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FORM OF AGREEMENT
BETWEEN CITY OF LAKEVILLE AND CONTRACTOR
FOR DODD POINTE PARK PLAYGROUND EQUIPMENT AND INSTALLATION
THIS AGREEMENT made this 20th day of May 2019, by and between the CITY OF
LAKEVILLE, a Minnesota municipal corporation (“Owner” or “City”) and Landscape Structures,
Inc., (“Contractor”). Owner and Contractor, in consideration of the mutual covenants set forth
herein, agree as follows:
1. CONTRACT DOCUMENTS. The following documents shall be referred to as the
“Contract Documents”, all of which shall be taken together as a whole as the contract between the
parties as if they were set verbatim and in full herein:
A. This Agreement.
B. Contractor’s Proposal dated May 9, 2019
In the event of a conflict among the provisions of the Contract Documents, the order in which they
are listed above shall control in resolving any such conflicts. Contract Document “A” has the first
priority and Contract Document “B” has the last priority.
2. OBLIGATIONS OF THE CONTRACTOR. The Contractor shall provide the
goods, services, and perform the work in accordance with the Contract Documents. Contractor shall
not begin any work until the City has received the signed contract and has reviewed and approved
the insurance certificates and has given the Contractor a written notice to proceed. Contractor shall
exercise the same degree of care, skill, and diligence in the performance of the services as is
ordinarily possessed and exercised by a contractor under similar circumstances. City shall not be
responsible for discovering deficiencies in the accuracy of Contractor’s services.
3. CONTRACT PRICE. Owner shall pay Contractor for completion of the Work, in
accordance with the Contractor’s Proposal. Additional work performed without the City’s written
approval will not entitle Contractor to an increase in the Contract Price or an extension of the
Contract Time.
4. PAYMENT PROCEDURES.
A. Contractor shall submit Applications for Payment. Applications for Payment
will be processed by the Parks and Recreation Director.
B. Progress Payments; Retainage. Owner shall make 95% progress payments
on account of the Contract Price on the basis of Contractor’s Applications for
Payment during performance of the Work.
C. Payments to Subcontractors.
(1) Prompt Payment to Subcontractors. Pursuant to Minn. Stat. § 471.25,
Subd. 4a, the Contractor must pay any subcontractor within ten (10)
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days of the Contractor’s receipt of payment from the City for
undisputed services provided by the subcontractor. The Contractor
must pay interest of 1 ½ percent per month or any part of a month to
the subcontractor on any undisputed amount not paid on time to the
subcontractor. The minimum monthly interest penalty payment for
an unpaid balance of $100.00 or more is $10.00. For an unpaid
balance of less than $100.00, the Contractor shall pay the actual
penalty due to the subcontractor.
(2) Form IC-134 (attached) required from general contractor. Minn. Stat.
§ 290.92 requires that the City of Lakeville obtain a Withholding
Affidavit for Contractors, Form IC-134, before making final
payments to Contractors. This form needs to be submitted by the
Contractor to the Minnesota Department of Revenue for approval.
The form is used to receive certification from the state that the vendor
has complied with the requirement to withhold and remit state
withholding taxes for employee salaries paid.
D. Final Payment. Upon final completion of the Work, Owner shall pay the
remainder of the Contract Price as recommended by the Parks and Recreation
Director. Final completion shall be when all of the work is completed per the
contract and 80% of the permanent cover is established, as determined by the
Parks and Recreation Director.
5. COMPLETION DATE. The Work must be completed by October 18, 2019.
6. CONTRACTOR’S REPRESENTATIONS.
A. Contractor has examined and carefully studied the Contract Documents and
other related data identified in the Contract Documents.
B. Contractor has visited the Site and become familiar with and is satisfied as to
the general, local, and Site conditions that may affect cost, progress, and
performance of the Work.
C. Contractor is familiar with and is satisfied as to all federal, state, and local
laws and regulations that may affect cost, progress, and performance of the
Work.
