ESBD_504438_1775568145334_OGC-S-2016-02 Uniform General Conditions (02-24).pdf

Form No. OGC-S-2016-02

OGC-S-2016-02 - Uniform General & Supplementary General Conditions - Building Construction Standard Form Approved Approved 02.26.2016 – Revised 02.07.2024 by Lone Star College Page 1 of 41 Office of the General Counsel

Uniform General and Supplementary General Conditions for Lone Star College Building Construction Contracts

Table of Contents

Article 1. Definitions

Article 2. Laws Governing Construction

Article 3. General Responsibilities of Owner & Contractor

Article 4. Historically Underutilized Business (HUB) Subcontracting Plan

Article 5. Bonds & Insurance

Article 6. Contract Documents

Article 7. Construction Safety

Article 8. Quality Control

Article 9. Project Scheduling Requirements

Article 10. Payments

Article 11. Changes

Article 12. Project Completion and Acceptance

Article 13. Warranty & Guarantee

Article 14. Suspension and Termination

Article 15. Miscellaneous

OGC-S-2016-02 - Uniform General & Supplementary General Conditions - Building Construction Standard Form Approved Approved 02.26.2016 – Revised 02.07.2024 by Lone Star College Page 2 of 41 Office of the General Counsel

Uniform General and Supplementary General Conditions for Lone Star College Building Construction Contracts

Article 1. Definitions Unless the context clearly requires another meaning, the following terms have the meaning assigned herein.

1.1. Architect/Engineer (A/E) means a person registered as an architect pursuant to Tex. Occ. Code Ann., Chapter 1051, as a landscape architect pursuant to Tex. Occ. Code Ann., Chapter 1052, a person licensed as a professional engineer pursuant Tex. Occ. Code Ann., Chapter 1001 and/or a firm employed by Owner or Design-Build Contractor to provide professional architectural or engineering services and to exercise overall responsibility for the design of a Project or a significant portion thereof, and to perform the contract administration responsibilities set forth in the Contract.

1.2. Change Order means a written modification of the Contract between the Owner and Contractor, signed by the Owner, the Contractor and the Architect/Engineer.

1.3. Change Order Proposal means a Contractor-generated document in response to a Change Order Request (COR).

1.4. Change Order Request (COR) means a document which informs the contractor of a proposed change in the Work, and appropriately describes or otherwise documents such change.

1.5. Close-out documents means the product brochures, product/equipment maintenance and operations instructions, manuals, and other documents/warranties, as-built record documents, affidavit of payment, release of lien and claim, and as may be further defined, identified, and required by the Contract Documents.

1.6. Contract means the entire agreement between the Owner and the Contractor, including all of the Contract Documents.

1.7. Contract Date is the date when the agreement between the owner and the contractor becomes effective.

1.8. Contract Documents means those documents identified as a component of the agreement (contract) between the owner and the contractor. These may include, but are not limited to, Drawings, Specifications, General, Supplementary and Special Conditions, and all pre-bid and/or pre-proposal addenda.

1.9. Contractor means the individual, corporation, company, partnership, firm or other entity contracted to perform the Work, regardless of the type of construction contract used, so that the term as used herein includes a Construction Manager- at-Risk or a Design-Build firm as well as a General or Prime Contractor. The contract documents refer to Contractor as if singular in number.

1.10. Contract Sum means the total compensation payable to the Contractor for completion of the Work in accordance with the terms of the contract.

1.11. Contract Time means the period between the Start Date identified in the Notice to Proceed with Construction and the Substantial Completion date identified in the Notice to Proceed or as subsequently amended by Change Order.

1.12. Date of Commencement means the date designated in the Notice to Proceed for the Contractor to commence the Work.

1.13. Day means a calendar day, unless otherwise specifically stipulated.

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1.14. Drawings means that product of the Architect/Engineer which graphically depicts the Work.

1.15. Final Completion means the date determined and certified by the Architect/Engineer and Owner on which the Work is fully and satisfactorily complete in accordance with the Contract.

1.16. Force Majeure means riot, war, invasion, act of foreign enemies, hostilities (whether war be declared or not), acts of terrorism, civil war, rebellion, revolution, blockade, embargo, international trade sanction, insurrection of military or usurped power, contamination by radioactivity from any nuclear fuel or from any nuclear waste; acts of God, epidemic, plague, pandemic, earthquake, flood, fire, named cyclone/hurricane/typhoon, tidal wave, explosion and or other natural physical disaster, strikes, and or maritime or other aviation disasters.

1.17. Owner means Lone Star College.

1.18. Owner’s Designated Representative (ODR) means the individual assigned by the Owner to act on its behalf, and to undertake certain activities as specifically outlined in the Contract. The ODR is the only party authorized to direct changes to the scope, cost, or time of the contract.

1.19. Project means all activities necessary for realization of the Work. This includes design, contract award(s), execution of the Work itself, and fulfillment of all contract and warranty obligations.

1.20. Samples means representative physical examples of materials, equipment or workmanship, used to confirm compliance with requirements and/or to establish standards for use in execution of the Work.

