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Schneider Equipment ~ 8-1163 r t Contract# CITY OF TIGARD,OREGON PUBLIC IMPROVEMENT CONTRACT—NON-PWR PROJECT WELL ABANDONMENT THIS CONTRACT,made and entered into this 17th day of April, 2008,by and between the City of Tigard, a municipal corporation of the State of Oregon, hereinafter called "City" and Schneider Equipment, Inc. hereinafter called"Contractor",duly authorized to perform such services in Oregon. RECITALS WHEREAS,the City requires services which Contractor is capable of providing, under terms and conditions hereinafter described;and WHEREAS,time is of the essence in this contract and all work under this contract shall be completed within the time period stated in the Bid Proposal; THEREFORE,in consideration of the promises and covenants contained herein, the parties hereby agree as follows: TERMS OF AGREEMENT 1. Services Contractor's services under this Agreement shall consist of the following: Contractor agrees to provide services related to Well Abandonment as detailed in Exhibit A-Scope of Services, Exhibit B - Contractor's Proposal, Exhibit C - License Agreement between David Nelson, Patricia. Nelson, Merlinda Hoffarber and the City of Tigard, Exhibit D - License Agreement between Gina Fanucchi and the City of Tigard,and by this reference made a part hereof. 2. Effective Date and Duration Contractor shall initiate services upon receipt of the City's Notice to Proceed, together with an executed copy of this Agreement. This Agreement shall become effective upon the date of execution and shall expire, unless otherwise terminated or extended, on April 16,,.8 . All services shall be completed prior to the expiration of this Agreement. 3. Prevailing Wage While the City and Contract enter into this Agreement with the understanding that the work to be completed does not initially exceed $50,000 and therefore does not initially require the provisions of ORS Chapters 279A and 279C or other Oregon and Federal provisions pertaining to minimum salaries and wages, the said provisions are incorporated herein by reference as if fully set forth in the event the contract is amended to exceed$50,000 at any point. The Contractor agrees that,in the event the contract ever exceeds $50,000,the workmen in each trade or occupation required for the work to be done pursuant to the contract, employed in the performance of the Contract, either by the Contractor or Subcontractor or other person doing or contracting to do any part of the work contemplated by the Contractor shall be paid not less than the prevailing,minimum hourly rate of wage specified by the Commissioner of the Bureau of Labor. This includes any required back pay for work done while the contract was under$50,000. Once the project exceeds the $50,000 threshold, all employees shall be entitled to back pay equal to or greater than the waged required under BOLI laws. Public Improvement Agreement—PWR Covered Project Page 1 Revised—05/14/2007 Contract# If the contact reaches $50,000 or greater through change orders, the Contractor shall pay a fee equal to one-tenth of one percent (.001) of the price of the contract to the Bureau of Labor and Industries. The fee shall be paid on or before the first progress payment or 60 days from the date work first began on the contract,whichever comes first. The fee is payable to the Bureau of Labor and Industries and shall be mailed or otherwise delivered to the Bureau at the following address: Bureau of Labor and Industries Wage and Hours Division Prevailing Wage Unit 800 NE Oregon Street, # 32 Portland, Oregon 97232 Also in the event the contract reaches $50,000 through change orders or amendments, the Contractor shall provide proof to the City that the Contractor has filed a public works bond with a corporate surety in the amount of $30,000 with the Construction Contractors Board as required under Oregon PWR law. 4. Contract Documents The Contractor is hereby bound to comply with all requirements of this agreement, the Contractor's proposal, the detailed specifications and requirements, the drawings, and the special conditions and modifications in conditions as set forth in the documents prepared by the City Engineer and the performance pertaining to this contract, in the City of Tigard, Oregon, and by this reference made a part hereof to the same legal force and effect as if set forth herein in full. 5. City's Representative For purposes hereof, the City's authorized representative will be John Goodrich, Utility Manager, 13125 SW Hall Blvd.,Tigard, Oregon 97223;Telephone: 639-4171. 6. Contractor's Representative For purpose hereof, the Contractor's authorized representative will be Steve Schneider. 7. Contractor Identification Contractor shall furnish to the City the Contractor's employer identification number, as designated by the Internal Revenue Service, or Contractor's social security number,as City deems applicable. 8. Compensation A. Progress Payments: City agrees to pay Contractor Forty One Thousand Seven Hundred Dollars ($41,700) for performance of those services provided hereunder, which payment shall be based upon the following applicable terms: Payment shall be based upon the unit prices bid by the Contractor, as listed in attached proposal. Contractor shall prepare and submit each month to the City Engineer, 13125 SW Hall Blvd.,Tigard, Oregon 97223, a statement of services rendered, (indicating the description of each service used in the proposal and the dollar amount of each service completed through the stated date), together with a request for payment duly verified by the Contractor's Representative. Payment by the City shall release the City from any further obligation for payment to Contractor for services performed or expenses incurred as of the date of the statement of Public Improvement Agreement—PWR Covered Project Page 2 Revised—05/14/2007 Contract# services. Payment of installments shall not be considered acceptance or approval of any work or waiver of any defects therein. City certifies that sufficient funds are available and authorized for expenditure to finance costs of this contract. In the event the contract ever reaches $50,000, the Contractor shall include proof of payment to any and all subcontractors and suppliers with each statement submitted to the City. The initial statement at that junction must also contain proof of paid back wages. The City shall retain the right to withhold payments if required proof of payment to subcontractor and suppliers is not included with a statement in this event. Also, ss required under State of Oregon Prevailing Wage Rate (PWR) Law, the City shall withhold 25% of any progress payment amounts owed to Contractor if Contractor has failed to file certified payrolls sheets with the City in the event the contract reaches $50,000. B. Timing of Payments: Progress payments, less a five percent retainage as authorized by ORS 279C.555, shall be made to the Contractor within twenty (20) days of the City's receipt of the statement of services. The Contractor agrees that the "Time of Completion" is defined in the Bid Proposal, and agrees to complete the work by said date. The Contractor and City agree that the City will suffer damages each day the work remains uncompleted after the Time of Completion and that the amount of those damages are difficult to calculate. Contractor and City agree that a reasonable amount of damages for late completion is $ 50.00 per day and Contractor agrees to pay damages in that amount if the work is not completed by the Time of Completion. C. Final Payment: The Contractor shall notify the City in writing when the Contractor considers the project complete, and the City shall,within 15 days after receiving the written notice, either accept the work or notify the Contractor of work yet to be performed on the contract. Upon acceptance by the City, the entire balance due to the Contractor, including the retained percentage, shall be paid to the Contractor, by the City within 30 days after the date of said final acceptance. The City shall pay to the Contractor interest at the rate of one and one-half percent per month on the final payment due the Contractor, to commence 30 days after the work under the Contract has been completed and accepted and to run until the date when final payment is tendered to the Contractor. If the City does not, within 15 days after receiving written notice of completion, notify the Contractor of work yet to be performed to fulfill contractual obligations, the interest provided by this subsection shall commence to run 30 days after the end of the 15-day period. As a further conditions of final acceptance, the City may require the Contractor to submit evidence, satisfactory to the City's Representative, that all payrolls, material bills, and other indebtedness connected with the project have been paid, except that in case of any disputed indebtedness or liens, the Contractor may submit in lieu of evidence of payment, a surety bond satisfactory to the City guaranteeing payment of all such disputed amounts when adjudicated in cases where such payment has not already been guaranteed by surety bond. 9. Status Of Contractor As Independent Contractor Contractor certifies that: