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HomeMy WebLinkAbout9/2/2015 - STAFF REPORTS - 2.D.D. A�pPAM SpP Q u w FORa'P CITY COUNCIL STAFF REPORT DATE: September 2, 2015 CONSENT CALENDER SUBJECT: APPROVE A $25,000 INTERIOR REMODEL GRANT AGREEMENT WITH WILLIAM J. SANDERSON FOR A PROPERTY LOCATED AT 650 E. SUNNY DUNES, PALM SPRINGS 92262 FROM: David H. Ready, City Manager BY: Community & Economic Development Department SUMMARY Review and approve a Grant Agreement under the Special Economic Development Focus Incentive Areas Program's - Interior Remodel Grant Program. The applicant has met the program criteria and qualifies for the Interior Remodel grant reimbursement upon evidence of payment of all eligible expenditures allowed under the program. RECOMMENDATION: 1. Approve an Interior Remodel Agreement in the amount of $25,000 with William J Sanderson. 2. Authorize the City Manager to execute all documents related to the Interior Remodel Grant Agreement. STAFF ANALYSIS: On July 3, 2013, the City Council adopted Resolution 23413 approving the creation of two Special Economic Development Focus Incentive Areas generally located along the major corridors south of Ramon Road and north of Tachevah Road, at the entryways into the Downtown and Uptown areas. The Special Focus Incentive Area Program includes an interior remodel grant to encourage business or property owners to invest in improvements. The Interior Remodel grant is a match grant up to $25,000. The Business Retention Council Subcommittee (Foat/Hutcheson) met March 15, 2015 and reviewed the applicants request and recommended approval of an Interior Remodel Grant Agreement with William J. Sanderson, in the amount of $25,000 under the Special Focus Area Incentive Program. ITEM NO. U City Council Staff Report September 2, 2015—Page 2 Facade and Interior Remodel Grant Agreement The applicant has invested more than $149,336 to repurpose a former food store into a bagel bakery and meets the programs criteria. The name of the new bakery is Townie Bagel, located at 650 E. Sunny Dunes Road. Construction was completed in mid- August and the store is scheduled to open August 26, 2015. An addendum is attached to the agreement showing a copy of the contractors Unconditional Release form and photos of the finished work. FISCAL IMPACT: Funding established by Resolution 23433; no additional funding needed or is being requested at this time. Cathy Van orn, Administrator, Economic Development David H. Ready, City r Attachments: Interior Remodel Grant Agreement—William J. Sanderson 02 AO PALM iy a V N R CITY OF PALM SPRINGS q��FOR� COMMERCIAL - RETAIL PROPERTY PROPERTY REMODEL GRANT PROGRAM INTERIOR REMODEL GRANT AGREEMENT THIS REMODEL GRANT AGREEMENT (the "Agreement") is made and entered into this 5t" day of May, 2014, by and between the City of Palm Springs, ("City"), and William J. Sanderson the ("Owner/Tenant"). Collectively the City and Owner/Tenant are referred to as the Parties. RECITALS A. City has established a Property Remodel Grant Program for Owners and Tenants of commercial-retail businesses in the City of Palm Springs. B. Owner/Tenant is the owner or tenant of a real property/business (circle one) located within the eligible area at 650 E. Sunny Dunes Road, Suite 4 & 5, Palm Springs, ("Property"), otherwise known as Townie Bagel (building or business). C. Grant Limitations. The maximum City matching grant shall not exceed $25,000. Example: if the applicant's interior improvement cost is $50,000 the City Match Grant would be $25,000, If the total improvement cost is $10,000, the City Match Grant would be $5,000.00 D. Owner/Tenant has applied for a Grant in the amount of $25,000.00 to make interior improvements to the Property as described in Exhibit "B," Scope of Work. E. Owner/Tenant has received all necessary approvals from the City's Planning, Building or Engineering Departments, which are shown in Exhibit "C", Evidence of Approval. The estimated cost of the work proposed is $149,335.55 as shown in Exhibit "D". F. The City has reviewed the application, the evidence of financial participation by Owner/Tenant, the location of the Property, and the approvals, and has approved the Grant Application. NOW, THEREFORE, in consideration of the promises and mutual agreements contained herein, City agrees to grant to Owner/Tenant the amount of $25,000.00 and Owner/Tenant agrees to undertake the approved improvements, under the following terms and conditions: 03 AGREEMENT 1. Property Ownership/Right to Undertake Work. Owner/Tenant represents that it is the Owner/Tenant of the Property or holds Tenancy in the Property which entitles it to undertake interior physical improvements to the Property. 2. Schedule. The Parties agree that all interior improvements shall be completed within 90 days of the date of this Agreement. 3. Contractor. The Parties agree that Owner/Tenant has sole responsibility for choosing and hiring the contractor, which shall be shown in Exhibit "D", ContractorNendor Agreements, and the acceptance of the material used and the work performed is Owner/Tenant's responsibility, and the City is not a party to any agreement with the vendor or contractor and does not guarantee the quality of workmanship of the property improvements, nor have any liability whatsoever therefor. At all times hereunder, the Contractor shall have a valid City of Palm Springs Business License. 4. Design Approval and Permits. The Parties agree that Owner/Tenant has sole responsibility for obtaining design approval and evidence of required permit approvals from the City of Palm Springs as shown in Exhibit C, and ensuring the compliance with those permits. 