CITY OF SANTA ROSA
BOND FORMS AND
CHECKLIST
FORWARD IMMEDIATELY TO YOUR BONDING COMPANY
WARNING:
The City of Santa Rosa has certain bond
requirements which may not comport with your
surety company’s standard forms. To expedite
compliance, please use the attached City of Santa
Rosa forms. If standard forms are used, they must
meet the requirements in the checklist. Please give
this packet to your surety. Failure to comply will
result in possible delay or termination of the
contract.
Version Date: 10/17/12
BOND REQUIREMENTS & SAMPLE BONDS
Enclosed are forms for Performance, Labor and Materials (Payment) and Material Guaranty
(Warranty) Bonds. The Surety should use these forms in order to assure the bonds provided
are acceptable to the City of Santa Rosa. The Contractor should make certain bonds issued
are from a surety in good financial standing and qualified to do business in the State of
California. The following requirements must be met:
BOND REQUIREMENTS
1.
For Major contracts, Performance and Material Guaranty Bonds in a sum
equal to at least one-half (½) the contract price must be provided. For
exact amounts see Section 3 of the Contract Documents. For any
contract with a contract price in excess of $25,000, contractor must
provide a Labor and Materials (Payment) Bond in a sum equal to the full
amount (100%) of the contract price, in a form that complies with
California Civil Code Section 3248.
2.
All bonds must be signed by an authorized representative of the
contractor and the attorney-in-fact for the surety company.
3.
The bonds must be accompanied by a notarized power of attorney
evidencing that the signature on the bond has been duly appointed
attorney-in-fact to issue bonds on behalf of the surety company. The
attorney-in-fact’s signature must be notarized. The notary seal must be
legible and the notary’s commission must be current and valid.
4.
The bonds must bear the corporate seal of the surety company.
5.
The bonds must bear the corporate seal of the contractor’s firm if the firm
is a corporation.
6.
The Performance Bond must provide that the surety is bound unless the
Principal shall well and truly perform all of the terms and conditions
contracted to be performed under the contract. (Stating that the surety is
bound unless the Principal performs all the work of the contract is not
acceptable).
7.
The Maintenance Bond must provide that the bond remains in effect for
one (1) year after the date of recording the Notice of Completion by
owner. (Stating that the bond is in effect for one (1) year from the
completion of the work is not acceptable).
8.
Return bonds to:
Amy Carter
City of Santa Rosa
Purchasing Department
635 First Street, 2nd Floor
Santa Rosa, CA 95401
Version Date: 10/17/12
PERFORMANCE BOND
KNOW ALL MEN BY THESE PRESENTS:
That, Whereas
of
hereinafter called the CONTRACTOR
(Principal), and
a corporation duly organized
and existing under and by virtue of the laws of the State of ______________________
and authorized to transact a surety business in California, hereinafter called the SURETY, are held
and firmly bound unto the CITY OF SANTA ROSA as OWNER (Obligee), in the sum of
($
) for which payment well and
truly to be made we bind ourselves, our heirs, executors and administrators, successors and
assigns, jointly and severally, firmly by these presents.
THE CONDITION IS SUCH THAT:
The Principal has entered into a contract dated
do and perform the following work:
, with the Obligee to
If the said Principal shall well and truly perform the said work, and fulfill each and every of
the covenants, conditions and requirements of the said contract in accordance with the plans and
specifications, then the above obligation to be void, otherwise to remain in full force and virtue.
In
Witness
Whereof,
day of
We have hereunto
, 20
.
set
PRINCIPAL (Signature)
SURETY
SURETY ADDRESS
SURETY PHONE NO.
By:
Attorney-in-Fact
Approved as to Form:
City Attorney
Version Date: 10/17/12
our
hands
and
seals
this
LABOR AND MATERIALS (PAYMENT) BOND
KNOW ALL MEN BY THESE PRESENTS:
That, Whereas
of
hereinafter called the CONTRACTOR
(Principal), and
a corporation duly organized
and existing under and by virtue of the laws of the State of ____________________
and authorized to transact a surety business in California, hereinafter called the SURETY, are held
and firmly bound unto the CITY OF SANTA ROSA as OWNER (Obligee), in the sum of
($
) for which payment well and
truly to be made we bind ourselves, our heirs, executors and administrators, successors and
assigns, jointly and severally, firmly by these presents.
