Natural Gas System Annual Labor Contract FY27.pdf

Energy Resources

Request for Proposal #: 320-110826AG

Natural Gas System Annual Labor Contract FY27

Date of Issue: 9/11/2026

Proposal Due Date: 10/1/2026 at 02:00 P.M. ET

Direct all inquiries concerning this RFP to:

Alicia Gaines

Purchasing Associate III

Email: alicia.gaines@rockymountnc.gov

Phone: 252-972-1227

Sealed, mailed responses ONLY will be accepted for this solicitation.

mailto:alicia.gaines@rockymountnc.gov

CONTENTS

COVER

SUPPLEMENTAL VENDOR INFORMATION .................................................................................... SVI

INTENT TO BID ..................................................................................................................................... IB

INVITATION TO BID………………………………………………………………………………………….ADV

INSTRUCTION TO BIDDERS ........................................................................................................... INST

GENERAL CONDITIONS ..................................................................................................................... GC

TECHNICAL SPECIFICATIONS ............................................................................................................ S

PROPOSAL FORM ............................................................................................................................. PP

BID BOND ........................................................................................................................................... BB

NON-COLLUSION AFFIDAVIT .......................................................................................................... NC

REFERENCE REQUEST .................................................................................................................... RR

MINORITY BUSINESS PARTICIPATION .......................................................................................... MBP

FEDERAL EMPLOYER IDENTIFICATION ..................................................................................... FEIN

PROPOSAL EXECUTION .................................................................................................................. PE

GENERAL TERMS ACCEPTANCE .................................................................................................GTA

E-VERIFY…..........................................................................................................................................EV

DEBARMENT AND SUSPENSION.................................................................................................... DS

AGREEMENT...................................................................................................................................CON

PERFORMANCE AND PAYMENT BOND ........................................................................................ PB

TYPICAL DETAILS ........................................................................................................................... TD

SUPPLEMENTAL VENDOR INFORMATION

HISTORICALLY UNDERUTILIZED BUSINESSES

Historically Underutilized Businesses (HUBs) consist of minority, women and disabled business firms that are at least fifty-one percent owned and operated by an individual(s) of the categories. Also included in this category are disabled business enterprises and non-profit work centers for the blind and severely disabled.

Pursuant to G.S. 143B-1361(a), 143-48 and 143-128.4, the City invites and encourages participation in this procurement process by businesses owned by minorities, women, disabled, disabled business enterprises, and non-profit work centers for the blind and severely disabled. This includes utilizing subcontractors to perform the required functions in this IFB. Any questions concerning NC HUB certification, contact the North Carolina Office of

Historically Underutilized Businesses at (919) 807-2330. The Vendor shall respond to questions a and b below.

a) Is Vendor a Historically Underutilized Business? Yes No

b) Is Vendor Certified with North Carolina as a Historically Underutilized Business? Yes No If so, state

HUB classification: ________________________________________________________________

CONTRACTOR REGISTRATION

New vendors must complete a vendor registration form using the link below. If you are a current vendor that has not completed the online vendor registration, also complete the form. Once registration is complete, email a copy of your

W-9 and E-Verify Affidavit to the contact person listed on the coversheet.

https://www.rockymountnc.gov/316/Vendor-Registration http://ncadmin.nc.gov/businesses/hub http://ncadmin.nc.gov/businesses/hub http://ncadmin.nc.gov/businesses/hub https://www.rockymountnc.gov/316/Vendor-Registration

ADVERTISEMENT FOR BIDS

CITY OF ROCKY MOUNT, NORTH CAROLINA

NATURAL GAS SYSTEM ANNUAL LABOR CONTRACT FY27

Pursuant to Section 143-129 of the General Statutes of North Carolina, sealed proposals endorsed “RFP 320-

110826AG – Natural Gas System Annual Labor Contract FY27” will be received by the City of Rocky Mount

Purchasing Office in the Frederick E. Turnage Administrative Complex, 331 South Franklin Street, until

2:00 P.M., on Thursday, October 1, 2026, at which time they will be publicly opened and read in Conference Room

#1 located on the 2nd floor of the Frederick E. Turnage Administrative Complex.

This Work can involve the installation, replacement, repair, abandonment, and removal of natural gas facilities in and adjacent to the existing City of Rocky Mount, North Carolina’s natural gas distribution systems. The methods of installation for the facilities may include direct burial, horizontal directional drill and boring.

All work shall be completed in accordance with the Specifications included in the bid package. The bid package shall include the cost to install various pipeline facilities (pipe, fittings, valves, etc.) listed in the Proposal Contract. All work completed on the City of Rocky Mount natural gas system, which has facilities in both Edgecombe and Nash County, North Carolina, should be completed in accordance with local, state, and federal regulations as described in the

Contract Documents.

Proposals must be submitted on standard forms provided in the Specifications booklet and must be marked “Proposal for Natural Gas System Annual Labor Contract FY27, RFP 320-110826AG”. The quantities listed for the various requirements of these specifications are “estimated quantities” with the City reserving the right to make quantity adjustments should the need arise.

