Loading...
HomeMy WebLinkAbout25B243 - Deark E & C, Inc.CONTRACT ABSTRACT Contract/Amendment Name of Contract: Company Name: Company Contact: Email: Summary of Services: Contract Price: Contract Term: Public Integrity/ Business Disclosure Forms: Contract Administration Lead Department: Contract Administrator/ Ext: Contract Approvals Council/City Manager Approval Date: Agreement Number: Amendment Number: Contract Compliance Exhibits: Insurance: Routed By: Bonds: Business License: Sole Source Co-Op CoOp Agmt #: Sole Source Documents: CoOp Name: CoOp Pricing: By: Submitted on: Contract Abstract Form Rev 8.16.23 Authorized Signers: Name, Email (Corporations require 2 signatures) Construction Agreement Deark E & C, Inc. Sean Lee, Controller slee@dearkec.com Demuth Park Pickleball Court Expansion, City Project 22-24 $5,105,219.70 To be determined by the Notice to Proceed On file Dong K. Jin, President Dong K. Jin, Secretary Engineering Services Joel Montalvo / Alberto Gradilla X8718 July 21, 2025, Item 1T 25B243 Yes Yes Yes Department Yes No Agreement, bonds, and insurance are attached. N/A 07/31/2025 Vonda Teed Docusign Envelope ID: 15D4B4FB-4778-4B03-BD2B-F5747033D406 25B243 Docusign Envelope ID: 15D4B4FB-4778-4B03-BD2B-F5747033D406 Docusign Envelope ID: 15D4B4FB-4778-4B03-BD2B-F5747033D406 Docusign Envelope ID: 15D4B4FB-4778-4B03-BD2B-F5747033D406 Docusign Envelope ID: 15D4B4FB-4778-4B03-BD2B-F5747033D406 Docusign Envelope ID: 15D4B4FB-4778-4B03-BD2B-F5747033D406 Docusign Envelope ID: 15D4B4FB-4778-4B03-BD2B-F5747033D406 8/1/2025 Docusign Envelope ID: 15D4B4FB-4778-4B03-BD2B-F5747033D406 07/30/2025 Kingdom Global Insurance Solutions 780 N. Euclid Street Suite 208 Anaheim CA 92801 Shawn Jin (562) 275-3155 (562) 275-3156 sjin@kgisus.com Deark E&C, Inc. 1335 W. Valencia Dr. Ste P Fullerton CA 92833 Admiral Insurance Company 24856 Infinity Select Insurance 20260 Evanston Insurance Company 35378 CL2543000841 A Y Y CA000054058-01 08/18/2024 08/18/2025 1,000,000 300,000 5,000 1,000,000 2,000,000 2,000,000 B Y Y 50013541001 08/18/2024 08/18/2025 1,000,000 A Y Y GX000008022-01 08/18/2024 08/18/2025 8,000,000 8,000,000 C Y EAW00002050-00 08/18/2024 08/18/2025 1,000,000 1,000,000 1,000,000 C Pollution Liability Y Y CPLMOL125546 08/06/2024 08/06/2025 Each Occurance $1,000,000 Aggregate $2,000,000 Re: DEMUTH PARK PICKLEBALL COURT EXPANSION, CITY PROJECT 22-24 Certificate holder is named as additional insured to General Liability and Automobile Liability per endorsement CG 20 10 12 19 and 50461AIS01. Waiver of Subrogation applies to General Liability and Auto Liability per endorsement AD 68 93 01 23 and 50461SWF01. General Liability and Automobile Liability are Primary and Non-Contributory per endorsement AD 06 57 09 23 and 500PNCV01. XCU endorsement is NOT excluded Umbrella is excess over the General Liability and Auto Liability City of Palm Springs 3200 E Tahquitz Canyon Way Palm Springs CA 92262 SHOULD ANY OF THE ABOVE DESCRIBED POLICIES BE CANCELLED BEFORE THE EXPIRATION DATE THEREOF, NOTICE WILL BE DELIVERED IN ACCORDANCE WITH THE POLICY PROVISIONS. INSURER(S) AFFORDING COVERAGE INSURER F : INSURER E : INSURER D : INSURER C : INSURER B : INSURER A : NAIC # NAME:CONTACT (A/C, No):FAX E-MAILADDRESS: PRODUCER (A/C, No, Ext):PHONE INSURED REVISION NUMBER:CERTIFICATE NUMBER:COVERAGES IMPORTANT: If the certificate holder is an ADDITIONAL INSURED, the policy(ies) must have ADDITIONAL INSURED provisions or be endorsed. If SUBROGATION IS WAIVED, subject to the terms and conditions of the policy, certain policies may require an endorsement. A statement on this certificate does not confer rights to the certificate holder in lieu of such endorsement(s). THIS CERTIFICATE IS ISSUED AS A MATTER OF INFORMATION ONLY AND CONFERS NO RIGHTS UPON THE CERTIFICATE HOLDER. THIS CERTIFICATE DOES NOT AFFIRMATIVELY OR NEGATIVELY AMEND, EXTEND OR ALTER THE COVERAGE AFFORDED BY THE POLICIES BELOW. THIS CERTIFICATE OF INSURANCE DOES NOT CONSTITUTE A CONTRACT BETWEEN THE ISSUING INSURER(S), AUTHORIZED REPRESENTATIVE OR PRODUCER, AND THE CERTIFICATE HOLDER. OTHER: (Per accident) (Ea accident) $ $ N / A SUBR WVD ADDL INSD THIS IS TO CERTIFY THAT THE POLICIES OF INSURANCE LISTED BELOW HAVE BEEN ISSUED TO THE INSURED NAMED ABOVE FOR THE POLICY PERIOD INDICATED. NOTWITHSTANDING ANY REQUIREMENT, TERM OR CONDITION OF ANY CONTRACT OR OTHER DOCUMENT WITH RESPECT TO WHICH THIS CERTIFICATE MAY BE ISSUED OR MAY PERTAIN, THE INSURANCE AFFORDED BY THE POLICIES DESCRIBED HEREIN IS SUBJECT TO ALL THE TERMS, EXCLUSIONS AND CONDITIONS OF SUCH POLICIES. LIMITS SHOWN MAY HAVE BEEN REDUCED BY PAID CLAIMS. $ $ $ $PROPERTY DAMAGE BODILY INJURY (Per accident) BODILY INJURY (Per person) COMBINED SINGLE LIMIT AUTOS ONLY AUTOSAUTOS ONLY NON-OWNED SCHEDULEDOWNED ANY AUTO AUTOMOBILE LIABILITY Y / N WORKERS COMPENSATION AND EMPLOYERS' LIABILITY OFFICER/MEMBER EXCLUDED? (Mandatory in NH) DESCRIPTION OF OPERATIONS below If yes, describe under ANY PROPRIETOR/PARTNER/EXECUTIVE $ $ $ E.L. DISEASE - POLICY LIMIT E.L. DISEASE - EA EMPLOYEE E.L. EACH ACCIDENT EROTH-STATUTEPER