City of Thunder Bay Section 00800 C.C.D.C. 14 - Supplementary General Conditions for use with Design Build Contracts Contract No. Page 1 of 24 The Canadian Construction Documents Committee [CCDC] #14 Design-Build Stipulated Sum Contract – Standard Construction Document, 2000 is modified as follows: Article A-1 to A-8 inclusive: Delete all references in the General Conditions to these Articles. The CCDC Agreement Form is not part of this contract. Refer to DEFINITIONS OF THE DESIGN-BUILD STIPULATED PRICE CONTRACT Add the following definitions: .24 Addendum "Addendum" means an addition to or a change in the Contract Documents that is issued by the Contract Administrator prior to the tender closing. .25 Final Acceptance a) In addition to all other prior requirements, Final Acceptance will not occur until the Work has passed all inspections and testing requirements. .26 Total Performance of the Work Total Performance of the Work means when the entire Work, except those items arising from the provisions of GC12.3 – WARRANTY, has been performed to the requirements of the Contract Documents and is so certified by the Contract Administrator. In addition to all prior requirements, Total Performance will not occur until the Work has passed all inspections and testing requirements. .27 Contract Administrator The Owner’s Representative for the project as per GC2.2 – OWNER’S REPRESENTATIVE, with authority and responsibility for payment certification and substantial performance certification as further defined herein. City of Thunder Bay Section 00800 C.C.D.C. 14 - Supplementary General Conditions for use with Design Build Contracts Contract No. Page 2 of 24 Note to Project Engineer If these General Conditions are to apply to work included in the ICI sector, add the following definition: .28 Fair Wage Policy and Schedule References to Fair Wage Policy and Schedule means the Fair Wage Policy for Industrial Commercial Institutional (ICI) Contracts as approved by Council of the City of Thunder Bay. Fair Wage Schedule means the schedule of wages, benefits, and hours of work as determined by the Fair Wage Committee and as amended form time to time. Modify the following Definitions: The definition of "Sub-contractor" in Definition 18 is modified as follows: Add at the end of this definition: "which has been approved by the Contract Administrator.” The definition of "Substantial Performance of the Work" in Definition 19 is deleted and replaced by the following: 01) The Work is substantially performed: 1) when the Work, or a substantial part thereof has passed inspection (by the Contract Administrator) and testing and is ready for use or is being used for the intended purposes as certified by the Contract Administrator. 2) when the work to be performed under the Contract is capable of completion or, where there is a known defect, correction is a cost of not more than i) 3% of the first $500,000 of the Contract price, ii) 2% of the next $500,000 of the Contract price, and iii) 1% of the balance of the Contract price 02) For the purposes of this Contract, where the Work or a substantial part thereof is ready for use or is being used for the purposes intended and the remainder of the Work cannot be completed expeditiously for reasons beyond the control of the Design-Builder, or where the Owner and the Design-Builder agree not to complete the Work expeditiously, the price of the services or materials City of Thunder Bay Section 00800 C.C.D.C. 14 - Supplementary General Conditions for use with Design Build Contracts Contract No. Page 3 of 24 remaining to be supplied and required to complete the work shall be deducted from the Contract price in determining substantial performance. SECTION GC 1.1 CONTRACT DOCUMENTS Subsection GC 1.1.9 is deleted, and replaced by the following: GC 1.1.9 In the event of conflicts between the Contract Documents, the following shall apply: (a) Constructed works take precedence over drawing dimensions and details. Prior to fabrication of any item dependent upon accurate dimensions or details of the constructed works, the Design-Builder shall take field measurements of such constructed works; (b) figured dimensions shown on a drawing shall govern even though they may differ from dimensions scaled on the same drawing; (c) drawings of a later date shall govern over those of an earlier date; (d) detailed drawings shall govern over general drawings; (e) specifications shall govern over drawings; (f) The Supplementary General Conditions shall govern over the General Conditions; and (g) the executed agreement between the Owner and Design-Builder shall govern over all documents. Notwithstanding the foregoing, documents of later date shall always govern. SECTION GC1.5 ASSIGNMENT Subsection GC1.5.1 is amended by the addition of the following paragraph: No assignment of this Contract in whole or in part shall be valid unless it shall contain a provision that the funds to be paid to the assignee under the assignment are subject to the prior lien for services rendered or material supplied for the performance of the work called for in the Contract in favour of persons, firms, or corporations rendering such services or supplying such materials. SECTION GC2.1 CONSULTANT Subsection GC2.1.1 is amended as follows: City of Thunder Bay Contract No. Section 00800 C.C.D.C. 14 - Supplementary General Conditions for use with Design Build Contracts Page 4 of 24 2.1.1.3 add the following at the end of this line: “…and the requirements of all applicable statutes, regulations, codes and bylaws of all authorities having jurisdiction over the Work.” 2.1.1.13 revise “the issuance of certificates of payment…” to read “the issuance of recommendations for payment…” 2.1.1.14 in the first line change “the requirements…” to read “the technical requirements…” in the second line change “the performance…” to read “the technical performance…” 2.1.1.15 in the second line change “the performance…” to read “the technical performance…” 2.1.1.18 is deleted in its entirety 2.1.1.19 is deleted in its entirety SECTION GC2.2 OWNER’S REPRESENTATIVE Section GC 2.2 is amended by the following additional subsection: GC 2.2.5 The duties of the Owner’s representative shall include, but not be limited to: .1 the issuance of certificates for payment in the value proportionate to the amount of the Contract, for Work performed and Products delivered to the place of Work; .2 the determining of the date of Substantial Performance of the Work and the issuing of a certificate attesting to same; .3 the verification