1.21. Schedule of Values means the detailed breakdown of the cost of the materials, labor and equipment necessary to accomplish the Work as described in the Contract Documents, submitted by Contractor for approval by Owner and Architect/Engineer.

1.22. Shop Drawings means the drawings, diagrams, illustrations, schedules, performance charts, brochures and other data prepared by the Contractor or its agents, which detail a portion of the Work.

1.23. Site means the geographical area of the location of the Work.

1.24. Special Conditions means the documents containing terms and conditions, which may be unique to the project. Special Conditions are a part of the Contract Documents and have precedence over the Uniform General Conditions.

1.25. Specifications means the written product of the Architect/Engineer that establishes the quality and/or performance of products utilized in the Work and processes to be used, including testing and verification for producing the Work.

1.26. Subcontractor means a business entity that enters into an agreement with the Contractor to perform part of the Work or to provide services, materials or equipment for use in the Work.

1.27. Substantial Completion means the date determined and certified by the Contractor, Architect/Engineer and Owner when the Work or a designated portion thereof is sufficiently complete, in accordance with the Contract, including all commissioning activities required by law, so as to be operational and fit for the use intended.

1.28. Supplementary General Conditions means procedures and requirements that modify the Uniform General Conditions. Supplementary General Conditions, when used, have precedence over the Uniform General Conditions. Lone Star College has adopted Uniform Supplementary General Conditions that apply to all LONE STAR COLLEGE and component institution construction projects. LONE STAR COLLEGE Uniform Supplementary General Conditions are indicated by the bold and italicized typeface shown here. Superseded sections of the State Building and Procurement Commissions’ Uniform General Conditions are not included in the LONE STAR COLLEGE Uniform General and Supplementary General Conditions.

1.29. Unit Price Work means Work or a portion of the Work paid for based on incremental units of

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1.30. Unilateral Change Order (ULCO) means a Change Order issued by the Owner without the agreement of the Contractor.

1.31. Work means the administration, procurement, materials, equipment, construction and all services necessary for the Contractor, and/or its agents, to fulfill the Contractor’s obligations under the Contract.

Article 2. Laws Governing Construction

2.1. Environmental Regulations. The Contractor shall conduct activities in compliance with applicable laws and regulations and other requirements of the Contract relating to the environment, and its protection at all times. Unless otherwise specifically determined, the Owner is responsible for obtaining and maintaining permits related to stormwater run-off. The Contractor shall conduct operations consistent with stormwater run-off permit conditions.

Contractor is responsible for all items it brings to site, including hazardous materials, and all such items brought to the site by its subcontractors and suppliers, or by other entities subject to direction of the Contractor. The Contractor shall not incorporate hazardous materials into the Work without prior approval of Owner, and shall provide an affidavit attesting to such in association with request for Substantial Completion inspection.

2.2. Venue for Suits. The venue for any suit arising from this contract will be in a court of competent jurisdiction in Montgomery County, Texas, or as may otherwise designated in the Supplementary General Conditions.

2.3. Licensing of Trades. The Contractor shall comply with all applicable provisions of state law related to license requirements for skilled tradesmen, contractors, suppliers and or laborers, as necessary to accomplish the Work. In the event the Contractor, or one of its Subcontractors, loses its license during the term of performance of the Contract, the Contractor shall promptly hire or contract with a licensed provider of the service at no additional cost to the Owner.

2.4. Royalties, Patents & Copyrights. The Contractor shall pay all royalties and license fees, defend all suits or claims for infringement of any patent rights and shall save the Owner harmless from loss on account thereof.

2.5. State Sales and Use Taxes. The Owner qualifies for exemption from certain State and Local Sales and Use Taxes pursuant to the provisions of Tex. Tax Code, Chapter 151. The Contractor may claim exemption from payment of applicable State taxes by complying with such procedures as prescribed by the State Comptroller of Public Accounts. Owner is not required to reimburse Contractor for taxes paid on items that qualify for tax exemption.

2.6. Prevailing Wage. The Contractor shall abide by applicable state and federal prevailing wage laws, and the Contractor shall pay and ensure any Subcontractors pay prevailing wages as required under the Owner’s Board Policy and as outlined in the Contract. If prevailing wage rates change, the applicable prevailing wage will apply as required by law. The Owner may reduce or withhold any payment due to the Contractor if the Contractor is in violation of the prevailing wage requirements or has failed to make payments promptly to Subcontractors or other third parties used in connection with any services or materials for which Owner has made payment to Contractor. Any payments made for Contractor’s personnel are subject to audit to determine the actual cost of the wages and allowable employer contributions incurred by the Contractor for services performed for the Project.

Article 3. General Responsibilities of Owner & Contractor

3.1. Owner’s General Responsibilities. The Owner is the entity identified as such in the Contract and referred to throughout the Contract Documents as if singular in number.

3.1.1. Preconstruction Conference. Prior to, or concurrent with, the issuance of Notice to

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Proceed with Construction, a conference will be convened for attendance by the Owner, Contractor, Architect/Engineer (AE) and appropriate Subcontractors. The purpose of the conference is to establish a working understanding among the parties as to the Work, the operational conditions at the project site, and general administration of the Project. Topics include communications, schedules, procedures for handling Shop Drawings and other submittals, processing Applications for Payment, maintaining required records and all other matters of importance to the administration of the Project and effective communications between the project team members.

