Item 20 - Agreement for Electrical Upgrade at the Corporate Yard

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set forth in the Recitals which may reasonably be expected by City. 3. TERM a. This Agreement shall commence on the date first written above for a one (1) year term with the option for the City to grant a one (1) year extension, exercisable by a writing by the City Manager and the City Attorney, unless terminated earlier in accordance with Section 17, below. b. Contractor is to proceed with the procurement of long -lead-time materials, specifically including, but not limited to the switchgear, upon receipt of Phase 1 — Procurement Notice to Proceed. Proof of order with expected delivery date shall be submitted to City. The construction work shall be completed within 30 calendar days from the date of the Phase 2 - Full Notice to Proceed (Construction). c. If Contractor does not complete the work within the time periods noted in subsection b above, the City will suffer damage. It is impractical and infeasible to determine the amount of damage. Therefore, Contractor shall pay to the City, as fixed and liquidated damages and not as a penalty, the sum of $500 each and every calendar day of delay. The Contractor and Contractor's Surety shall be liable for the amount. If City for any cause authorizes or contributes to a delay, suspension of work or extension of time, its duration shall be added to the time allowed for completion, but shall not be deemed a waiver nor be used to defeat any right of the City to damages for non -completion or delay. 4. PREVAILING WAGES Contractor is aware of the requirements of California Labor Code Section 1720, et seq., and 1770, et seq., as well as California Code of Regulations, Title 8, Section 16000, et seq., ("Prevailing Wage Laws"), which require the payment of prevailing wage rates and the performance of other requirements on "public works" and "maintenance" projects. If the services being performed are part of an applicable "public works" or "maintenance" project, as defined by the Prevailing Wage Laws, and the total compensation is $1,000 or more, Contractor agrees to fully comply with such Prevailing Wage Laws. Contractor shall defend, indemnify and hold the City, its elected officials, officers, employees and agents free and harmless from any claim or liability arising out of any failure or alleged failure to comply with the Prevailing Wage Laws. 5. INDEPENDENT CONTRACTOR Contractor shall, during the entire term of this Agreement, be construed to be an independent contractor and not an employee of the City. This Agreement is not intended nor shall it be construed to create an employer -employee relationship, a joint venture relationship, or to allow the City to exercise discretion or control over the professional manner in which Contractor performs the services which are the subject matter of this Agreement; however, the services to be provided by Contractor shall be provided in a manner consistent with all applicable standards and regulations governing such services. Contractor shall pay all salaries and wages, employer's social