to the Construction Contract. The Owner shall not be liable for payment of any costs or expenses of any Claimant under this Bond, and shall have under this Bond no obligations to make payments to, give notices on behalf of, or otherwise have obligations to Claimants under this Bond.

9. The Surety hereby waives notice of any change, including changes of time, to the Construction Contract or to related subcontracts, purchase orders and other obligations.

10. When this Bond has been furnished to comply with a statutory or other legal requirement in the location where the construction was to be performed, any provision in this Bond conflicting with said statutory or legal requirement shall be deemed deleted herefrom and provisions conforming to such statutory or other legal requirement shall be deemed incorporated herein. The intent is that this Bond shall be construed as a statutory bond and not as a common law bond.

11. Upon request by any person or entity appearing to be a potential beneficiary of this Bond, the Contractor shall promptly furnish a copy of this Bond or shall permit a copy to be made.

12. DEFINITIONS

12.1. Claimant: An individual or entity having a direct contract with Contractor, or with a first-tier subcontractor of Contractor, to furnish labor, materials, or equipment for use in the performance of the Contract. The intent of this Bond shall be to include without limitation in the terms “labor, materials or equipment” that part of water, gas, power, light, heat, oil, gasoline, telephone service, or rental equipment used in the Contract, architectural and engineering services required for performance of the Work of Contractor and Contractor’s subcontractors, and all other items for which a mechanic’s lien may be asserted in the jurisdiction where the labor, materials, or equipment were furnished.

12.2. Construction Contract: The agreement between the Owner and the Contractor identified on the signature page, including all Contract Documents and changes thereto.

MODIFICATIONS TO THIS BOND ARE AS FOLLOWS:

None.

EXHIBIT 6 and 7