Instructions for submitting bids and complete specifications for the work, equipment, supplies, or services desired may be obtained online at https://www.rockymountnc.gov/Bids.aspx or https://evp.nc.gov/solicitations/

Each proposal must be accompanied by a deposit equal to five (5%) percent of the estimated Contract amount of

$700,000 or $35,000. This deposit may consist of cash or a certified check drawn on a bank or trust company authorized to do business in the State of North Carolina or on a bank insured by the Federal Deposit Insurance

Corporation, payable to the City of Rocky Mount, North Carolina, or a five (5%) percent Bid Bond issued by any insurance company authorized to do business in the State of North Carolina, the deposit to be retained in the event of failure of the Successful Bidder to execute the contract within (10) days after the award or to give satisfactory surety as required.

All contractors are hereby notified that they shall properly comply with any North Carolina state laws governing their respective trades.

The length of the Contract will be one (1) year.

The City of Rocky Mount reserves the right to reject any and all bids and will not discriminate against any bidder submitting a bid because of race, creed, color, national origin, religion, or handicap.

CITY OF ROCKY MOUNT

Alicia Gaines

Purchasing Associate III https://www.rockymountnc.gov/Bids.aspx https://evp.nc.gov/solicitations/

ROCKY MOUNT, NORTH CAROLINA NATURAL GAS

SYSTEM ANNUAL LABOR CONTRACT FY27

INSTRUCTION TO BIDDERS

General:

To be valid for consideration, bids must be completed and submitted in accordance with these Instructions to Bidders.

Schedule:

The table below shows the intended schedule for this RFP. The City will make every effort to adhere to this schedule.

Event Responsibility Date and Time

Issue RFP City Friday 9/11/2026

Pre-Bid Meeting City Friday 9/18/2026 10:00 am

Submit Written Questions Vendor Tuesday 9/22/2026 5:00 pm

Provide Response to Questions City Thursday 9/24/2026

Submit Proposals Vendor Thursday 10/1/2026 2:00 pm

Examination of Bid Documents and Site:

Before submitting bids, each Bidder must examine the bid documents thoroughly; familiarize itself with Federal, State, and Local laws, ordinances, rules, and regulations affecting the Work; and correlate its observations with requirements of the Bid Documents.

Should a Bidder find discrepancies in, or omissions from, the Contract Documents, or should He be in doubt as to their meaning, He should notify the Engineer immediately. The Engineer may send written instructions to each person receiving a set of Contract Documents following such notice from a Bidder(s).

Whenever a certain brand, make, or manufacturer is noted in the Specifications, it is intended to denote the quality standard of the article desired or being provided by the Owner, but unless otherwise noted does not restrict Bidder or the Owner to the specific brand or manufacturer. It is intended to set forth and convey to the prospective Bidder the general style, type, character, and quality of the article desired or being provided.

Each Bidder is requested and expected to be familiar with the typical construction conditions that may be encountered in and around the City of Rocky Mount’s natural gas distribution system to alert Himself to local and special conditions which may be encountered during construction of assigned tasks such as: labor and transportation, handling and storage of materials, the availability of materials, and site access. Failure to make such investigations shall not relieve the successful Bidder from performing and completing the Work in accordance with the Contract Documents.

Pre-Bid Conference: A pre-bid conference will be held on Friday, September 18, 2026, at 10:00 a.m. in the Energy

Resources Operations Center conference room located at 628 Albemarle Avenue for the purposes of explaining the Scope of Work and answering questions related to the project.

Interpretations:

No oral interpretations of the Bid Documents will be made to any Bidder. To be given consideration, requests for interpretations must be received in time to allow preparation of a written response at least five (5) days prior to the date fixed for receipt of bids. Interpretations will be issued in the form of a written Addendum (Addenda) to the Bid

Documents. Each Addendum shall be provided to all parties recorded by The City of Rocky Mount Purchasing

Department as having received Bid Documents, prior to scheduled receipt of bids. Only interpretations by formal written addenda will be binding.

All communications in regard to interpretations and any other matters related to this project shall be addressed to the

Purchasing Division, Alicia Gaines, Purchasing Associate III, City of Rocky Mount Finance Department, PO Box 1180, Rocky Mount, NC 27802-1180.

Preparation of Bid Documents:

Each bid package shall include the following properly executed documents:

1. Proposal Form

2. Bid Bond

3. Non-Collusion Affidavit

4. Reference Request

5. Supplemental Vendor Information

6. Minority Business Participation

7. Federal Employer Identification

8. Proposal Execution

9. General Terms Acceptance

10. E-Verify

11. Debarment and Suspension

Each proposal must be submitted in a sealed envelope, marked sufficiently to indicate its contents without being opened. This envelope shall be enclosed in a second envelope. The Contractor’s North Carolina License Number shall be noted on the outside envelope with the following notation “North Carolina License No. __________”. Beneath the Contractor’s License Number, each Bidder shall also note the Project Bid Number (CRM RFP 320-110826AG).

The outside envelope shall be addressed to:

Alicia Gaines

Purchasing Associate III

City of Rocky Mount

331 South Franklin Street

Rocky Mount, North Carolina, 27804.