3.1.2. Owner’s Designated Representative. Prior to the start of construction, Owner will identify the Owner’s Designated Representative (ODR), who has the express authority to act and bind the Owner to the extent and for the purposes described in the various Articles of the Contract, including responsibilities for general administration of the Contract.

3.1.2.1. Unless otherwise specifically defined elsewhere in the contract documents, the ODR is the single point of contact between the Owner and Contractor.

Notice to the ODR, unless otherwise noted, constitutes notice to the Owner under the Contract.

3.1.2.2. All directives on behalf of the Owner will be conveyed to the Contractor by the ODR in writing.

3.1.3. Owner Supplied Materials and Information.

3.1.3.1. The Owner will furnish to the Contractor those surveys describing the physical characteristics, legal description, limitations of the site, site utility locations, and other information used in the preparation of the Contract Documents.

3.1.3.2. The Owner will provide information, equipment, or services under the Owner’s control to the Contractor with reasonable promptness.

3.1.4. Availability of Lands. The Owner will furnish, as indicated in the Contract, all required rights to use the lands upon which the Work occurs. This includes rights-of-way and easements for access and such other lands that are designated for use by the Contractor. The Contractor shall comply with all Owner identified encumbrances or restrictions specifically related to use of lands so furnished. The Owner will obtain and pay for easements for permanent structures or permanent changes in existing facilities, unless otherwise required in the Contract Documents.

3.1.5. Limitation on Owner’s Duties

3.1.5.1. The Owner will not supervise, direct, control or have authority over or be responsible for Contractor’s means, methods, technologies, sequences or procedures of construction or the safety precautions and programs incident thereto. The Owner is not responsible for any failure of Contractor to comply with laws and regulations applicable to the Work. The Owner is not responsible for the failure of Contractor to perform or furnish the Work in accordance with the Contract Documents. Owner is not responsible for the acts or omissions of Contractor, or any of its subcontractors, suppliers or of any other person or organization performing or furnishing any of the Work on behalf of the Contractor.

3.1.5.2. The Owner will not take any action in contravention of a design decision made by the AE in preparation of the Contract Documents, when such actions are in conflict with statutes under which the AE is licensed for the protection of the public health and safety.

3.2. Role of Architect/Engineer. Unless specified otherwise in the Contract between the Owner and

OGC-S-2016-02 - Uniform General & Supplementary General Conditions - Building Construction Standard Form Approved Approved 02.26.2016 – Revised 02.07.2024 by Lone Star College Page 6 of 41 Office of the General Counsel the Contractor, the AE shall provide general administration services for the Owner during the construction phase of the project. Written correspondence, requests for information, and shop drawings/submittals shall be directed to the AE for action. The AE has the authority to act on behalf of the Owner to the extent provided in the Contract Documents, unless otherwise modified by written instrument, which will be furnished to the Contractor by the ODR, upon request.

3.2.1. Site Visits.

3.2.1.1. The AE will make visits to the site at intervals as provided in the AE’s contract agreement with the Owner, to observe the progress and the quality of the various aspects of Contractor’s executed Work and report findings to the Owner.

3.2.1.2. The AE has the authority to interpret Contract Documents and inspect the Work for compliance and conformance with the Contract. Except as referenced in Article 3.1.5.2, the Owner retains the sole authority to accept or reject Work and issue direction for correction, removal, or replacement of Work.

3.2.2. Clarifications and Interpretations. It may be determined that clarifications or interpretations of the Contract Documents are necessary. Upon direction by the ODR such clarifications or interpretations will be provided by the AE consistent with the intent of the Contract Documents. The AE will issue these clarifications with reasonable promptness to the Contractor as Architect’s Supplemental Instruction (ASI) or similar instrument. If Contractor believes that such clarification or interpretation justifies an adjustment in the Contract Sum or the Contract Time, the Contractor shall so notify the Owner in accordance with the provisions of Article 11.

3.2.3. Limitations on Architect/Engineer Authority. The AE is not responsible for:

3.2.3.1. The Contractor’s means, methods, techniques, sequences, procedures, safety, or programs incident to the Project nor will the AE supervise, direct, control or have authority over the same.

3.2.3.2. The Failure of Contractor to comply with laws and regulations applicable to the furnishing or performing the Work.

3.2.3.3. The Contractor’s failure to perform or furnish the Work in accordance with the Contract Documents.

3.2.3.4. Acts or omissions of the Contractor, or of any other person or organization performing or furnishing any of the Work.

3.3. Contractor’s General Responsibilities. The Contractor is solely responsible for implementing the Work in full compliance with all applicable laws and the contract documents and shall supervise and direct the Work using the best skill and attention to assure that each element of the Work conforms to the Contract requirements. The Contractor is solely responsible for all construction means, methods, techniques, safety, sequences, coordination and procedures. The Contractor is responsible for visiting the site and being familiar with local conditions such as the location, accessibility, and general character of the site and/or building.