Public Improvement Agreement—PWR Covered Project Page 3 Revised—05/14/2007 Contract# A. Contractor acknowledges that for all purposes related to this Agreement, Contractor is and shall be deemed to be an independent Contractor as defined by ORS 670.600 and not an employee of City, shall not be entitled to benefits of any kind to which an employee of City is entitled and shall be solely responsible for all payments and taxes required by law. Furthermore, in the event that Contractor is found by a court of law or any administrative agency to be an employee of City for any purpose, City shall be entitled to offset compensation due, or to demand repayment of any amounts paid to Contractor under the terms of this Agreement, to the full extent of any benefits or other remuneration Contractor receives (from City or third party) as a result of said finding and to the full extent of any payments that City is required to make (to Contractor or to a third party) as a result of said finding. B. The undersigned Contractor hereby represents that no employee of the City, or any partnership or corporation in which a City employee has an interest, has or will receive any remuneration of any description from Contractor, either directly or indirectly, in connection with the letting or performance of this Agreement,except as specifically declared in writing. C. If this payment is to be charged against Federal funds, Contractor certifies that he or she is not currently employed by the Federal Government and the amount charged does not exceed his or her normal charge for the type of service provided. D. Contractor and its employees,if any, are not active members of the Oregon Public Employees Retirement System and are not employed for a total of 600 hours or more in the calendar year by any public employer participating in the Retirement System. E. Contractor certifies that it currently has a City business license or will obtain one prior to delivering services under this Agreement. F. Contractor is not an officer, employee, or agent of the City as those terms are used in ORS 30.265. 10. Subcontracts -Assignment& Delegation Contractor shall submit a list of Subcontractors for approval by the City, and Contractor shall be fully responsible for the acts or omissions of any Subcontractors and of all persons employed by them, and neither the approval by City of any Subcontractor nor anything contained herein shall be deemed to create any contractual relation between the Subcontractor and City. This agreement, and all of the covenants and conditions hereof, shall inure to the benefit of and be binding upon the City and the Contractor respectively and their legal representatives. Contractor shall not assign any rights nor delegate any duties incurred by this contract, or any part hereof without the written consent of City, and any assignment or delegation in violation hereof shall be void. Any and all subcontracts issued by the contractor shall contain a provision that workers shall be paid not less that the PWR Law specified minimum wage. 11. Contractor- Payment of Benefits - Hours of Work A. The Contractor shall: Public Improvement Agreement—PWR Covered Project Page 4 Revised—05/14/2007 7 Contract# 1) Make payment promptly, as due, to all persons supplying to such Contractor labor or material for the prosecution of the work provided for in this contract; 2) Pay all contributions or amounts due the under the Industrial Accident Fund form the Contractor or subcontractor incurred in the performance of this Agreement; 3) Pay to the Department of Revenue all sums withheld from employees pursuant to ORS 316.167. 4) Not permit any lien or claim to be filed or prosecuted against the City of Tigard, on account of any labor or material furnished; B. The Contractor or the Contractor's Surety and every Subcontractor or the Subcontractor's Surety shall file certified statements with the City in writing in form prescribed by the Commissioner of the Bureau of Labor and Industries, certifying the hourly rate of wage paid each worker which the Contractor or the Subcontractor has employed upon such public work, and further certifying that no worker employed upon such public work has been paid less than the prevailing rate of wage,which certificate and statement shall be verified by the oath of the Contractor or the Contractor's Surety or Subcontractor or the Subcontractor's Surety that the Contractor or Subcontractor has read such statement and certificate and knows the contents thereof and that the same is true to the Contractor's or Subcontractor's knowledge. 1) The certified statements shall set out accurately and completely the payroll records for the prior week, including the same and address of each worker, the worker's correct classification, rate of pay, daily and weekly number of hours worked, deductions made and actual wages paid. 2) Each certified statement required herein shall be delivered or mailed by the Contractor or Subcontractor to the City. A true copy of the certified statements shall also be filed at the same time with the Commissioner of the Bureau of Labor and Industries. Certified statements shall be submitted as follows: a) For any project 90 days or less from the date of the award of the contract to the date of completion of work under the contract, the statements shall be submitted once before the first payment is made, and once before final payment is made of any sum due on account of the contract. b) For any project exceeding 90 days from the date of the award of the contract to the date of completion of work under contract, the statements shall be submitted once before the first payment is made, at 90 day intervals thereafter, and once before final payment is made of any sum due on account of the contract. C) Each Contractor or Subcontractor shall preserve certified statements for a period of three years from the date of completion of the contract. C. The Contractor agrees that if the Contractor fails, neglects or refuses to make prompt payment of any claim for labor or services furnished to the Contractor or a Subcontractor by any person in connection with this contract as such claim becomes due, the proper office of the City of Tigard may pay such claim to the person furnishing the labor or services and charge the amount of the payment against funds due or to become due to the Contractor by reason of such contract. Payment of a claim in this manner shall not relieve the Contractor or the Contractor's Surety from obligation with respect to any unpaid claims. Public Improvement Agreement—PWR Covered Project Page 5 Revised—05/14/2007 Contract# D. Contractor agrees that no person shall be employed for more than ten (10) hours in any one day, or 40 hours in any one week, except in cases of necessity or emergency or when the City deems it in the best interest of the public or policy absolutely requires it, in which event, the person so employed for excessive hours shall receive at least time and a half pay for the following: 1) For all overtime in excess of eight hours in any one day or 40 hours in any one week when the work week is five consecutive days, Monday through Friday; or 2) For all overtime in excess of 10 hours in any one day or 40 hours in any one week when the work week is four consecutive days,Monday through Friday; and 3) For all work performed on Saturday and on the legal holidays specified in ORS 279C.540. E. No City employee shall be required to work overtime or on a Saturday, Sunday or holiday in the fulfillment of this contract except where the Contractor agrees to reimburse the City in the amount of money paid the employee for such work as determined by state law, the City's personnel rules or union agreement. The Contractor shall require every Subcontractor to comply with this requirement. F. If Contractor or any first-tier subcontractor fails to pay a person furnishing labor or material within 30 days after receipt of payment form the City or from the Contractor to a subcontractor, the Contractor or first-tier subcontractor shall owe the person the amount due plus interest commending at the end of the 10 day period that the payment is due under ORS 279C.580, unless payment is subject to a good-faith dispute. The interest rate shall be as specified in ORS 279C.505(2). If the Contractor or any subcontractor fails, neglects, or refuses to pay a person furnishing labor or material, the person may file a complaint with the Construction Contractors Board, unless the payment is subject to a good faith dispute as defined in ORS 279C.580. G. Contractor shall include a clause in each contact with a subcontractor a requirement that the contractor pay the subcontractor for satisfactory performance within 10 days of receipt of payment from the City for the work. Contractor shall include in contracts with subcontractors an interest provision for such payments in compliance with ORS 279C.580. Contractor shall include a clause in each contract with a subcontractor requiring the subcontractor to meet the same payment and interest standards as required by ORS 279C.580 (4). 