THE CONDITION IS SUCH THAT:
The Principal has entered into a contract dated
do and perform the following work:
, with the Obligee to
If said Contractor, his or its heirs, executors administrators, successors or assigns, or
subcontractors, shall fail to pay any of the persons named in Civil Code Section 9100, or amounts
due under the Unemployment’s Insurance Code with respect to work or labor performed by any such
claimant, or for any amounts required to be deducted, withheld, and paid over to the Employment
Development Department from the wages of employees of the contractor and subcontractors
pursuant to Section 13020 of the Unemployment Insurance Code, with respect to such work and
labor, that the Surety or Sureties herein will pay for the same in the amount not exceeding the sum
specified in this bond, otherwise the above obligation shall be void. In case suit is brought upon this
bond, the said Surety will pay a reasonable attorney’s fee to be fixed by the court.
This bond shall insure to the benefit of the persons named in the Civil Code Section 9100 as
to give a right to action to such persons or their assigns in any suit brought upon this bond.
day of
In Witness Whereof, We have hereunto set our hands and seals this
, 20
.
PRINCIPAL (Signature)
SURETY
SURETY ADDRESS
SURETY PHONE NO.
By:
Attorney-in-Fact
Approved as to Form:
City Attorney
Version Date: 10/17/12
MATERIAL GUARANTY (WARRANTY) BOND
KNOW ALL MEN BY THESE PRESENTS:
That, Whereas
of
hereinafter called the CONTRACTOR
(Principal), and
a corporation duly organized
and existing under and by virtue of the laws of the State of ___________________
and authorized to transact a surety business in California, hereinafter called the SURETY, are held
and firmly bound unto the CITY OF SANTA ROSA as OWNER (Obligee), in the sum of
($
) for which payment well and
truly to be made we bind ourselves, our heirs, executors and administrators, successors and
assigns, jointly and severally, firmly by these presents.
WHEREAS:
The Principal has entered into a contract dated
Obligee to do and perform the following work:
, with the
Under the terms of the specifications for said work Principal will furnish a bond to protect the
CITY OF SANTA ROSA against the results of faulty materials or workmanship for a period of one
year from and after the date of the notice of recording of completion.
NOW THEREFORE:
This bond shall for a period of one year from and after the date of the notice of recording of
completion replace any and all defects arising in said work whether resulting from defective
materials or defective workmanship, then the above obligation to be void; otherwise to remain in full
force and effect.
In Witness Whereof, We have hereunto set our hands and seals this
, 20
.
PRINCIPAL (Signature)
SURETY
SURETY ADDRESS
SURETY PHONE NO.
By:
Attorney-in-Fact
Approved as to Form:
City Attorney
Version Date: 10/17/12
day of
CITY OF SANTA ROSA
CERTIFICATE OF INSURANCE
CHECKLIST
FORWARD IMMEDIATELY TO YOUR INSURANCE AGENT OR
BROKER
WARNING:
The City of Santa Rosa has certain requirements
for certificate(s) of insurance and endorsements
that may not comport with your insurance
company’s standard forms. A checklist is attached.
Failure to comply will result in a possible delay or
termination of the contract.
Version Date: 10/17/12
CERTIFICATE OF INSURANCE REQUIREMENTS
These requirements will assist the insurance carrier in providing the City of Santa Rosa with a
Certificate of Insurance and additional insured endorsement that is in conformance with the
requirements set forth in the contract. These requirements set forth only the minimum coverage
amounts for the required insurance. Please refer directly to the contract for the actual coverage
requirements. Give this checklist to your insurance provider as soon as possible to assure that
you are able to timely comply with these requirements:
Contractor shall maintain and keep in full force and effect the following policies of insurance with
minimum coverage as indicated below and issued by insurers with AM Best ratings of no less
than A-:VI or otherwise acceptable to the City:
Insurance Requirements: (MINOR)
A.