LIMITS(MM/DD/YYYY)POLICY EXP(MM/DD/YYYY)POLICY EFFPOLICY NUMBERTYPE OF INSURANCELTRINSR DESCRIPTION OF OPERATIONS / LOCATIONS / VEHICLES (ACORD 101, Additional Remarks Schedule, may be attached if more space is required) EXCESS LIAB UMBRELLA LIAB $EACH OCCURRENCE $AGGREGATE $ OCCUR CLAIMS-MADE DED RETENTION $ $PRODUCTS - COMP/OP AGG $GENERAL AGGREGATE $PERSONAL & ADV INJURY $MED EXP (Any one person) $EACH OCCURRENCE DAMAGE TO RENTED $PREMISES (Ea occurrence) COMMERCIAL GENERAL LIABILITY CLAIMS-MADE OCCUR GEN'L AGGREGATE LIMIT APPLIES PER: POLICY PRO-JECT LOC CERTIFICATE OF LIABILITY INSURANCE DATE (MM/DD/YYYY) CANCELLATION: 30 DAY CANCELLATION AUTHORIZED REPRESENTATIVE ACORD 25 (2016/03) © 1988-2015 ACORD CORPORATION. All rights reserved. CERTIFICATE HOLDER The ACORD name and logo are registered marks of ACORD HIRED AUTOS ONLY Docusign Envelope ID: 15D4B4FB-4778-4B03-BD2B-F5747033D406 Docusign Envelope ID: 15D4B4FB-4778-4B03-BD2B-F5747033D406 Docusign Envelope ID: 15D4B4FB-4778-4B03-BD2B-F5747033D406 Docusign Envelope ID: 15D4B4FB-4778-4B03-BD2B-F5747033D406 Docusign Envelope ID: 15D4B4FB-4778-4B03-BD2B-F5747033D406 ST-White ADDL INSURED COPY AMEND DATE : 04/30/2025 50461AIS01 ENDORSEMENT : 6-5 Kemper Auto Commercial 11700 Great Oaks Way, Suite 450 Alpharetta, GA 30022 Underwritten by: Infinity Select Insurance Company Customer Service: (800) 722-3391 Claims Service: (800) 353-6737 ADDITIONAL NAMED INSURED ENDORSEMENT Copy To Policy ID Number Expiration Date 50013541001 08/18/2025 12:01 a.m. Named Insured Deark E&C Inc City of Palm Springs 3200 E Tahquitz Canyon Way Palm Springs, CA 92262 This endorsement is attached to and forms a part of the listed policy. No changes will be effective prior to the time changes are requested. Additional Insured City of Palm Springs Part A - Liability Coverage, is changed as follows: The definition of insured is changed to include the additional insured named above. Adding an insured will not increase the limit of our liability. The insurance provided by this endorsement will be excess over any other valid and collectible insurance. All other parts of this Policy remain unchanged. Docusign Envelope ID: 15D4B4FB-4778-4B03-BD2B-F5747033D406 ST-White ADDL INSURED COPY AMEND DATE : 04/30/2025 500PNCV01 ENDORSEMENT : 6-5 Kemper Auto Commercial 11700 Great Oaks Way, Suite 450 Alpharetta, GA 30022 Underwritten by: Infinity Select Insurance Company Customer Service: (800) 722-3391 Claims Service: (800) 353-6737 PRIMARY AND NONCONTRIBUTORY ENDORSEMENT Copy To Policy ID Number Expiration Date 50013541001 08/18/2025 12:01 a.m. Named Insured Deark E&C Inc City of Palm Springs 3200 E Tahquitz Canyon Way Palm Springs, CA 92262 This endorsement is attached to and forms a part of the listed policy. The following endorsement applies only if Form Number 500PNCV01 appears on your Declarations Page. This endorsement modifies the insurance provided under your COMMERCIAL AUTO POLICY. PART A – LIABILITY COVERAGE OTHER INSURANCE – PART A ONLY The following is added to this section: The coverage afforded under your Commercial Auto Policy is primary to and will not seek contribution from any other insurance available to an additional insured under your policy provided that: a.You have agreed in writing in a contract or agreement that the coverage afforded under your Commercial Auto Policy would be primary and would not seek contribution from any other insurance available to such additional insured; and b. Such additional insured is a named insured under such other insurance. ALL OTHER TERMS, LIMITS, CONDITIONS, AND PROVISIONS OF THE POLICY REMAIN UNCHANGED. Docusign Envelope ID: 15D4B4FB-4778-4B03-BD2B-F5747033D406 ST-White ADDL INSURED COPY AMEND DATE : 04/30/2025 50461SWF01 ENDORSEMENT : 6-5 Kemper Auto Commercial 11700 Great Oaks Way, Suite 450 Alpharetta, GA 30022 Underwritten by: Infinity Select Insurance Company Customer Service: (800) 722-3391 Claims Service: (800) 353-6737 WAIVER OF SUBROGATION Copy To Policy ID Number Expiration Date 50013541001 08/18/2025 12:01 a.m. Named Insured Deark E&C Inc City of Palm Springs 3200 E Tahquitz Canyon Way Palm Springs, CA 92262 This endorsement is attached to and forms a part of the listed policy. No changes will be effective prior to the time changes are requested. In return for your premium payment shown below, we agree that our rights of subrogation or rights of recovery under the policy will not apply against the following person or organization: City of Palm Springs (name of person or organization) Additional premium in the amount of $250.00 will be retained by us regardless of any early termination of this endorsement or the policy. All other policy provisions remain unchanged. Docusign Envelope ID: 15D4B4FB-4778-4B03-BD2B-F5747033D406 CITY COUNCIL STAFF REPORT DATE: JULY 21, 2025 CONSENT CALENDAR SUBJECT: AWARD OF A CONSTRUCTION CONTRACT TO DEARK E&C INC., A CALIFORNIA CORPORATION, IN THE AMOUNT OF $5,105,219.70; APPROVAL OF A TASK ORDER UNDER AN ON-CALL AGREEMENT FOR CONSTRUCTION MANAGEMENT AND INSPECTION SERVICES WITH DUDEK & ASSOCIATES, INC. IN AN AMOUNT OF $292,000; AND APPROVAL OF A TASK ORDER UNDER AN ON-CALL AGREEMENT FOR COMMUNITY WORKFORCE AGREEMENT ADMINISTRATION WITH TSG ENTERPRISES, INC., DBA THE SOLIS GROUP, IN AN AMOUNT OF $17,200 FOR THE DEMUTH PARK PICKLEBALL COURT EXPANSION, CITY PROJECT 22-24 FROM: Scott C. Stiles, City Manager BY: Engineering Services Department SUMMARY: Upon awarding this contract and approval of the task orders, the City will be authorized to proceed with the construction of the Demuth Park Pickleball Court Expansion, City Project 22-24. RECOMMENDATION: 1) Award a construction contract to Deark E&C, Inc., in the amount of $5,105,219.70 for the Demuth Park Pickleball Court Expansion, City Project No. 22-24 (“the Project”); 2) Delegate authority to the City Manager or designee to approve and execute construction contract change orders up to a total amount of $160,000 with all change orders reported and filed to the City Council; 3) Authorize the City Manager to approve a task order for project management and inspection services with Dudek & Associates, in an amount of $292,000; 4) Authorize the City Manager to approve a task order for Community Workforce Agreement administration services from an on-call CWA firm, TSG Enterprises, Inc., The Solis Group, in an amount of $17,200; and 5) Authorize the City Manager or his designee to execute all necessary documents. Item 1T - Page 1 Docusign Envelope ID: 15D4B4FB-4778-4B03-BD2B-F5747033D406 BUSINESS PRINCIPAL DISCLOSURE: The Public Integrity Disclosure forms for Deark E&C, Inc. (Deark), Dudek & Associates (Dudek), and The Solis Group (TSG) are included as Attachment A. BACKGROUND: The City’s twelve (12) existing pickleball courts are located at Demuth Park at 4375 E. Mesquite Avenue as shown in Figure 1 below. The courts are highly utilized year-round and provide a free health and wellness recreational amenity for the community. The Parks & Recreation Commission and members of the pickleball community mutually agreed that there was a need to increase the number of courts available in Palm Springs to better meet the high demands of players in the growing pickleball community, as well as to create a cohesive design and better-functioning recreational amenity. Figure 1 – Site Vicinity Map On May 3, 2023, the City issued a request for proposals (RFP) to solicit proposals from qualified design firms to prepare conceptual design plans, specifications, and estimates (PS&E) to increase the number of pickleball courts at Demuth Park and develop an optimized court configuration with a lighting system. Item 1T - Page 2 Docusign Envelope ID: 15D4B4FB-4778-4B03-BD2B-F5747033D406 On July 24, 2023, City Council awarded a Professional Services Agreement (Agreement 23P173) to Kimley-Horn in the amount of $161,395 for design services needed for the Project. Approximately nine months later, the Parks & Recreation Commission approved the Project Conceptual Plans. On June 27, 2024, City Council approved Amendment No. 1 with Kimley-Horn in the amount of $100,000, for a new not-to-exceed amount of $261,395 for the Project. This amendment was for the increase of community meetings requested by the City, presentations, and additional civil engineering design needed for the Project. On July 25, 2024, City Council approved the project funding (Measure J and Quimby) for an amount of six (6) million dollars. Note, the capacity existed for the City to fund the budget gap of approximately $4.5 million using $2.5 million available from the Quimby fund and $2 million from the Measure J fund. No additional General Funds would be used. On February 13, 2025, the City Council approved the plans, specifications, and engineer’s estimate for the Project and authorized Staff to advertise and solicit bids. Amendment No. 2 with Kimley-Horn in the amount of $146,800, for a new not-to-exceed amount of $408,195, was also approved. This amendment covered the additional civil engineering services, construction administration services, project meetings, and utility coordination. On May 28, 2025, the City Council approved Staff’s recommendation to reject all bids and rebid the Project. The construction costs exceeded the available budget and Staff, along with Kimley-Horn, conducted value engineering and split the Project into five (5) Bid Schedules (A, B, C, D, and E) so that select items could either remain or be removed, while still maintaining the goal of the Project. Bid Schedule A is the Primary Bid Schedule and includes 22 courts instead of 24 and eliminates certain lighting and shade structures. The following is the breakdown of the Additive Bid Schedules: • Additive Bid Schedule B adds back 2 additional courts along with the required lighting. • Additive Bid Schedule C adds back 3 complete lighting systems for 3 courts removed in Bid Schedule A. • Additive Bid Schedule D adds back 12 additional shade structures removed with Bid Schedule A. • Additive Bid Schedule E adds back cameras and wireless access points removed from Bid Schedule A. STAFF ANALYSIS: On July 9, 2025, the