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AG 21-117 - AIR TECH HEATING & COOLINGRETURN TO: EXT: AUTUMN GRESSETT 6914 CITY OF FEDERAL WAY LAW DEPARTMENT ROUTING FORM I. ORIGINATING DEPT./DIV: PRCS/PAEC 2. ORIGINATING STAFF PERSON: AUTUMN GRESSETT EXT: 6914 3. DATE REQ. BY: ASAP 4. TYPE OF DOCUMENT (CHECK ONE): ❑ CONTRACTOR SELECTION DOCUMENT (E.G, RFB. RFP. RFQ) ❑ PUBLIC WORKS CONTRACT R SMALL OR LIMITED PUBLIC WORKS CONTRACT ❑ PROFESSIONAL SERVICE AGREEMENT mi MAINTENANCE AGREEMENT ❑ GOODS AND SERVICE AGREEMENT ❑ HUMANSERVICES/ CDBG ❑ REAL ESTATE DOCUMENT ❑ SECURITY DOCUMENT (E.G. BOND RELATED DOCUMENTS) ❑ ORDINANCE ❑ RESOLUTION ❑ CONTRACT AMENDMENT (AG#): ❑ INTERLOCAL ❑ OTHER S. PROJECT NAME: AIR TECH HEATING & COOLING MAINTENANCE AGREEMENT & AIR TECH HEATING & COOLING LIMITED PW 6. NAME OF CONTRACTOR: AIR TECH HEATING & COOLING ADDRESS: 1611 5TH ST SE TELEPHONE 253-444-6937 E-MAIL: JAMESQRE"ES.COM FAX: SIGNATURE NAME: TITLE OWNER 7. EXHIBITS AND ATTACHMENTS: R SCOPE, WORK OR SERVICES ❑ COMPENSATION ❑ INSURANCE REQUIREMENTS/CERTIFICATE ❑ ALL OTHER REFERENCED EXHIBITS ❑ PROOF OF AUTHORITY TO SIGN ❑ REQUIRED LICENSES ❑ PRIOR CONTRACT/AMENDMENTS 8. TERM: COMMENCEMENT DATE: July 1, 2021 COMPLETION DATE: December 3l. 2027 9. TOTAL COMPENSATION $ 19,999 INCLUDING TAXES PER YEAR (INCLUDE EXPENSES AND SALES TAX_ IF ANY) (IF CALCULATED ON HOURLY LABOR CHARGE -ATTACH SCHEDULES OF EMPLOYEES TITLES AND HOLIDAY RATES) REIMBURSABLE EXPENSE: ❑ YES ❑ NO IF YES. MAXIMUM DOLLAR AMOUNT: $ IS SALES TAX OWED ❑ YES ❑ NO IF YES, $ PAID BY: ❑ CONTRACTOR ❑ CITY RETAINAGE: RETAINAGE AMOUNT: ❑ RETAINAGE AGREEMENT (SEE CONTRACT) OR ❑ RETAINAGE BOND PROVIDED ❑ PURCHASING: PLEASE CHARGE TO: 10. DOCUMENT/CONTRACT REVIEW INITIAL/DATE REVIEWED INITIAL/DATE APPROVED * PROJECT MANAGER AG 7/20/2021 ❑ DIRECTOR ❑ RISK MANAGEMENT (IF APPLICABLE) W LAW JE 7/26/2021 11. COUNCIL APPROVAL (IFAPPLICABLE) SCHEDULED COb1\IITTEE DATE: COM\IITTEE APPROVAL DATE: SCHEDULED COUNCIL, DATE: COUNCILAPPROVAL Dm-E: 12. CONTRACT SIGNATURE ROUTING ❑ SENT TO VENDOR/CONTRACTOR DATE SENT: DATEREC'D: ❑ ATTACH: SIGNATURE AUTHORITY; INSURANCE CERTIFICATE, LICENSES; EXHIBITS ❑ CREATE ELECTRONIC REMINDER/NOTIFICATION FOR 1 MONTH PRIOR TO EXPIRATION DATE (Include dept. support staff if necessary and feel free to set notification more than a month in advance if council approval is needed.) I'NITIALI DATE SIC-NE1 i'1,LAW DEPARTMENT Y-SIGNATORY(i,m7ii a )IRL roc CITY CLERK ASSIGNED AG# AG# S�SIGNED COPY RETURNED DATE SENT: COMMENTS- 1/2018 LIMITED PUBLIC WORKS CONTRACT FOR MINI SPLIT AIR CONDITIONERS/HEAT PUMPS This limited public works contract ("Contract") is dated effective this 261h day of July, 2021 and is made by and between the City of Federal Way, a Washington municipal corporation ("City" or "Owner"), and James Reaves DBA Air Tech Heating & Cooling, a Washington State Sole Proprietor ("Contractor"). A. The City desires to retain an independent contractor to furnish all labor and materials necessary to perform work at 3200 SW Dash Point Rd, Federal Way, Washington ("Property"); and B. The Contractor has the requisite skill and necessary experience to perform such work. NOW, THEREFORE, the Parties ("Parties") agree to the following terms and conditions: 1. SERVICES BY CONTRACTOR 1.1 Description of Work. Contractor shall perform all work and furnish all tools, materials, supplies, equipment, labor and other items incidental thereto necessary for the construction and completion of the work, more particularly described as the Mini Split Air Conditioner/Heat Pump Installation project, in Exhibit "A" attached hereto and incorporated by this reference, ("Work"), and in accordance with and as described in the Contract Documents, which include without limitation, this Contract, Contract Change Order Agreement attached as Exhibit `B," Notice to Labor Unions attached as Exhibit "C," Certificate(s) of Insurance Form attached hereto as Exhibit "D," Prevailing Wage Rates attached as Exhibit "E," Title VI Assurances attached hereto as Exhibit "F," and all other Appendices attached hereto and incorporated by this reference, (collectively the "Contract Documents"), which Work shall be completed to the City's satisfaction, within the time period prescribed by the City and pursuant to the direction of the Mayor or his or her designee. 1.2 Completion Date. The Work shall be commenced within five (5) days of receipt by the Contractor of the City's Notice to Proceed. The Work shall be completed on or before the 31" day of July, 2022. In the event the Work is not completed within the time specified, Contractor agrees to pay to the City liquidated damages in the amount set forth in the formula included in Section 1.3 of this Contract. The Work shall not be deemed completed until the City has accepted the Work. 1.3 Liquidated Damages. Time is of the essence of the Contract. Delays inconvenience the traveling public, obstruct traffic, interfere with and delay commerce, and increase risk to Highway users. Delays also cost tax payers undue sums of money, adding time needed for administration, engineering, inspection, and supervision. Accordingly, the Contractor agrees: 1 7/2021 1. To pay liquidated damages in the amount of $200.00 for each working day beyond the number of working days established for Physical Completion, and 2. To authorize the Engineer to deduct these liquidated damages from any money due or coming due to the Contractor. When the Contract Work has progressed to the extent that the Contracting Agency has full use and benefit of the facilities, both from the operational and safety standpoint, all the initial plantings are completed and only minor incidental Work, replacement of temporary substitute facilities, plant establishment periods, or correction or repair remains to physically complete the total Contract, the Engineer may determine the Contract Work is substantially complete. The Engineer will notify the Contractor in writing of the Substantial Completion Date. For overruns in Contract time occurring after the date so established, liquidated damages shown above will not apply. For overruns in Contract time occurring after the Substantial Completion Date, liquidated damages shall be assessed on the basis of direct engineering and related costs assignable to the project until the actual Physical Completion Date of all the Contract Work. The Contractor shall complete the remaining Work as promptly as possible. Upon request by the Engineer, the Contractor shall furnish a written schedule for completing the physical Work on the Contract. Liquidated damages will not be assessed for any days for which an extension of time is granted. No deduction or payment of liquidated damages will, in any degree, release the Contractor from further obligations and liabilities to complete the entire Contract. 