of the Design-Builder’s application for final payment and the issuing of a certificate for payment. SECTION GC2.3 REVIEW AND INSPECTION OF THE WORK In subsection 2.3.8, delete “...for issuance of the building permit.” SECTION GC2.4 DEFECTIVE WORK Section 2.4 is amended by the following additional subsection: City of Thunder Bay Contract No. GC2.4.4 SECTION GC3.1 Section 00800 C.C.D.C. 14 - Supplementary General Conditions for use with Design Build Contracts Page 5 of 24 The Consultant shall promptly advise the Contract Administrator, in writing, of any and all defects and deficiencies observed in the Work as the Work progresses. The Consultant shall also suggest methods of rectification of defects and deficiencies. CONTROL OF THE WORK Section GC3.1 shall be renamed “Design-Builder’s Responsibility and Control of the Work” and is hereby amended by the addition of the following sections: GC3.1.3 The Design-Builder shall commence the Work within 7 days after receiving Notice from the Contract Administrator. The Design-Builder will not commence the work until the Contract has been officially accepted by the Corporation, the Insurance Certificates and the Labour and Materials Payment Bonds and the Performance Bonds are satisfactory to the Corporation, and the Design-Builder has received Notice from the Contract Administrator to commence the Work. GC3.1.4 The Design-Builder shall provide for efficient drainage of all sections of the Work during all stages of construction at his own expense. The DesignBuilder will be held responsible for all damage which may be caused through his failure to provide proper drainage facilities. The Design-Builder shall restore any existing drainage works which are disturbed as a result of his construction activities. GC3.1.5 In order to assist the Corporation in inspecting the progress of the work, the Design-Builder shall prepare a Schedule of Work prior to starting the Contract and shall revise the schedule weekly for any changes throughout the Contract. GC3.1.6 The Design-Builder shall be responsible for all layout and survey work required to complete the Work, using the benchmarks and baselines indicated on the drawings. GC3.1.7 The Design-Builder shall be responsible for the preservation of all property bars while the Work is in progress, except those property bars which must be removed to facilitate the Work. Any property bars disturbed, damaged or removed by the Design-Builders operations shall be replaced under the supervision of an Ontario Land Surveyor, at no extra cost to the Owner GC3.1.8 The Design-Builder will be held responsible for the preservation of all stakes and marks in their proper positions and, where any of them are disturbed, lost or destroyed, it shall at once notify the Contract Administrator in writing, and all expenses incurred in replacing such stakes or marks will be City of Thunder Bay Contract No. Section 00800 C.C.D.C. 14 - Supplementary General Conditions for use with Design Build Contracts Page 6 of 24 billed against the Design-Builder and, if not paid by the Design-Builder, will be deducted from any monies due the Design-Builder under the Contract. Should the Design-Builder discover or suspect any errors in stakes, lines, and grades which have been established for its use, the Design-Builder shall at once discontinue the work until such suspicions are investigated and any errors or misunderstanding rectified, but no claims shall be made or allowed on this account, or because of any resulting delay. The Design-Builder shall assume full responsibility for alignment, elevations, and dimensions of each and all parts of the Work, regardless of whether the Design-Builder’s layout work has been checked by the Contract Administrator. The Design-Builder shall furnish the Contract Administrator or any of his assistants with all reasonable help which may be required at any time in checking the layout of the Work. The Design-Builder will receive no additional compensation for this. GC3.1.9 Maintaining Roadways and Detours, Railways and Waterways Where an existing Roadway is affected by construction, it shall be kept open to traffic, and the Design-Builder shall, except as otherwise provided in this subsection, be responsible for providing and maintaining, for the duration of the Work, a road through the Work, whether along an existing Highway, including the road under construction, or on detours within or adjacent to the Highway, in accordance with the Manual of Uniform Traffic Control Devices (MUTCD). The Design-Builder shall not be required to maintain a road through the Working Area until such time as the Design-Builder has commenced operations or on any part of the Contract that has been accepted in accordance with these General Conditions. Where localized and separated sections of a roadway only are affected by the Design-Builder’s Operations, the Design-Builder will not be required to maintain intervening sections of the roadway until such times as these sections are located within the limits of the roadway affected by the Design-Builder’s general operations under the Contract. The DesignBuilder shall not be required to apply deicing chemicals or abrasives or carry out snowplowing. The Design-Builder will bear the cost of maintaining, in a satisfactory condition for traffic, a road through the working area. The road through the Work will include any detour constructed in accordance with the Contract Documents or required by the Contract Administrator. Compensation for all City of Thunder Bay Contract No. Section 00800 C.C.D.C. 14 - Supplementary General Conditions for use with Design Build Contracts Page 7 of 24 labour, equipment and materials to do this work and to maintain the road, shall be considered to be included in the contract price. Where work under the Contract is discontinued for any extended period including seasonal shutdown, the Design-Builder shall, when directed by the Contract Administrator, open and place the roadway and detours in a passable, safe and satisfactory condition for public travel. Where the Design-Builder constructs a detour which is not specifically provided for in the Contract Document, or required by the Contract Administrator, the construction of the detour and, if required, the subsequent removal, shall be performed at the Design-Builder’s expense. The detour shall be constructed and maintained to structural and geometric standards approved by the Contract Administrator. Removal shall be performed as directed by the Contract Administrator. Where, with