12. Drag Testing Program ORS 279C.505 requires that all public improvement contracts contain a provision requiring contractors to demonstrate that an employee drug-testing program is in place. The Contractor demonstrates that a drug-testing program is in place by signing of the contact. The drug testing program will apply to all employees and will be maintained for the duration of the Contract awarded. Failure to maintain a program shall constitute a material breach of contract. 13. Contractor's Employee Medical Payments Contractor agrees to pay promptly as due, to any person, co-partnership, association or corporation furnishing medical, surgical, and hospital care or other needed care and attention incident to sickness or injury to the Contractor's employees, all sums which the Contractor agreed to pay for such services and all money and sums which the Contractor collected or deducted from employee wages pursuant to any law,contract or agreement for providing or paying for such service. Public Improvement Agreement—PWR Covered Project Page 6 Revised—05/14/2007 Contract# 14. Early Termination A. This agreement may be terminated without cause prior to the expiration of the agreed upon term by mutual written consent of the parties and for the following reasons: 1) If work under the Contract is suspended by an order of a public agency for any reason considered to be in the public interest other than by a labor dispute or by reason of any third party judicial proceeding relating to the work other than a suit or action filed in regard to a labor dispute; or 2) If the circumstances or conditions are such that it is impracticable within a reasonable time to proceed with a substantial portion of the Contract. B. Payment of Contractor shall be as provided by ORS 279C.660 and shall be prorated to and include the day of termination and shall be in full satisfaction of all claims by Contractor against City under this Agreement. C. Termination under any provision of this paragraph shall not affect any right, obligation, or liability of Contractor or City which accrued prior to such termination. 15. Cancellation with Cause A. City may terminate this Agreement effective upon delivery of written notice to Contractor, or at such later date as may be established by City,under any of the following conditions: 1) If City funding from federal, state, local, or other sources is not obtained and continued at levels sufficient to allow for the purchase of the indicated quantity of services. This Agreement may be modified to accommodate a reduction in funds, 2) If Federal or State regulations or guidelines are modified, changed, or interpreted in such a way that the services are no longer allowable or appropriate for purchase under this Agreement, 3) If any license or certificate required by law or regulation to be held by Contractor, its subcontractors, agents, and employees to provide the services required by this Agreement is for any reason denied,revoked, or not renewed,or 4) If Contractor becomes insolvent, if voluntary or involuntary petition in bankruptcy is filed by or against Contractor, if a receiver or trustee is appointed for Contractor, or if there is an assignment for the benefit of creditors of Contractor. Any such termination of this agreement under paragraph (a) shall be without prejudice to any obligations or liabilities of either party already accrued prior to such termination. B. City, by written notice of default (including breach of contract) to Contractor, may terminate the whole or any part of this Agreement: 1) If Contractor fails to provide services called for by this agreement within the time specified herein or any extension thereof, or 2) If Contractor fails to perform any of the other provisions of this Agreement, or so fails to pursue the work as to endanger performance of this agreement in accordance with its terms, and after receipt of written notice from City, fails to correct such failures within ten (10) days or such other period as City may authorize. Public Improvement Agreement—PWR Covered Project Page 7 Revised—05/14/2007 Contract# The rights and remedies of City provided in the above clause related to defaults (including breach of contract) by Contractor shall not be exclusive and are in addition to any other rights and remedies provided by law or under this Agreement. If City terminates this Agreement under paragraph (b), Contractor shall be entitled to receive as full payment for all services satisfactorily rendered and expenses incurred, an amount which bears the same ratio to the total fees specified in this Agreement as the services satisfactorily rendered by Contractor bear to the total services otherwise required to be performed for such total fee; provided, that there shall be deducted from such amount the amount of damages, if any, sustained by City due to breach of contract by Contractor. Damages for breach of contract shall be those allowed by Oregon law, reasonable and necessary attorney fees, and other costs of litigation at trial and upon appeal.3 16. Access to Records City shall have access to such book, documents, papers and records of Contractor as are directly pertinent to this Agreement for the purpose of making audit, examination, excerpts, and transcripts. 17. Work is Property of City All work performed by Contractor under this Agreement shall be the property of the City. 18. Adherence to Law A. Contractor shall adhere to all applicable laws governing its relationship with its employees, including but not limited to laws, rules, regulations, and policies concerning workers' compensation, and minimum and prevailing wage requirements. B. To the extent applicable, the Contractor represents that it will comply with Executive Order 11246 as amended, Executive Order 11141, Section 503 of the Vocational Rehabilitation Act of 1973 as amended and the Age Discrimination Act of 1975, and all rules and regulations issued pursuant to the Acts. C. As provided by ORS 279C.525, all applicable provisions of federal, state or local statutes, ordinances and regulations dealing with the prevention of environmental pollution and the preservation of natural resources that affect the work under this contract are by reference incorporated herein to the same force and affect as if set forth herein in full. If the Contractor must undertake additional work due to the enactment of new or the amendment of existing statutes, ordinances or regulations occurring after the submission of the successful bid, the City shall issue a Change Order setting forth the additional work that must be undertaken. The Change Order shall not invalidate the Contract and there shall be, in addition to a reasonable extension,if necessary, of the contract time, a reasonable adjustment in the contract price,if necessary, to compensate the Contractor for all costs and expenses incurred,including overhead and profits, as a result of the delay or additional work. 19. Changes City may at any time, and without notice, issue a written Change Order requiring additional work within the general scope of this Contract, or any amendment thereto, or directing the omission of or variation in work. If such Change Order results in a material change in the amount or character of the work, an equitable adjustment in the Contract price and other provisions of this Contract as may be affected may be made. Any claim by Contractor for and adjustment under this section shall be asserted in writing within thirty (30) days from the date of receipt by Contractor of the notification of Public Improvement Agreement—PWR Covered Project Page 8 Revised—05/14/2007 Contract# change or the claim will not be allowed. Whether made pursuant to this section or by mutual agreement, no change shall be binding upon City until a Change Order is executed by the Authorized Representative of City,which expressly states that it constitutes a Change Order to this Contract. The issuance of information, advice, approvals, or instructions by City's Representative or other City personnel shall not constitute an authorized change pursuant to this section. Nothing contained in this section shall excuse the Contractor from proceeding with the prosecution of the work in accordance with the Contract, as changed. 20. Force Majeure Neither City nor Contractor shall be considered in default because of any delays in completion of responsibilities hereunder due to causes beyond the control and without fault or negligence on the part of the party so disenabled, including, but not restricted to, an act of God or of a public enemy, volcano, earthquake, fire, flood, epidemic, quarantine, restriction, area-wide strike, freight embargo, unusually severe weather or delay of Subcontractor or suppliers due to such cause; provided that the party so disenabled shall within ten (10) days from the beginning of such delay, notify the other party in writing of the causes of delay and its probable extent. Such notification shall not be the basis for a claim for additional compensation. Each party shall, however, make all reasonable efforts to remove or eliminate such a cause of delay or default and shall, upon cessation of the cause, diligently pursue performance of its obligation under Contract. 21. Nonwaiver The failure of the City to insist upon or enforce strict performance by Contractor of any of the terms of this contract or to exercise any rights hereunder shall not be construed as a waiver or relinquishment to any extent of its right to assert or rely upon such terms or rights on any future occasion. 