1.4 Performance Standard. Contractor shall perform the Work in a manner consistent with accepted practices for other properly licensed contractors, performed to the City's satisfaction, within the time period prescribed by the City. 1.5 Compliance with Laws. Contractor shall perform the Work in accordance with all applicable federal, state and City laws, including, but not limited to all City ordinances, resolutions, standards or policies, as now existing or hereafter adopted or amended, and obtain all necessary permits and pay all permits, inspection or other fees, at its sole cost and expense. 1.6 Change Orders. The City may, at any time, without notice to sureties, order changes within the scope of the Work. Contractor agrees to fully perform any such alterations or additions to the Work. All such change orders shall be in the form of the Contract Change Order Agreement attached hereto as Exhibit `B," which shall be signed by both the Contractor and the City, shall specifically state the change of the Work, the completion date for such changed Work, and any increase or decrease in the compensation to be paid to Contractor as a result of such change in the Work. Oral change orders shall not be binding upon the City unless confirmed in writing by the City. If any change hereunder causes an increase or decrease in the Contractor's cost of, or time required for, the performance or any part of the Work under this Contract, an equitable adjustment will be made and the Contract modified in writing accordingly. 2 7/2021 If the Contractor intends to assert a claim for an equitable adjustment hereunder, it shall, within five (5) days after receipt of a written change order from the City or after giving the City the written notice required above, as the case may be, submit to the City a written statement setting forth the general nature and monetary extent of such claim; provided the City, in its sole discretion, may extend such five (5) day submittal period upon request by the Contractor. The Contractor shall supply such supporting documents and analysis for the claims as the City may require determining if the claims and costs have merit. No claim will be allowed for any costs incurred more than five (5) days before the Contractor gives written notice as required. No claim by the Contractor for an equitable adjustment hereunder will be allowed if asserted after final payment under this Contract. 1.7 Work and Materials Omitted. The Contractor shall, when directed in writing by the City, omit work, services and materials to be furnished under the Contract and the value of the omitted work and materials will be deducted from the Total Compensation and the delivery schedule will be reviewed if appropriate. The value of the omitted work, services and materials will be a lump sum or unit price, as mutually agreed upon in writing by the Contractor and the City. If the parties cannot agree on an appropriate deduction, the City reserves the right to issue a unilateral change order adjusting the price and the delivery schedule. 1.8 Utifily Location. Contractor is responsible for locating any underground utilities affected by the Work and is deemed to be an excavator for purposes of Chapter 19.122 RCW, as amended. Contractor shall be responsible for compliance with Chapter 19.122 RCW, including utilization of the "one call" locator system before commencing any excavation activities. 1.9 Air Environment. Contractor shall fully cover any and all loads of loose construction materials including without limitation, sand, dirt, gravel, asphalt, excavated materials, construction debris, etc., to protect said materials from air exposure and to minimize emission of airborne particles to the ambient air environment within the City of Federal Way. 2. TERM This Contract shall commence on the effective date of this Contract and continue until the completion of the Work, which shall be no later than the 3 Pt day of July, 2022, and the expiration of all warranties contained in the Contract Documents ("Term"). 3. WARRANTY 3.1 Requisite Skill. The Contractor warrants that it has the requisite skill to complete the Work, and is appropriately accredited and licensed by all applicable agencies and governmental entities, including, but not limited to being registered to do business in the City of Federal Way by obtaining a City of Federal Way business registration. Contractor represents that it has visited the site and is familiar with all of the plans and specifications in connection with the completion of the Work. 3 7/2021 3.2 Defective Work. The Contractor shall, at its sole cost and expense, correct all Work which the City deems to have defects in workmanship and material discovered within one (1) year after the City's final acceptance of the Work. 4. COMPENSATION 4.1 Total Compensation. In consideration of the Contractor performing the Work, the City agrees to pay the Contractor an amount not to exceed Nineteen Thousand Nine Hundred Ninety -Nine and 98/100 Dollars ($19,999.98) calculated as follows: (i) Contractor's Fee. An amount not to exceed the sum of Eighteen Thousand One Hundred Eighty -One and 80/100 Dollars ($18,181.80), calculated on the basis of the hourly labor charge rate schedule for Contractor's personnel and reimbursable expenses attached hereto as Exhibit "G"; and Washington State sales tax equal to One Thousand Eight Hundred Eighteen and 18/100 Dollars ($1,818.18), for a total of Nineteen Thousand Nine Hundred Ninety -Nine and 98/100 Dollars ($ t 9,999.98)]; (ii) Reimbursable Expenses. The actual customary and incidental expenses incurred by Contractor in performing the Services including materials, supplies and other reasonable costs; provided, however, that such costs shall be deemed reasonable in the City's sole discretion and shall not exceed 50% of the total amount invoiced. 4.3 Contractor Responsible for Taxes. Except as otherwise provided in Section 4.1 hereof, the Contractor shall be solely responsible for the payment of any taxes imposed by any lawful jurisdiction as a result of the performance and payment of this Contract. 