the written approval of the Contract Administrator, a roadway is closed and the traffic diverted entirely off the roadway to any other roadway, the Design-Builder shall, at no extra cost to the Owner, supply and erect traffic control devices in accordance with the MUTCD. Compliance with the foregoing provisions shall in no way relieve the Contractor of obligations under General Conditions, Part 9, Protection of Persons and Property, dealing with the Design-Builder’s responsibility for damage claims, except for claims arising on sections of Highway within the Working Area that are being maintained by others. In order to satisfy the Corporation that the Design-Builder has addressed concerns regarding traffic control and safety it will be required to submit a sketch indicating its proposed method of barricades and/or signage for each of the work sites included in the Contract. This information shall be available for review and approval by the Contract Administrator at the Contract pre-construction meeting. The Design-Builder shall carry out all works, including temporary works, necessary to maintain the operation of all railways and waterways affected by the Work and to the standards and requirements of the respective owners and regulatory bodies concerned. GC3.1.10 Accessibility for Ontarians with Disability Act, Reg. 429/07 Subsection GC3.1.10 is added: Prior to the commencement of work under this contract, the Contractor shall also furnish evidence of compliance with requirements of the City of Thunder Bay Contract No. Section 00800 C.C.D.C. 14 - Supplementary General Conditions for use with Design Build Contracts Page 8 of 24 Accessibility for Customer Service Regulation 429/07, Section 6; Training for Staff. The City may, at its discretion, provide such training if the contractor is required to meet the requirements of Regulation 429/07 on and after January 1, 2012. SECTION GC3.5 - CONSTRUCTION SAFETY Subsection GC3.5.1 is deleted, and replaced with the following paragraphs: GC3.5.1 The Design-Builder shall be solely responsible for construction health and safety within the working areas and for compliance with the Occupational Health and Safety Act and Regulations. So as to avoid any misunderstanding as to the extent of the Design-Builder’s responsibility, the DesignBuilder, by executing the Contract unequivocally acknowledges that the Design-Builder is the Constructor within the meaning of the Act. GC3.5.2 The Design-Builder shall also work in accordance with the City of Thunder Bay’s Policy on Contractor Safety: CITY OF THUNDER BAY POLICY ON CONTRACTOR SAFETY POLICY STATEMENT: All contractors, Design-Builders or, land developers working on municipal projects are required to work in compliance with the Ontario Occupational Health and Safety Act and Regulations. All contractors working on City streets and roads shall comply with the Ministry of Transportation Traffic Control Manual for Roadway Work Operations. Failure to comply shall be considered a breech of contract and may result in work stoppage, Ministry of Labour involvement, or in termination of the contract. CONTRACTOR SAFETY DEFICIENCIES WILL BE ADDRESSED BY THE CITY IN THE FOLLOWING PROGRESSIVE STEPS: 1. The problem shall be identified to the contractor (site supervisor). 2. The Design-Builder’s head office shall be contacted about the problem orally and, later, in writing. 3. If the problem remains unresolved then the Ministry of Labour shall be notified of the violation and if necessary the work shall be stopped until the problem is corrected. 4. The contract may be terminated by the City. City of Thunder Bay Contract No. SECTION GC3.6 Section 00800 C.C.D.C. 14 - Supplementary General Conditions for use with Design Build Contracts Page 9 of 24 - SUPERVISOR Section GC3.6 is amended by adding the following paragraph: GC 3.6.3 SECTION GC3.8 To co-ordinate the work, the Design-Builder or a person authorised to act for the Design-Builder will attend regular meetings with the Contract Administrator or his representative during the period over which the work under the Contract is carried out, at a time and place to be decided by the Contract Administrator. - LABOUR AND PRODUCTS Section GC3.8 is amended by the addition of the following paragraphs: GC3.8.4 The Design-Builder shall not employ or hire any City employees who are employed in the Infrastructure & Operations Department. GC3.8.5 The labour conditions in this Contract are subject to The Industrial Standards Act and the Regulations made thereunder. The wage rates set out in the Roads and Structures and Sewer and Watermain Fair Wage Schedule have been established for a 1 year period commencing on the first day of April and are subject to change annually on that date. Any increase in costs incurred by a change in the wage rates shall be borne by the Design-Builder. GC3.8.6 For the purpose of these Labour Conditions "Work on Roads" includes the preparation, construction, finishing and construction maintenance of roads, streets, highways, and parking lots and includes all work incidental thereto other than work on structures. "Work on Structures" includes the construction, reconstruction, repair, alteration, remodelling, renovation or demolition of any bridge, tunnel or retaining wall and includes the preparation for and the laying of the foundation of any bridge, tunnel or retaining wall and the installation of equipment and appurtenances incidental thereto, provided, however, that the Minister of Labour, Ontario, may at their sole discretion determine whether any particular Work is to be classified as "Work on Roads" or as "Work on Structures" and such decision may be made notwithstanding the definition herein. GC3.8.7 The regular Work week for a person employed on Work being done under this Contract shall not exceed 55 hours and all time worked by such person in excess of 55 hours a week shall be overtime, except that part of the hours of Work in excess of 55 hours a week which, together with the hours worked in the preceding week, do not exceed 55 hours. City of Thunder Bay Section 00800 C.C.D.C. 14 - Supplementary General Conditions for use with Design Build Contracts Contract No. Page 10 of 24 GC3.8.8 Every person employed by the Design-Builder or a sub-Contractor or other person to do any part of the Work contemplated by this Contract shall be paid while employed on such Work at not less than the wage rates set out in the Roads and Structures Fair Wage Schedule for the appropriate classification of such Work or not less than such