D. Contractor has carefully studied all: (1) reports of explorations and tests of
subsurface conditions at or contiguous to the Site and all drawings of physical
conditions in or relating to existing surface or subsurface structures at or
contiguous to the Site (except Underground Facilities) which have been
identified in the General Conditions and (2) reports and drawings of a
Hazardous Environmental Condition, if any, at the site.
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E. Contractor has obtained and carefully studied (or assumes responsibility for
doing so) all additional or supplementary examinations, investigations,
explorations, tests, studies, and data concerning conditions (surface,
subsurface, and Underground Facilities) at or contiguous to the Site which
may affect cost, progress, or performance of the Work or which relate to any
aspect of the means, methods, techniques, sequences, and procedures of
construction to be employed by Contractor, including any specific means,
methods, techniques, sequences, and procedures of construction expressly
required by the Bidding Documents, and safety precautions and programs
incident thereto.
F. Contractor does not consider that any further examinations, investigations,
explorations, tests, studies, or data are necessary for the performance of the
Work at the Contract Price, within the Contract Times, and in accordance
with the other terms and conditions of the Contract Documents.
G. Contractor is aware of the general nature of work to be performed by Owner
and others at the Site that relates to the Work as indicated in the Contract
Documents.
H. Contractor has correlated the information known to Contractor, information
and observations obtained from visits to the Site, reports and drawings
identified in the Contract Documents, and all additional examinations,
investigations, explorations, tests, studies, and data with the Contract
Documents.
I. The Contract Documents are generally sufficient to indicate and convey
understanding of all terms and conditions for performance and furnishing of
the Work.
J. Subcontracts:
(1) Unless otherwise specified in the Contract Documents, the Contractor
shall, upon receipt of the executed Contract Documents, submit in
writing to the Owner the names of the Subcontractors proposed for
the work. Subcontractors may not be changed except at the request
or with the consent of the Owner.
(2) The Contractor is responsible to the Owner for the acts and omissions
of the Contractor's subcontractors, and of their direct and indirect
employees, to the same extent as the Contractor is responsible for the
acts and omissions of the Contractor's employees.
(3) The Contract Documents shall not be construed as creating any
contractual relation between the Owner and any subcontractor.
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(4) The Contractor shall bind every subcontractor by the terms of the
Contract Documents.
7. WORKER’S COMPENSATION. The Contractor shall obtain and maintain for
the duration of this Contract, statutory Worker’s Compensation Insurance and Employer’s Liability
Insurance as required under the laws of the State of Minnesota.
8. INSURANCE. Prior to the start of the project, Contractor shall furnish to the City
a certificate of insurance showing proof of the required insurance required under this
Paragraph. Contractor shall take out and maintain or cause to be taken out and maintained until six
(6) months after the City has accepted the public improvements, such insurance as shall protect
Contractor and the City for work covered by the Contract including workers’ compensation claims
and property damage, bodily and personal injury which may arise from operations under this
Contract, whether such operations are by Contractor or anyone directly or indirectly employed by
either of them. The minimum amounts of insurance shall be as follows:
Commercial General Liability (or in combination with an umbrella policy)
$2,000,000 Each Occurrence
$2,000,000 Products/Completed Operations Aggregate
$2,000,000 Annual Aggregate
The following coverages shall be included:
Premises and Operations Bodily Injury and Property Damage
Personal and Advertising Injury
Blanket Contractual Liability
Products and Completed Operations Liability
Automobile Liability
$2,000,000 Combined Single Limit – Bodily Injury & Property Damage
Including Owned, Hired & Non-Owned Automobiles
Workers Compensation
Workers’ Compensation insurance in accordance with the statutory requirements of
the State of Minnesota, including Employer’s Liability with minimum limits are as
follows:
$500,000 – Bodily Injury by Disease per employee
$500,000 – Bodily Injury by Disease aggregate
$500,000 – Bodily Injury by Accident
The Contractor’s insurance must be “Primary and Non-Contributory”.
All insurance policies (or riders) required by this Contract shall be (i) taken out by and
maintained with responsible insurance companies organized under the laws of one of the states
of the United States and qualified to do business in the State of Minnesota, (ii) shall name the
City, its employees and agents as additional insureds (CGL and umbrella only) by endorsement
which shall be filed with the City. A copy of the endorsement must be submitted with the
certificate of insurance.