4.4 Nonpayment. The City shall have the right to withhold payment to the Contractor for any of the Work not completed in a satisfactory manner, in the City's sole discretion, which shall be withheld until such time as Contractor modifies or repairs the Work so that the Work is acceptable to the City. 4.5 Method of Payment. Payment by the City for the Work will only be made after the Work has been completed, a voucher or invoice is submitted in the form specified by the City, and such invoice is approved by the appropriate City representative. Payment shall be made within thirty (30) days of receipt of such invoice or voucher unless otherwise set forth in the Bid Form. The Contractor's acceptance of such payment for the Work shall constitute full compensation for the performance of the Work. Invoices shall be submitted, in duplicate to: 4 7/2021 City of Federal Way ATTN: Accounts Payable 33325 8th Avenue South Federal Way, WA 98003-6325 Duplicate invoices shall be furnished to: City of Federal Way ATTN: Rob Ettinger 33325 8th Avenue South Federal Way, WA 98003-6325 5. EQUAL OPPORTUNITY EMPLOYER In all Contractor services, programs or activities, and all Contractor hiring and employment made possible by or resulting from this Contract, there shall be no discrimination by Contractor or by Contractor's employees, agents, subcontractors or representatives against any person because of sex, age (except minimum age and retirement provisions), race, color, creed, national origin, marital status or the presence of any disability, including sensory, mental or physical handicaps, unless based upon a bona fide occupational qualification in relationship to hiring and employment. This requirement shall apply, but not be limited to the following: employment, advertising, layoff or termination, rates of pay or other forms of compensation, and selection for training, including apprenticeship. Contractor shall comply with and shall not violate any of the terms of Chapter 49.60 RCW, Title VI of the Civil Rights Act of 1964, the Americans With Disabilities Act, Section 504 of the Rehabilitation Act of 1973, 49 CFR Part 21, 21.5 and 26, or any other applicable federal, state, or local law or regulation regarding non- discrimination. Contractor shall post a notice to Labor Unions or other employment organizations, attached hereto as Exhibit "C," as required by Section 202 of Executive Order 11246. Any material violation of this provision shall be grounds for termination of this Contract by the City and, in the case of the Contractor's breach, may result in ineligibility for further City agreements. If this project involves federal funds including USDOT funds administered by WSDOT, the contractor agrees to the clauses contained in Exhibit F. 6. INDEPENDENT CONTRACTOR/CONFLICT OF INTEREST It is the intention and understanding of the Parties that the Contractor shall be an independent contractor and that the City shall be neither liable nor obligated to pay Contractor sick leave, vacation pay or any other benefit of employment, nor to pay any social security or other tax which may arise as an incident of employment. The Contractor shall pay all income and other taxes as due. Industrial or any other insurance purchased for the benefit of the City, regardless of whether such may provide a secondary or incidental benefit to the Contractor, shall not be deemed to convert this Contract to an employment contract. It is recognized that Contractor may or will be performing work during the Term for other parties; provided, however, that such performance of other work shall not conflict with or interfere with the 5 7/2021 Contractor's ability to perform the Work. Contractor agrees to resolve any such conflicts of interest in favor of the City. 7. TERMINATION Prior to the expiration of the Term, this Contract may be terminated immediately, with or without cause by the City. 8. INDEMNIFICATION 8.1 Contractor Indemnification. The Contractor agrees to indemnify, defend and hold the City, its elected officials, officers, employees, agents, and volunteers harmless from any and all claims, demands, losses, actions and liabilities (including costs and all attorney fees) to or by any and all persons or entities, including, without limitation, their respective agents, licensees, or representatives, arising from, resulting from, or connected with this Contract to the extent caused by the negligent acts, errors or omissions of the Contractor, its partners, shareholders, agents, employees, or by the Contractor's breach of this Contract. Contractor waives any immunity that may be granted to it under the Washington State Industrial Insurance Act, Title 51 RCW. Contractor's indemnification shall not be limited in any way by any limitation on the amount of damages, compensation or benefits payable to or by any third party under workers' compensation acts, disability benefit acts or any other benefits acts or programs. 8.2 City Indemnification. The City agrees to indemnify, defend and hold the Contractor, its officers, directors, shareholders, partners, employees, and agents harmless from any and all claims, demands, losses, actions and liabilities (including costs and attorney fees) to or by any and all persons or entities, including without limitation, their respective agents, licensees, or representatives, arising from, resulting from or connected with this Contract to the extent solely caused by the negligent acts, errors, or omissions of the City, its employees or agents. 8.3 Survival. The provisions of this Section shall survive the expiration or termination of this Contract with respect to any event occurring prior to such expiration or termination. 9. INSURANCE 9.1 Minimum Limits. The Contractor agrees to carry as a minimum, the following insurance, in such forms and with such carriers who have a rating, which is satisfactory to the City: (1) Workers' compensation and employer's liability insurance in amounts sufficient pursuant to the laws of the State of Washington; (2) Commercial general liability insurance with combined single limits of liability not less than $2,000,000 or bodily injury, including personal injury or death, products liability and property damage. 6 7/2021 (3) Automobile liability insurance covering all owned, non -owned, hired and leased vehicles with a minimum combined single limits in the minimum amounts required to drive under Washington State law per accident for bodily injury, including personal injury or death, and property damage (4) If any structures are involved in the Contract, the Contractor shall maintain an "All Risk Builder's Risk 2 form at all times in an amount no less than the value of the structure until final acceptance of the project by the City. 9.2 Endorsements. Each insurance policy shall contain, or be endorsed to contain, the following provisions: (1) The City, its officers, officials, employees, volunteers and agents shall each be named as additional insured. (2) Coverage may not be terminated or reduced in limits except after thirty (30) days prior written notice by certified mail, return receipt requested, to the City. (3) Coverage shall be primary insurance as respects the City, its officials, employees and volunteers. Any insurance or self-insurance maintained by the City, its officials, employees or volunteers shall be in excess of Contractor's insurance. (4) Coverage shall apply to each insured separately against whom claim is made or suit is brought. (5) Coverage shall be written on an "occurrence" form as opposed to a "claims made" or "claims paid" form. 9.3 Verification. Contractor shall furnish the City with certificates of insurance evidencing the coverage required by this Section, attached hereto as Exhibit "D" and incorporated by this reference. The City reserves the right to require complete certified copies of all required insurance policies, at any time. 9.4 Subcontractors. Contractors shall include all subcontractors as additional insured under its policies or shall furnish separate certificates for each subcontractor. All coverage for subcontractors shall be subject to all of the requirements stated herein. 