22. Warranties All work shall be guaranteed by the Contractor for a period of one year after the date of final acceptance of the work by the Owner. Contractor warrants that all practices and procedures, workmanship, and materials shall be the best available unless otherwise specified in the profession. Neither acceptance of the work nor payment therefore shall relieve Contractor from liability under warranties contained in or implied by this contract. 23. Attorney's Fees In case suit or action is instituted to enforce the provisions of this contract, the parties agree that the losing party shall pay such sum as the Court may adjudge reasonable attorney's fees and court costs including attorney's fees and court costs on appeal. 24. Governing Law The provisions of this Agreement shall be construed in accordance with the provisions of the laws of the State of Oregon. Any action or suits involving any questions arising under this Agreement must be brought in the appropriate court of the State of Oregon. 25. Conflict Between Terms It is further expressly agreed by and between the parties hereto that should there be any conflict between the terms of this instrument and the proposal of the Contractor, this instrument shall control and nothing herein shall be considered as an acceptance of the said terms of said proposal conflicting herewith. Public Improvement Agreement—PWR Covered Project Page 9 Revised—05/14/2007 Contract# 26. Indemnification Contractor warrants that all its work will be performed in accordance with generally accepted professional practices and standards as well as the requirements of applicable federal, state and local laws, it being understood that acceptance of a contractor's work by City shall not operate as a waiver or release. Contractor agrees to indemnify and defend the City, its officers, agents and employees and hold them harmless from any and all liability, causes of action, claims, losses, damages, judgments or other costs or expenses including attorney's fees and witness costs and (at both trial and appeal level, whether or not a trial or appeal ever takes place) that may be asserted by any person or entity which in any way arise from, during or in connection with the performance of the work described in this contract, except liability arising out of the negligence of the City and its employees. If any aspect of this indemnity shall be found to be illegal or invalid for any reason whatsoever, such illegality or invalidity shall not affect the validity of the remainder of this indemnification. 27. Insurance Contractor and its subcontractors shall maintain insurance acceptable to City in full force and effect throughout the term of this contract. Such insurance shall cover allrisks arising directly or indirectly out of Contractor's activities or work hereunder, including the operations of its subcontractors of any tier. Such insurance shall include provisions that such insurance is primary insurance with respect to the interests of City and that any other insurance maintained by City is excess and not contributory insurance with the insurance required hereunder. The policy or policies of insurance maintained by the Contractor and its subcontractor shall provide at least the following limits and coverages: A. Commercial General Liability Insurance: Contractor shall obtain, at contractor's expense, and keep in effect during the term of this contract, Comprehensive General Liability Insurance covering Bodily Injury and Property Damage on an "occurrence" form (1996 ISO or equivalent). This coverage shall include Contractual Liability insurance for the indemnity provided under this contract. The following insurance will be carried: Coverage Limit General Aggregate $2,000,000 Products-Completed Operations Aggregate $1,000,000 Personal&Advertising Injury $1,000,000 Each Occurrence $1,000,000 Fire Damage (Any one fire) $50,000 Medical Expense (Any one person) $5,000 B. Commercial Automobile Insurance: Contractor shall also obtain, at contractor's expense, and keep in effect during the term of the contract, "Symbol 1" Commercial Automobile Liability coverage including coverage for all owned, hired, and non-owned vehicles. The Combined Single Limit per occurrence shall not be less than$1,000,000. C. Workers' Compensation Insurance: The Contractor, its subcontractors, if any, and all employers providing work, labor or materials under this Contract are subject employers under the Oregon Workers' Compensation Law and shall comply with ORS 656.017,which requires them to provide workers' compensation coverage that satisfies Oregon law for all their subject workers. Out-of-state employers must provide Oregon workers' compensation coverage for Public Improvement Agreement—PWR Covered Project Page 10 Revised—05/14/2007 Contract# their workers who work at a single location within Oregon for more than 30 days in a calendar year. Contractors who perform work without the assistance or labor of any employee need not to obtain such coverage." This shall include Employer's Liability Insurance with coverage limits of not less than$100,000 each accident. D. Additional Insured Provision: The City of Tigard, Oregon, its officers, directors, and employees shall be added as additional insureds with respect to this contract. All Liability Insurance policies will be endorsed to show this additional coverage. E. Notice of Cancellation: There shall be no cancellation, material change, exhaustion of aggregate limits or intent not to renew insurance coverage without 30 days written notice to the City. Any failure to comply with this provision will not affect the insurance coverage provided to the City. The 30 days notice of cancellation provision shall be physically endorsed on to the policy. F. Insurance Carrier Rating: Coverage provided by the Contractor must be underwritten by an insurance company deemed acceptable by the City. The City reserves the right to reject all or any insurance carrier(s)with an unacceptable financial rating. G. Certificates of Insurance: As evidence of the insurance coverage required by the contract, the contractor shall furnish a Certificate of Insurance to the City. No contract shall be effected until the required certificates have been received and approved by the City. The certificate will specify and document all provisions within this contract. A renewal certificate will be sent to the above address 10 days prior to coverage expiration. H. Independent Contractor Status: The service or services to be rendered under this contract are those of an independent contractor. Contractor is not an officer, employee or agent of the City as those terms are used in ORS 30.265. I. Primary Coverage Clarification: All parties to this contract hereby agree that the contractor's coverage will be primary in the event of a loss. J. Cross-Liability Clause: A cross-liability clause or separation of insureds clause will be included in all general liability,professional liability,pollution and errors and omissions policies required by this contract. Contractor's insurance policy shall contain provisions that such policies shall not be canceled or their limits of liability reduced without thirty (30) days prior notice to City. A copy of each insurance policy, certified as a true copy by an authorized representative of the issuing insurance company, or at the discretion of City, in lieu thereof, a certificate in form satisfactory to City certifying to the issuance of such insurance shall be forwarded to: City of Tigard Attn: John Goodrich 13125 SW Hall Blvd Tigard, Oregon 97223 Such policies or certificates must be delivered prior to commencement of the work. Ten days cancellation notice shall be provided City by certified mail to the name at the address listed above in Public Improvement Agreement—PWR Covered Project Page 11 Revised—05/14/2007 w: Contract# event of cancellation or non-renewal of the insurance. The procuring of such required insurance shall not be construed to limit contractor's liability hereunder. Notwithstanding said insurance, Contractor shall be obligated for the total amount of any damage, injury, or loss caused by negligence or neglect connected with this contract. 28. Method and Place of Giving Notice, Submitting Bills and Making Payments All notices, bills and payments shall be made in writing and may be given by personal delivery or by mail. Notices,bills and payments sent by mail should be addressed as follows: CITY OF TIGARD SCHNEIDER EQUIPMENT,INC. Attn: John Goodrich Attn: Steve Schneider Address: 13125 SW Hall Blvd Address: 21881 River Road NE Tigard, Oregon 97223 St. Paul, OR 97137 Phone: (503) 718-2609 Phone: (503) 633-2666 Fax: (503) 684-8840 Fax: (503) 633-2668 Email Address: johng@tigard-or.gov Email Address: and when so addressed, shall be deemed given upon deposit in the United States mail, postage prepaid. In all other instances, notices, bills and payments shall be deemed given at the time of actual delivery. Changes may be made in the names and addresses of the person to whom notices, bills and payments are to be given by giving written notice pursuant to this paragraph. 