5. Grant Limitations. The maximum City matching grant shall not exceed $26,000.00. The estimated cost of the work proposed is $149,335.55, as shown in Exhibit "ID". 6. Evidence of Completion. The Parties agree that the City will release the Grant funds upon the completion of the work by the Owner/Tenant or his contractor. Evidence of completion shall include but is not limited to: photographs of the finished work; a final inspection by a representative of the City of Palm Springs; and, a copy of the final invoice for the work completed and proof of payment to the contractor; and Unconditional Waiver & Release from the contractor. 7. Release of Liens. The Parties Agree that the Owner/Tenant is responsible for obtaining the release of any Mechanics Liens or other liens placed upon Owner,Tenant's property by any contractor or subcontractor hired under this program. 8. Maintenance. Owner/Tenant agrees and covenants that, after the City issues its Certificate of Completion, Owner/Tenant shall be responsible for maintenance of all improvements that may exist at the Property from time to time, including without limitation buildings, parking lots, lighting, signs, and walls in first-class condition and repair, and shall keep the Property free from any accumulation of debris or waste materials. Owner/Tenant shall also maintain all landscaping Remodel Grant Program 3-23-10 2 04 required pursuant to Property's approved landscaping plan, if any, in a healthy condition, including replacement of any dead or diseased plants with plants of a maturity similar to those being replaced. Owner/Tenant hereby waives any notice, public hearing, and other requirements of the public nuisance laws and ordinances of the City that would otherwise apply. MISCELLANEOUS PROVISIONS 9. Covenant Ataainst Discrimination. Owner/Tenant covenants that, by and for itself, its heirs, executors, assigns, and all persons claiming under or through them, that there shall be no discrimination or segregation in the performance of or in connection with this Agreement regarding any person or group of persons on account of race, color, creed, religion, sex, marital status, disability, sexual orientation, national origin, or ancestry. 10. Notice. Any notice, demand, request, consent, approval, or communication either party desires or is required to give to the other party or any other person shall be in writing and either served personally or sent by pre-paid, first-class mail to the address set forth below. Either party may change its address by notifying the other party of the change of address in writing. Notice shall be deemed communicated seventy-two (72) hours from the time of mailing if mailed as provided in this Section. To City: City of Palm Springs City Manager/City Clerk 3200 E. Tahquitz Canyon Way Palm Springs, California 92262 To Owner/Tenant: William J. Sanderson 1775 E. Palm Canyon Suite11 O-PMB271 Palm Springs, CA 92264 11. Intearated Agreement. This Agreement contains all of the agreements of the parties and cannot be amended or modified except by written agreement. 12. Amendment. This Agreement may be amended at any time by the mutual consent of the parties by an instrument in writing. 13. Severability. In the event that any one or more of the phrases, sentences, clauses, paragraphs, or sections contained in this Agreement shall be declared invalid or unenforceable by valid judgment or decree of a court of competent jurisdiction, such invalidity or unenforceability shall not affect any of the Remodel Grant Program 3-23-10 3 remaining phrases, sentences, clauses, paragraphs, or sections of this Agreement, which shall be interpreted to carry out the intent of the parties hereunder. 14. Indemnification. Owner/Tenant shall indemnify and hold harmless, the City of Palm Springs ("City"), the City Council, its officers, agents, employees and contractors free and harmless from any liability whatsoever based and asserted upon any act or omission of the City for property damage, bodily injury, or death or any other element of damage of any kind or nature, relating to or in any way connected with participation in the Program. 15. Authori . The persons executing this Agreement on behalf of the parties hereto warrant that they are duly authorized to execute this Agreement on behalf of said parties and that by so executing this Agreement the parties hereto are formally bound to the provisions of this Agreement. Owner/Tenant certifies that the above statements are true and accurate to the best of Owner/Tenant's belief. Failure to meet any of the terms of this Agreement shall result in the forfeiture of any Grant funds from the City for this program. Remodel Grant Program 3-23-10 4 - as IN WITNESS WHEREOF, the parties have executed this Agreement as of the dates stated below. "City" City of Palm Springs Date: By: Community & Economic Development Date: By: Director, Community & Economic Development Date: By: David H. Ready, Esq., PhD. City Manager ATTEST: APPROVED AS TO FORM: By: By: James Thompson Douglas C. Holland City Clerk City Attorney "OWNERITENANT" Date: By : William J. Sanderson Date: Remodel Grant Program 3-23-10 5 07 EXHIBIT "A" MAP See Attached Remodel Grant Program 3-23-10 6 08 Southern • Area Po.+r. � PaimSUmq. 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I � „�• .. r riffsA r&,N 4 C a>h,"„a.rR A u PdaW o i p uW..n W.F run,sP,ugf 4 'c� N B��BIS B.N (Y^wawn 1J4&,ryp V dF omI Sww.r,w d! yV NM Dr +� 9Mo Yu+rw M..,IfT US.I..,+piuM v1 •wk Jl ""�`^• `"��E^ S S '9 +. � M,O dR+T3011 G�rd�H C © Buxcon Vicinity Map , lit , r • Property Details Ix T1 77; � _� , .