Engineering Services Department received seven (7) construction bids for the Project. Table 1 on the following page lists the contractors along with the total amount of all five (5) bid schedules. Item 1T - Page 3 Docusign Envelope ID: 15D4B4FB-4778-4B03-BD2B-F5747033D406 Table 1 No Company Location Bid Amount 1 RG General Engineering, Inc. Norco, CA $6,174,143.00 2 Urban Habitat Palm Desert, CA $6,412,186.03 3 Deark E&C, Inc. Fullerton, CA $6,452,956.10 4 Aster Construction Services Los Angeles, CA $6,608,895.19 5 Riverside Construction Company, Inc. Riverside, CA $6,688,796.45 6 Westcon Construction Indio, CA $7,067,139.32 7 RE Chaffee Construction, Inc. Wrightwood, CA $7,067,139.32 • Note, the costs above show the total costs of all Bid Schedules combined, sorted by increasing amounts per contractor. On July 10, 2025, Engineering Staff met with the Director of Parks & Recreation, Nicholas Gonzalez, and the Director of Finance & Treasury, Kristopher Mooney, to review all possible combinations of the Bid Schedules that would stay within the allotted budget as well as meet the intended purpose of the Project. The group decided to move forward with Primary Bid Schedule A to stay within the existing available budget. Table 2 shows the revised cost table as well as the lowest responsive bidder. Table 2 No Company Location Bid Amount 3 Deark E&C, Inc. Fullerton, CA $5,105,219.70 1 RG General Engineering, Inc. Norco, CA $5,161,658.20 2 Urban Habitat Palm Desert, CA $5,172,724.38 4 Aster Construction Services Los Angeles, CA $5,600,374.79 5 Riverside Construction Company, Inc. Riverside, CA $5,718,592.25 6 Westcon Construction Indio, CA $5,747,963.30 7 RE Chaffee Construction, Inc. Wrightwood, CA $6,025,021.15 • Note, the costs above show only Bid Schedule A costs, sorted by increasing amounts per contractor. Bid Schedule A differs from the conceptual plan shown in Figure 2 below by reducing the number of courts from 24 to 22, with the area being replaced with grass, and reducing shade structures from 22 to 11, and a reduction in court lighting from 24 to 19. Figure 3 on the following pages shows the revised pickleball court layout. The following is the range of costs for the Additive Bid Schedule: • Additive Bid Schedule B costs range between $261,865 and $554,945. • Additive Bid Schedule C costs range between $159,739 and $431,700. • Additive Bid Schedule D costs range between $200,596 and $406,140. • Additive Bid Schedule E costs range between $177,000 and $342,966. Item 1T - Page 4 Docusign Envelope ID: 15D4B4FB-4778-4B03-BD2B-F5747033D406 Figure 2 – Concept Plans Figure 3 – Bid Schedule A Layout Item 1T - Page 5 Docusign Envelope ID: 15D4B4FB-4778-4B03-BD2B-F5747033D406 Scope of Project The Project comprises demolishing the existing pickleball courts, tennis courts, picnic areas and surrounding park space. Once demolition and grading are completed, construction of a new pickleball complex with seating areas, planters, drinking fountains, courts, lighting, drainage retention area, shade structures throughout, and new electrical service upgrade will be installed. All work must be completed within 180 working days, or 9 months, from an approved notice to proceed signed by the City. Bid Analysis Staff reviewed all bid documents submitted by the apparent low bidder and determined that Deark (“the Contractor”) complies with the instructions to bidders and has submitted the lowest responsive and responsible bid, in the amount of $5,105,219.70. Staff recommends that City Council approve the bid submitted by the Contractor. A proposed agreement is included as Attachment B. Request for Proposals for Construction Management Services The Staff sent a Request for Proposals (RFP) for Construction Management (CM) and Inspection services to its on-call consultants. The RFP outlined specific requirements to ensure that the selected firm possesses a proven track record and the capacity to deliver construction management and inspection services to municipal government agencies similar to those required by the City. The general scope of work for the Construction Management includes a full-time on-site individual who represents the City, generates construction documents, manages document control, coordination with stakeholders and utility companies, coordinates meetings, schedules building inspections, performs special inspections, conducts project administration, verifies quantities for invoicing, verifies change order requests, conducts independent cost analysis, and assists with project close out. There will also be a Quality Control construction manager assigned to the project. On March 04, 2025, the RFP was published and made available through PlanetBids™. The City received proposals from three (3) construction management services providers shown in Table 3 below: Table 3 Company Location Budget Berg & Associates, Inc. San Pedro CA $496,551.02 Dudek Encinitas, CA $292,000.00 Southstar Engineering & Consulting, Inc. Riverside, CA $322,467.00 Staff evaluated and scored each proposal. While each proposal complied