29. Hazardous Materials Contractor shall supply City with a list of any and all hazardous substances used in performance of this Agreement. That list shall identify the location of storage and use of all such hazardous substances and identify the amounts stored and used at each location. Contractor shall provide City with material safety data sheets for all hazardous substances brought onto City property, created on City property or delivered to City pursuant to this Agreement. For the purpose of this section, "hazardous substance" means hazardous substance as defined by ORS 453.307(4). Contractor shall complete the State Fire Marshall's hazardous substance survey as required by ORS 453.317 and shall assist City to complete any such survey that it may be required to complete because of substances used in the performance of this Agreement. 30. Hazardous Waste If, as a result of performance of this Agreement, Contractor generates any hazardous wastes, Contractor shall be responsible for disposal of any such hazardous wastes in compliance with all applicable federal and state requirements. Contractors shall provide City with documentation, including all required manifests, demonstrating proper transportation and disposal of any such hazardous wastes. Contractor shall defend, indemnify, and hold harmless City for any disposal or storage of hazardous wastes generated pursuant to this Contract and any releases or discharges of hazardous materials. 31. Severability In the event any provision or portion of this Agreement is held to be unenforceable or invalid by any court of competent jurisdiction, the remainder of this Agreement shall remain in full force and effect and shall in no way be affected or invalidated thereby. 32. Demolition—Salvage and Recycling Public Improvement Agreement—PWR Covered Project Page 12 Revised—05/14/2007 Contract# As required by ORS 279C.510, Contractor shall salvage or recycle any construction and demolition debris if feasible and cost-effective. 33. Complete Agreement This Agreement and attached exhibits constitutes the entire Agreement between the parties. No waiver, consent, modification, or change of terms of this Agreement shall bind either party unless in writing and signed by both parties. Such waiver, consent, modification, or change if made, shall be effective only in specific instances and for the specific purpose given. There are no understandings, agreements, or representations, oral or written, not specified herein regarding this Agreement. Contractor, by the signature of its authorized representative,hereby acknowledges that he has read this Agreement,understands it and agrees to be bound by its terms and conditions. IN WITNESS WHEREOF, City has caused this Agreement to be executed by its duly authorized undersigned officer and Architect has executed thip� Agreement on the date hereinabove first written. Approved by Tigard's Local Contract Review Board:��A. CITY F IG SC EIDE E ,INC. Signa 'Sign ture Printe ame &Title Printed Name&Title — :/,,g 2 Z-0 9- Date Date Public Improvement Agreement—PWR Covered Project Page 13 Revised—05/14/2007 Contract# CITY OF TIGARD,OREGON PUBLIC IMPROVEMENT CONTRACT PERFORMANCE BOND Bond Number: Project Name: (Surety #1) Bond Amount No. 1: $ (Surety #2)* Bond Amount No. 2:* $ *If u ing multiple sureties Total Penal Sum of Bond: $ We, as Principal, and the above identified Surety(ies), authorized to transact surety business in Oregon, as Surety, hereby jointly and severally bind ourselves, our respective heirs, executors, administrators, successors, and assigns firmly by these presents to pay unto the City of Tigard, a municipality of the State of Oregon, the sum of (total Penal Sum of Bond) (Provided, that we the Sureties bind ourselves in such sum"jointly and severally" as well as "severally" only for the purpose of allowing a joint action or actions against any or all of us, and for all other purposed each Surety binds itself, jointly and severally with the Principal, for the payment of such sum only as is set forth opposite the name of such Surety), and WHEREAS, the Principal has entered into a contract with the City of Tigard, the plans, specifications, terms, and conditions of which are contained in the above-referenced project solicitation; WHEREAS, the terms and conditions of the contract, together with applicable plans, standard specifications, special provisions, schedule of performance, and schedule of contract prices, are made a part of this Performance Bond by reference, whether or not attached to the contract (all hereafter called "Contract"); and WHEREAS, the Principal has agreed to perform the Contract in accordance with the terms, conditions, requirements, plans, and specifications, and all authorized modifications of the Contract which increase the amount of the work, the amount of the Contract, or constitute an authorized extension of the time for performance,notice of any such modifications hereby being waived by the Surety: NOW, THEREFORE, THE CONDITION OF THIS BOND IS SUCH that if the Principal herein shall faithfully and truly observe and comply with the terms, conditions, and provisions of the Contract, in all respects, and shall well and truly and fully do and perform all matters and things undertaken by Contractor to be performed under the contract, upon the terms set forth therein, and within the time prescribed therein, or as extended as provided in the Contract, with or without notice to the Sureties, and shall indemnify and save harmless the City of Tigard, its officers, agents, and employees against any direct or indirect damages or claim of every kind and description that shall be suffered or claimed to be suffered in connection with or arising out of the performance of the Contract by the Principal or its subcontractors, and shall in all respects perform said contract according to law, then this obligation is to be void; otherwise, it shall remain in full force and effect. Nonpayment of the bond premium will not invalidate this bond nor shall the City of Tigard be obligated for the payment of any premiums. Public Improvement Agreement—PWR Covered Project Page 14 Revised—05/14/2007 Contract# This bond is given and received under the authority of ORS Chapter 279C and Tigard Public Contracting Rules, the provisions of which are incorporated into this bond and made a part hereof. IN WITNESS WHEREOF, WE HAVE CAUSED THIS INSTRUMENT TO BE EXECUTED AND SEALED BY OUR DULY AUTHORIZED LEGAL REPRESENTATIVES. Dated this day of , PRINCIPAL: By: Signature Printed Name &Title Attest: SURETY: (Add signatures for each surety if using multiple bonds) BY ATTORNEY-IN-FACT: (Power-of-Attorney must accompany each surety bond) Name Signature Address City State Zip Phone Fax Public Improvement Agreement—PWR Covered Project Page 15 Revised—05/14/2007 Contract# CITY OF TIGARD,OREGON PUBLIC IMPROVEMENT CONTRACT PAYMENT BOND Bond Number: Project Name: (Surety #1) Bond Amount No. 1: $ (Surety #2)* Bond Amount No. 2:* $ *If using multiple sureties Total Penal Sum of Bond: $ We, as Principal, and the above identified Surety(ies), authorized to transact surety business in Oregon, as Surety, hereby jointly and severally bind ourselves, our respective heirs, executors, administrators, successors, and assigns firmly by these presents to pay unto the City of Tigard, a municipality of the State of Oregon, the sum of (total Penal Sum of Bond) (Provided, that we the Sureties bind ourselves in such sum "jointly and severally" as well as "severally" only for the purpose of allowing a joint action or actions against any or all of us, and for all other purposed each Surety binds itself, jointly and severally with the Principal, for the payment of such sum only as is set forth opposite the name of such Surety), and WHEREAS, the Principal has entered into a contract with the City of Tigard, the plans, specifications, terms, and conditions of which are contained in above-referenced project solicitation; WHEREAS, the terms and conditions of the contract, together with applicable plans, standard specifications, special provisions, schedule of performance, and schedule of contract prices, are made a part of this Payment bond by reference,whether or not attached to the contract (all hereafter called "Contract"); and WHEREAS, the Principal has agreed to perform the Contract in accordance with the terms, conditions, requirements, plans, and specifications, and schedule of contract prices which are set forth in the Contract and any attachments, and all authorized modifications of the Contract which increase the amount of the work, or the cost of the Contract, or constitute authorized extensions of time for performance fo the Contract, notice of any such modifications hereby being waived by the Surety: NOW, THEREFORE, THE CONDITION OF THIS BOND IS SUCH that if the Principal shall faithfully and truly observe and comply with the terms, conditions, and provisions of the Contract, in all respects, and shall well and truly and fully do and perform all matters and things by it undertaken to be performed under said Contract and any duly authorized modifications that are made, upon the terms set forth therein, and within the time