other wage rates as, during the continuance of the Work, are fixed by the Minister of Labour, Ontario, for hours of Work that are not overtime and shall be paid not less than 1.5 times such wages for all hours of Work that are overtime. GC3.8.9 Notwithstanding that a Design-Builder pays wages in excess of the wage rates set out in the Roads and Structures Fair Wage Schedule hereunder, he shall not, in computing overtime wages payable to an employee, set off against such overtime wages any part of the wages earned by the employee in respect of his/her regular work period. GC3.8.10 Decision by Minister of Labour Where there is no appropriate classification set out in the Roads and Structures Fair Wage Schedule for any particular class of Work, the Minister of Labour, Ontario, may designate or establish the appropriate classification and the wage rate. The Design-Builder, upon receipt of Notice of any decision of the Minister of Labour, Ontario, made under this Contract, shall immediately adjust the wage rates, hours and classification of Work so as to give effect to such decision. GC3.8.11 Fair Wage Schedule to be Posted The Design-Builder shall post prominently and maintain on the site of the Work legible copies of these Labour Conditions, including the Roads and Structures Fair Wage Schedule and any amendments thereto. GC3.8.12 Design-Builder to keep Records which are to be Open for Inspection The Design-Builder shall keep proper books and records showing the names, trades, addresses and hourly wage rates of all employees in his employ and the wages paid to and time worked by such employees both at regular wage rates and at overtime wage rates, and the books or documents containing such records shall be open for inspection by Officers of the Ministry of Labour, Ontario, at any time it may be expedient to the Minister of Labour to have the same inspected. Note to Project Engineer City of Thunder Bay Contract No. Section 00800 C.C.D.C. 14 - Supplementary General Conditions for use with Design Build Contracts Page 11 of 24 If these General Conditions are to apply to work included in the ICI sector, add the following clause: GC3.8.13 Fair Wage Policy – I.C.I. Sector Projects The labour conditions in this Contract are subject to the City of Thunder Bay Fair Wage Policy and associated Fair Wage Schedule current at the time tenders are closed for this contract. Copies of both the current Fair Wage Policy and Schedule are available from the Transportation and Works Department and/or from the City’s web site. The Contractor is responsible for ensuring that all Sub-Contractors are aware of and have received a copy of the Fair Wage Policy and Schedule. Notwithstanding that a Contractor pays wages in excess of the wage rates set out in the Fair Wage Schedule hereunder, he shall not, in computing overtime wages payable to an employee, set off against such overtime wages any part of the wages earned by the employee in respect of his/her regular work period. Fair Wage Schedule to be Posted … the Contractor shall post prominently and maintain on the site of the Work, legible copies of the Fair Wage Policy and Fair Wage Schedule and any amendments thereto. Contractor to keep Records which are Open for Inspection … The Contractor shall keep proper books and records as prescribed in the Fair Wage Policy and make these records available for inspection by SECTION GC3.11 - USE OF THE WORK GC3.11 is amended by the addition of the following subsections: GC3.11.3 The Design-Builder shall maintain the Working Area in a tidy condition and free from the accumulation of debris. GC3.11.4 The Design-Builder shall ensure that during night work the site of the Work is adequately floodlit to the Contract Administrator's satisfaction. GC3.11.5 Streets beyond the limits of the work and other construction areas shall be kept clean. Dusty materials shall be transported in covered haulage vehicles. Wet materials shall be transported in suitable watertight haulage vehicles. GC3.11.6 The Design-Builder shall take such steps as may be required to prevent dust nuisance resulting from its operations either within the limits of the work or elsewhere or by public traffic where it is the Design-Builder’s responsibility to maintain a roadway through the Work. City of Thunder Bay Contract No. Section 00800 C.C.D.C. 14 - Supplementary General Conditions for use with Design Build Contracts Page 12 of 24 GC3.11.7 Where the Work requires the sawing of asphalt or the sawing or grinding of concrete, blades and grinders of the wet type shall be used together with sufficient water to prevent the incidence of dust, wherever dust would affect traffic or wherever dust would be a nuisance to residents of the area where the Work is being carried out. GC3.11.8 Permitted dust control measures may include the application of calcium chloride, or water. More frequent applications of water should be employed in close proximity to watercourses. GENERAL CONDITIONS, PART 5, PAYMENT Section GC5.2.1 is deleted, and replaced with the following: GC5.2.1 Application for payment on account as provided in Article A-5 of the Agreement – PAYMENT may be made monthly as the Work progresses, and in accordance with subsections GC5.2.1.1 to GC5.2.1.3 which follow: GC5.2.1.1 Notwithstanding Paragraph GC5.2.7 the Owner may withhold any or all payments to the Design-Builder or portions thereof in circumstances where the Design-Builder is considered by the Owner or Contract Administrator to be unreasonably in default of specified times for completion of the Work. GC5.2.1.2 The Design-Builder shall furnish the Contract Administrator with satisfactory evidence in the form of a W.S.I.B. Certificate of Clearance that he has made suitable provision for meeting any liability under the Worker's Safety & Insurance Board Act of Ontario, prior to the release of any monthly progress payment. GC5.2.1.3 The Design-Builder shall furnish the Contract Administrator with a Statutory Declaration that all liabilities incurred by the Design-Builder and its SubContractors in carrying out the Contract have been discharged and that all liens in respect of the Contract have expired or have been satisfied, discharged or provided for by payment. The Statutory Declaration shall be provided prior to all monthly progress payments except the first one. GC5.2.4 Substitute “Contract Administrator” for “Consultant”. GC5.2 shall be amended with the addition of the following: GC5.2.7 Applications for payment on account may be made monthly as the Work progresses. Three (3) copies of each progress payment application shall be delivered to the Contract Administrator by the Design-Builder. Upon City of Thunder Bay Section 00800 C.C.D.C. 14 - Supplementary General Conditions for use with Design Build Contracts Contract No. Page 13 of 24 receipt of a progress payment certificate approved by the Contract Administrator, the Owner will process the payment to the Design-Builder. SECTION GC5.3 PROGRESS PAYMENT Substitute “Contract Administrator” for “Consultant” throughout GC 5.3.1 and GC 5.3.2. Notwithstanding the provisions of Article A5 - Payment, GC5.3.2 is amended by the addition of the following paragraphs: a) The Design-Builder shall furnish the Contract Administrator with satisfactory evidence in the form of a W.S.I.B. Certificate of Clearance that he has made suitable provision for meeting any liability under The Worker's Safety & Insurance Board Act of Ontario, prior to the release of any monthly progress payment. b) The Design-Builder shall furnish the Contract Administrator with a Statutory Declaration that all liabilities incurred by the Design-Builder and its Sub-contractors in carrying out the Contract have been discharged and that all liens in respect of the Contract have expired or have been satisfied, discharged or provided for by payment. The Statutory Declaration shall be provided prior to all monthly progress payments except the first one. c) In addition to any other holdback required by statute or otherwise agreed by the Parties, the Owner will retain, until expiry of the warranty referred to in GC12.3, money in the amount calculated pursuant to paragraphs (d) and (e) hereof which money may be applied by the Owner in whole or in part in order to reimburse the Owner for losses, costs incurred or funds expended by the Owner as a result of default by the Design-Builder respecting the warranty obligations of the Design-Builder set out in the Contract. d) The said holdback for warranty obligations referred to in the preceding paragraph shall be first retained by the Owner when the Contract Administrator certifies that Work to the value of 70% of the Contract Price has been performed and shall be calculated and shown as an amount to be retained in the monthly applications for payment by the Design-Builder in succeeding applications, commencing when the Design-Builder makes his first application for payment on the basis that work to the value of 70% of the Contract price has been performed. e) A Maintenance Security Holdback will be calculated in accordance with the following Table: Contract Value Amount of Maintenance Security Holdback less than $300,000 $300,000 - 800,000 $800,000 - 1,500,000 greater than $1,500,000 2% of Contract value $10,000 $15,000 1% of Contract value City of Thunder Bay Contract No. Section 00800 C.C.D.C. 14 - Supplementary General Conditions for use with Design Build Contracts Page 14 of 24 The Maintenance Security Holdback is in addition to any other rights or remedies of the Owner in respect to the correction of the Design-Builder’s default of the Design-Builder’s warranty obligations. f) Some portions of the Work have an extended warranty. A proportionate amount of the Maintenance Security Holdback will be retained until expiry of the extended portions. SECTION GC5.4 SUBSTANTIAL PERFORMANCE OF THE WORK Throughout this section replace “Consultant” and “Owner and Consultant” with “Contract Administrator”. SECTION GC5.7 FINAL PAYMENT In subsection 5.7.2, replace “Consultant” with “Contract Administrator” in each case. SECTION GC5.8 WITHHOLDING OF PAYMENT In subsection 5.8.1, replace “Consultant” with “Contract Administrator” in each case. General Conditions, PART 5, PAYMENT is further amended by the addition of the following heading and paragraph: GC5.10 - INTEREST GC5.10.1 Notwithstanding the provisions of Article A5 Payment, section 5.3, the Owner is not liable to pay interest on any amount which may at any time become payable to the Design-Builder under this Contract whether or not the payment is in default and whether or not any action or other proceeding has been commenced in respect thereof. GENERAL CONDITIONS, PART 6, CHANGES IN THE WORK Throughout Part 6, Changes in the Work, “Change Directive” shall have the same meaning as “Field Instruction”. SECTION GC6.1 Changes Section GC6.1 is deleted and replaced by the addition of the following: GC6.1.3 When the valuation of a change in the work is to be determined either by estimate and acceptance in a lump sum, or by cost and fixed, or, percentage fee, the valuation shall be in accordance with the following: City of Thunder Bay Contract No. GC6.1.3.1 Section 00800 C.C.D.C. 14 - Supplementary General Conditions for use with Design Build Contracts Page 15 of 24 Mark Up Cost of net increases to contract value due to changes in the work shall be marked up as follows: (a) Design-Builder’s Own Work: 10% overhead and 5% fee. (b) Sub-contractor’s Own Work: 10% overhead and 5% fee. (c) Sub-contractor’s Work: Design-Builder’s fee is 5%. Costs for decreases in the work shall be subject to credit of mark up in accordance with the above-noted schedule of percentages. GC6.1.3.2 Substantiation When requested, the Design-Builder shall submit details, quantities, prices and fees, together with substantiating documentation. GC6.1.3.3 Time for Submission and Acceptance of Quotation The Design-Builder shall co-operate in the pricing of changes by submitting quotations within 10 days of the Contract Administrator’s request. Quotations shall remain open for acceptance for 21 days from the date of submission. GC6.1.7 Other Methods for the Valuation of Changes The Contract Administrator shall determine the amount, if any, to be added to, or deducted from, the sum named in the Tender, in respect of any changes ordered. All such work shall be valued at the prices set out in the Form of Tender and the Schedule of Additional Unit Prices, if such are applicable in the opinion of the Contract Administrator. If this Contract does not contain any prices applicable to changes requested, then the Design-Builder and Contract Administrator may agree on a price, which shall be comparable to prices quoted on work of a similar nature. Valuation methods presented in the construction documents are mutually exclusive in terms of their application. SECTION GC6.3 Change Directive Subsection 6.3.6 is amended by replacing “...the Consultant for determination” to “Dispute Resolution as set out in GC Part 8”. Section GC6.3 is amended by the addition of the following: City of