•` 650 E SUNNY DUNES '1 'Owner 1:SKATING,AT MIRAMAR 7 a 1 • PALM SPRI IL 1�6L Owner I Mailing Address .}Owner 2: Legal nformabon� Zoning CM rt SLze(sf)Assessor 19.602 Lot Size(sf)Calculated 18,321 �� u I Year Built ^' M ( r r -t MNBuildingArea fAMC M A .1 ti ur E Sunny Du E Sunny Dunes Rdm Notes 0 Results Ir 1 Z r"• ! _ i AWWIT /� 5t i Y i w al P) industrl sit • EXHIBIT "B" SCOPE OF WORK Repair and seal 2000 s/f of cement flooring, install covered tiles per health codes, run new gas main pipe to accommodate ovens, install can lighting fixtures over work and public area. Install hot and cold water pipes and water filtration systems for ovens and coffee equipment. Raise height of ceilings and install food code ceiling tiles in kitchen and store front area. Update electrical panels to accommodate store/kitchen power needs. Install 6 dividing walls, paint and tile interior walls; install six sinks and two permanent dry and refrigerated display cases. Remodel Grant Program 3-23-10 7 11 EXHIBIT °C EVIDENCE OF APPROVAL (PLANNING, BUILDING, ENGINEERING DEPARTMENT) Building permit required on all or a portion of the work described in Exhibit "B" Scope of Work. Yes _X_ No If yes, Building Permit# 2015-496 Remodel Grant Program 3-23-10 8 12 City of Palm Springs w�Vll BUILDING PERMIT Building Address: 650 E Sunny Dunes Rd Unit 1 Date 02118/2015 CaseNo.: 14.062 Permft Angela LaFrance Submitted Technician 6't Owner Address Phone William Sanderson 1422 Cpuontia Rd 415-254-1649 J Palm Springs CA Contractor Address Phone Lic. Number Uy� Sipovac Construction 72651 Theodora Ln 760 567 2347 581636 Palm Desert CA Architect Address Phone Engineer Address Phone Lot# Block# Tract Parcel Number 508-132-037 Lot Size Zone Occupancy B Business Building Sq. Ft. Garage/Carport Roofed Patio/Porch Remodeled Area New 0 0 0 0 Use of building Permit Type Const.Type Fixture Units Commercial Commercial Addition/alteration VB 25 Fire Sprinkler Units Valuation Permit Fees Paid Yes 0 100000.00 2618.40 Describe work in detail: Tenant improvement to create Townie Bagels. All per approved plans Special Conditions: SEWER CONNECTION CREDIT FROM PRIOR RESTAURANT 27 FU 25 FU USED FOR THIS PERMIT. 2 FIXTURE UNIT CREDIT. DO NOT CONCEAL OR COVER ANY CONSTRUCTION UNTIL THE WORK IS INSPECTED IMPORTANT The issuance of this permit shall not be held to be an approval of the violation of any provisions of any city or county ordinance or state law. Inspections of work are subject to an approved set of plans being on the jab. Changes to plans are not to be made without permission of the Building and Safety Divisions. The owner and/or contractor is responsible for establishing all property lines. All utilities must be underground. This permit will expire 1 work is not started in 180 days or if more than 180 days elapses between inspections. I certify that I am familiarwilh all requirements of the City of Palm Springs as they apply to this permit and understand that these requirements must be completed prior to final inspection that no certification of occupancy will be issued until such time as these r irements are met. I certify that I have read this applicati and state t t t information is true and correct. OWNER/CONTRACTOR/AGENT DATE I UED BY Finaled This is a Building when properly filled out,signed and validated,and is not transferable. 13 PERMITNUMBER 2015-496 EXHIBIT "D" CONTRACTORNENDOR AGREEMENT SEE NEXT PAGE Remodel Grant Program 3-23-10 9 14 r s 1 VAC CONSTRUCTION INNOVATION FIXED PRICE CONSTRUCTION CONTRACT Preamble Rill Sanderson hereafter collectively referred to as "Owner," tuld Sipovac Construction, Inc, hereafter referred to as"Contractor,"agree: Construction of Improvements 1.1 Contractor shall furnish all labor and materials necessary to construct tenant im- provements (hereafter referred to as "the Project"), according to plans and specifications pre- pared by Owner on the leased real property located at 650 E. Sunny Dunes Rd., California. Contractor shall be entitled to rely upon the property information given to him by Owner and shall not be required to conduct an independent investigation.The contract documents consist of this agreement, general conditions, construction documents, specifications, allowances, finish schedules, construction draw schedule, all addenda issued prior to execution of this agreement and all change orders or modifications issued and agreed to by both parties and supersede any other bid or oral or written agreement. Owner warrants that Landlord has approved all of the im- provements to be installed as per this contract. Payments 2. The Owner shall pay Contractor$ 149,335,55,hereafter referred to as the "contract price,"for labor and materials pursuant to the schedule attached as Exhibit 1.hereto.The sum of $1,000 shall be paid upon the signing of the contract. The scope of work required to be per- formed under this contract shall be delineated by die plans and specifications, which are to be initiated by Owner and Contractor concurrently with the execution of this agreement. The scope of work hereunder shall be limited pursuant to Exhibit 2 attached hereto, which delineates al- lowances and exclusions. Any specifications not listed in the plans and specifications or which are meant to clarify the plans and specifications are attached as Exhibit 3. All required pay- ments pursuant to the Exhibit 1 schedule shall be paid within seven (7) days from the date of billing. All billing shall be accompanied by the appropriate lien and labor releases for the work, which is being billed. All payments must be paid in full before the city final inspection. This is a fixed price contract as set forth herein.As such the Owner is not entitled to.a breakdown of the costs incurred by Contractor. 