Proposal Form:

All proposals must be made upon the blank form of Proposal provided in this bid package. Unit bid prices are to be submitted in figures based on the estimated quantities associated with each line item, and the total sum will be used to determine the lowest bidder. The prices are to include the furnishing of all equipment, tools, and other facilities, and the performance of all labor work, except such as may be otherwise expressly provided for in the Contract

Documents.

Each Bidder is required to bid on all requested unit prices listed in the Proposal Form unless otherwise stated. The

Bidder shall sign his Proposal correctly, and proposals may be rejected if they show any omissions, alterations of form, additions not called for, a conditional bid, or any irregularities of any kind.

Bid Bond:

The Bidder shall submit a Bid Bond with the Bid package in the amount equal to five percent (5%) of the estimated

Contract amount of $700,000 or $35,000. The deposit shall be in the form of a Certified Check drawn on a bank or trust company insured by the Federal Deposit Insurance Corporation, payable to the City of Rocky Mount or by a Bid

Bond issued by a surety licensed to conduct business in North Carolina. The Bid Deposit is to be retained in the event of failure of the successful Bidder to execute the Contract within ten (10) days after the Notice of Award is issued or failure to give satisfactory surety as required.

Non-Collusion Affidavit:

Each bid shall be accompanied by a Non-Collusion Affidavit executed on the form provided herein. The Non-Collusion

Affidavit must be completed in the state and county wherein the affiant resides and/or maintains his place of business.

In Section 1, the affiant will place his name, residence, and office address. In Section 3, if the affiant is an individual, he will place on the first line the word, “Himself”, and allow the remaining lines to be blank; if the affiant is acting on behalf of a corporation, partnership, etc., all lines of Section 3 must be filled in.

Equal Opportunity Employment:

The North Carolina General Statutes Section 143-422 will govern the terms of this contract.

Modification and Withdrawal of Bids:

Bids may be modified or withdrawn by an appropriate document duly executed (in the manner that a bid must be executed) and delivered to the place where bids are to be submitted at any time prior to the opening of bids.

Receipt and Opening of Bids:

Sealed bids for the Natural Gas System Annual Labor Contract FY27 will be received by the City of Rocky Mount

Purchasing Office in the Frederick E. Turnage Administrative Complex, 331 South Franklin Street, until 2:00 PM

(EST) on Thursday, October 1, 2026, at which time they will be opened and read publicly in the Conference Room

#1 located on the 2nd floor of the Frederick E. Turnage Administrative Complex. Any bids received after the time and date specified will not be considered. Conditional bids will be rejected.

Bidders or their authorized Agents are invited to be present.

Award of Contract:

The Contract may be awarded by the City Council of the City of Rocky Mount, North Carolina, within one hundred

(100) calendar days from the date of the opening of the Proposals submitted, and no Proposal may be withdrawn by a bidder until the expiration of that amount of time. The award of the contract will be to the lowest responsible and responsive Bidder, whose qualifications indicate the award will be in the best interest of the City of Rocky Mount and whose bid meets the prescribed requirements.

The City reserves the right to reject any and all bids and waive any and all informalities, and the right to disregard all nonconforming or conditional bids or counterproposals.

The City reserves the right to request additional financial statements together with statements of past related experience, personnel, and equipment available to perform the Contract. Failure or refusal to furnish such a statement or statements shall constitute a basis for disqualifying any Bidder.

The length of the Contract will be one (1) year. The City does not anticipate that the Work will require continuous

Contractor crew(s) presence during the Contract Length. The Contractor must agree to commence work on or before a date agreed upon for each task assignment issued by the Engineer and to fully complete the Work within a schedule established by the City. Dependent on the size, value, and required schedule of the individual assignments, the City may include a Liquidated Damages clause in the task assignment. When the Liquidated Damages clause is included in a task assignment, the Contractor must also agree to pay as liquidated damages the sum of $500.00 for each consecutive calendar day beyond the established completion date.

No charge or claims of the Contractor will be allowed for the hinderance or delay from any cause in the progress of the Work.

Agreement:

The Agreement will be prepared by the City of Rocky Mount and provided to the successful Bidder. The Insurance

Certificate and Bonds shall be drawn on forms acceptable to the City.

Payment and Performance Bond:

The successful Bidder shall furnish a Payment and Performance Bond from a surety company authorized to do business in North Carolina for one hundred percent (100%) of the estimated Contract value, conditioned on the faithful performance of the terms of the Contract.

In place of such bond, the successful Bidder may provide money, government securities, or a Certified Check on a

North Carolina bank or trust company, payable to the City of Rocky Mount, North Carolina, for the full amount of the

Contract to guarantee the performance of the terms of the Contract. A Payment and Performance Bond shall be executed on forms furnished elsewhere within these Contract Documents.

Insurance:

Insurance requirements are listed in the General Conditions. Types of insurance and amounts required are listed there.

Permits, Taxes and Licenses:

The Contractor shall obtain and pay for all necessary permits, taxes and licenses required in connection with the

Work, and he must strictly comply with all laws, local ordinances, and regulations that may apply to the Work.