Insurance Policies: Contractor shall maintain and keep in full force and effect, the
following policies of insurance with minimum coverage as indicated below and issued by
insurers with AM Best ratings of no less than A-:VI or a rating otherwise acceptable to
the City.
Insurance
Minimum
Coverage
Limits
Additional Coverage Requirements
1.
Commercial
general liability
$ 3 million per
occurrence
$ 3 million
aggregate
2.
Business auto
coverage
$ 1 million
3.
Workers’
compensation
and
Employer’s
Liability
$ 1 million
4.
Contractor’s
pollution legal
liability and/or
asbestos legal
liability and/or
errors and
omission (if
project
involves
environmental
hazards)
$ 1 million per
occurrence or
claim
$ 1 million
aggregate
Coverage must be at least as broad as ISO CG 00 01
and must include products liability and completed
operations coverage which shall continue for a period
of 365 days after acceptance of the work by the City.
If insurance applies separately to a project/location,
aggregate may be equal to per occurrence amount.
Coverage may be met by a combination of primary
and excess insurance but excess shall provide
coverage at least as broad as specified for underlying
coverage. Coverage can be provided in the form of
an endorsement to Contractor’s insurance (at least as
broad as ISO Form CG 20 10, 11 85 or both CG 20
10 and CG 23 37 forms if later revisions used).
Coverage shall not exclude subsidence.
ISO Form Number CA 00 01 covering any auto (Code
1). Insurance shall cover owned, nonowned and hired
autos.
As required by the State of California, with Statutory
Limits and Employer’s Liability Insurance with limit of
no less than $ 1 million per accident for bodily injury
or disease. The Workers’ Compensation policy shall
be endorsed with a waiver of subrogation in favor of
the City for all work performed by the Contractor, its
employees, agents and subcontractors.
If the work involves lead-based paint or asbestos
identification/remediation, the pollution liability policy
must not contain lead-based paint or asbestos
exclusions. If the work involves mold identification,
the pollution liability policy must not contain a mold
exclusion and a definition of “Pollution” in said policy
shall include microbial matter including mold.
Version Date: 10/17/12
B.
Endorsements:
1.
2.
All policies shall provide or be endorsed to provide that coverage shall not be
canceled by either party, except after prior written notice has been provided to
the City in accordance with the policy provisions.
Liability policies shall provide or be endorsed to provide the following:
a.
For any claims related to this project, Contractor’s insurance coverage
shall be primary and any insurance or self-insurance maintained by City
shall be excess of the Contractor’s insurance and shall not contribute with
it; and,
b.
The City of Santa Rosa, its officers, agents, employees and
volunteers are to be covered as additional insureds on the CGL
policy.
C.
Verification of Coverage and Certificates of Insurance:
Contractor shall furnish City with original certificates and endorsements effecting
coverage required above. Certificates and endorsements shall make reference to policy
numbers. All certificates and endorsements are to be received and approved by the City
before work commences and must be in effect for the duration of the contract. The City
reserves the right to require complete copies of all required policies and endorsements
during the duration of the contract and for a period of 365 days following City’s
acceptance of the work.
D.
Other Insurance Provisions:
1.
2.
3.
4.
No policy required by this Agreement shall prohibit Contractor from waiving any
right of recovery prior to loss. Contractor hereby waives such right with regard to
the indemnitees.
All insurance coverage amounts provided by Contractor and available or
applicable to this Agreement are intended to apply to the full extent of the
policies. Nothing contained in this Agreement limits the application of such
insurance coverage. Coverage for an additional insured shall NOT be limited to
the insured’s vicarious liability. Defense costs must be paid in addition to
coverage amounts.
Self-insured retentions above $10,000 must be approved by the City. At the
City’s option, Contractor may be required to provide financial guarantees.
City reserves the right to modify these insurance requirements, including limits,
based on the nature of the risk, prior experience, insurer, coverage, or other
special circumstances.
Version Date: 10/17/12