3.3.1. Project Administration. The Contractor shall provide project administration for all subcontractors, vendors, suppliers, and others involved in implementing the Work and shall coordinate administration efforts with those of the AE and ODR in accordance with these General Conditions and provisions of Division 1 Specifications, and as outlined in the Pre- construction Conference.

3.3.1.1. The Contractor shall furnish to the ODR one copy of the most current edition of R.S. Means Facility Cost Data at no additional cost. This

OGC-S-2016-02 - Uniform General & Supplementary General Conditions - Building Construction Standard Form Approved Approved 02.26.2016 – Revised 02.07.2024 by Lone Star College Page 7 of 41 Office of the General Counsel document shall be in either hard copy format or electronic CD, at option of the ODR.

3.3.1.2. The Contractor shall furnish to the ODR one copy of the current edition of the “Rental Rate Blue Book for Construction Mobilization Costs” at no additional cost. This document shall be in either hard copy format or electronic CD, at option of the ODR.

3.3.2. Contractor’s Superintendent. Employ a competent resident superintendent who will be present at the Project Site during the progress of the Work. For purpose of this section, “present” means the superintendent will be physically present at the Project Site whenever Work is in progress. The superintendent is subject to the approval of the ODR. Do not change approved superintendents during the course of the project without the written approval of the ODR unless the superintendent leaves the employ of the Contractor.

3.3.3. Labor. Provide competent, suitably qualified personnel to survey, lay-out, and construct the Work as required by the Contract Documents. Maintain good discipline and order at the Site at all times.

3.3.4. Services, Materials, and Equipment. Unless otherwise specified, provide and assume full responsibility for all services, materials, equipment, labor, transportation, construction equipment and machinery, tools, appliances, fuel, power, light, heat, telephone, water, sanitary facilities, temporary facilities, and all other facilities, incidentals, and services necessary for the construction, performance, testing, start-up, inspection and completion of the Work.

3.3.5. Non-Compliant Work. Should the AE and/or the ODR identify Work as non- compliant with the Contract Documents, the ODR will communicate the finding to the Contractor and the Contractor will correct such Work at its expense. The approval of Work by either the AE or ODR does not relieve the Contractor from the obligation to comply with all requirements of the Contract Documents.

3.3.6. Subcontractors. Do not employ any Subcontractor, supplier or other person or organization, whether initially or as a substitute, against whom the Owner may have reasonable objection. The Owner will communicate such objections in writing. The Contractor is not required to employ any Subcontractor, supplier or other person or organization to furnish any of the work to whom the Contractor has reasonable objection. The Contractor will not substitute Subcontractors without the acceptance of the Owner.

3.3.6.1. All Subcontracts and supply contracts shall be consistent with and bound to the terms and conditions of the Contract Documents including provisions of the Agreement between the Contractor and the Owner.

3.3.6.2. The Contractor shall be solely responsible for scheduling and coordinating the Work of Subcontractors, suppliers and other persons and organizations performing or furnishing any of the Work under a direct or indirect contract with the Contractor. Require all Subcontractors, suppliers and such other persons and organizations performing or furnishing any of the Work to communicate with Owner only through the Contractor. Furnish to the Owner a copy of each first-tier subcontract promptly after its execution. The Contractor agrees that the Owner has no obligation to review or approve the content of such contracts and that providing the Owner such copies in no way relieves the Contractor of any of the terms and conditions of the Contract, including, without limitation, any provisions of the Contract which require the subcontractor to be bound to the Contractor in the same manner in which the Contractor is bound to the Owner.

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3.3.7. Continuing the Work. Carry on the Work and adhere to the progress schedule during all disputes, disagreements or alternative resolution processes with the Owner. Do not delay or postpone any Work because of the pending resolution of any disputes, disagreements or processes, except as the Owner and the Contractor may agree in writing.

3.3.8. Cleaning. At all times, keep the Site and the Work clean and free from accumulation of waste materials or rubbish caused by the construction activities under the Contract.

The Contractor shall ensure that the entire Project is thoroughly cleaned prior to requesting Substantial Completion Inspection and, again, upon completion of the Project prior to the final inspection.

3.3.9. Acts and Omissions of Contractor, its Subcontractors and Employees. The Contractor is responsible for acts and omissions of his employees and all its subcontractors, their agents and employees. The Owner may, in writing, require the Contractor to remove from the Project any of Contractor’s or its subcontractor’s employees that the ODR finds to be careless, incompetent, or otherwise objectionable.