GENERAL CONDITIONS FOR NATURAL GAS SYSTEM

NATURAL GAS ANNUAL LABOR CONTRACT FY27

ENERGY RESOURCES DEPARTMENT

NATURAL GAS DIVISION

TABLE OF CONTENTS

GENERAL CONDITIONS

1.1 Scope of Work

1.1.1 General Construction Conditions

1.1.2 Value of Contract

1.2 Definitions

1.3 Standards Compliance

1.4 Regulatory Compliance

1.4.1 Drug-Free Work Place

1.4.2 Operator Qualification

1.4.1.1 Drug Testing

1.5 Owner’s Engineer

1.6 Insurance

1.7 Performance and Payment Bond

1.6.1 Liability Insurance

1.8 Responsibility, Risk, Blame, Etc

1.9 Contract Documents

1.9.1 Plan and Specifications Contradictions

1.9.2 Interpretation of Specification Intent

1.9.3 Implied Work

1.9.4 Required Work Not Covered by a Unit Cost

1.10 Employment Practices

1.11 Permits and Licenses

1.12 Assignment

1.13 Sub-Contracting

1.14 Special Services

1.15 Force Account Services

1.16 Work Hours

1.17 Contract Length

1.18 Notice to Proceed

1.17.1 Task Length, Time for Completion and Liquidated Damages

1.19 Scheduling of Work

1.20 Responsibility for Connecting to Existing Work

1.21 Supervision

1.22 Contractor Crew Requirements

1.23 Cooperation with Municipal Departments, Public Utilities, Etc

1.21.1 Foreman

1.22.1 Increase / Reduction of Crews

1.24 Inspection

1.25 Changes in The Work

1.24.1 Final Inspection

1.26 Payment to Contractor

1.26.1 Final Payment

1.26.2 Taxes

1.27 Guarantee of Work

1.28 Suspension of Work

GENERAL CONDITIONS FOR

NATURAL GAS SYSTEM ANNUAL LABOR CONTRACT FY27

GENERAL CONDITIONS

These conditions and every part herein are binding upon the Contractor insofar as they can or do apply to him or his Work, and he shall be responsible for neglect to read or to attend to any paragraph or item contained herein. The Engineer shall decide as to the meaning and applicability of any part of these General Conditions, or of anything in the Technical Specifications, and in each case his decision shall be binding and final.

1.1 Scope of Work

This Contract covers the general construction services required for the installation, replacement, repair or maintenance of natural gas distribution facilities within the City of Rocky Mount’s natural gas distribution system. These facilities will be located within the City of Rocky Mount and surrounding Nash and Edgecombe

Counties.

The Work consists of and includes the performing of all operations and the furnishing of all plant, labor, equipment, and other facilities and things necessary or proper for or incidental to the construction and testing of natural gas supply and/or distribution mains, all complete, tested, accepted, and connected to the existing gas system.

1.1.1 General Construction Conditions

Natural gas main and service installations will vary in size from one-half (½) inch services to twelve (12) inch mains. The main and service piping will typically be medium density or high density polyethylene but may include steel piping and fittings to connect to existing steel facilities. The mains and services will be operated at 60 psig. Typically, mains and services will be tested at 100 psig to allow for a maximum allowable operating pressure of 67 psig.

This Contract shall require the Contractor to work on live gas mains and services.

The types of Work required under this Contract shall include: direct burial, directional drilling, plowing-in, dead insertion, and bore installation of polyethylene and steel gas mains and services.

The City anticipates a need for utilization of one to two (1-2) crews for this Contract.

Award of this Contract shall in no way restrict the City from using its own construction crews or from hiring additional Contractors to perform the same or similar type of Work.

1.1.2 Value of Contract

The Work to be performed under this Contract is funded entirely through the City’s Gas annual budget;

therefore, the City does not guarantee a minimum or maximum value of this Contract. The City’s fiscal year is July 1 through June 30.

1.2 Definitions

Whenever in these Contract Documents the following terms or pronouns in place of them are used, the intent and meaning shall be interpreted as follows:

OWNER: The City of Rocky Mount, North Carolina, as represented by its duly authorized representative.

ENGINEER: Rob Pate, Gas Distribution Manager for the City of Rocky Mount. The word Engineer shall be understood as referring to the Engineer of the Owner.

INSPECTOR: An authorized representative of the Engineer or Owner assigned to make any and all necessary inspections of the Work performed and material furnished by the Contractor.

BIDDER: Any individual, firm, or corporation with whom a contract is made by the Owner.

SUB-CONTRACTOR: The term Sub-Contractor, as employed herein, includes only those having a direct contract with the Contractor, and it includes one who furnished material worked to a special design according to the Plans and Specifications of this Work, but does not include one who merely furnished material not so worked.

CHANGE ORDER: A written agreement between the Owner and the Contractor with the approval of the

Engineer, which, when duly executed, becomes part of the Contract. Change orders may either increase or decrease the Work to be performed under the Contract.

NOTICE TO PROCEED: A written notice from the Owner notifying the Contractor to begin prosecution of the

Work.

CONTRACT PERIOD: The period of time between the date of commencement specified by the Owner on a written Notice to Proceed and the elapse of the specified number of consecutive calendar days stated in the

Proposal form will be known as the Contract Period.