72651 Theodora Ln.Palm Desert,Ca 92260 (760)360-9700 Fax:(760)406-9734 License#581636 15 SIP V C CONSTRUCTION INNOVATION Extra Work 3. Should the Owner,his architect, or any public agency direct or request additional work not shown on the present plans and specifications for the Project be done by Contractor,the cost of the additional work shall be added to the completion price and paid by the Owner on completion of such additional work. The term"cost"as used in tlris paragraph means the actual cost to the Contractor of the labor,materials, or subcontracts required for such additional work- increased by fifteen(15%)percent for Contractor's profit and overhead. Contractor is entitled to be paid for all such additional work requested or directed whether requested or directed in writ- ing or orally, and any expenses incurred by Contractor because of unusual ground conditions shalt be paid for by Owner as additional work done by Contractor. No extra or change order work shall be required to be performed without prior written authorization of the Owner or Own- ers architect. Each written change order shall set forth the scope of work encompassed by the change order and the price to be charged for the changes. Any change order for changes or extra work shall be incorporated in and become a part of this contract.Owner agrees Owner and it and h=s representatives shall not interfere or communicate with subcontractors without the permis- sion of Contractor. Time for Completion 4. Contractor shall commence work on the Project within thirty five(35) calendar days after notice from the Owner and commencement of construction. Unless delayed by one or more of the causes mentioned in Paragraph 16 of this Contract, the Contractor shall work diligently to complete construction of the Project. It is understood that the thirty five (35) day time period after commencement of work specified above does not begin until after all plans have been ap- proved by the applicable governmental agency and all permits issued by said governmental agencies. Additionally,it is understood that if the Owner procures construction financing for the Project that die failure to have such construction financing in full force and effect pursuant to the requirements of the financing agency may delay the Project at the option of Contractor. Correlation Between Plans, Specifications,and Contract 5. The plans for the Project, the specifications for the Project, and this Contract are in- tended to supplement each other so that any work mentioned in one of those instruments but not in the others shall be performed in the same manner as if mentioned in all of the instruments. Should a conflict arise between the instruments, the specifications shall control over the plans, and this Contract shall control over both the plans and the specifications. 72651 Theodora Ln,Palm Desert,Ca 92260 (760)360.9700 Fax:(760)406-9734 License#581636 16 IPI (.,�VA C ' CONSTRUCTION INNOVATION Charges and Liens 6. The Contractor shall pay all charges incurred by it for labor and materials used in the construction of the Project as they become due provided Owner has paid contractor for said charges. Should Contractor fail to pay any such charge as set forth above, the Owner may pay the same on behalf of the Contractor and shall be reimbursed by the Contractor for the payment on request. The Owner,however, shall not be entitled by means of assignments or otherwise to collect from Contractor any greater amount under this paragraph than the amount actually paid by Owner in settlement or discharge of any such charge for labor and materials. Examination by Contractor 7. It is understood that Contractor is relying upon the plans and specifications submitted by the architect and/or Owner,as well as investigations done by the engineer concerning the project site and engineering requirements for the structure to be constructed.Contractor is not obligated to make any independent investigation regarding the above-referenced items and is relieved of any liability as a result of any errors made by the engineer,Owner and/or architect.Since this job involves tenant improvements there may be hidden conditions discovery upon demolition which will affect the scope and cost of the project. Indemnity Agreement 8. Contractor shall indemnify and hold the Owner and the property of the Owner free and harmless from any and all claims, losses, damages, injuries, and liabilities arising from the death or injury of any person or persons, or from the damage or destruction of any property or properties, caused by or connected with the performance of this Contract by Contractor, its agents,subcontractors,or employees. Workers'Compensation Insurance 9. Contractor,at Owners cost and expense,shall procure and maintain during the contin- uance of this Contract a policy of workers'compensation or employer's liability insurance for the protection of its employees, including executive, managerial, and supervisorial employees, en- gaged in work on the Project, and shall, on demand, deposit a certificate evidencing the policy with the Owner. 