9.5 Deductibles and Self Insured Retentions. Any deductibles or self -insured retentions must be disclosed by Contractor and approved in writing by the City. At the option of the City, Contractor shall either reduce or eliminate such deductibles or self -insured retentions or procure a bond guaranteeing payment for any amounts not covered by the insurance by reason of such deductibles or self -insured retentions. 9.6 Asbestos Abatement or Hazardous Materials. If asbestos abatement or hazardous materials work is performed, Contractor shall review coverage with the City's Risk Manager and provide scope and limits of coverage that are appropriate for the scope of Work and are 7 7/2021 satisfactory to the City. Contractor shall not commence any Work until its coverage has been approved by the Risk Manager. 9.7 Termination. The Contractor's failure to provide the insurance coverage required by this Section shall be deemed to constitute non -acceptance of this Contract by the Contractor and the City may then award this Contract to the next lower bidder. The provisions of this Section shall survive the expiration or termination of this Contract with respect to any event occurring prior to such expiration or termination. 10. SAFETY Contractor shall take all necessary precautions for the safety of employees on the work site and shall comply with all applicable provisions of federal, state and municipal safety and health laws and codes, including without limitation, all OSHA/WISHA requirements, Safety and Health Standards for Construction Work (Chapter 296-155 WAC), General Safety and Health Standards (Chapter 296-24 WAC), and General Occupational Health Standards (Chapter 296-62 WAC). Contractor shall erect and properly maintain, at all times, all necessary guards, barricades, signals and other safeguards at all unsafe places at or near the Work for the protection of its employees and the public, safe passageways at all road crossings, crosswalks, street intersections, post danger signs warning against known or unusual hazards and do all other things necessary to prevent accident or loss of any kind. Contractor shall protect from damage all water, sewer, gas, steam or other pipes or conduits, and all hydrants and all other property that is likely to become displaced or damaged by the execution of the Work. The Contractor shall, at its own expense, secure and maintain a safe storage place for its materials and equipment and is solely responsible for the same. 11. PREVAILING WAGES 11.1 Wages of Employees. This Contract is subject to the minimum wage requirements of Chapter 39.12 of the Revised Code of Washington, as now existing or hereafter amended or supplemented. In the payment of hourly wages and fringe benefits to be paid to any of Contractor's laborers, work persons and/or mechanics, Contractor shall not pay less than the "prevailing rate of wage" for an hour's work in the same trade or occupation in the locality within the State of Washington where such labor is performed, as determined by the Industrial Statistician of the Department of Labor and Industries of the State of Washington, which "prevailing rates of wage" are attached hereto as Exhibit "E" and incorporated herein by this reference. Prevailing wages paid pursuant to this Agreement shall be the prevailing wage rates, which are in effect on the date when the bids, proposals, or quotes were required to be submitted to the City. 11.2 Exemptions to Prevailing Wage. The prevailing wage requirements of Chapter 39.12 RCW, and as required in this Contract do not apply to: (1) Sole owners and their spouses; 8 7/2021 (2) Any partner who owns at least 30% of a partnership; and (3) The President, Vice President and Treasurer of a corporation if each one owns at least 30% of the corporation. 11.3 Reporting Requirements. Contractor shall comply with all reporting requirements of the Department of Labor and Industries of the State of Washington. Upon the execution of this Contract, Contractor shall complete and file a Statement of Intent to Pay Prevailing Wages with the Department of Labor and Industries. Upon completion of the Work, Contractor shall complete and file an Affidavit of Wages Paid with the Department of Labor and Industries. Contractor shall deliver copies of both the Statement of Intent to Pay Prevailing Wages and the Affidavit of Wages Paid, certified by the Department of Labor and Industries, to the City. 11.4 Disputes. In the event any dispute arises as to what are the prevailing rates of wages for work of a similar nature and such dispute cannot be resolved by the City and the Contractor, the matter shall be referred for arbitration to the Director of the Department of Labor and Industries of the State of Washington and the decision therein shall be final and conclusive and binding on all parties involved in the dispute. 12. FAILURE TO PAY SUBCONTRACTORS In the event the Contractor shall fail to pay any subcontractors or laborers, or fail to pay for any materials or any insurance premiums, the City may terminate this Contract and/or the City may withhold from the money which may be due the Contractor an amount necessary for the payment of such subcontractors, laborers, materials or insurance premiums. 13. OWNERSHIP OF DOCUMENTS All originals and copies of work product, including plans, sketches, layouts, designs, design specifications, records, files computer disks, magnetic media, all finished or unfinished documents or material which may be produced or modified by Contractor while performing the Work shall become the property of the City and shall be delivered to the City at its request. 14. CONFIDENTIALITY Any records, reports, information, data or other documents or materials given to or prepared or assembled by the Contractor under this Contract will be kept as confidential and shall not be made available to any individual or organization by the Contractor without prior written approval of the City. 15. BOOKS AND RECORDS The Contractor agrees to maintain books, records, and documents which sufficiently and properly reflect all direct and indirect costs related to the performance of this Contract and such accounting procedures and practices as may be deemed necessary by the City to assure proper accounting of all funds paid pursuant to this Contract. These records shall be subject at all 9 7/2021 reasonable times to inspection, review or audit by the City, its authorized representative, the State Auditor, or other governmental officials authorized by law to monitor this Contract. 