SURETY: The corporate body which is bound with and for the Contractor and which engages to be responsible for the Contractor and his accepted performance of the Work as covered herein.

SURETY BOND OR PERFORMANCE BOND: The approved form of security furnished by the

Contractor and his surety as a guarantee of good faith on the part of the Contractor to execute the Work in accordance with the terms of the Contract required in the amount of one hundred (100%) percent of the

Contract price.

WORK: The term Work, as used herein, refers to and includes all plant, labor, supplies, equipment, and other things necessary or proper for or incidental to the carrying out and completion of the terms of this Contract.

1.3 Standards Compliance

The Contractor shall comply with all provisions of the City of Rocky Mount’s “Operations and Maintenance

Plan”.

1.4 Regulatory Compliance

1.4.1 Drug-Free Workplace

During the performance of this contract, the Contractor agrees to:

(1) Provide a drug-free workplace for the Contractor's employees.

(2) Post in conspicuous places, available to employees and applicants for employment, a statement notifying employees that the unlawful manufacture, sale, distribution, dispensation, possession, or use of a controlled substance or marijuana is prohibited in the Contractor's workplace and specifying the actions that will be taken against employees for violation of such prohibition.

(3) State in all solicitations or advertisements for employees placed by or on behalf of the Contractor that the Contractor maintains a drug-free workplace.

(4) Include the provisions of the foregoing clauses in every subcontract, so that the provisions will be binding upon each subcontractor or vendor.

"Drug-free workplace" means a site for the performance of Work done in connection with a project in accordance with this chapter. The employees of the Contractor are prohibited from engaging in the unlawful manufacture, sale, distribution, dispensation, possession or use of any controlled substance or marijuana during the performance of the Work.

1.4.1.1 Drug Testing

Any and all employees of the Contractor who will be involved with the performance of construction and maintenance operations under this Contract shall be required to participate in an anti-drug/drug testing program. This program shall be administered in accordance with

Title 49 of the Code of Federal Regulations, Chapter I, Part 199 (49 CFR 199), “Drug Testing,” and Subtitle A, Part 40, “Procedures for Transportation Workplace Drug Testing Programs.”

The program must have been in force for no less than 12 months, and the Contractor must show proof of enforcement to the Owner.

The Contractor shall furnish the City with documentation of participation in a qualified drug-testing program. Prior to the performance of any fusion and/or tie-in operations, a negative (no evidence of drug use) test must be documented for all employees who will be involved with these operations.

The Contractor shall provide the Engineer with its Business Tax Identification Number (BTIN).

The Contractor shall also provide a completed copy of PHMSA’s Drug and Alcohol Testing MIS

Data Collection Form when it is submitted to PHSMA annually for the duration of the Contract.

1.4.2 Operator Qualification

Contractors are required to provide a current copy of the Company’s written Operator Qualification (OQ)

Plan prior to award of the Contract. Copies of all employee OQ qualifications shall be provided to the

Engineer prior to beginning the Work. The OQ written plan and employee records shall be in accordance with Title 49 of the Code of Federal Regulations, Chapter I, Part 192 (49 CFR 192), Subtitle N, “Qualification of Pipeline Personnel” and shall meet or exceed the requirements of the City of Rocky

Mount’s Operator Qualification Program. The Contractor’s training and qualification process used for qualifying personnel that will provide services for this Contract shall meet the City’s program requirements. The Contractor will be provided with a list of the City’s minimum Operator Qualification requirements for qualification of personnel.

During the progress of the Contract, the Contractor shall furnish the City with records of continuous employee qualification for all employees as requested. Qualification documentation shall be provided for all new employees prior to performing work on the City’s natural gas system.

The City may, at its discretion, accept the provisions of a Contractor’s Plan. Contractors shall make available, upon request, written records of their employee’s qualifications. At a minimum these records shall include:

(1) Identification of qualified individual(s)

(2) Identification of covered task(s) each individual is qualified to perform

(3) Date that current qualification was received

(4) Method of evaluation used to obtain qualification

(5) Name of individual or organization for each covered task

(6) Training program outlines and materials

(7) List of non-qualified individuals that will be performing tasks on behalf of the City while under the direction of a Contract qualified individual.

1.5 Owner’s Engineer

Rob Pate, City of Rocky Mount Gas Distribution Manager, is the designated Engineer.

The term Engineer, as used herein, indicates the individual or firm named above and/or his duly authorized representative(s).

The Engineer shall have general supervision of the Work as the agent of the Owner. He shall have the authority to direct the construction insofar as the proper execution of the Contract is affected.

All Work shall be subjected to inspection of the Engineer to ascertain that Work is done in accordance with the

Contract and whose determination of the quality, acceptability, and fitness of the Work shall be final.

The Engineer shall be the sole judge of the adequacy of the construction equipment furnished by the Contractor and shall have the right to require the Contractor to provide additional equipment and to replace inadequate equipment. He shall decide upon all questions which may arise as to the interpretation of the Plans and

Specifications.