3.3.10. INDEMNIFICATION OF OWNER. THE CONTRACTOR COVENANTS AND AGREES TO

FULLY INDEMNIFY AND HOLD HARMLESS, THE OWNER AND THE ELECTED

OFFICIALS, EMPLOYEES, OFFICERS, DIRECTORS, VOLUNTEERS, AND

REPRESENTATIVES OF THE OWNER, INDIVIDUALLY OR COLLECTIVELY, FROM AND

AGAINST ANY AND ALL COSTS, CLAIMS, LIENS, DAMAGES, LOSSES, EXPENSES, FEES,

FINES, PENALTIES, PROCEEDINGS, ACTIONS, DEMANDS, CAUSES OF ACTION,

LIABILITY AND SUITS OF ANY KIND AND NATURE, INCLUDING BUT NOT LIMITED TO,

PERSONAL OR BODILY INJURY, DEATH AND PROPERTY DAMAGE, MADE UPON THE

OWNER DIRECTLY OR INDIRECTLY ARISING OUT OF, RESULTING FROM OR RELATED

TO CONTRACTOR’S ACTIVITIES UNDER THIS CONTRACT, INCLUDING ANY ACTS OR

OMISSIONS OF CONTRACTOR, ANY AGENT, OFFICER, DIRECTOR, REPRESENTATIVE,

EMPLOYEE, CONSULTANT OR THE SUBCONTRACTOR OF CONTRACTOR, AND THEIR

RESPECTIVE OFFICERS, AGENTS, EMPLOYEES, DIRECTORS AND REPRESENTATIVES

WHILE IN THE EXERCISE OF PERFORMANCE OF THE RIGHTS OR DUTIES UNDER THIS

CONTRACT. THE INDEMNITY PROVIDED FOR IN THIS PARAGRAPH DOES NOT APPLY

TO ANY LIABILITY RESULTING FROM THE NEGLIGENCE OF THE OWNER, OFFICERS

OR EMPLOYEES, SEPARATE CONTRACTORS OR ASSIGNED CONTRACTORS, IN

INSTANCES WHERE SUCH NEGLIGENCE CAUSES PERSONAL INJURY, DEATH OR

PROPERTY DAMAGE. IN THE EVENT CONTRACTOR AND OWNER ARE FOUND JOINTLY

LIABLE BY A COURT OF COMPETENT JURISDICTION, LIABILITY WILL BE

APPORTIONED COMPARATIVELY IN ACCORDANCE WITH THE LAWS OF THE STATE

OF TEXAS, WITHOUT WAIVING ANY GOVERNMENTAL IMMUNITY AVAILABLE TO THE

STATE UNDER TEXAS LAW AND WITHOUT WAIVING ANY DEFENSES OF THE PARTIES

UNDER TEXAS LAW.

3.3.10.1. The provisions of this Indemnification are solely for the benefit of the parties hereto and not intended to create or grant any rights, contractual or otherwise, to any other person or entity.

3.3.10.2. Promptly advise the Owner in writing of any claim or demand against the Owner or the Contractor known to the Contractor related to or arising out of the Contractor’s activities under this Contract.

3.3.11. Ancillary Areas. Operate and maintain operations and associated storage areas at the site of the Work in accordance with the following:

3.3.11.1. Confine all Contractor operations, including storage of materials and employee parking upon the Site of Work, to areas designated by the Owner.

3.3.11.2. The Contractor may erect, at its own expense, temporary buildings that will remain its property. Remove such buildings and associated utility service

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3.3.11.3. Use only established roadways or construct and use such temporary roadways as may be authorized by the Owner. Do not allow load limits of vehicles to exceed the limits prescribed by appropriate regulations or law.

Provide protection to road surfaces, curbs, sidewalks, trees, shrubbery, sprinkler systems, drainage structures and other like existing improvements to prevent damage and repair any damage thereto at the expense of the Contractor.

3.3.11.4. The Owner may restrict the Contractor's entry to the site to specifically assigned entrances and routes.

3.3.12. Separate Contracts. Additional Contractor responsibilities when the Owner awards separate Contracts

3.3.12.1. The Owner reserves the right to award other contracts in connection with other portions of the Project under these or similar contract conditions.

3.3.12.2. The Owner reserves the right to perform operations related to the Project with the Owner’s own forces.

3.3.12.3. Under a system of separate contracts, the conditions described herein continue to apply except as may be amended by change order.

3.3.12.4. The Contractor shall cooperate with other contractors employed on the project by the Owner, including providing access to site and project information as requested.

3.3.13. The Contractor shall not claim an invalid lien charge or the like on the Project. If at any time there shall be evidence of any lien, attachment, charge or claim to which the Project may be subjected, the Contractor shall take all steps necessary to discharge such lien, attachment, charge or claim. The Owner shall have the right to retain out of any payment to be made under the Contract an amount sufficient to indemnify the Owner completely against such lien, attachment, charge or claim (including, but not limited to, costs and legal costs for removing or discharging the lien, attachment, charge or claim.)

THE CONTRACTOR SHALL BE RESPONSIBLE FOR AND SHALL SAVE, INDEMNIFY,

DEFEND AND HOLD HARMLESS THE OWNER FROM AND AGAINST ALL LIENS,

ATTACHMENTS, CHARGES OR CLAIMS BY THE SUBCONTRACTORS OR SUPPLIERS IN

CONNECTION WITH OR ARISING OUT OF THE CONTRACT.

Article 4. Historically Underutilized Business (HUB) Subcontracting Plan

4.1 General Description. The purpose of the Historically Underutilized Business (HUB) Program is to promote equal business opportunities for economically disadvantaged persons (as defined by Tex. Gov’t Code, Chapter 2161) to contract with the State of Texas in accordance with the goals specified in the State of Texas Disparity Study. The HUB Program annual procurement utilization goals are per 34 Texas Administrative Code (TAC) §20.284.