72651 Theodora Ln.Palm Desert,Ca 92260 (760)360-9700 Fax:(760)406.9734 License#5811636 17 ..r S l P ' VA C CONSTRUCTION INNOVATION Subcontractor's Insurance 10, Contractor shall require each subcontractor employed by him to perform labor on the Project to procure and maintain,at the subcontractor's own cost and expense,during the perfor- mance of the labor a policy of workers' compensation or employer's liability insurance for the protection of the subcontractor's employees, including executive, managerial, and superviscrial employees,engaged in work on the Project,and to deposit with Contractor a certificate satisfac- tory to Contractor evidencing that insurance. Fire and liability Insurance 11.Owner will procure at his own expense and before the commencement of any work hereunder fire insurance with course of construction,vandalism and malicious mischief clauses attached,such insurance to be in a sum at least equal to the total estimated cost of the project, such insurance to name Ole Contractor and his subcontractors as additional insureds,and to pro- tect Owner,Contractor and its subcontractors,as their interests may appear. If the project is de- stroyed or damaged by a disaster or calamity such as fire,storm,flood,landslide subsidence,or by earthquake,or by theft or vandalism,any work done by Contractor in rebuilding or restoring the project shall be paid for by the Owner. Said insurance shall include entry by his own em- ployees and persons under Owner's direction and persons on the job site at Owner's invitation. Contractor will maintain liability insurance covering its own liability and naming Owner as an additional insured. Contractor will obtain Certificates of insurance from all subcontractors prior to commencement of work by that subcontractor that the subcontractor has both Worker's Compensation and liability insurance.The cost of Contractor's insurance shall be paid by Owner. Destruction of Project 12. Should the Project or any part thereof be destroyed by fire, theft, vandalism, acci- dent,act of God,or other cause not the fault of Contractor,any work done or materials fitmished by Contractor in restoring or rebuilding the Project shall be paid for by Owner as extra work per- formed by Contractor pursuant to Paragraph 3 of this Contract. 72651 Theodora Ln.Palm Desert,Ca 92260 (760)360-9700 Fax:(760)406-9734 License#581636 1S t siPC VAC CONSTRUCTION INNOVATION c. Owner's Power to Terminate Contract 13. Contractor agrees that he shall not do the following: (a)Refuse or fail, except as provided in Paragraph 16 of this Contract, to supply enough properly skilled workers or proper materials to complete the Project in time specified in this Contract; (b) Pail to make prompt payment to subcontractors, laborers, or material men for labor performed on or materials furnished to the Project; (c)Persistently disregard any law or ordinance relating to the Project or the completion thereof;or (d)Otherwise commit a substantial violation of any provision of this Contract. If Contractor violates any of the above terms and conditions, Owner shall give fifteen (15)days'written notice to Contractor in order to give Contractor an opportunity to correct any of the above breaches. If Contractor does not substantially remedy the breach or breaches set forth in the above-referenced notice,Owner may terminate the services of Contractor under this Contract and take possession of the Project and the premises on which it is located. Rights on Termination by Owner 14. Should Owner terminate the services of Contractor under this Contract and com- pletes the Project pursuant to Paragraph 13 of this Contract, the Contractor shall be entitled to receive any payment due under this Contract. Contractor's Power to Stop Work and/or Terminate Contract 15. The Owner shall,at the request of the Contractor,prior to the execution of this Con- tract and promptly from time to time thereafter, famish to Contractor reasonable evidence that financial arrangements have been made to fulfill the Owner's obligations under the Contract.The Owner shall furnish information or services under the Owner's control with reasonable prompt- ness to avoid delay and orderly progress of the work. Owner acknowledges that any delay in making selections under the Contract or in providing the Contractor with information requested by the Contractor may cause delay.Any unreasonable delay by Owner in providing information requested by the Contractor shall constitute a material breach of this Contract and be grounds for termination.The Contractor may terminate the Contract if the work is stopped for a period of ten (10)days through no act or fault of the Contractor or a subcontractor,sub-subcontractor or their agents or employees or any other persons performing portions of die work under the contract with the Contractor,for any of the following reasons: a) Issuemce of an order of a court or other public authority having jurisdiction; 72651 Theodora Ln.Palm Desert,Ca 92260 (760)360-9700 Fax:(760)406.9734 License#581636 19 S 1f AC CONSTRUCTION INNOVATION b) An act of government,such as a declaration of national emergency,making mate- rial unavailable; c) Notice by Landlord to stop work. Should Owner fail to pay to.Contractor within five (5) days after it becomes due any amount payable by Owner to Contractor pursuant to this Contract,Contractor may by giving five (5)days'written notice thereof to Owner terminate his services under this Contract,stop work on the Contractor's Project,and/or use all lawful means, including without limitation actions by la- bor or contractors associations induced by Contractor, to prevent further work from being done on the Project until all past due payments have been received by Contractor and Owner has post- ed a bond satisfactory to Contractor for the payment of all amounts that will thereafter become due to Contractor under this Contract. If the Owner has persistently failed to fulfill the Owner's obligations under fire Contract