prescribed therein, or as extended therein as provided in the Contract, with or without notice to the Sureties, and shall indemnify and save harmless the City of Tigard its officers, agents, and employees against any claim for direct or indirect damages of every kind and description that shall be suffered or claimed to be suffered in connection with or arising out of the performance of the Contract by the Contractor or its subcontractors, and shall promptly pay all persons supplying labor, materials, or both to the Principal or its subcontractors for prosecution of the work provided in the Contract; and shall promptly pay all contributions due the State Industrial Accident Fund and the State Unemployment Compensation Fund from the Principal or its subcontractors in connection with the performance of the Contract; and shall pay over to the Oregon Department of Revenue all sums required to be deducted and retained from the wages of employees of the Principal and its subcontractors pursuant to Public Improvement Agreement—PWR Covered Project Page 16 Revised—05/14/2007 Contract# ORS 316.167, and shall permit no lien nor claim to be filed or prosecuted against the City on account of any labor or materials furnished; and shall do all things required of the Principal by the laws of the State of Oregon, then this obligation shall be void; otherwise,it shall remain in full force and effect. Nonpayment of the bond premium will not invalidate this bond nor shall the City of Tigard be obligated for the payment of any premiums. This bond is given and received under the authority of ORS Chapter 279C and Tigard Public Contracting Rules, the provisions of which are incorporated into this bond and made a part hereof. IN WITNESS WHEREOF, WE HAVE CAUSED THIS INSTRUMENT TO BE EXECUTED AND SEALED BY OUR DULY AUTHORIZED LEGAL REPRESENTATIVES. Dated this day of , PRINCIPAL: By: Signature Printed Name &Title Attest: SURETY: (Add signatures for each surety if using multiple bonds) BY ATTORNEY-IN-FACT: (Power-of-Attorney must accompany each surety bona) Name Signature Address City State Zip Phone Fax Public Improvement Agreement—PWR Covered Project Page 17 Revised—05/14/2007 Contract# EXHIBIT A—SCOPE OF SERVICES Contract for construction services, labor and materials for the proposed modifications to an existing private water well located at 10606 SW Titan Lane, Tigard, OR 97223. INTRODUCTION The City of Tigard, Oregon is requesting informal bid proposals for labor and materials to properly abandon the private water well identified by Washington County and Oregon Water Resources Department as WASH 2046, total depth 705 feet bgs, 6 inch well casing 686 feet bgs. The abandonment methods and procedures shall be performed in accordance to Oregon Water Resources Department and City Hydro-geologist pursuant to OAR 333-061 and OAR 690-210. The following elements of work are provided to identify scope of work: SCOPE Contractor shall be fully responsible for site conditions and restoration to reasonable original condition of all work activities while on private property identified as 10606 SW Titan Lane and 15582 SW Titan Lane, Tigard. The City of Tigard shall contract agreements with both property owners regarding permission and approval to perform work within the proposed work site. All work shall be subject to Oregon Water Resources approval of all as-built designs and construction methods outlined by the contractor. Contractor is fully responsible for obtaining permits and final certification of well abandonment improvements from local and state agencies. No specific traffic control plan is required. Contractor shall delineate work zone with cones, barricades and caution tape. Work hours shall be Monday through Friday, 8:00 a.m. to 5:00 p.m. No work shall be performed on weekends or holidays. Work which impacts the neighborhood regarding noise, heavy equipment and heavy traffic shall be performed from 9:00 a.m. to 4:00 p.m. and all applicable City ordinances regarding contractor work within residential zones shall apply. Contractor shall provide a schedule for the property owners and City regarding start date and completion date. Funding for this project ends June 30, 2008. A portion of the work proposed may be completed after June 30, 2008. However, the contractor shall provide a detailed invoice for progress payment up to June 30, 2008, and shall provide a request for extension and a revised schedule requiring approval by the City. City shall supply water for construction operation at or near the well head. Contractor is responsible for hoses and appurtenances for conveyance of water from fire hydrant or on-site property location. City shall begin water aquifer pumping within the located well site area to reduce the surface level of water within the existing well. All other water within the well site shall be the contractor's responsibility to remove and properly dispose of. PROPOSAL PRICING Item#1: Mobilization/Demobilization Item #2: Excess sediment and water containment, disposal Item #3: Perforate well as per Oregon Water Resources Department Item #4: Cement well and seal back to surface Public Improvement Agreement—PWR Covered Project Page 1 Revised—05/14/2007 Contract# Item #5: Restore site to reasonable original condition (fencing, walks, drives, landscape, etc.) Any costs associated with damage to property, fencing, landscaping, walkways/driveways, etc. shall be the responsibility of the contractor. Final payment for all work shall be approved after final inspection and issuance of certification by Oregon Water Resources Department, hydro-geologist of record for the City of Tigard and the property owners. CONDITIONS This is an Oregon Public Contract with all applicable conditions. Start date for the project shall be within 30 days of award of contract. Completion of project shall be no later than June 30, 2008. The City of Tigard will provide to the Contractor site access Monday through Friday, 8:00 a.m. to 5:00 p.m. All permits required within the scope of this project shall be the responsibility of the Contractor. All systems inspection, testing and adjustment shall be the responsibility of the Contractor. Storage of materials within the site will be limited. Responsibility for materials and equipment left on site shall be that of the Contractor. All work shall be performed in accordance to OSHA and State of Oregon rules and regulations regarding safety equipment and practices. Site conditions are described in attached drawings. Site visits can be arranged to examine all conditions upon request to Public Works Department. A successful bidder not performing site visits shall accept all physical conditions and constraints within the sites. Public Improvement Agreement—PWR Covered Project Page 2 Revised—05/14/2007 Contract# EXHIBIT B-CONTRACTOR'S PROPOSAL ***4 SCHNEIDER COMPLtirEWATE•RSYSTEMS EQUIPMENT, INC. OR CCB No.39265 WELL DRILLING•PUMPS.CONTROLS WA General Contractor SALES&SERVICE 09 DRILLING CO. No. SCI1NE1'226LG 21881 River Road NE•St.Paul,OR 97137 Phone(503)633-2666.Fax(503)633-2668 Proposal To: City of Tigard Ref.No.: Attn: John Goodrich Date: March 21.2008 Fax 503-684-8840 a-mail: joling@Ligard-or.gov Page: 1 SITE: 10606 SW Titan Lane_Tigard,OR 97223 Anticipated work: Abandon 6"diameter well pursuant to Request for Quote dated 2/19/08. Item Description Unit Estimnled Unit Estimated Amount No. I Quantity Price I Mobilization/Demobilization LS 1 11.400.00 $ 11.400.00 2 Excess sediment and water containment,disposal LS 1 3,000.00 $ 3,000.00 3 Perforate Nvell as per Oregon Water Resources Department LS 1 9,600.00 $ 9,600.00 4 Cement well and seal back to surface LS 1 14.700.00 $ 14.700.00 Resore site to reasonable original condition(fencing,Walks, LS l 3.000.00 $ 3.000.00 drives,landscape,etc.) TOTAL ESTIMATE $ 41,700.00 Tigard 2008.x1sx Titan Lane Public Improvement Agreement—PWR Covered Project Page 3 Revised—05/14/2007 Contract# EXHIBIT C—LICENSE AGREEMENT David Nelson, Patricia Nelson, Merlinda Hoffarber and the City of Tigard LICENSE AGREEMENT THIS LICENSE AGREEMENT("Agreement")is entered into as of this 17th day of April,2008("Effective Date"),between DAVID NELSON and PATRICIA NELSON (collectively"Nelson")and MERLINDA HOFFARBER("Tenant")and THE CITY OF TIGARD,an Oregon Municipal corporation(the"City"). RECITALS A. Nelson is the owner of the property commonly known as 10582 SW Titan Lane, Tigard,Oregon 97224, in Washington County(the"Property"). Tenant is the current tenant of the Property.Nelson and Tenant are collectively referred to herein as"Owner." B. A private water well,well log WASH 2046(the"Well")is located at 10606 SW Titan Lane,Tigard,Oregon, 97224, in Washington County(the"Well Property").The Well and the Well Property are adjacent to the Property. C. The City is the owner of the municipal public water supply and operates and maintains the underground aquifer system to provide adequate water to the Tigard Water Services Area.The Oregon Water Resources Department("OWRD")has determined that the Well is not in compliance with applicable laws and regulations regarding well abandonment and must be properly abandoned to protect the public water supply. D. The City has agreed to abandon the Well in accordance with applicable OWRD rules and regulations. In order to abandon the Well,the City must have access to the Property, the Well and the Well Property.Owner has agreed to grant the City access to the Property to perform such abandonment,upon the terms and conditions set forth herein. NOW,THEREFORE,the parties mutually agree as follows: 1. Grant of License. Subject to the terms and conditions herein,Owner hereby grants to City and its contractors;agents and assigns a non-exclusive license to i)enter upon the Property and perform the activities necessary to abandon the Well(the"Project"); and ii)store equipment, tools and other items necessary to complete the Project on the Property. 