4.1.1 State agencies are required by statute to make a good faith effort to assist HUBs in participating in contract awards issued by the State. 34 TAC § 20.281–298 outline the state's policy to encourage outreach to and potential utilization of HUBs in state contracting opportunities through race, ethnic and gender-neutral means.

4.1.2 A contractor who contracts with a state agency in an amount of $100,000 or greater is required to make a good faith effort to award subcontracts to HUBs in accordance with

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34 TAC §20.285 by submitting a HUB Subcontracting Plan at the time of bidding and complying with the HUB Subcontracting Plan after it is accepted and during the term of the contract.

4.1.3 The Owner promotes the State’s HUB Program and contractually requires the Contractor adhere to the HUB Program statute and rules as further described herein.

4.2 Compliance with Approved HUB Subcontracting Plan. Contractor, having been awarded this Contract in part by complying with the HUB Program statute and rules, hereby covenants to continue to comply with the HUB Program as follows:

4.2.1 Prior to substituting a Subcontractor, promptly notify the Owner in the event a change is required for any reason to the accepted HUB Subcontracting Plan.

4.2.2 Conduct the good faith effort activities required and provide the Owner with necessary documentation to justify approval of a change to the approved HUB Subcontracting Plan.

4.2.3 Cooperate in the execution of a Change Order or such other approval of the change in the HUB Subcontracting Plans as the Contractor and Owner may agree to.

4.2.4 Maintain and make available to Owner upon request business records documenting compliance with the accepted HUB Subcontracting Plan.

4.2.5 Upon receipt of payment for performance of Work, or in any case not less than monthly, submit to Owner a compliance report, in the format required by the Owner, that demonstrates Contractor’s performance of the HUB Subcontracting Plan.

4.2.6 Promptly and accurately explain and provide supplemental information to Owner to assist in the Owner’s investigation of the Contractor’s good faith effort to fulfill the HUB Subcontracting Plan and the requirements under 34 TAC §20.285.

4.3 Failure to Demonstrate Good Faith Effort. Upon a determination by Owner that Contractor has failed to demonstrate a good faith effort to fulfill the HUB Subcontracting Plan or any contract covenant detailed above, the Owner may, in addition to all other remedies available to it, report the failure to perform to the Texas Building and Procurement Commission Vendor Performance and may bar the Contractor from future contracting opportunities with the Owner.

Article 5. Bonds & Insurance

5.1. Construction Bonds. The Contractor is required to tender to Owner, prior to commencing the

Work, performance and payment bonds, as required by Tex. Gov’t Code, Chapter 2253.

5.1.1. A Performance Bond is required if the Contract Price is in excess of $100,000. The Performance Bond is solely for the protection of the Owner. The Performance Bond is to be for the Contract Sum to guarantee the faithful performance of the Work in accordance with the Contract Documents and shall be compatible with the provisions of the governing authority. The Performance Bond shall be effective through the Contractor’s warranty period.

5.1.2. A Payment Bond is required if the Contract Price is in excess of $25,000. The payment bond is to be for the Contract Sum and is payable to the Owner solely for the protection and use of payment bond beneficiaries who have a direct contractual relationship with the Contractor or a Subcontractor and shall be compatible with the provisions of the governing authority.

5.1.3. Bond Requirements. Each bond shall be executed by a corporate surety or sureties authorized to do business in the State of Texas and acceptable to the Owner, on the Owner’s form, and in compliance with the relevant provisions of the Texas Insurance Code. If any bond is for more than 10 percent of the surety’s capital and surplus, the

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Owner may require certification that the company has reinsured the excess portion with one or more reinsurers authorized to do business in the State. A reinsurer may not reinsure for more than 10 percent of its capital and surplus. If a surety upon a bond loses its authority to do business in the State, the Contractor shall, within thirty (30) days after such loss, furnish a replacement bond at no added cost to the Owner. Prior to the commencement of the Work, the Contractor shall file copies of each bond with the county clerk of the county in which the Project is located and furnish the Owner with a file receipt. The recording of the applicable Performance and Payment Bond in the applicable county shall be a condition precedent to the Contractor receiving payment for its Work. The bonds shall remain in force throughout the warranty period of the Contract.

5.1.4. Power of Attorney. Each bond shall be accompanied by a valid Power-of- Attorney (issued by the surety company and attached, signed and sealed with the corporate embosses seal, to the bond) authorizing the attorney in fact who signs the bond to commit the company to the terms of the bond, and stating any limit in the amount for which the attorney can issue a single bond.

5.1.5. Bond Indemnification. The process of requiring and accepting bonds and making claims thereunder shall be conducted in compliance with Tex. Gov’t Code, Chapter 2253. IF

FOR ANY REASON A STATUTORY PAYMENT OR PERFORMANCE BOND IS NOT

HONORED BY THE SURETY, THE CONTRACTOR SHALL FULLY INDEMNIFY AND HOLD

THE OWNER HARMLESS OF AND FROM ANY COSTS, LOSSES, OBLIGATIONS OR

LIABILITIES IT INCURS AS A RESULT.

5.1.6. Furnishing Bond Information. Owner shall furnish certified copies of the payment bond and the related Contract to any qualified person seeking copies who complies with Tex.

Gov’t Code, §2253.026.