documents with respect to matters important to the progress of the work, the Contractor may, upon five (5) additional days written notice to the Owner, terminate the Contract and recover from the Owner as provided in the above. Unavoidable Delays and Defaults 16, Either party,Contractor or Owner,shall be excused for any delays or defaults by that party in the performance of this Contract unavoidably caused by the act of the other, the act of any agent of the other, hidden conditions, the act of any governmental authority, the act of any public enemy, acts of God, the elements, war, war defense conditions, litigation, strikes, walk- outs, or other causes beyond that party's control. Each party shall use reasonable diligence to avoid any such delay or default and to resume performance under this Contract as promptly as possible after any such delay or default. it is also acknowledged and understood that any changes in the plans and specifications made by either the Owner,Contractor,or any governmen- tal agency will extend the time in which the Project will be completed pursuant to Paragraph 4 above. Notice of Completion and Occupancy by Owner 17,Owner hereby appoints Contractor as Owner's agent to sign and record a notice of completion on the Owner's behalf if Owner, following the foregoing final inspection and ap- proval,fails to record a notice of completion. This agency is irrevocable and is coupled with an interest. Upon completion, the project shall be inspected by the Owner and the Contractor, and any re- p aas necessary to comply with the contract documents shall be made by the Contractor. The eOwner shall not occupy the property until final ppayment has been received by the Contractor and a Certificate of Occupancy has been obtained.Occupancy of the project by the Owner in viola- tion of hereof shall constitute unconditional acceptance of the project and a waiver of any defects or uncompleted work. No Waiver by Payment 72651 Theodora Ln,Palm Desert,Ca 92260 (760)360-9700 Fax:(760)406-9734 License#561636 ti. 0 { SIP VAC CONSTRUCTION INNOVATION 18. Neither recordation of a notice of completion of the Project by Owner,payment to Contractor by Owner of any progress payment or the full contract price, or occupation of the Project by Owner shall relieve Contractor of liability for defective materials or workmanship used in the completion of the Project or for failure to construct the Project according to this Con- tract or according to the plans and specifications mentioned in this Contract. Acceptance by Contractor of any payment provided for in this Contract shall be a representation by Contractor to Owner that all work on dre Project required by this Contract to be performed before the pay- ment became due has been completed by Contractor in accordance with the terms of this Con- tract and in accordance with the plans and specifications mentioned in this Contract. Arbitration 19. Except as provided below, if any dispute arises between the parties concerning this contract or the performance thereof,the parties agree to submit the dispute to binding arbitration with JAMS pursuant to its rules. The arbitration venue shall be held in Palm Desert, California or Riverside County. The arbitration hearing must take place within 90 days from the data the matter is submitted to arbitration. Owner hereby waives any consequential and/or incidental damages which arise out of contractor's breach of this agreement or negligence. If the dispute involves a sum of$5,000 or less either party may elect to take the matter to small claims court instead of arbitration. NOTICE:BY INITIALING IN THE SPACE BELOW,YOU ARE AGREEING TO HAVE ANY DISPUTE ARISING OUT OF THE MATTERS INCLUDED IN'THE'ARBI- TRATION OF DISPUTES'PROVISION DECIDED BY NEUTRALARBITRATIONAS PROVIDED BY CALIFORNIA LAW AND YOU ARE GIVING UP ANY RIGHTS YOU MIGHT POSSESS TO HAVE THE DISPUTE LITIGATED IN A COURT OR JURY TRI- AL. BY INITIALING IN THE SPACE BELOW YOU ARE GIVING UP YOUR JUDI- CIAL RIGHTS TO DISCOVERY AND APPEAL, UNLESS THOSE RIGHTS ARE SPECIFICALLY INCLUDED IN THE'ARBITRATION OF DISPUTES'PROVISION. IF YOU REFUSE TO SUBMIT TO ARBITRATION AFTER AGREEING TO THIS PROVI- SION,YOU MAY BE COMPELLED TO ARBITRATE UNDER THE AUTHORITY OF THE BUSINESS AND PROFESSIONS CODE OR OTHER APPLICABLE LAWS. YOUR AGREEMENT TO THIS ARBITRATION PROVISION IS VOLUNTARY, WE HAVE READ AND UNDERSTAND THE FOREGOING AND AGREE TO SUBMIT DISPUTES ARISING OUT OF THE MATTERS INCLUDED IN THE'AR- BITRATION OF DISPUTES'PROVISION TO NEUTRAL ARBITRATION", Int: Int: 72651 Theodora Ln,Palm Desert,Ca 92260 (760)360-9700 Fax:(760)406-9734 Lice nse#561636 21 7 I ' .I,, V C CONSTRUCTION 1NNOVATION i Clean Up 20. Contractor shall at all times keep the Job site reasonably clean.On completion of the Project,Contractor shall remove all debris and surplus materials from the property of the Owner mid leave such property in"broom clean"condition. Notices 21. Any and all notices or other matters required or permitted by this Contract or by law to be served on, given to, or delivered to either the Owner or Contractor, by the other party to this Contract shall be in writing and shall be deemed duly served, given or delivered when per- sonally delivered to the party to whom it is addressed, or in lieu of personal service, when de- posited in the United States mail,first-class postage paid,addressed to the Owner and Contractor as follows: OWNER: Bill Sanderson 1775 R Palm Canyon Dr. Ste. 1l0-PEM 271 Palm Springs,CA 92264 CONTRACTOR: Sipovac Construction,lnc. 72-651 Theodora Lane, Palm Desert,CA.92260 Either party may change the party's address for these