Thunder Bay Section 00800 C.C.D.C. 14 - Supplementary General Conditions for use with Design Build Contracts Contract No. GC6.3.8 Page 16 of 24 Upon receipt of a Change Directive, the Design-Builder may be directed, by either the Owner, or the Contract Administrator, to proceed with extra work on the basis of daily force account sheets provided: i) pre-approved, all inclusive, labour, material, and equipment rental charge out unit rates are on file with the Contract Administrator; ii) daily force account sheets outlining, as a minimum, the unit quantities used for the day, field instruction number, project name, and date, are provided to the Contract Administrator for signature, and records, on a daily basis, for work completed on the previous working day; iii) Work to proceed on the basis of daily force account sheets only after the Contract Administrator has issued the Design-Builder a written, and numbered, change directive, or field instruction, to proceed with the extra work. “Daily force account sheet” shall have the same meaning as “daily extra work order sheet”, “daily work records” or “daily time sheet.” Whenever extra work is being performed in accordance with GC6.3.8, the Design-Builder shall submit daily force account sheets for approval to/by the Contract Administrator showing the quantities of labour, materials and equipment used directly in carrying out each order for work on the preceding day, together with substantiating documentation. No claim for compensation for extra work will be considered in absence of such force account sheets. The Contract Administrator will not allow any compensation for the cost of repairs to equipment or for damage to anything used in performing such extra work. The Design-Builder shall not be entitled to interest on any bill for extra work on account of delay in its approval by the Contract Administrator, or the Corporation. SECTION GC6.5 Delays Section GC6.5 is amended by the addition of the following: GC6.5.6 If the Design-Builder is delayed in the performance of the Work by: a) abnormal inclement weather; or b) archaeological finds; City of Thunder Bay Contract No. Section 00800 C.C.D.C. 14 - Supplementary General Conditions for use with Design Build Contracts Page 17 of 24 then the Design-Builder shall not be reimbursed by the Owner for any costs incurred by the Design-Builder as the result of such delay. Any delay in the performance of the work shall be considered for the extension of Contract Time only. In the case of an application for an extension due to abnormal inclement weather, the Design-Builder shall, with the Design-Builder’s application, submit evidence from Environment Canada in support of such application. Extension of Contract Time will be granted in accordance with subsection GC6.5.3. GC6.5.7 If the Design-Builder’s operations expose any items which may indicate an archaeological find, such as building remains, hardware, accumulations of bones, pottery, or arrowheads: a) The Design-Builder shall immediately notify the Contract Administrator and suspend operations within the area identified by the Contract Administrator. Work shall remain suspended within that area until otherwise directed by the Contract Administrator in writing. b) Any delay in the completion date of the Contract that is caused by such a cessation of construction operations will be considered to be beyond the Design-Builder’s control in accordance with of Subsection GC6.5.3 c) Any additional work directed or authorised by the Contract Administrator with regard to an archaeological find will be considered as Extra Work in accordance with Section GC6.5.3. GC6.5.8 The Design-Builder shall not have any claims for compensation or damages against the Corporation for any stoppage or delay from any cause whatever, whether such stoppage or delay shall be caused by or result from the action or neglect of any other Contractor, or shall be caused by or result from the work being taken out of the hands of the Design-Builder, or any other Contractor, by the Corporation under the provisions of this Contract made with such other Contractor. GC6.5.9 The Owner is not liable to pay Standby Time for any labour or equipment rental under this Contract. GC6.5.10 Time shall be strictly of the essence of this Contract. GC6.5.11 The Design-Builder shall complete this Contract in its entirety by the completion date specified in the Agreement. City of Thunder Bay Contract No. Section 00800 C.C.D.C. 14 - Supplementary General Conditions for use with Design Build Contracts Page 18 of 24 If the time limit specified is not sufficient to permit completion of the Work by the Design-Builder working a normal number of hours each day or week on a single daylight shift basis, it is expected that additional and/or augmented daylight shifts will be required throughout the life of the Contract to the extent deemed necessary by the Design-Builder to ensure that the Work will be completed within the time limit specified. GC6.5.12 An extension of time may be granted in writing by the Contract Administrator in his sole discretion in the event of the Work being delayed beyond the prescribed time for completion. Such extension shall be for such time as the Contract Administrator may prescribe and the Contract Administrator shall fix the terms on which such an extension may be granted. An application for an extension of time shall be made in writing by the Design-Builder to the Owner at least 60 days prior to the date of completion fixed by the Contract. The date of expiry of all Bonds and other Surety furnished to the Owner by the Design-Builder shall be extended at the expense of the Design-Builder. GC6.5.13 Any extension of time that may be granted to the Design-Builder shall be so granted and accepted without prejudice to any rights of the Owner whatsoever under this Contract and all of such rights shall continue in full force and effect after the time limited in this Contract for completion of the work and whenever in this Contract, power or authority is given to the Owner or the Contract Administrator or any person to take any action consequent upon the act, default, neglect, delay, breach, non-observance or non-performance by the Design-Builder in respect of the Work or Contract of any portion thereof, such powers or authorities may be exercised from time to time, and not only in the event of the happening of such contingencies before the time limited in this Contract for the completion of the Work but also in the event of the same happening after the