5.1.7. Claims on Payment Bonds. Claims on payment bonds must be sent directly to the Contractor and his surety in accordance with Tex. Gov’t Code § 2253.041. All Payment Bond claimants are cautioned that no lien exists on the funds unpaid to the Contractor on such Contract, and that reliance on notices sent to the Owner may result in loss of their rights against the Contractor and/or his surety. The Owner is not responsible in any manner to a claimant for collection of unpaid bills, and accepts no such responsibility because of any representation by any agent or employee.

5.1.8. Payment Claims when Payment Bond not Required. The rights of Subcontractors regarding payment are governed by Tex. Prop. Code, §§ 53.231 – 53.239 when the value of the Contract between the Owner and the Contractor is less than $25,000.00. These provisions set out the requirements for filing a valid lien on funds unpaid to the Contractor as of the time of filing the claim, actions necessary to release the lien and satisfaction of such claim.

5.1.9. Sureties shall be listed on the US Department of the Treasury’s Listing Approved Sureties stating companies holding Certificates of Authority as acceptable sureties on Federal Bonds and acceptable reinsuring companies (Department Circular 570).

5.2. Insurance Requirements. The Contractor shall secure at its own expense and maintain in full force and effect during the Contract’s term the insurance requirements specified for Construction and Renovation Projects on the Owner’s Contract Insurance website at http://www.lonestar.edu/48937.htm. The Contractor shall also secure at its own expense and maintain in full force during the Contract’s term insurance in the types and amounts indicated below within this Article, unless otherwise stated herein or in any Supplementary General Conditions. The Contractor shall ensure that all insurance it is required to maintain under this Contract contains a waiver of subrogation in favor of Owner and satisfies the Owner’s Minimum Requirements for All Insurers located on the Owner’s Contract Insurance website at http://www.lonestar.edu/48937.htm. Failure to maintain insurance coverage, as required, is grounds for Suspension of Work for Cause pursuant to Article 14.

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5.2.1. Required insurance coverage must include:

5.2.1.1. Asbestos Abatement Liability Insurance, including coverage for liability arising from the encapsulation, removal, handling, storage, transportation, and disposal of asbestos containing materials. *This requirement applies if the Work or the Project includes asbestos containing materials.

The Combined single limit for bodily injury and property damage will be a minimum of $1,000,000 per occurrence.

Specific Requirement for Claims-Made Form: Required period of coverage will be determined by the following formula: Continuous coverage for life of the contract, plus one (1) year (to provide coverage for the warranty period), and an extended discovery period for a minimum of five (5) years which shall begin at the end of the warranty period.

5.2.1.2. All Risk Builder’s Risk Insurance. Contractor shall purchase and maintain, in a company or companies lawfully authorized to do business in the jurisdiction in which the project is located, builders risk insurance in the amount of the initial contract amount plus values of subsequent modifications, change orders, and loss of materials supplied or installed by others comprising the value of the entire project at the site on a replacement cost basis without optional deductibles. Such builders risk insurance shall be maintained, unless otherwise provided in the contract documents or otherwise agreed in writing by all persons and entities who are beneficiaries of such insurance, until final payment has been made or until no person or entity other than the College has insurable interest in the property to be covered, whichever is earlier.

The builders risk insurance shall include interests of the College, the general contractor, subcontractors, and sub-tier contractors in the project.

The builders risk coverage shall be written on a Special Covered Cause of Loss form and shall include theft; vandalism; malicious mischief; collapse;

false-work; temporary buildings; transit; debris removal, including demolition; increased cost of construction; architect’s fees and expenses; soft costs; flood, including water damage;, earthquake; and, if applicable, all below and above ground structures; piping; foundations, including underground water and sewer mains; piling, including the ground on which the structure rests; and excavation, backfilling, filling, and grading.

Equipment breakdown coverage (boiler and machinery) shall be included as required by the contract documents or by law, which shall specifically cover insured equipment during installation and testing, including cold and hot testing.

Insured property shall include portions of the work located away from the site but intended for use at the site and shall also cover portions of the work in transit. The policy shall cover the cost of removing debris, including demolition as may be made legally necessary by the operation of any law, ordinance, or regulation.

The policy shall specifically permit partial or beneficial occupancy at or prior to substantial completion or final acceptance of the entire Work. Partial occupancy or use of the work shall not commence until the insurance company or companies providing insurance have consented to such partial occupancy or use. Owner and Contractor shall take reasonable steps to obtain consent of the insurance company or companies, and agree to take no action, other than upon mutual written consent, with respect to occupancy

OGC-S-2016-02 - Uniform General & Supplementary General Conditions - Building Construction Standard Form Approved Approved 02.26.2016 – Revised 02.07.2024 by Lone Star College Page 13 of 41 Office of the General Counsel or use of the work that could lead to cancellation, lapse or reduction of insurance.

The deductible shall not exceed $5,000 (may be higher for Flood and Earthquake) and shall be the responsibility of the Contractor.

The builders risk policy shall remain in force until acceptance of the project by the College.

Contractors engaged in modifications of existing structures are required to secure a Beneficial Occupancy Endorsement which enables the College to occupy the facility during construction.