16. CLEAN UP At any time ordered by the City and immediately after completion of the Work, the Contractor, shall, at its own expense, clean up and remove all refuse and unused materials of any kind resulting from the Work. In the event the Contractor fails to perform the necessary clean up, the City may, but in no event is it obligated to, perform the necessary clean up and the costs thereof shall be immediately paid by the Contractor to the City and/or the City may deduct its costs from any remaining payments due to the Contractor. 17. CONTRACTOR AND SUBCONTRACTOR RESPONSIBILITY: 17.1 Contractor Verification. The Contractor verifies that it has a certificate of registration with the State of Washington; has a current state unified business identifier number; is not disqualified from bidding on any public works contract under RCW 39.06.010 or 39.12.065 (3); has industrial insurance as required by Title 51 RCW, if applicable; has an employment security department number as required in Title 50 RCW, if applicable; has a state excise tax registration number as required in Title 82 RCW, if applicable; possesses a valid electrical contractor license as required by chapter 19.28 RCW, if applicable; and possesses an elevator contractor license as required by chapter 70.87 RCW, if applicable. 17.2 Subcontractor Contracts. The Contractor shall include the language of this section in each of its first tier subcontracts, and shall require each of its subcontractors to include the same language of this section in each of their subcontracts, adjusting only as necessary the terms used for the contracting parties. Upon request of the Owner, the Contractor shall promptly provide documentation to the Owner demonstrating that the subcontractor meets the subcontractor responsibility criteria below. The requirements of this section apply to all subcontractors regardless of tier. 17.3 Subcontractor Verification. At the time of subcontract execution, the Contractor shall verify that each of its first tier subcontractors meets the following bidder responsibility criteria: Have a current certificate of registration in compliance with chapter 18.27 RCW, which must have been in effect at the time of subcontract bid submittal; Have a current Washington Unified Business Identifier (UBI) number; Not be disqualified from bidding on any public works contract under RCW 39.06.010 or 39.12.065 (3); Have Industrial Insurance (workers' compensation) coverage for the subcontractor's employees working in Washington, as required in Title 51 RCW, if applicable; A Washington Employment Security Department number, as required in Title 50 RCW, if applicable; A Washington Department of Revenue state excise tax registration number, as required in Title 82 RCW, if applicable; An electrical contractor license, if required by Chapter 19.28 RCW, if applicable; An elevator contractor license, if required by Chapter 70.87 RCW. 10 7/2021 18. GENERAL PROVISIONS 18.1 Entire Contract. The Contract Documents contain all of the agreements of the Parties with respect to any matter covered or mentioned in this Contract and no prior agreements or understandings pertaining to any such matters shall be effective for any purpose. 18.2 Modification. No provisions of this Contract, including this provision, may be amended or added to except by agreement in writing signed by the Parties or their respective successors in interest. 18.3 Full Force and Effect. Any provision of this Contract, which is declared invalid, void or illegal, shall in no way affect, impair, or invalidate any other provision hereof and such other provisions shall remain in full force and effect. 18.4 Assignment. The Contractor shall not transfer or assign, in whole or in part, any or all of its obligations and rights hereunder without the prior written consent of the City. In the event the City consents to any such assignment or transfer, such consent shall in no way release the Contractor from any of its obligations or liabilities under this Contract. 18.5 Successors In Interest. Subject to the preceding Subsection, this Contract shall be binding upon and inure to the benefit of the Parties' successors in interest, heirs and assigns. 18.6 Attorney Fees. In the event the City or the Contractor defaults on the performance of any terms in this Contract, and the Contractor or City places the enforcement of the Contract or any part thereof, or the collection of any monies due, or to become due hereunder, or recovery of possession of any belongings, in the hands of an attorney, or file suit upon the same, each Party shall pay all its own attorneys' fees, costs and expenses. The venue for any dispute related to this Contract shall be King County, Washington. 18.7 No Waiver. Failure of the City to declare any breach or default immediately upon occurrence thereof, or delay in taking any action in connection with, shall not waive such breach or default. Failure of the City to declare one breach or default does not act as a waiver of the City's right to declare another breach or default. 18.8 Governing. This Contract shall be made in and shall be governed by and interpreted in accordance with the laws of the State of Washington. 18.9 Authority. Each individual executing this Contract on behalf of the City and Contractor represents and warrants that such individuals are duly authorized to execute and deliver this Contract on behalf of the Contractor or City. 18.10 Notices. Any notices required to be given by the City to Contractor or by the Contractor to the City shall be delivered to the Parties at the addresses set forth below. Any notices may be delivered personally to the addressee of the notice or may be deposited in the United States mail, postage prepaid, to the address set forth herein. Any notice so posted in the United States mail shall be deemed received three (3) days after the date of mailing. 11 7/2021 18.11 Captions. The respective captions of the Sections of this Contract are inserted for convenience of reference only and shall not be deemed to modify or otherwise affect in any respect any of the provisions of this Contract. 18.12 Performance. Time is of the essence of this Contract and each and all of its provisions in which performance is a factor. Adherence to completion dates is essential to the Contractor's performance of this Contract. 18.13 Compliance with Ethics Code. If a violation of the City's Ethics Resolution No. 91-54, as amended, occurs as a result of the formation and/or performance of this Contract, this Contract may be rendered null and void, at the City's option. 