time so limited in the case of the Design-Builder being permitted to proceed with the execution of the Work under an extension of time granted by the Owner. In the event of the Owner granting an extension of time, time shall continue to be deemed strictly of the essence of this Contract. GC6.5.14 Liquidated Damages It is agreed by the Parties to the Contract that, in case all the Work called for under the Contract is not finished by the completion date specified in the Agreement or as amended by the Contract Administrator, damage will be sustained by the Owner, and that it is and will be impracticable and extremely difficult to ascertain and determine the actual damage which the Owner will sustain in the event of and by reason of such delay and the Parties therefore agree that the Design-Builder will pay to the Owner the sum of $__________ per day for Liquidated Damages for each and every calendar day's delay in completing the Work beyond the date of completion prescribed and it is City of Thunder Bay Contract No. Section 00800 C.C.D.C. 14 - Supplementary General Conditions for use with Design Build Contracts Page 19 of 24 agreed that amount is an estimate of actual damage to the Owner which will accrue during the period in excess of the prescribed date of completion. The Owner may deduct any amount under this paragraph from any monies that may be due or payable to the Design-Builder on any account whatsoever. The Liquidated Damages payable under this paragraph are in addition to and without prejudice to any other remedy, action or other alternatives that may be available to the Owner. GC6.5.15 The Design-Builder shall not be assessed with Liquidated Damages for any delay caused by Acts of God, or of the Public Enemy, Act of the Corporation, the Contract Administrator, or of any Foreign State, Fire, Epidemics, Quarantine Restrictions, Embargoes, or Delays of Sub-Contractors due to such causes. If the Contractor is delayed by reason of alterations or changes made under GENERAL CONDITIONS OF THE STIPULATED PRICE CONTRACT, PART 6, GC6.1 CHANGES, the time of completion shall be extended as determined by the Contract Administrator in his sole discretion. SECTION GC 7.1 - OWNER’S RIGHT TO PERFORM WORK OR STOP THE WORK OR TERMINATE CONTRACT Subsections GC7.1.2 and GC7.1.3 are amended as follows: GC7.1.2 Change reference from five (5) to three (3) working days. GC7.1.3 Change reference from five (5) to three (3) working days. Section GC7.1 is amended by the addition of the following paragraphs: GC7.1.7 The Contract Administrator may stop any portion of the Work, if in his judgement the weather is such as to prevent the Work being properly done. No compensation of any kind will be made for such stoppage except an extension of time for the completion of the Work as provided in GC6.5.3. GC7.1.8 The Design-Builder shall, upon written notice from the Contract Administrator, discontinue or delay any or all Work of base, foundation, or paving construction on any section of any road or highway, if, in the opinion of the Contract Administrator, the foundation is not sufficiently compacted or settled for surfacing of the Work in question, and the Work shall not be resumed until the Contract Administrator shall in writing so direct, and the Design-Builder shall not be entitled to any compensation for such stoppage or delay to the Work, other than an extension of time. City of Thunder Bay Contract No. SECTION GC8.1 Section 00800 C.C.D.C. 14 - Supplementary General Conditions for use with Design Build Contracts Page 20 of 24 AUTHORITY OF THE CONSULTANT Revise this Section Heading to read: SECTION GC8.1 AUTHORITY OF THE CONTRACT ADMINISTRATOR In subsection 8.1.1, starting on the third line, replace: “…the Consultant as provided in GC2.1 - CONSULTANT” with “ …the Contract Administrator”. In subsection 8.1.2 replace “the Consultant” with “the Contract Administrator” and replace “the Consultant’s” with “the Contract Administrator’s”. SECTION GC8.2 NEGOTIATION, MEDIATION AND ARBITRATION In subsection 8.2.2, replace “...the Consultant under GC 2.1 – CONSULTANT” with “…the Contract Administrator”. In subsection 8.2.2 in the fourth line, delete “and to the Consultant”. SECTION GC9.1 - PROTECTION OF WORK AND PROPERTY Section GC9.1 is amended by the addition of the following subsections: GC9.1.4 When carrying out excavation work, the Design-Builder may encounter such underground utilities as sewers, gas mains, telephone cables, power cables and watermains. The Design-Builder shall be fully responsible for any breakage or damage to such utilities, and the Design-Builder shall pay the full cost of repairing such damages and making good any losses or damages which are caused as a result of his operation in carrying out this Contract. GC9.1.5 It shall be the Design-Builder’s responsibility to obtain written permission and to make any required arrangements with the Owners of any adjacent properties which the Design-Builder may encroach. GC9.1.6 The Design-Builder shall furnish and bear the cost of any watchman he may require for protection to perform this Contract except as provided in paragraph GC10.2.6 GC9.1.7 The Design-Builder shall protect and be fully responsible for any overhead utilities or appurtenances associated with the execution of the Work. Any damage to overhead equipment shall be repaired at the expense of the Design-Builder. City of Thunder Bay Contract No. SECTION GC10.2 Section 00800 C.C.D.C. 14 - Supplementary General Conditions for use with Design Build Contracts Page 21 of 24 LAWS, NOTICES, PERMITS AND FEES Note to Project Engineers: GC 10.2.2 will prompt a contractor to charge a fee of $9/$1000 (current 2003 rate) of contract value to cover the cost of the building permit. In cases where a building project also includes the supply and installation of process equipment, it is strongly suggested that the cost of the building permit be dealt with by a cash allowance. The City of Thunder Bay Development Department is receptive to charging building permit fees on the cost of the building only, less the cost of process-related equipment. In almost every case where the cost of process equipment is deducted from the project total cost, significant cost savings related to building permit fees can be realized. Project Engineer to negotiate the cost of the building permit with the Manager of Plans Examination and Permits prior to the time of tender to establish the value of the cash allowance to be carried. Where building permit fees are dealt with by cash allowance, be