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CONTRACTOR shall pay all sales, consumer, use and other similar taxes required by law, <br />and shall procure and pay for all permits and licenses necessary for the execution and completion of <br />the work and labor to be performed hereunder. <br />2. NOTICE TO PROCEED <br />The work shall begin no later than twenty (20) calendar days from and after <br />CONTRACTOR receives written notice to proceed from OWNER and the Agency. Failure by <br />CONTRACTOR without lawfiul excuse to substantially begin work within twenty (20) days of the <br />date of receipt of said written notice to proceed shall postpone the next succeeding payment to the <br />CONTRACTOR for that period of time equivalent to the time between when work was to begin and <br />when it did begin. OWNER and the Agency shall give said notice to proceed within forty-five (45) <br />calendar days from and after the date of the signing of this Contract. If the written notice to proceed <br />is not received by CONTRACTOR within said period, CONTRACTOR reserves the right to <br />withdraw his bid and proposal. <br />3. TIME FOR COMPLETION <br />All work shall be satisfactorily completed within <br />after the date of when said work is commenced. <br />calendar days from and <br />4. CLEANUP <br />CONTRACTOR shall keep the premises clean and orderly during the course of the work <br />and remove all debris at the completion of the work. Materials and equipment that have been <br />removed and replaced as part of the work shall belong to CONTRACTOR. <br />5. CHARGES AND LIENS <br />CONTRACTOR shall pay when due all valid charges for labor and material incurred by <br />CONTRACTOR and used in the construction pursuant to this Contract and shall also be responsible <br />for keeping the job free of mechanic's liens recorded by any of the persons enumerated in California <br />Civil Code § 3110. If CONTRACTOR fails to make any payments required pursuant to this <br />paragraph, or if CONTRACTOR fails to keep said real property free of mechanic's liens incurred by <br />or under CONTRACTOR or its subcontractors, OWNER may settle said claims and <br />CONTRACTOR shall notify OWNER and the Agency in writing when a legitimate dispute arises <br />between CONTRACTOR and any and all persons enumerated in California Civil Code § 3110. In <br />the event of such dispute, CONTRACTOR shall record a bond. pursuant to California Civil Code § <br />-3143 releasing said real property from liens of any and all persons. If CONTRACTOR fails or is <br />unable to obtain said bond, OWNER may obtain and record said bond and deduct the costs from <br />any payment due CONTRACTOR. <br />6. CORRECTION AND DEFECTS <br />CONTRACTOR shall correct any work that fails to conform to the requirements of this <br />Contract or any documents pursuant thereto, where said failure to conform appears during the <br />progress of the work. CONTRACTOR shall remedy any defects due to faulty materials, equipment <br />or workmanship which appear within a period of one (1) year from the date of substantial <br />completion of the work or within such longer period of time as may be prescribed by law or by the <br />terms of any applicable special guarantee required by this Contract or any document pursuant <br />thereto. <br />Exhibit " RI, 2 <br />