18.14 Conflicting Provisions. In the event of a conflict between the terms and provisions of any of the Contract Documents, the Mayor or his or her designee shall issue an interpretation of the controlling document, which interpretation shall be final and binding. DATED the day and year set forth above. CITY OF FEDERAL WAY: W HgU< Pkks Director 332 th Avenue South 'ederal Way, WA 98003-6325 APPROVED AS TO FORM: ATTEST: . Ryan Call, City Atto [1,,.j$t ph ni t, urtney, CM ,' City Clerk JAMES REAVES DBA AIR TECH HEATING & COOLING: By: Its: 12 Dwr,V-�r- • .. .,� fro 7/2021 (Phone) STATE OF WASHINGTON ) ss. COUNTY OF WyH- SCS-7 - On this day personally appeared before me, �TA V o CC- �) C'4 f t� 1 k h1) tc to me known to be the individual described in and who executed the foregoing instrument, and on oath swore that he/she then executed the foregoing instrument as his/herMisiF free and voluntary act and deed for the uses and purposes therein mentioned. GIVEN my hand and official seal this �pTAipy ♦ yr' l i 176970 AZ OF W PSN = t►��r day of -Z-W`� , 2021. � , t q'U - -Af -C, hMKWAW 1, �ypep me name of notary) Noubii -ifi and for the S ate f Washington. My commission expires 1`'11'n2s 13 7/2021 EXHIBIT A SCOPE OF WORK 1. The Contractor shall do or provide the following: • HVAC services shall include installation of Mini Split Air Conditioners and Heat Pumps (contractor recommendation of product) Service will not commence until and unless the City chooses to replace a unit. • HVAC Mini Split pricing shall include entire design and installation, as well as thermostat installation to control comfort levels. • Contractor and employees shall be trained and skilled to perform all related services, and have experience with all types of HVAC systems and services and all work shall be performed per manufacturer's recommendation. ■ Contractor shall be responsible for entire design, permitting, electrical, and installation. 2. Contractor and its employees shall be required may be required to punch in/out on a City time clock at some facilities 14 7/2021 EXHIBIT B CONTRACT CHANGE ORDER AGREEMENT PROJECT NUMBER CHANGE ORDER NUMBER EFFECTIVE DATE PROJECT TITLE SUMMARY OF PROPOSED CHANGES: CONTRACTOR The time provided for completion in the Contract is ❑ Unchanged ❑ Increased ❑ Decreased by Calendar Days. This Document shall become an Amendment to the Contract and all provisions of the Contract not amended herein will apply to this Change Order. Will this change affect expiration or extent of Insurance coverage? ❑ Yes ❑ No If "Yes" Will the Policies Be Extended? ❑ Yes ❑ No PRICE CHANGE LUMP SUM: INCREASE $ DECREASE $ UNIT PRICE: THE ITEMS ARE APPROXIMATE OR ESTIMATED QUANTITIES INVOLVED IN THIS CHANGE ITEM NO. ITEM QTY. UNIT PRICE ADD OR DELETE TOTAL NET CONTRACT: INCREASE $ DECREASE$ STATEMENT: Payment for the above work will be in accordance with applicable portions of the standard specifications, and with the understanding that all materials, workmanship and measurements shall be in accordance with the provisions of the standard specifications, the contract plans, and the special provisions governing the types of construction. DEPARTMENT RECAP TO DATE: ORIGINAL CONTRACT AMOUNT $ PREVIOUS CHANGE ORDERS $ THIS CHANGE ORDER $ *ADJUSTMENTS $ NEW CONTRACT AMOUNT $ CONTRACTOR'S SIGNATURE DATE DIRECTOR'S SIGNATURE DATE 15 7/2021 ADJUSTMENTS CHANGE ORDER ESTIMATE IS HEREBY ❑ INCREASED ❑ DECREASED PAY THIS ADJUSTED AMOUNT: DIRECTOR'S SIGNATURE DATE 16 7/2021 EXHIBIT C NOTICE TO LABOR UNIONS OR OTHER EMPLOYMENT ORGANIZATIONS NONDISCRIMINATION IN EMPLOYMENT TO: i rtccl---� He Q+ 1 ry\ 4- (Name of Union or Organiz The undersigned currently holds contract(s) with W I q involving funds or credit of the City of Federal Way, Washington, or (a) subcontract(s) with a prime contractor holding such contract(s). You are advised that, under the provisions of the above contract(s) or subcontract(s) and in accordance with Section 202 of Executive Order 11246 dated September 24, 1965, the undersigned is obliged not to discriminate against any employee or applicant of employment because of race, color, creed or national origin. This obligation not to discriminate in employment includes, but is not limited to, the following: EMPLOYMENT, UPGRADING, TRANSFER OR DEMOTION RECRUITMENT AND ADVERTISING RATES OF PAY OR OTHER FORMS OF COMPENSATION SELECTION FOR TRAINING INCLUDING APPRENTICESHIP, LAYOFF OR TERMINATION This notice is furnished to you pursuant to the provisions of the above contract(s) or subcontractor(s) and Executive Order 11246. Copies of this Notice will be posted by the undersigned in conspicuous places available to employees or applicants for employment. (Contracto or subcontractor) Date 17 7/2021 EXHIBIT D CERTIFICATE OF INSURANCE (SEE ATTACHED). 18 7/2021 �� :s• CERTIFICATE OF LIABILITY INSURANCE ��. DATE (MM/DDIYYYY) 03/26/2020 THIS CERTIFICATE IS ISSUED AS A MATTER OF INFORMATION ONLY AND CONFERS NO RIGHTS UPON THE CERTIFICATE HOLDER. THIS CERTIFICATE DOES NOT AFFIRMATIVELY OR NEGATIVELY AMEND, EXTEND OR ALTER THE COVERAGE AFFORDED BY THE POLICIES BELOW. THIS CERTIFICATE OF INSURANCE DOES NOT CONSTITUTE A CONTRACT BETWEEN THE ISSUING INSURER(S), AUTHORIZED REPRESENTATIVE OR PRODUCER, AND THE CERTIFICATE HOLDER. IMPORTANT. If the certificate holder is an ADDITIONAL INSURED, the policy(ies) must have ADDITIONAL INSURED provisions or be endorsed. If SUBROGATION IS WAIVED, subject to the terms and conditions of the policy, certain policies may require an endorsement. A statement on this certificate does not confer rights to the certificate holder in lieu of such endorsement(s). PRODUCER CONTACT Geoffrey Matthews NAME: PHONE (206) 859-4894 FAX AIC, No (206) 859-4899 IC No. o E><t InsureOne - Kent E-MArL s: Geoffrey.Matthews@insureone.com ADDRE 23830 Pacific Hwy S INSURER(S) AFFORDING COVERAGE NAIC # Ste 104 INSURERA: Houston Casualty Company 42374 Kent WA 98032 INSURED INSURER B : INSURERC: JAMES D REAVES, DBA: AIRTECH HEATING & COOLING INSURER D : 1611 5TH ST SE INSURER E : INSURERF: PUYALLUP WA 98373 COVERAGES CERTIFICATE NUMBER: CL19112909418 REVISION NUMBER: THIS IS TO CERTIFY THAT THE POLICIES OF INSURANCE LISTED BELOW HAVE BEEN ISSUED TO THE INSURED NAMED ABOVE FOR THE POLICY PERIOD INDICATED. NOTWITHSTANDING ANY REQUIREMENT, TERM OR CONDITION OF ANY CONTRACTOR OTHER DOCUMENT WITH RESPECT TO WHICH THIS CERTIFICATE MAY BE ISSUED OR MAY PERTAIN, THE INSURANCE AFFORDED BY THE POLICIES DESCRIBED HEREIN IS SUBJECT TO ALL THE TERMS, EXCLUSIONS AND CONDITIONS OF SUCH POLICIES. LIMITS SHOWN MAY HAVE BEEN REDUCED BY PAID CLAIMS. INSR LTR TYPE OF INSURANCE INSD WVD POLICY NUMBER POLICY EFF MM/DD/YYW POLICY EX MM/DDIYYYY LIMITS COMMERCIAL GENERAL