1.6 Insurance

The Contractor shall provide the Owner with certificates and/or memoranda of all insurance required, each with the following notation or endorsement: “Written notice” by registered mail of cancellation, expiration, non-renewal or changes in coverage, during the full period of construction covered by this Contract shall be given to the Owner ten (10) days prior to date of such cancellation, expiration, non- renewal, or changes in coverage affecting this policy.” The City of Rocky Mount shall be named as co-insured on all policies.

Certificates and/or memoranda of insurance shall be provided in such quantities as required to be bound with each copy of Agreement and/or Contract.

1.6.1 Liability Insurance

(1) The Contractor shall maintain in a company acceptable to the Owner such insurance as will protect him from claims to property or from any personal injury, including death, which may arise from operations under this Contract, whether such operations are performed by the Contractor or by any

Sub-Contractor or anyone directly or indirectly employed by either of them. This general liability insurance must include pollution liability insurance coverage. The minimum required limits of such liability insurance, unless modified by requirements specified in the Special Conditions section will be as follows:

a) General Liability: $2,000,000.00

b) Railroad Crossings: $2,000,000.00 each crossing

c) Workmen’s Compensation: Statutory

d) Bodily Injury: $300,000.00 / $500,000.00

e) Property Damage: $200,000.00

f) Automobile Bodily Injury: $300,000.00/$500,000.00

g) Automobile Property Damage: $200,000.00

(2) The Contractor shall maintain in a company acceptable to the Owner, complete Owner’s Protective

Liability Insurance in the limits specified above for Bodily Injury Liability Insurance and Property

Damage Liability Insurance.

(3) Fire and Extended Coverage Insurance. The Contractor shall insure all Work covered by his

Contract against loss or damage by fire, and against loss or damage by the standard extended coverage insurance endorsement, in an Insurance Company or Companies acceptable to the

Owner. The amount of insurance at all times shall be at least equal to the amount paid on account of Work and materials installed or delivered but not yet paid for by the Owner. The policies shall be in the names of the Owner and the Contractor showing the amount and type of coverage, terms of policies, and other data and shall be delivered to the Owner before any payment will be made to the

Contractor.

1.7 Performance and Payment Bond

Performance and Payment Bond(s) in the full amount of the Contract Price will be required of the successful

Bidder to guarantee the faithful performance of the Work in compliance with the Contract Documents and to guarantee the payment of all labor and material bills in connection with compliance of the Contract. The bond(s) shall be on approved form and dated the same as the Contract and accompanied by a current Power of

Attorney. These bonds must be executed with the Contract and delivered to the Owner within ten (10) days after the date of official notice of award and transmittal of Contracts for execution or else the bid security shall be forfeited to the Owner and shall be considered as liquidated damages. The Bonding Company shall be licensed to do business in the State in which the Work is to be performed.

1.8 Responsibility, Risk, Blame, Etc.

The Contractor shall indemnify and save the Owner and Engineer harmless from and against all losses, claims, demands, suits, actions, recoveries, and judgments of every nature and description brought or recoverable against it or them by reason of any act or omission of the Contractor, his agent, or employees, in the execution of the Work or in consequence of any negligence or carelessness regarding the same.

The Contractor shall assume all risk and bear any loss or injury to property or persons occasioned by neglect or regulation, or order. The Contractor shall give to the proper authorities all required notices relating to the

Work, obtain all official permits and licenses and pay all proper fees. He shall make good any injury that may have occurred to any adjoining building, structure, or utility in consequence of this Work.

The Contractor shall defend all suits or claims for infringement of any patent rights and shall save the Owner and Engineer harmless from loss on account thereof. If the Contractor has information that a process or article specified is an infringement of a patent, he shall promptly give such information to the Engineer. The Contractor shall pay all royalties and license fees.

1.9 Contract Documents

The Contract Documents consist of the Agreement, the General Conditions, the Technical Specifications, the

Drawings (including such detail drawings as may be furnished from time to time during the performance of the

Work in explanation of said drawings), the accepted Proposal, the Performance Bond, the Power of Attorney, Workmen’s Compensation Insurance, Public Liability and Property Damage Insurance, and Builder’s Risk or

Fire Insurance Certificates. These form the Contract. The Contract Documents are complementary and what is called for by one shall be as binding as if called for by all.

Where reference is made to Specifications such as ASTM or ANSI, the latest edition shall be used unless otherwise stated.

The Engineer may issue additional instructions by means of supplemental Plans/Drawings or otherwise, from time to time during the progress of the Contract, to illustrate more fully the intent of the Contract Work or to illustrate changes in the Work.

The Contractor shall keep one copy of all Plans/Drawings and Specifications with each crew on the site of the

Work.

All Plans/Drawings, Specifications, and copies thereof furnished by the Engineer are his property. They are not to be used on other Work and, except for the signed Contract set, are to be returned to him on request, at the completion of the Work.

1.9.1 Plan and Specifications Contradictions

When deemed necessary, the Engineer shall provide Plans for individual projects. Where contradictions in the Plans and Specifications occur, the more restrictive provision shall apply unless otherwise authorized by the Engineer. The Contractor shall immediately notify the Engineer of any such contradiction and shall abide by the Engineer’s decision.