If Owner is damaged by failure of Contractor to maintain insurance as required in this section, then Contractor shall bear all reasonable costs properly attributable to that failure. Coverage shall be written for 100% of the completed value (replacement cost basis) of the work being performed.

Waiver of Subrogation is to apply against all parties named as insureds, but only to the extent the loss is covered.

If the Contractor does not intend to purchase such Builder’s Risk Insurance required by the Contract and with all of the coverages in the amount described above, the Contractor shall so inform the College as stated in writing prior to commencement of the work. The College may then effect insurance that will protect the interests of the College, the General Contractor, Subcontractors and sub-tier contractors in the project.

Coverages applying shall be the same as stated above including other coverages that may be required by the College. The cost shall be charged to the Contractor.

Coverage shall be written for 100% of the completed value of the work being performed, with a deductible not to exceed $5,000 per occurrence for most projects.

Higher deductibles may be used depending on size of contract. (Contact Risk Management for determination or approval of higher deductibles.)

Other coverage may be required if provided in the Contract documents.

Losses in excess of the deductible insured under the builder’s risk shall be adjusted in conjunction with the College. Any insurance payments/proceeds shall be made payable to the College. The contractor shall pay subcontractors their just shares of insurance proceeds received by the contractor, and by appropriate agreements, written where legally required for validity, shall require subcontractors to make payments to their sub-tier contractors in similar manner.

5.2.1.2.1. This insurance shall be specific as to coverage and not contributing insurance with any permanent insurance maintained on the property.

5.2.1.2.2. This insurance shall not contain an occupancy clause suspending or reducing coverage should the Owner occupy, or begin beneficial occupancy before the Owner has accepted substantial completion. The Contractor will be notified of the date on which the Builder’s Risk insurance policy may be terminated through Substantial Completion Notices, Acceptance Notices and/or other means as deemed appropriate by the Owner.

5.2.1.2.3. Loss, if any, shall be adjusted with and made payable to the Owner as Trustee for the insureds as their interests may appear;

OGC-S-2016-02 - Uniform General & Supplementary General Conditions - Building Construction Standard Form Approved Approved 02.26.2016 – Revised 02.07.2024 by Lone Star College Page 14 of 41 Office of the General Counsel the right of subrogation under the Builder’s Risk policy shall be waived as to the Owner. The Owner shall be named as Loss Payee. For renovation projects or projects that involve portions of work contained within an existing structure, refer to Special Conditions for possible additional Builder’s Risk insurance requirements.

5.2.1.2.4. The required insurance shall include coverage for Owner’s property in the care, custody and control of Contractor prior to construction and during construction.

5.2.2. Without limiting any of the other obligations or liabilities of the Contractor, the Contractor shall require each Subcontractor performing work under the Contract, at the Subcontractor's own expense, to maintain during the term of the Contract, the same stipulated minimum insurance including the required provisions and additional policy conditions as shown above. As an alternative, the Contractor may include its Subcontractors as additional insureds on its own coverage as prescribed under these requirements. The Contractor's certificate of insurance shall note in such event that the Subcontractors are included as additional insureds and that Contractor agrees to provide Workers’ Compensation for the Subcontractors and their employees. The Contractor shall obtain and monitor the certificates of insurance from each Subcontractor in order to assure compliance with the insurance requirements. The Contractor must retain the certificates of insurance for the duration of the Contract plus 5 years and shall have the responsibility of enforcing these insurance requirements among its subcontractors. The Owner shall be entitled, upon request and without expense, to receive copies of these certificates.

Article 6. Contract Documents

6.1. Drawings and Specifications.

6.1.1. Copies Furnished. The Contractor will be furnished, free of charge, the number of complete sets of the Drawings and Specifications as provided in the Supplementary General Conditions or Special Conditions. Additional complete sets of Drawings and Specifications, if requested, will be furnished at reproduction cost to the one requesting such additional sets.

6.1.2. Ownership of Drawings and Specifications. All Drawings, Specifications and copies thereof furnished by the AE are to remain A/E’s property. These documents are not to be used on any other project, and with the exception of one Contract set for each party to the Contract, are to be returned to the Architect/Engineer, upon request, following completion of the Work.

6.1.3. Interrelation of Documents. The Contract Documents as referenced in the Agreement between the Owner and the Contractor are complimentary, and what is required by one shall be as binding as if required by all.

6.1.4. Resolution of Conflicts in Documents. Where conflicts may exist between and/or within the Contract Documents, the higher quality, greater quantity, more restrictive, and/or more expensive requirement shall be required. The Contractor shall notify the AE and the ODR of any conflict before executing the work in question.

6.1.5. Contractor's Duty to Review Contract Documents. In order to facilitate its responsibilities for completion of the Work in accordance with and as reasonably inferable from the Contract Documents, prior to pricing or commencing the Work, the Contractor shall examine and compare the Contract Documents, information furnished by the Owner, relevant field measurements made by the Contractor and any visible or reasonably anticipated conditions at the site affecting the Work. This duty extends throughout the construction phase prior to commencing each particular work activity

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6.1.6. Discrepancies and Omissions in Drawings and Specifications

6.1.6.1. The Owner does not warrant or make any…