LIABILITY EACH OCCURRENCE $ 1,000,000 CLAIMS -MADE F OCCUR DAMAGE TO RE14TED PREMISSS Eaoccurmncn $ 100,000 M ED EXP (Any one person) $ 5,000 A Y Y H2OAC82973-01 11/27/2020 11/27/2021 PERSONAL &ADV INJURY $ 1,000,000 GEN'LAGGREGATE LIMITAPPLIES PER: GENERALAGGREGATE $ 2.000,000 PRODUCTS - COMP/OP AGG $ 2,000,000 JC POLICY jEa LOC Commercial Property $ 7,500 OTHER: AUTOMOBILE LIABILITY EaMS6111WI NGWUMIT Ea accidern $ BODILY INJURY (Per person) $ ANYAUTO BODILY INJURY (Per accident) $ OWNED SCHEDULED AUTOS ONLY AUTOS HIRED NON -OWNED AUTOS ONLY AUTOS ONLY PROP DAMAGE Per acciden $ UMBRELLA LIAB OCCUR EACH OCCURRENCE $ 1,000,000 x AGGREGATE $ 1,000,000 A EXCESS LIAB CLAIMS -MADE Y Y H2OAC82973-01 11/27/2020 11/27/2021 DED RETENTION $ $ WORKERS COMPENSATION AND EMPLOYERS' LIABILITY YIN ANY PROPRIETOR/PARTNER/EXECUTIVE PER OTH- STATUTE ER EL EACH ACCIDENT $ EL DISEASE - EA EMPLOYEE $ OFFICER/MEMBER EXCLUDED? ❑ (Mandatory in NH) N/A E.L. DISEASE - POLICY LIMIT $ If yes, describe under DESCRIPTION OF OPERATIONS below DESCRIPTION OF OPERATIONS I LOCATIONS I VEHICLES (ACORD 101, Additional Remarks Schedule, may be attached if more space is required) The City, its officers, officials, employees, volunteers and agents shall each be named as additional insured. Certificate Holder is Additional Insured as their interest may appear in work performed by the insured on their behalf per written contract. Waiver of Subrogation applies with primary & non-contributory wording per written contract; Form HCS 040 06 10/13, CG form 2010 07/04 and CG form 2037 07/04 applies. rPPTIFIreTP lane hF37 CANCELLATION SHOULD ANY OF THE ABOVE DESCRIBED POLICIES BE CANCELLED BEFORE THE EXPIRATION DATE THEREOF, NOTICE WILL BE DELIVERED IN CITY OF FEDERAL WAY ACCORDANCE WITH THE POLICY PROVISIONS. DUMAS BAY CENTER AUTHORIZED REPRESENTATIVE 3200 SW DASH POINT RD FEDERAL WAY WA 98023 �eofl'�� Moc-vs- U 7988-2075 AGUKL) GUKYUKAI IUN. All rignrs reserveu. ACORD 25 (2016103) The ACORD name and logo are registered marks of ACORD Other Named Insureds ,IRTECH HEATING & COOLING Additional Named Insureds Doing Business As OFAPPINF (02/2007) COPYRIGHT 2007, AMS SERVICES INC POLICY NUMBER: H2OAC82973-01 COMMERCIAL GENERAL LIABILITY HCS 040 06 10 13 THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY. PRIMARY AND NONCONTRIBUTORY AND BLANKET WAIVER OF SUBROGATION This endorsement modifies insurance provided under the following: COMMERCIAL GENERAL LIABILITY COVERAGE PART PRODUCTS/COMPLETED OPERATIONS LIABILITY COVERAGE PART A. PRIMARY AND NON-CONTRIBUTORY TO OTHERINSURANCE With respect to any person or organization that is an additional insured under this Coverage Part, the following is added to paragraph 4. of SECTION IV — COMMERCIAL GENERAL LIABILITY CONDITIONS: If you have agreed in writing in a contract or agreement that this insurance is primary and non- contributory relative to an additional insured's own insurance, then this insurance is primary and we will not seek contribution from that other insurance. For the purpose of this endorsement, the additional insured's own insurance means insurance on which the additional insured is a Named Insured. When this endorsement is attached to the policy it supersedes all other insurance conditions within. HCS 040 0610 13 B. WAIVER OF SUBROGATION — BLANKET Under SECTION IV — COMMERCIAL GENERAL LIABILITY CONDITIONS, The Transfer Of Rights Of Recovery Against Others To Us Condition is amended by the addition of the following: We waive any right of recovery we may have against any person or organization because of payments we make for injury or damage arising out of: a. Your ongoing operations; or b. "Your work" included in the "products - completed operations hazard". However, this waiver applies only when you have agreed in writing to waive such rights of recovery in a contract or agreement, and only if the contract or agreement: a. Is in effect or becomes term of this policy; and b. Was executed prior to loss. effective during the Page 1 of 1 Includes copyrighted material of Insurance Services Office, Inc., with Its permission. POLICY NUMBER: H2OAC82973-01 COMMERCIAL GENERAL LIABILITY CG 20 10 07 04 THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY. ADDITIONAL INSURED - OWNERS, LESSEES OR CONTRACTORS - SCHEDULED PERSON OR ORGANIZATION This endorsement modifies insurance provided under the following - COMMERCIAL GENERAL LIABILITY COVERAGE PART SCHEDULE Name Of Additional Insured Person(s) Or Organization (s): Locations Of Covered Operations Any person or organization for whom you are performing operations during the policy period when you and such person or organization have agreed in writing in a contract or agreement that such person or organization be added as an additional insured on your policy. Information required to complete this Schedule, if not shown above, will be shown in the Declarations. A. Section II — Who Is An Insured is amended to B. With respect to the insurance afforded to these include as an additional insured the person(s) or additional insureds, the following additional organization(s) shown in the Schedule, but only exclusions apply: with respect to liability for "bodily injury', "property This insurance does not apply to "bodily injury" or damage" or "personal and advertising injury' "property damage" occurring after: caused, in whole or in part, by: 1. Your acts or omissions; or 1. All work, including materials, parts or equipment furnished in connection with such 2. The acts or omissions of those acting on your work, on the project (other than service, behalf; maintenance or repairs) to be performed by or in the performance of your ongoing operations for on behalf of the additional insured(s) at the the additional insured(s) at the location(s) location of the covered operations has been designated above. completed; or 2. That portion of "your work" out of which the injury or damage arises has been put to its intended use by any person or organization other than another contractor or subcontractor engaged in performing operations for a principal as a part of the same project. CG 2010 07 04 © ISO Properties, Inc., 2004 Page 1 of 1 13 POLICY NUMBER: H2OAC82973-01 COMMERCIAL GENERAL LIABILITY CG 20 37 07 04 THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY. ADDITIONAL INSURED - OWNERS, LESSEES OR CONTRACTORS - COMPLETED OPERATIONS This endorsement modifies insurance provided under the following: COMMERCIAL GENERAL LIABILITY COVERAGE PART SCHEDULE Name Of Additional Insured Person(s) Or Organization(s): Location And Description Of Completed Operations Any person or organization, when you and such parties have agreed in writing in a contract or agreement pertaining to "your work" performed during the policy period. This additional insured coverage does not apply to "excluded residential