with the requirements of the RFP, Dudek ranked the highest. Staff recommends the City Council Item 1T - Page 6 Docusign Envelope ID: 15D4B4FB-4778-4B03-BD2B-F5747033D406 approve a task order in the amount of $292,000.00 under an On-Call Agreement for CM services with Dudek. Project Labor Agreement (PLA) This Project is subject to the City’s Community Workforce (CWA) Agreement dated August 31, 2021, which is on file with the City Clerk. The Contractor and all Subcontractors of any tier are to include contractual provisions in all contracts they enter for the performance of the work requiring the Contractor and all Subcontractors to comply with the provisions of the CWA prior to the commencement of work. Under this agreement, the City is required to designate a CWA administrator. During an RFP for on-calls, the City awarded an on-call contract with TSG Enterprises, Inc. dba The Solis Group (TSG) for CWA administration. Staff recommends the City Council approve a task order in the amount of $17,200.00 under an On-Call Agreement for CWA Administration with TSG. Local Business Preference Compliance Section 7.09.030 of the Palm Springs Municipal Code (“PSMC”), “Local Business Preference Program”, requires prime contractors to use good faith efforts to sub-contract the supply of materials and equipment to local business enterprises and to sub-contract services to businesses whose workforce resides within the Coachella Valley. Deark is not considered a local business but has demonstrated sufficient evidence of good faith efforts to subcontract the supply of materials to local businesses. ENVIRONMENTAL ASSESSMENT: In accordance with the California Environmental Quality Act (“CEQA”) Guidelines Section 15301 “Existing Facilities”, Class 1 projects consist of the operation, repair, maintenance, permitting, leasing, licensing, or minor alteration of existing public structures, facilities, mechanical equipment or topographical features involving negligible or no expansion of existing or former use. Therefore, Staff has determined that the Demuth Park Pickleball Court Expansion Project, City Project No. 22-24, is considered categorically exempt from CEQA. ALIGNMENT WITH STRATEGIC PLANNING: This action aligns with City Council’s Broad Goals of Infrastructure and Facilities as well as Public Safety and Community Services – providing services that support a high quality of life. Item 1T - Page 7 Docusign Envelope ID: 15D4B4FB-4778-4B03-BD2B-F5747033D406 FISCAL IMPACT: The total remaining budget available for this Project is $5,605,000, which is comprised of both Measure J and Quimby Funds. There is sufficient funding available to award a construction contract, both task orders, and contingency in the total amount of $5,574,419.70. REVIEWED BY: City Engineer: Joel Montalvo Director of Parks & Recreation: Nicholas S. Gonzalez Director of Finance & Treasury: Kristopher J. Mooney Deputy City Manager: Flinn Fagg Assistant City Manager: Teresa Gallavan City Manager: Scott Stiles ATTACHMENTS: A. Public Integrity Disclosures B. Construction Agreement Item 1T - Page 8 Docusign Envelope ID: 15D4B4FB-4778-4B03-BD2B-F5747033D406 Attachment A Item 1T - Page 9 Docusign Envelope ID: 15D4B4FB-4778-4B03-BD2B-F5747033D406 Item 1T - Page 10 Docusign Envelope ID: 15D4B4FB-4778-4B03-BD2B-F5747033D406 Item 1T - Page 11 Docusign Envelope ID: 15D4B4FB-4778-4B03-BD2B-F5747033D406 Item 1T - Page 12 Docusign Envelope ID: 15D4B4FB-4778-4B03-BD2B-F5747033D406 Item 1T - Page 13 Docusign Envelope ID: 15D4B4FB-4778-4B03-BD2B-F5747033D406 PUBLIC INTEGRITY DISCLOSURE APPLICANT DISCLOSURE FORM 1. Name of Entity 2. Address of Entity (Principal Place of Business) 4. State where Entity is Registered with Secretary of State If other than California, is the Entity also registered in California?  Yes  No 5. Type of Entity  Corporation  Limited Liability Company  Partnership  Trust  Other (please specify) 6. Officers, Directors, Members, Managers, Trustees, Other Fiduciaries (please specify) Note: If any response is not a natural person, please identify all officers, directors, members, managers and other fiduciaries for the member, manager, trust, or other entity  Officer  Director  Member  Manager [name]  General Partner  Limited Partner Other  Officer  Director  Member  Manager [name] General Partner  Limited Partner  Other  Officer  Director  Member  Manager [name]  General Partner  Limited Partner  Other Dudek 6 05 Third Street, Encinitas, CA 92024 California Joseph Monaco, President and CEO Eric Wilson, COOHelder Guimaraes, CFO/Treasurer Michael McGrattan, CIOAmy Paul, General COunsel, Secretary 3. Local or California Address (if different than #2) 78-075 Main Street, Suite G-203, La Quinta, CA 92253 Docusign Envelope ID: 15D4B4FB-4778-4B03-BD2B-F5747033D406 7. Owners/Investors with a 5% beneficial interest in the Applicant Entity or a related entity EXAMPLE JANE DOE [name of owner/investor] 50%, ABC COMPANY, Inc. [percentage of beneficial interest in entity and name of entity] A. [name of owner/investor] [percentage of beneficial interest in entity