1.9.2 Interpretation of Specification Intent

The Engineer shall have the authority to interpret the intent and meaning of these specifications. 1.9.3

Implied Work

All incidental work required through the Plans and/or the Specifications and Work Orders, or as otherwise directed by the Engineer, for which no payment is specifically provided, and any and all work or materials not specified herein which may fairly be implied as included in the Contract and necessary to complete the Work, and which the City shall judge to be so included, shall be executed and/or furnished by the Contractor without extra compensation.

1.9.4 Required Work Not Covered by a Unit Cost

A price must be submitted to and approved by the Engineer prior to performing the Work for any required

Work that is outside of the scope of services described in the Contract Documents or is determined that it does not qualify as implied work and is not covered by a specific unit cost in the Bid Proposal. Any

Work performed without prior, written approval from the Engineer will be performed at the sole expense of the Contractor.

1.10 Employment Practices

The Contractor shall comply with all local, state, and federal laws relating to the terms and conditions of the employment of workers to perform any Work under the Contract and shall conform in every respect with applicable rules, regulations, and statutes pertaining to wages and hours of work, discriminatory employment practices, whose age or physical condition is such that his employment might be injurious to his health or safety or to that of others.

The Contractor shall provide such equipment and medical facilities as are necessary to supply first aid service to anyone who may be injured in connection with the Work. All accidents in which death or serious injuries or serious damages are caused shall be reported immediately by telephone or messenger to both the Engineer and the Owner. The Contractor may be required to report the facts of any such accident in writing to the

Engineer, giving full details and statements of witnesses.

1.11 Permits and Licenses

Permits and licenses of a temporary nature necessary for the prosecution of the Work shall be secured and paid for by the Contractor. Permits and licenses for permanent structures or permanent changes in existing facilities shall be secured and paid for by the Owner, unless otherwise specified.

The Contractor shall give all notices and comply with all laws, ordinances, rules and regulations bearing on the conduct of the Work as drawn and specified. If the Contractor observes that the Drawings and

Specifications are at variance therewith, he shall promptly notify the Engineer in writing.

1.12 Assignment

Neither party to the Contract Documents shall assign the Contract or sublet it as a whole without the written consent of the other, nor shall the Contractor assign any monies due or to become due to him hereunder, without the previous written consent of the Owner.

1.13 Sub-Contracting

The Contractor shall not award any Work to any Sub-Contractor without prior written approval of the Owner.

Approval will be contingent upon the Contractor supplying written information concerning the proposed award as the Owner may require.

If the Contractor sublets any part of the Contract, the Contractor shall be as fully responsible to the Owner for the acts and omissions of his Sub-Contractor and of the persons either directly or indirectly employed by his

Sub-Contractor, as he is for the acts and omissions of persons directly employed by him.

Nothing contained in the Contract Documents shall create any contractual relation between any Subcontractor and the Owner.

1.14 Special Services

The Contractor may be required to provide special construction services during the course of the Work. These services may include surveying, geotechnical, meter and regulator station fabrication and installation, etc.

When Contractor forces are to perform the special services, the Contractor shall submit costs for performing the services to the Engineer for approval. When outside services are used to perform the special services tasks, the Contractor shall provide to the Engineer for approval a minimum of two quotes from companies specializing in the particular service. The Contractor shall be responsible for contacting, subcontracting with, and supervising personnel for the company(s) performing these services.

Measurement and Payment

The Contractor shall be compensated for special services as described above on a cost-plus basis. The

Contractor will be reimbursed the direct costs associated with the particular work plus fifteen (15) percent to cover the cost of any and all equipment, material and labor required to complete the special services.

1.15 Force Account Services

The Contractor may be required to provide construction services not covered by the Specifications. The only time that force account prices shall be allowed are for:

(1) System repair services

(2) Emergency response services

(3) When the Contractor is asked to mobilize an additional crew(s), except for a welder and related welding equipment, with less than fourteen calendar days’ notice.

The City reserves the right to direct the crew size required for force account services. Limitations or directions pertaining to the crew size will be based on the Engineer’s assessment of crew requirements for each work order performed under force account services.

Measurement and Payment

The Contractor shall provide unit costs for labor and equipment rates based on the personnel classification and equipment type. The unit price bid for force account services shall include all cost associated with the employment of personnel plus the Contractor’s standard profit margin and all cost associate with the operation of equipment plus the Contractor’s standard profit margin.

1.16 Work Hours

All Work shall be performed in such a manner that will not conflict with or increase the normal five-day work week of the City of Rocky Mount. The normal work hours are 7:00 a.m. to 3:30 p.m., Monday through Friday.

Saturday work and work performed after 5:00 p.m. on Monday through Friday shall normally be limited to clean-up operations and no Work will be scheduled for Sundays or holidays.

The Contractor will typically be allowed to work from 7:00 a.m. to 5:00 p.m. on Monday through Friday as long as the work between 3:30 p.m. and 5:00 p.m. does not require the presence of any City personnel other than the inspector that is assigned to the project.