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Contractor’s policies and Certificate of Insurance shall contain a provision that coverage
afforded under the policies shall not be cancelled without at least thirty (30) days’ advanced
written notice to the City, or ten (10) days’ notice for non-payment of premium.
An Umbrella or Excess Liability insurance policy may be used to supplement Contractor’s
policy limits on a follow-form basis to satisfy the full policy limits required by this Contract.
9. WARRANTY. The Contractor shall be held responsible for any and all defects in
workmanship and materials which may develop in any part of the contracted service, and upon
proper notification by the City shall immediately replace, without cost to the City, any such faulty
work.
10. INDEMNIFICATION. To the fullest extent permitted by law, Contractor agrees
to defend, indemnify and hold harmless the City, and its employees, officials, and agents from and
against all claims, actions, damages, losses and expenses, including reasonable attorney fees, arising
out of Contractor’s negligence or its performance or failure to perform its obligations under this
Contract. Contractor’s indemnification obligation shall apply to subcontractor(s), or anyone
directly or indirectly employed or hired by Contractor, or anyone for whose acts Contractor may be
liable. Contractor agrees this indemnity obligation shall survive the completion or termination of
this Contract.
11. PERFORMANCE AND PAYMENT BONDS. Performance and Payment Bonds
are not required.
12. MISCELLANEOUS.
A. Terms used in this Agreement have the meanings stated in the General
Conditions.
B. Owner and Contractor each binds itself, its partners, successors, assigns and
legal representatives to the other party hereto, its partners, successors, assigns
and legal representatives in respect to all covenants, agreements, and
obligations contained in the Contract Documents.
C. Any provision or part of the Contract Documents held to be void or
unenforceable under any law or regulation shall be deemed stricken, and all
remaining provisions shall continue to be valid and binding upon Owner and
Contractor, who agree that the Contract Documents shall be reformed to
replace such stricken provision or part thereof with a valid and enforceable
provision that comes as close as possible to expressing the intention of the
stricken provisions.
D. Data Practices/Records.
(1) All data created, collected, received, maintained or disseminated for
any purpose in the course of this Contract is governed by the
Minnesota Government Data Practices Act, Minn. Stat. Ch. 13, any
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other applicable state statute, or any state rules adopted to implement
the act, as well as federal regulations on data privacy.
(2)All books, records, documents and accounting procedures and
practices to the Contractor and its subcontractors, if any, relative to
this Contract are subject to examination by the City.
E.All reports, plans, models, software, diagrams, analyses, and information
generated in connection with performance of this Agreement shall be the
property of the City. The City may use the information for its purposes.
F.Patented devices, materials and processes. If the Contract requires, or the
Contractor desires, the use of any design, devise, material or process covered
by letters, patent or copyright, trademark or trade name, the Contractor shall
provide for such use by suitable legal agreement with the patentee or owner
and a copy of said agreement shall be filed with the Owner. If no such
agreement is made or filed as noted, the Contractor shall indemnify and hold
harmless the Owner from any and all claims for infringement by reason of
the use of any such patented designed, device, material or process, or any
trademark or trade name or copyright in connection with the Project agreed
to be performed under the Contract, and shall indemnify and defend the
Owner for any costs, liability, expenses and attorney's fees that result from
any such infringement.
G.In providing services hereunder, Contractor shall abide by all statutes,
ordinances, rules and regulations pertaining to the provisions of services to
be provided.
H.Assignment. Neither party may assign, sublet, or transfer any interest or
obligation in this Contract without the prior written consent of the other party,
and then only upon such terms and conditions as both parties may agree to
and set forth in writing.
I.Waiver. In the particular event that either party shall at any time or times
waive any breach of this Contract by the other, such waiver shall not
constitute a waiver of any other or any succeeding breach of this Contract by
either party, whether of the same or any other covenant, condition or
obligation.
J.Governing Law/Venue. The laws of the State of Minnesota govern the
interpretation of this Contract. In the event of litigation, the exclusive venue
shall be in the District Court of the State of Minnesota for Dakota County.