and name of entity] B. [name of owner/investor] [percentage of beneficial interest in entity and name of entity] C. [name of owner/investor] [percentage of beneficial interest in entity and name of entity] D. [name of owner/investor] [percentage of beneficial interest in entity and name of entity] E. [name of owner/investor] [percentage of beneficial interest in entity and name of entity] I DECLARE UNDER PENALTY OF PERJURY UNDER THE LAWS OF THE STATE OF CALIFORNIA THAT THE FOREGOING IS TRUE AND CORRECT. Signature of Disclosing Party, Printed Name, Title Date 100%ESOP Joseph Monaco, President and CEO April 22, 2025 Item 1T - Page 15 Docusign Envelope ID: 15D4B4FB-4778-4B03-BD2B-F5747033D406 Attachment B Item 1T - Page 16 Docusign Envelope ID: 15D4B4FB-4778-4B03-BD2B-F5747033D406 Revised 8.9.23 Page 1 of 5 CONSTRUCTION AGREEMENT [***INSERT CONTRACT NUMBER***] DEARK E & C, INC. THIS AGREEMENT made this 21st day of July, 2025 (“Effective Date”) by and between the City of Palm Springs, a charter city, organized and existing in the County of Riverside, under and by virtue of the laws of the State of California, hereinafter designated as the City, and Deark E & C, Inc., a California corporation, hereinafter designated as the Contractor. The City and the Contractor, in consideration of the mutual covenants hereinafter set forth, agree as follows: 1. THE WORK For and in consideration of the payments and agreements to be made and performed by City, Contractor agrees to furnish all materials and perform all work required to complete the Work as specified in the Contract Documents, and as generally indicated under the Bid Schedule(s) for the Project entitled: DEMUTH PARK PICKLEBALL COURTY EXPANSION, CITY PROJECT 22-24 The Work comprises of demolishing existing Pickleball Courts, Tennis Court, picnic areas and surrounding park space. Construction of a new court Pickleball Complex with seating areas, planters, drinking fountains, courts, lighting, drainage retention area, shade structures throughout, and new electrical service upgrade. All work must be completed within 180 working days 2. COMMENCEMENT AND COMPLETION The Work to be performed under this Contract shall commence on the date specified in the Notice to Proceed by the City, and the Work shall be fully completed within the time specified in the Notice to Proceed. The City and the Contractor recognize that time is of the essence of this Agreement, and that the City will suffer financial loss if the Work is not completed within the time specified in Article 2, herein, plus any extensions thereof allowed in accordance with applicable provisions of the Standard Specifications, as modified herein. The parties also recognize the delays, expense, and difficulties involved in proving in a legal proceeding the actual loss suffered by the City if the Work is not completed on time. Accordingly, instead of requiring any such proof, the City and the Contractor agree that as liquidated damages or delay (but not as a penalty), the Contractor shall pay the City the sum specified in Section 6-9 of the Special Provisions for each calendar day that expires after the time specified in Article 2, herein. In executing the Agreement, the Contractor acknowledges it has reviewed the provisions of the Standard Specifications, as modified herein, related to liquidated damages, and has made itself aware of the actual loss incurred by the City due to the inability to complete the Work within the time specified in the Notice to Proceed. This Section does not exclude recovery of other damages specified in the Contract Documents. Liquidated damages may be deducted from progress payments due Contractor, Project retention or may be collected directly from Contractor, or from Contractor's surety. These provisions for liquidated damages shall not prevent the City, in case of Contractor's default, from terminating the Contractor. 3. CONTRACT PRICE The City shall pay the Contractor for the completion of the Work, in accordance with the Contract Documents, in current funds the Contract Price(s) named in the Contractor's Bid Proposal and Bid Schedule(s), and any duly authorized Construction Contract Change Orders approved by the City. The amount of the initial contract award in accordance with the Contractor’s Bid Proposal is five million one hundred five thousand two hundred nineteen dollars and seventy cents ($5,105,219.70). Contractor agrees to receive and accept the prices set forth herein, as full compensation for furnishing all materials, performing all work, and fulfilling all obligations hereunder. Said compensation shall cover all expenses, losses, damages, and consequences arising out of the nature of the Work during its progress or prior to its acceptance including those for well and faithfully completing the Work and the whole thereof in Item 1T - Page 17 Docusign Envelope ID: 15D4B4FB-4778-4B03-BD2B-F5747033D406 Revised 8.9.23 Page 2 of 5 the manner and time specified in the Contract Documents; and, also including those arising from actions of the elements, unforeseen