Work after 5:00 p.m. (night work) is not included in the Contract normal working hours and will not typically be allowed. Occasional work after the normal work hours provided for in this section may be allowed with the

Engineer’s approval but is not an expressed privilege of the Contract. The City may, upon the request of the

Contractor, allow night work with the understanding that the work as described above is being performed entirely for the convenience of the Contractor, as long as a City inspector is available to be onsite and no other

City personnel are required to be available for assistance, make repairs, etc. If the Contractor chooses to perform the night work for his convenience, all additional costs, without exception, to the Contractor including labor, rental equipment, etc., will not be considered a basis for additional compensation to the Contractor.

Weekend work is not included in the Contract normal working hours and the Contractor will not be allowed to perform any work required by the Contract except for cleanup.

1.17 Contract Length

This Contract will be for one (1) year. The City further reserves the right to terminate the Contract at any time.

1.17.1 Task Length, Time for Completion and Liquidated Damages

Time is an essential element of the Contract and it is important that each task assigned through the

Work be prosecuted vigorously to completion. Each task assignment will include a time for completion

(Task Length). When the task assignment is provided to the Contractor, the Engineer will also designate whether the task assignment is subject to liquidated damages or not.

Where a task assignment is subject to liquidated damages, it is expressly understood and agreed by and between the Contractor and the Owner that the Task Length for the task assigned to the Contractor is a reasonable time for the completion of the Work and that for each consecutive normal working day

(Monday through Friday whether work is performed by the Contractor or not) that any Work shall remain uncompleted after the end of the task assignment Task Length, the Contractor shall pay to the City the amount of five hundred dollars ($500.00) per consecutive working day, not as a penalty but as a predetermined and agreed liquidated damage. Such amount shall be deducted by the Owner from any balance due or to become due the Contractor under the terms of the Contract. During the liquidated damages period, considerations for holidays that are observed by the City will be provided to the

Contractor. However, the Engineer shall determine if and how much consideration the Contractor will be allowed for non-performance of work resulting from inclement weather.

Considerations for holidays and inclement weather will be included in the development of the Task`

Length and no extension of the Task Length will be allowed for weather related downtime, unless the downtime related to inclement weather exceeds the average normals.

The City may grant to the Contractor an extension of the Task Length for additional Work resulting from any modification(s) to the scope of the project, for delays caused by the City or for other reasons beyond the control of the Contractor which in the City’s judgment would justify such extension. A request for a time extension shall be made within seven (7) calendar days following any event causing a delay.

No extension of the Length will be allowed when the actual installed quantities as described in the original Contract are less than twenty-five (25) percent in excess of the estimated Contract quantities.

If the Contractor is requested by the City to install facilities that are not described in the original Contract, then the Contractor shall submit a written request for an extension of the Task Length. The Engineer will review the request for additional time and make a determination at that time or defer to a later date within the Task Length as to the allowance for additional time. If the Engineer determines that additional time is justified, then the Engineer shall make a determination for the length of extension allowed.

The assessment of liquidated damages for failure to complete the Work within the Task Length shall not constitute a waiver of the City’s right to collect any additional damages that the City may sustain by failure of the Contractor to carry out the terms of the Contract.

1.18 Notice to Proceed

No Work shall begin on this project until the Engineer has issued a Notice to Proceed directing the Contractor to proceed with the Work.

1.19 Scheduling of Work

The Engineer shall have control of the order in which the various parts of the Work are to be performed. The order of Work as determined by the Contractor will be followed expect where the Engineer determines that such order would not be to the best interests of the City of the general public.

For larger tasks, the Contractor shall be required to furnish the Engineer, within three (3) weeks after Notice to

Proceed, a detailed cost breakdown, to be used as a basis for authorizing Progress Payments, and a construction Progress Schedule showing estimated dates for commencing and completing each phase of construction.

1.20 Responsibility for Connecting to Existing Work

It shall be the expressed responsibility of the Contractor to connect his Work to each part of the existing Work or Work previously installed where shown on the Drawings, and where directed by the Specifications to provide a complete installation.

1.21 Supervision

The Contractor shall keep on the Work at all times during its progress a competent foreman for each crew. The foreman or foremen having a minimum of three (3) years’ experience in the installation of natural gas distribution facilities. The foreman who are adequately trained and knowledgeable of the requirements of natural gas system construction and repairs such that they may perform the Work and direct other Contractor personnel to perform the Work. The foremen shall be able to understand the

Plans and these Specifications and be able to follow verbal direction for the installation and repair of the natural gas facilities. The Superintendent shall manage all Work performed by all of the Contractor’s crews. The Superintendent shall not be replaced without written notice to the Engineer except under extraordinary circumstances, as determined by the Engineer. The Superintendent will be the

Contractor’s representative at the site and shall have authority to act on behalf of the Contractor. All communications to or from the Superintendent shall be binding as if given to or received from the

Contractor.

1.21.1 Foreman

The Contractor shall provide foreman who are adequately trained and knowledgeable of the requirements of natural gas system construction and repairs such that they may perform the Work and direct other Contractor personnel to perform the Work. The foremen shall be able to understand the

Plans and these Specifications and be able to follow verbal direction for the installation and repair of the natural gas facilities.

1.22 Contractor Crew Requirements

The Contractor shall provide a sufficient number of crews to efficiently complete the Work required by each task assignment within the Contract Length.