purposes by giving written notice of the change to the other party in the manner provided in this paragraph. Attorney's Pees 22. Should any litigation be commenced between the parties to this Agreement concern- ing the Project, any provision of this Contract,or the rights and obligations of either in relation thereto, the party prevailing in the litigation shall be entitled, in addition to such other relief as may be granted,to a reasonable sum as and for that parry's attorney's fees in the litigation. Sole and Only Agreement 72651 Theodora Ln.Palm Desert,Ca 92260 (760)360-9700 Fax:(760)406-9734 License#561636 22 SIP VAC CONSTRUCTION INNOVATION 23. This instrument constitutes tine sole and only agreement of the parties to this Agree- ment relating to the Project and correctly sets forth the rights, duties, and obligations of each to the other as of its date. Any prior agreements,promises,negotiations,or representations not ex- pressly set forth in this Contract are of no force and effect. Assignments by Contractor 24. This Contract is for the personal services of Contractor in constructing the Project and Contractor may not assign this Contract, Contractor's right to moneys becoming due tinder this Contract,or Contractor's duties under this Contract to any other person or entity without the written consent of Owner. Allowances 25, Materials and equipment under an allowance shall be selected promptly by the Owner to avoid delay in the work.Allowances shall cover the cost to the Contractor of materials and equipment delivered to the site, including all required taxes less applicable trade discounts. Contractor's costs for unloading and handling at the site,labor and installation shall be computed as an allowance cost. Whenever allowance costs are more than or less than the allowance, the Contract sum shall be adjusted accordingly by a change order.Allowances are set forth on"Ex- hibit 2"hereto. Taxes and Assessments 26. Taxes and assessments of all descriptions will be paid by Owner. Fit and Finish Warranty 27. Upon the completion,Contractor shall provide to Owner a one(1)year express lim- ited warranty covering the fit and finish of certain items.With the exception of the fit and finish warranty,(A)Owner is not relying upon any warranties,promises,guarantees or representations made by Contractor or anyone acting or claiming to act on behalf of Contractor,and(B)Contrac- tor has made absolutely no representations or warranties or merchantability, fitness for a particu- lar purpose,quality of construction or otherwise with respect to the property. Contractor does not warrant appliances or other items specially selected by the Owner. The Owner agrees to only look to the manufacturer and/or selling subcontractor if there is a de- fect or claim.The work that Contractor is required to perform under this contract is deemed to be complete when work is substantially complete. Substantial completion occurs even when there are punch list items.Punch list items for any job are normal post construction warranty items. 72651 Theodora Ln.Palm Desert,Ca 92260 (760)360-9700 Fax:(760)406-9734 License#561636 23 PUOVA CONSTRUCTION INNOVATION Owner shall provide Contractor with one punch list that shall be delivered to Contractor within thirty days that the owner moves into the residence. Contractor is only obligated to work on only one punch list. Contractor shall continue to perform under its one year warranty for a period of one year from the completion of construction,provided, however, that beyond the initial punch list Contractor has no responsibility to repair cosmetic or minor pick up work @ items as well as normal wear and tear items. Control of Job Site 28 Owner acknowledges that during the course of construction, Contractor shall have control of the job site. Owner shall not interfere with the performance by the Contractor or its subcontractors nor shall owner communicate with the subcontractors.. Waivers of Subrogation 29. The Owner and Contractor waive all rights against each other and any of their sub- contractors,sub-subcontractors,agents and employees, each of the other,for damages caused by fire or other perils to the extent covered by property insurance obtained or other property insur- ance applicable to the work, except such rights as they have to proceeds of such insurance held by die Owner as fiduciary.The Owner or Contractor,as appropriate,shall require the subcontrac- tors,sub-subcontractors,agents and employees of any of them,by appropriate agreements,writ- ten where legally required for validity,similar waivers each in favor of other parties enumerated herein, The policies shall provide such waivers of subrogation by endorsement or otherwise.A waiver of subrogation shall be effective as to a person or entity event though that person or entity would otherwise have a duty of indemnification, contractual or otherwise,did not pay the insur- ance premium directly or indirectly,and whether or not the person or entity bad an insurable in- terest in the property damaged. Job Safety 30. The Contractor shall institute and enforce a job safety program and require all sub- contractors to institute job safety programs. Contractor shall take all reasonable steps to insure that thejob is safe and complies with all applicable OSHA requirements. Damage 32.Owner acknowledges and agrees that Contractor will not be liable for any special, incidental or consequential damages based on any legal theory whatsoever,including,but not limited to,strict liability,breach of express or implied warranty,negligence or any other legal theory with respect to the breach of this contract or any duty there under. 