difficulties or obstructions encountered in the prosecution of the Work, suspension of discontinuance of the Work, and all other unknowns or risks of any description connected with the Work. 4. CONTRACT DOCUMENTS The Contract Documents consist of the Notice Inviting Bids, Instructions to Bidders, the prevailing rate of per diem wages as determined by the Director of the California Department of Industrial Relations, the accepted Bid and Bid Schedule(s), List of Subcontractors, Local Business Preference Program – Good Faith Efforts, Non- Discrimination Certification, Non-Collusion Declaration, Bidder's General Information, Bid Security or Bid Bond, this Agreement, Worker's Compensation Certificate, Performance Bond, Payment Bond, Standard Specifications, Special Provisions, the Drawings, Addenda numbers 1 to 2, inclusive, and all Construction Contract Change Orders and Work Change Directives which may be delivered or issued after the Effective Date of the Agreement and are not attached hereto. 5. MUTUAL OBLIGATIONS For and in consideration of the payments and agreements to be made and performed by the City, the Contractor agrees to furnish all materials and perform all work required for the above stated project, and to fulfill all other obligations as set forth in the aforesaid Contract Documents. City hereby agrees to employ, and does hereby employ, Contractor to provide the materials, complete the Work, and fulfill the obligations according to the terms and conditions herein contained and referred to, for the Contract Price herein identified, and hereby contracts to pay the same at the time, in the manner, and upon the conditions set forth in the Contract Documents. 6. PAYMENT PROCEDURES The Contractor shall submit Applications for Payment in accordance with the Standard Specifications as amended by the Special Provisions. Applications for Payment will be processed by the City Engineer as provided in the Contract Documents. 7. NOTICES All notices shall be in writing and either served by personal delivery or mailed to the other party. Written notice to the Contractor shall be addressed to Contractor’s principal place of business unless Contractor designates another address in writing for service of notice. Notice to the City shall be addressed to the City as designated in the Notice Inviting Bids unless the City designates another address in writing for service of notice. Notice shall be effective upon receipt or five (5) calendar days after being sent by first class mail, whichever is earlier. Notice given by facsimile shall not be effective unless acknowledged in writing by the receiving party. 8. INDEMNIFICATION Contractor shall provide indemnification and defense as set forth in Section 7-15 “Indemnification,” of the Special Provisions. 9. PREVAILING WAGES Contractor agrees to fully comply with all applicable federal and state labor laws including, without limitation 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"). Contractor shall bear all risks of payment or non-payment of prevailing wages under California law, and Contractor hereby agrees to defend, indemnify, and hold the City, its officials, officers, employees, agents and volunteers, free and harmless from any claim or liability arising out of any failure or alleged failure to comply with the Prevailing Wage Laws. Contractor specifically acknowledges and agrees to be bound by the Wage Rates and Labor Code requirements specified in the Contract Documents, including the requirement to furnish electronic certified payroll records directly to the Labor Commissioner (via the Division of Labor Standards Enforcement), and shall pay the general prevailing rate of per diem wages as determined by the Director of the Department of Industrial Relations of the State of California. Item 1T - Page 18 Docusign Envelope ID: 15D4B4FB-4778-4B03-BD2B-F5747033D406 Revised 8.9.23 Page 3 of 5 10. CONFLICT OF INTEREST Contractor acknowledges that no officer or employee of the City has or shall have any direct or indirect financial interest in this Agreement nor shall Contractor enter into any agreement of any kind with any such officer or employee during the term of this Agreement and for one (1) year thereafter. Contractor warrants that Contractor has not paid or given, and will not pay or give, any third party any money or other consideration in exchange for obtaining this Agreement. 