2. Scope.The City may use the Property as follows:i) for the purposes of construction activities related to the Project,during normal business hours(8:00 A.M.to 5:00 P.M.), Monday 50014-36791 NeiwniloffarberLicAgCLMjbg/4/17/2008 Public Improvement Agreement—PWR Covered Project Page 4 Revised—05/14/2007 Contract# through Friday;and ii)for the purposes of storage of equipment,tools and other items necessary to complete the Project,at all hours and all days from the Effective Date until the Termination Date(as defined below).Owner shall allow the City, its contractors,agents and assigns access to the Property for such purposes during such hours and days. 3. Construction,The City,its contractors,agents;and assigns shall perforin all work required to properly abandon the Well in accordance with applicable OWRD riles and regulations,with the intent to complete the restoration to reasonable original condition 3.1 Upon completion of the Project,the City,its contractors,agents or assigns shall restore the Property to as near its original condition as is reasonable, normal wear and tear excepted. The parties acknowledge that restoration of the Property to its exact original condition is not possible. 3.2 Upon completion of such restoration,Owner shall have the opportunity to inspect the Property and request completion of reasonable punch-list type items.Owner shall sign a statement that the Property was reasonably restored,and the City shall have no further responsibility regarding the well,the properties or the owners 3.3 Owners are solely responsible for any damage and/or site conditions existing prior to the restoration,and for future liability associated with work on this certified abandoned well project. 3.4 Owner.and contractor claims of harm against each other occurring during performance of the well abandonment work shall be subject to arbitration and mediation and each shall be bound by the final decision. 4. Personnel.The City shall contract with licensed contractors,a state registered well driller and hydro-geologist,and all other persons or entities it deems necessary, in its sole discretion,to complete the Project in accordance with applicable OWRD rules and regulations.Such persons and entities are authorized to enter upon the Property pursuant to this Agreement and perforin the activities necessary to complete the Project,in accordance with this Agreement and related agreements with the City. 5. Termination.This Agreement shall continue in full force and effect from the Effective Date until July 30;2008(the"Termination Date"). The termination date may be extended to facilitate completion of the project,upon written agreement by the City and Owner. 6. Indemnification.Owner shall indemnify,defend(with counsel acceptable to City),and hold City and its contractors,agents and assigns,harmless from any and all existing and future claims,damages;losses,demands,causes of action,costs and expenses and liabilities arising out of: (a)any and all conditions that existed prior to the commencement of the Project,whether or not the Project activities contributed to,exacerbated or caused such pre-existing conditions and whether or not such conditions are on the Property,or the strictures or foundations located on the Property;and(b)any and all damage caused by the condition of the Property prior to or after commencement of the Project. 30014-36792 Nelson[loITarticrLicAgCLNljbg/-1/17/1008 Public Improvement Agreement—PWR Covered Project Page 5 Revised—05/14/2007 Contract# 6.1 Except as set forth above,related to pre-existing conditions,the City shall indemnify,defend and hold Owner harmless from any and all existing and future claims; damages, losses,demands,causes of action,costs and expenses and liabilities arising out of the activities of the City,its contractors,agents or assigns on the Property during the time period from the commencement of the Project to completion of the Project. 7. Representations and Warranties.Nelson represents and warrants that they are the sole owners of the Property,and have the authority to enter into this Agreement and grant the license to enter onto the Property and perform the Project as set forth herein.Tenant represents and warrants that she is the sole tenant of the Property,and has the authority to enter into this Agreement and grant the license to enter onto the Property and perform the Project as set forth herein. 8. Time is of the Essence. Time is of the essence.in this Agreement. 9. Future Assurances. Each of the parties shall,upon the request of ally other party, execute and deliver such additional documents as may be necessary or convenient for the purpose of evidencing or perfecting any rights or interests arising under this Agreement. 10. Choice of Law and Venue. This Agreement and any other instrument or writing provided for herein, or delivered as a result of this Agreement,shall be governed,enforced,and construed by the laws of the state of Oregon. If either party commences any action to enforce rights under this contract,venue of such action,at the option of Sellers,shall lie in Washington County,Oregon. 11. Mediation.In the event a dispute arises between the parties in connection with this Agreement,before resorting to any other legal remedy,the parties shall attempt in good faith to resolve such dispute by mediation. The mediation shall be conducted by a mediator selected by mutual agreement of the parties. If the parties cannot agree on a single mediator,the mediator shall be selected by two mediators,one of whom is selected by the City and one of whom is selected by Owner. 12. Legal Proceedings. In the event any legal proceeding is commenced for the purpose of interpreting or enforcing any provision of this Agreement,the prevailing party in such proceeding shall be entitled to recover reasonable attorney's fee in such proceeding,or any appeal thereof,in addition to the costs and disbursements allowed by law. 13. Representation. The parties acknowledge and agree that this Agreement has been prepared on behalf of the City by Jordan Schrader Ramis PC. Owner acknowledges 3001446742 Nelson]lo0nrberLicAgCLMjbgl41l72008 Public Improvement Agreement—PWR Covered Project Page 6 Revised—05/14/2007 Contract# having been advised to seek the advice of independent counsel in regard to the closing of this transaction. Owner's execution of this Agreement,and the termination of this License Agreement project shall be deemed Owner's acknowledgement that they have either sought independent legal advice or have waived their right to do so. 14.Amendment.This Agreement may only be amended in writing,executed by all parties. 15.Integration. This Agreement supersedes all oral statements and any previous oral or written agreements and contains the final and entire agreement of the parties hereto with respect to the subject matter hereof and the conditions contemplated hereby. 16.Counterparts.This Agreement may be executed in counterparts,each of which, when taken together,shall constitute fully executed originals. CITY NELSON CITY OF TIGARD,an Oregon municipal corp on %David Nelson,Nelson,Individually e s Koellermeier,Public Works Director Patricia Nelson,Individually TENANT �IW44�kl�/: Iserlinda(J-1!offarber,Individually Public Improvement Agreement—PWR Covered Project Page 7 Revised—05/14/2007 EXHIBIT D—LICENSE AGREEMENT Gina Fanucchi and the City of Tigard LICENSE AGREEMENT THIS LICENSE AGREEMENT("Agreement") is entered into as of this H "day of tt ,2008(the"Effective Date")between GINA FANUCCHI("Fanucchi")and the CITY OF TIGARD an Oregon municipal corporation(the"City"). RECITALS A. The City is the owner of the municipal public water supply and operates and maintains the underground aquifer system to provide adequate water to the Tigard Water Services Area. B. A private water well,well log WASH 2046(the"Well") is located at 10606 SW Titan Lane,Tigard,Oregon,97224, in Washington County,Tax Lot I.D. 2S 1 15AA07500(the"Property"). The Well and Property are owned by Fanucchi. C. The Oregon Water Resources Department("OWRD")has detennined that the Well is not in compliance with applicable laws and regulations regarding well abandonment and must be properly abandoned to protect the public water supply. D. The City has agreed to properly abandon the Well,and Fanucchi has agreed to grant the City access to the Property and the Well to perform such abandonment,upon the terms and conditions set forth herein. NOW THEREFORE, in consideration of the terms, covenants, and conditions expressed in this Agreement to be kept and performed by the parties hereto, the receipt, adequacy, and sufficiency of which are hereby acknowledged, and based on the foregoing recitals which each party acknowledges to be true,and which are hereby incorporated into this Agreement,the parties mutually agree as follows: Page 1 - LICENSE AGREEMENT sreu4a6792r„i,,d,ucngrrNct,v;Igl4ll6er,nx Public Improvement Agreement—PWR Covered Project Page 8 Revised—05/14/2007 1. Grant of License. Subject to the terms and conditions herein,Fanucchi hereby grants to City and its contractors,agents and assigns a non-exclusive license to i)enter upon the Property and perform the activities necessary to properly abandon the Well(the "Project');and ii)store equipment,tools and other items necessary to complete the Project on the Property. 