construction". "Excluded residential construction" means: a) the ground -up construction of any building whose units will be individually owned and titled; and, b) "your work" performed on the conversion of any building into a condominium or townhome. Information required to complete this Schedule, if not shown above, will be shown in the Declarations. Section II — Who Is An Insured is amended to include as an additional insured the person(s) or organization(s) shown in the Schedule, but only with respect to liability for "bodily injury" or "property damage" caused, in whole or in part, by "your work" at the location designated and described in the schedule of this endorsement performed for that additional insured and included in the "products - completed operations hazard". CG 20 37 07 04 © ISO Properties, Inc., 2004 Page 1 of 1 ❑ 07/23/21 For Roadside Assistance: 800-531 -8555 Report a claim, get coverage and deductible information, request a tow from the accident scene, schedule an appraisal or reserve a rental car using: usaa.com, USAA's Mobile App, or By calling 210-531-USAA (8722), our mobile phone shortcut number #8722 or 800-531-USAA. Automobile Insurance Identification Card This identification card is evidence of liability insurance for your vehicle. The card is valid only as long as liability insurance remains in force. You may be required to produce your identification card at vehicle registration or inspection, when applying for a driver's license, following an accident or upon a law enforcement officer's request. Keep a copy of the ID card in your vehicle at all times. For your convenience, additional copies are available on usaa.com. FWA1 Rev. 06-1 3 50821 -0513 01 ----------------------------------------------------------------- WASHINGTON INSURANCE IDENTIFICATION CARD USAA GENERAL INDEMNITY COMPANY NAME OF INSURED JAMES REAVES POLICY NUMBER 02564 04 27G EFFECTIVE DATE 03/13/21 VEHICLE DESCRIPTION YEAR MAKE/MODEL 2014 TOYOTA 7101 8 EXPIRATION DATE 09/13/21 TUNDRA VEHICLE IDENTIFICATION NUMBER 5TFDM5F17EX057734 9800 Fredericksburg Road San Antonio, Texas 78288 I Additional copies available at usaa.conn CONTACT US: 210-531-USAA(8722) OR 800-531-USAA EXHIBIT E PREVAILING RATE OF WAGE (SEE ATTACHED). SEE DEPARTMENT CONTRACT BOOK FOR HARD COPY OF THIS EXHIBIT - PREVAILING WAGE RATES. USE LATEST -PUBLISHED FIGURES. 19 7/2021 EXHIBIT F TITLE VI ASSURANCES During the performance of this contract, the contractor/consultant, for itself, its assignees and successors in interest (hereinafter referred to as the "contractor") agrees as follows: 1. Compliance with Regulations The contractor shall comply with the Regulations relative to non-discrimination in federally assisted programs of United States Department of Transportation (USDOT), Title 49, Code of Federal Regulations, part 21, as they may be amended from time to time, (hereinafter referred to as the Regulations), which are herein incorporated by reference and made a part of this contract. 2. Non-discrimination The contractor, with regard to the work performed by it during the contract, shall not discriminate on the grounds of race, color, sex, or national origin in the selection and retention of sub -contractors, including procurement of materials and leases of equipment. The contractor shall not participate either directly or indirectly in the discrimination prohibited by Section 21.5 of the Regulations, including employment practices when the contract covers a program set forth in Appendix B of the Regulations. 3. Solicitations for Sub -contracts, Including Procurement of Materials and Equipment In all solicitations either by competitive bidding or negotiations made by the contractor for work to be performed under a sub -contract, including procurement of materials or leases of equipment, each potential sub -contractor or supplier shall be notified by the contractor of the contractor's obligations under this contract and the Regulations relative to non-discrimination on the grounds of race, color, sex, or national origin. 4. Information and Reports The contractor shall provide all information and reports required by the Regulations or directives issued pursuant thereto, and shall permit access to its books, records, accounts, other sources of information, and its facilities as may be determined by the contracting agency or the appropriate federal agency to be pertinent to ascertain compliance with such Regulations, orders and instructions. Where any information required of a contractor is in the exclusive possession of another who fails or refuses to furnish this information, the contractor shall so certify to WSDOT or the USDOT as appropriate, and shall set forth what efforts it has made to obtain the information. 20 7/2021 5. Sanctions for Non-compliance In the event of the contractor's non-compliance with the non-discrimination provisions of this contract, the contracting agency shall impose such contract sanctions as it or the USDOT may determine to be appropriate, including, but not limited to: Withholding of payments to the contractor under the contract until the contractor complies, and/or; Cancellation, termination, or suspension of the contract, in whole or in part 6. Incorporation of Provisions The contractor shall include the provisions of paragraphs (1) through (5) in every sub- contract, including procurement of materials and leases of equipment, unless exempt by the Regulations, or directives issued pursuant thereto. The contractor shall take such action with respect to any sub -contractor or procurement as the contracting agency or USDOT may direct as a means of enforcing such provisions including sanctions for non-compliance. Provided, however, that in the event a contractor becomes involved in, or is threatened with, litigation with a sub -contractor or supplier as a result of such direction, the contractor may request WSDOT enter into such litigation to protect the interests of the state and, in addition, the contractor may request the USDOT enter into such litigation to protect the interests of the United States. 21 7/2021 EXHIBIT G CONTRACTOR'S FEE Mini Split Air Conditioner and Heat Pump Purchase and Installation (not including WSST): Hourly rate: In consideration of the Contractor performing the Services, the City agrees to pay the Contractor an amount calculated on the basis of the hourly labor charge rate schedule for Contractor's personnel as shown below: $ 98 per hour, per person + Materials charge as listed below Reimbursable Expenses. The actual customary and incidental expenses incurred by Contractor in performing the Services including materials, supplies and other reasonable costs; provided, however, that such costs shall be deemed reasonable in the City's sole discretion and shall not exceed 50% of the total amount invoiced. 22 7/2021