11. NON-DISCRIMINATION In connection with its performance under this Agreement, Contractor shall not discriminate against any employee or applicant for employment because of actual or perceived race, religion, color, sex, age, marital status, ancestry, national origin ( i.e., place of origin, immigration status, cultural or linguistic characteristics, or ethnicity), sexual orientation, gender identity, gender expression, physical or mental disability, or medical condition (each a “prohibited basis”). Contractor shall ensure that applicants are employed, and that employees are treated during their employment, without regard to any prohibited basis. As a condition precedent to City’s lawful capacity to enter this Agreement, and in executing this Agreement, Contractor certifies that its actions and omissions hereunder shall not incorporate any discrimination arising from or related to any prohibited basis in any Contractor activity, including but not limited to the following: employment, upgrading, demotion or transfer; recruitment or recruitment advertising; layoff or termination; rates of pay or other forms of compensation; and selection for training, including apprenticeship; and further, that Contractor is in full compliance with the provisions of Palm Springs Municipal Code Section 7.09.040, including without limitation the provision of benefits, relating to non-discrimination in city contracting. 12 MISCELLANEOUS Terms used in this Agreement which are defined in the Standard Specifications and the Special Provisions will have the meanings indicated in said Standard Specifications and the Special Provisions. No assignment by a party hereto of any rights under or interests in the Contract Documents will be binding on another party hereto without the written consent of the party sought to be bound; and specifically, but without limitation, monies that may become due and monies that are due may not be assigned without such consent (except to the extent that the effect of this restriction may be limited by law), and unless specifically stated to the contrary in any written consent to an assignment, no assignment will release or discharge the assignor from any duty or responsibility under the Contract Documents. The City and the 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 of all covenants, agreements, and obligations contained in the Contract Documents. Each and every provision of law required to be included in these Contract Documents shall be deemed to be included in these Contract Documents. The Contractor shall comply with all requirements of applicable federal, state and local laws, rules and regulations, including, but not limited to, the provisions of the California Labor Code and California Public Contract Code which are applicable to this Work. Compliance with Economic Sanctions in Response to Russia's Actions in Ukraine. When funding for the services is provided, in whole or in part, by an agency controlled of the State of California, Consultant shall fully and adequately comply with California Executive Order N-6-22 (“Russian Sanctions Program”). As part of this compliance process, Consultant shall also certify compliance with the Russian Sanctions Program by completing the form located in Exhibit “A” (Russian Sanctions Certification), attached hereto and incorporated herein by reference. Consultant shall also require any subconsultants to comply with the Russian Sanctions Program and certify compliance pursuant to this Section. [SIGNATURES ON NEXT PAGE] Item 1T - Page 19 Docusign Envelope ID: 15D4B4FB-4778-4B03-BD2B-F5747033D406 Revised 8.9.23 Page 4 of 5 SIGNATURE PAGE TO AGREEMENT BY AND BETWEEN THE CITY OF PALM SPRINGS AND DEARK E & C, INC. IN WITNESS WHEREOF, the Parties have executed this Agreement as of the dates stated below. CONTRACTOR: By Date Signature By Date Signature (2nd signature required for Corporations) CITY OF PALM SPRINGS: APPROVED BY CITY COUNCIL: Date: Item No. APPROVED AS TO FORM: ATTEST: By By City Attorney City Clerk APPROVED: By Date City Manager – over $150,000 Deputy/Assistant City Manager – up to $50,000 Director – up to $25,000 Manager – up to $5,000 Item 1T - Page 20 Docusign Envelope ID: 15D4B4FB-4778-4B03-BD2B-F5747033D406 Revised 8.9.23 Page 5 of 5 EXHIBIT “A” EXECUTIVE ORDER N-6-22 CERTIFICATION Executive Order N-6-22 issued by Governor Gavin Newsom on March 4, 2022, directs all agencies and departments that are subject to the Governor’s authority to (a) terminate any contracts with any individuals or entities that are determined to be a target of economic sanctions against Russia and Russian entities and individuals; and (b) refrain from entering into any new contracts with such individuals or entities while the aforementioned sanctions are in effect. Executive Order N-6-22 also requires that any contractor that: (1) currently has a contract with the City of Palm Springs funded through grant funds provided by the State of California; and/or (2) submits a bid or proposal or otherwise proposes to or enter into or renew a contract with the City of Palm Springs with State of California grant funds, certify that the person is not the target of any economic sanctions against Russia and Russian entities and individuals. The contractor hereby certifies, SUBJECT TO PENALTY FOR PERJURY, that a) the contractor is not a target of any economic sanctions against Russian and Russian entities and individuals as discussed in Executive Order N-6-22 and b) the person signing below is duly authorized to legally bind the Contractor. This certification is made under the laws of the State of California. Signature: Printed Name: Title: Firm Name: Date: Item 1T - Page 21 Docusign Envelope ID: 15D4B4FB-4778-4B03-BD2B-F5747033D406