2 Scope.The City may use the Property as follows: i)for the purposes of construction activities related to the Project,during normal business hours(8:00 A.M.to 5:00 P.M.),Monday through Friday;and ii)for the purposes of storage of equipment,tools and other items necessary to complete the Project,at all hours and all days from the Effective Date until the Termination Date(as defined below).Fanucchi shall allow the City,its contractors,agents and assigns access to the Property and the Well for such purposes during such hours and days. 3. Construction.The City,its contractors,agents;and assigns shall perform all work required to properly abandon the Well in accordance with applicable OWRD rules and regulations,with the intent to complete the restoration to reasonable original condition. 3.1 Upon completion of the Project,the City, its contractors,agents or assigns shall restore the Property to as near its original condition as is reasonable,normal wear and tear excepted. The parties acknowledge that restoration of the Property to its exact original condition is not possible. 3.2 Upon completion of such restoration, Fanucchi shall have the opportunity to inspect the Property and request completion of reasonable punch-list type items. Fanucchi shall sign a statement that the Property was reasonably restored,and the City shall have no further responsibility regarding the well,the properties, or the owners 3.3 Fanucchi is solely responsible for damage,and/or site conditions existing prior to the beginning of the restoration,and for future liability associated with work on this certified abandoned well project. 3.4 Fanucchi and/or contractor claims of harm against each other occurring during performance of the well abandonment work shall be subject to arbitration and mediation and each shall be bound by the final decision. 4. Personnel.The City shall contract with licensed contractors,a state registered well driller and hydro-geologist,and all other persons or entities it deems necessary, in its sole discretion,to complete the Project in accordance with applicable OWRD rules and regulations.Such persons and entities are authorized to enter upon the Property pursuant to Page 2- LICENSE AGREEMENT 501114.36792 rarixccdiLicAgrIACLi19jGg/4/l6C003 Public Improvement Agreement—PWR Covered Project Page 9 Revised—05/14/2007 this Agreement and perforin the activities necessary to complete the Project, in accordance with this Agreement and related agreements with the City. 5. Certification.The City,on behalf of Fanucchi,shall apply for and receive an OWRD certification of abandonment for the Well. 6. Consideration;Costs.The.City shall bear the costs of abandoning the Well and reasonably restoring the Property in accordance with Section 3.of this Agreement,and as set forth in RECITALS,Paragraph C. including the costs of materials,construction, labor,equipment and professional services. Fanucchi shall have no responsibility for contracting or directing the performance of the work done in carrying out the certified well abandonment project. 7. Termination.This Agreement shall continue in full force and effect from the Effective Date until July 30,2008(the"Termination Date"). The termination date may be extended to facilitate completion of the well abandonment project,upon written agreement by the City and Fanucchi. 8. Indemnification. Fanucchi shall indemnify,defend(with counsel acceptable to City), and hold City and its contractors,agents and assigns,harmless from any and all existing and future claims,damages,losses,demands,causes of action,costs and expenses and liabilities arising out of.(a)any and all conditions that existed prior to the commencement of the Project,whether or not the Project activities contributed to or exacerbated such pre- existing conditions and whether or not such conditions existed on the Property,the Well or the structures or foundations located on the Property;(b)any and all damage caused by the condition of the Well or the Property prior to or after commencement of the Project;and (c)any and all damage caused by the condition of the Well or the Property after completion of the Project unless such condition results solely from the negligent acts of the City and its contractors,agents,and assigns. 8.1 The parties acknowledge that the home located on the Property has pre- existing foundation and fireplace structural problems and construction activities will require impact and cutting activities near such foundation and fireplace.The parties acknowledge that such foundation and fireplace structural problems are pre-existing conditions.Although the City,its contractors,agents and assigns will use reasonable care in carrying out the Project such parties shall riot be liable for any damage caused to the foundation and fireplace due to such construction activities. 8.2 Except as set forth above,related to pre-existing conditions,the City shall indemnify,defend and hold Fanucchi harmless from any and all existing and future claims, damages, losses,demands,causes of action,costs and expenses and liabilities arising out of the activities of the City, its contractors,agents or assigns on the Property during the time period from the commencement of the Project to completion of the Project. Page 3 - LICENSE AGREEMENT 50014-367971....liLi AgriVCLMjbgl4g6/?OOy Public Improvement Agreement—PWR Covered Project Page 10 Revised—05/14/2007 9. Representations and Warranties. Fanucchi represents and warrants that she is the sole owner of the Property and the Well,and has the authority to enter into this Agreement and grant the license as set forth herein. 10. Time is of the Essence. Time is of the essence in this Agreement. 11 Future Assurances. Each of the parties shall,upon the request of any other party, execute and deliver such additional documents as may be necessary or convenient for the purpose of evidencing or perfecting any rights or interests arising under this Agreement. 12. Choice of Law And Venue. This Agreement and any other instrument or writing provided for herein,or delivered as a result of this Agreement,shall be governed,enforced, and construed by the laws of the state of Oregon. If either party commences any action to enforce rights under this contract,venue of such action,at the option of Sellers,shall lie in Washington County,Oregon. 13. Mediation.In the event a dispute arises between the parties in connection with this Agreement,before resorting to any other legal remedy,the parties shall attempt in good faith to resolve such dispute by mediation. The mediation shall be conducted by a mediator selected by mutual agreement of the parties. If the parties cannot agree on a single mediator,the mediator shall be selected by two mediators,one of whom is selected by the City and one of whom is selected by Fanucchi. 14. Legal Proceedings. In the event any legal proceeding is commenced for the purpose of interpreting or enforcing any provision of this Agreement,the prevailing party in such proceeding shall be entitled to recover reasonable attorney's fee in such proceeding,or any appeal thereof,in addition to the costs and disbursements allowed by law. 15. Representation. The parties acknowledge and agree that this Agreement has been prepared on behalf of the City by Jordan Schrader Ramis PC. Fanucchi acknowledges having been advised to seek the advice of independent counsel in regard to the closing of this transaction. Fanucchi's execution of this Agreement and the closing of this transaction shall be deemed Fanucchi's acknowledgement that she has either sought independent legal advice or has waived her right to do so. 16. Amendment.This Agreement may only be amended in writing,executed by both parties. 17. Integration.This Agreement supersedes all oral statements and all previous oral or written agreements and contains the final and entire agreement of the parties hereto with respect to the subject matter hereof and the conditions contemplated hereby. Page 4- LICENSE AGREEMENT 50014-36792 Fnn¢c)iitk.lgr)NCLAIjbg/4F]6Q01)S Public Improvement Agreement—PWR Covered Project Page 11 Revised—05/14/2007 18. Counterparts. This Agreement may be executed in counterparts,each of which, when taken together,shall constitute fully executed originals. THE CITY GINA FANUCCHI mKoellermeier, regon municipal Corp lic Works Director Page 5- LICENSE AGREEMENT 50014.36792 Fan❑cchiLicAgG1NC1.A4jbgl4/l6/2008 Public Improvement Agreement—PWR Covered Project Page 12 Revised—05/14/2007