sure to include a specification section (normally 01210), which states what the cash allowances and contingencies are and how they are to be expended. Subsection GC10.2 is amended by the addition of the following paragraphs: GC10.2.6 When construction affects railway property, the Design-Builder will pay the costs of all flagging and other traffic control measures required and provided by the railway company within the Working Area. GC10.2.7 The Design-Builder will notify, obtain inspections and approvals from, and co-operate with other organizations involved or affected by the Work, such as telephone, light and power, gas, railway companies and government agencies. Any utility or other appurtenance relocations required for the Work shall be arranged by and paid for by the Design-Builder. SECTION GC11.1 - INSURANCE Section GC11.1 in amended as follows: Amend all clauses/paragraphs of Section GC11.1 to provide a minimum limit of not less than five million dollars ($5,000,000.00) per occurrence. All forms of insurance to be endorsed to provide the owner with not less than thirty (30) days written notice in advance of any cancellation, change or amendment restriction coverage. Prior to the commencement of any work under this Contract the Design-Builder shall file with the City, to the attention of the City Clerk, Certificates evidencing full compliance with the above clauses, in accordance with the prescribed Certificate which is located after the "Tender Form" in the documents. Subsection GC11.1.1.1 is replaced by the following: City of Thunder Bay Section 00800 C.C.D.C. 14 - Supplementary General Conditions for use with Design Build Contracts Contract No. Page 22 of 24 11.1.1.1 General Liability Insurance: The Contractor shall obtain and maintain Comprehensive General Liability Insurance against Bodily Injury and Property Damage claims with respect to all work to be performed under this Contract. Such Insurance shall: a) be in the joint names of the Design-Builder, the Corporation of the City of Thunder Bay, the Consultant, and all sub-Contractors of the above employed directly or indirectly in the work to be performed; b) contain a Cross Liability Clause; c) include coverage for: i) ii) iii) iv) v) vi) Completed Operations, which coverage shall be maintained continuously in force for a period of not less than 24 months from the date of the Certificate of Total Performance of the Work, and thereafter to be maintained for a further period of four (4) years; Blanket Contractual Liability; Contingent Employers Liability; Non-owned Automobile Liability; Broad Form Property Liability; Excavation; d) where applicable, include coverage for: i) ii) iii) iv) v) vi) Underpinning, shoring Demolition Building raising or moving Blasting or the Use of Explosives Tunnelling Pile driving, caisson work e) Five-million dollars ($5,000,000.00) inclusive per occurrence. Subsection GC11.1.5 Property and Boiler and Machinery Insurance is amended by the addition of the following paragraph: (7) Property and Boiler insurance is required only if the Contract includes the construction of, or alterations to, a bridge, dam, culvert or building. City of Thunder Bay Section 00800 C.C.D.C. 14 - Supplementary General Conditions for use with Design Build Contracts Contract No. Page 23 of 24 Subsection GC11.1.10 is added as follows: a) It shall be the duty of the Design-Builder to fully comply with the terms and conditions of the Liability Insurance coverage, including, without limiting the generality of the foregoing, the requirement to promptly report claims to the Insurer. b) The Design-Builder shall also promptly notify the Contract Administrator of all such claims in writing. c) If a claim is settled, the Design-Builder shall thereupon provide the Contract Administrator with a copy of the Claimant's Release. d) If a claim is rejected, the Contract Administrator shall be notified at the time of rejection. e) The Contract Administrator shall be provided full information as to such claims at all times as the Contract Administrator may require and in any event should 30 days elapse after the claim has been received by the Design-Builder and the DesignBuilder is not able to report settlement or rejection of the claim, the Design-Builder will provide a full report to the Contract Administrator as to the status of and steps being taken with respect to the claim. SECTION GC11.2 - BONDS Section GC11.2 is deleted and replaced by the following: GC11.2.1 The Design-Builder, together with a surety company approved by the Owner and authorized by law to carry on business in the Province, shall furnish a 50% Labour and Materials Payment Bond to the Owner using CCA Document(s) 22. The bond shall remain in effect until 12 months after the date the Contract Administrator accepts the entire work. GC11.2.2 The Design-Builder, together with a surety company, approved by the Owner and authorized by law to carry on business in the Province in which the work is to be performed, shall furnish a Performance Bond to the Owner using CCA Document(s) 21 in the amount of 100% of the Contract price. GC11.2.3 In lieu of the bonds specified in paragraphs GC11.2.1 and GC11.2.2 the Design-Builder may provide unconditional Irrevocable Letters of Credit, in a form acceptable to the Owner, and/or a certified cheque made out to the Owner. SECTION GC12.1 – INDEMNIFICATION Subsection GC12.1.2 is deleted. City of Thunder Bay Contract No. SECTION GC12.3 Section 00800 C.C.D.C. 14 - Supplementary General Conditions for use with Design Build Contracts Page 24 of 24 - WARRANTY Subsection GC12.3.3 is amended by adding the following paragraph: The Design-Builder shall be responsible for the maintenance of all trenches for a period of 2 years from the date of substantial completion. Any shrinkage or settlement during this period will be made good by the Design-Builder at his own expense. This shall also include making good any other works affected. ADDITIONS TO THE GENERAL CONDITIONS The following clauses are additional conditions of the Contract: SECTION GC 13 - RECORD DRAWINGS The Design-Builder shall keep one set of Contract drawings on the site at all times. As the work progresses, he shall record, in a neat legible manner, all changes in the Work. The following information shall be recorded for each change: i) Full Description of change ii) Date iii) Authority At the completion of the Work, this set of drawings shall be forwarded to the Contract Administrator for incorporation in a set of “RECORD” drawings for this project.