72651 Theodora Ln.Palm Desert,Ca 92260 (760)360.9700 Fax:(760)406-9734 License#581636 2d vA C CONSTRUCTION INNOVATION Finish Schedules lows: 33.Completed Finish Selection Schedules shall be submitted to the Contractor as fat- Schedule#1 within two weeks after site clearing begins. Schedule#2 within three weeks after site clearing begins. Any delays or charges in finish selection schedules will delay the projected completion date. CONTRACTORS ARE REQUIRED BY LAW TO BE LICENSED AND REGU- LATED BY THE CONTRACTORS' STATE LICENSE BOARD. ANY QUESTIONS CONCERNING A CONTRACTOR MAY BE REFERRED TO THE REGISTRAR,CON- TRACTORS' STATE LICENSE BOARD, 3132 BRADSHAW ROAD, SACRAMENTO, CALIFORNIA. MAILING ADDRESS: P.O. BOX 26000, SACRAMENTO, CALIFOR- NIA 95826, A STATE LAW REQUIRES ANYONE WHO CONTRACTS TO DO CONSTRUC- TION WORK TO BE LICENSED BY THE CONTRACTORS STATE LICENSE BOARD IN THE LICENSE CATEGORY IN WHICH THE CONTRACTOR IS GOING TO BE WORKING IF THE TOTAL PRICE OF THE JOB IS $500.00 OR MORE, (INCLUDING LABOR AND MATERIALS). LICENSED CONTRACTORS ARE REGULATED BY LAWS DESIGNED TO PRO- TECT THE PUBLIC. IF YOU CONTRACT WITH SOMEONE WHO DOES NOT HAVE A LICENSE,THE CONTRACTORS STATE LICENSE BOARD MAY BE UNABLE TO ASSIST YOU WITH A COMPLAINT. YOUR ONLY REMEDY AGAINST AN UNLI- CENSED CONTRACTOR MAY BE IN CIVIL COURT, AND YOU MAY BE LIABLE FOR DAMAGES ARISING OUT OF ANY INJURIES TO THE CONTRACTOR OR HIS OR HER EMPLOYEES. YOU MAY CONTACT THE CONTRACTORS STATE LICENSE BOARD TO FIND OUT IF THIS CONTRACTOR HAS A VALID LICENSE. THE BOARD HAS COMPLETE INFORMATION ON THE HISTORY OF LICENSED CONTRACTORS, INCLUDING ANY POSSIBLE SUSPENSIONS, REVOCATIONS, JUDGMENTS, AND CITATIONS. THE BOARD HAS OFFICES THROUGHOUT CALIFORNIA. PLEASE CHECK THE GOVERNMENT PAGES OF TIIE WHITE PAGES FOR THE OFFICE NEAREST YOU OR CALL 1-800-321 CSLB FOR MORE INFORMATION. 72651 Theodora Ln.Palm Desert,Ca 92260 (760)360-9700 Fax:(760)406-9734 License#581636 25 S I P JVA C CONSTRUCTION INNOVATION r , MECHANICS LIEN WARNING Anyone who helps improve your property, but who is not paid, may record what is called a mechanics'lien on your property.A mechanics' line is a claim like a mortgage or home equity Ion,made against your property and recorded with the county recorder. Even if you pay your contractor in fill, unpaid subcontractors, suppliers, and laborers who helped to improve your property may record mechanics ` liens and sue you in court to fore- close the lien. If a court finds the lien is valid, you could be forced to pay twice or have a.court officer sell your home to pay the lien.Liens can also affect your credit. To preserve their right to record a lien,each subcontractor and material supplier must provide you with a document called a"20-day Preliminary Notice."This notice is not a lien.The purpose of the notice is to let you know that the person who sends you the notice has the right to record a lien on your property if he or she is not paid. BE CAREFUL.The Preliminary Notices can be sent tip to 20 days after the subcontractor starts work or the supplier provides material.This can be a big problem if you pay your contrac- tor before you have received the Preliminary Notices, PROTECT YOURSELF FORM LIENS.You can protect yourself form liens by getting a list form your contractor of all the subcontractors and material suppliers that work on your project. Find out from you contractor when these subcontractors stated work and when these suppliers delivered goods and materials. Then wit 20 days, paying attention to the Preliminary Notices you receive. PAY WITH JOINT CHECKS. One way to protect yourself is to pay with a joint check. When your contractor tells you it is time to pay for the work of a subcontractor or supplier who has provided you with a Preliminary Notice, write a joint check payable to both the contractor and the subcontractor or material supplier. For other ways to prevent liens, visit CSLB's Website at www.cslb.ca-env or call CSLB at 800-321-CSLB(2752). REMEMBER,IF YOU DO NOTIIING,YOU RISK HAVING A LIEN PLACED ON YOUR HOME.This can mean that you may have to pay twice, or face the forced sale of your home to pay what you owe. Under the California Mechanics'Lien Law, any contractor, subcontractor,laborer,supplier,or other person or entity who helps to improve your property, but who is not paid for his or her work or supplies,has a right to place a lien on your home, land,or property where the work was performed and to sue you in court to obtain payment.This means that after a court hearing,your home,land,and property could be sold by a court officer and the proceeds of the sale used to sat- isfy what you owe.This can happen even if you 1rave paid your contractor in full,if the contrac- tor's subcontractors,laborers,or suppliers remain unpaid. 72651 Theodora Ln.Palm Desert,Ca 92260 (760)360-9700 Fax:(760)406-9734 License#581636 26 7 � CONS'TRUCTiON INNOVATION To preserve their rights to file a claim or lien against your property,certain claimants such as subcontractors or material suppliers are required to provide you with a document called a"Pre- liminary Notice."Contractors arid laborers who contract with owners directly do not have to pro- vide such notice because as an owner you are aware of their existence.A preliminary notice is not a lien against your property.Its pupose is to notify you of persons or entities that may have a right to file a lien against your property if they are not paid.In order to perfect their lien rights,a contractor,subcontractor,supplier,or laborer must file a mechanics'lien with the county recorder that then becomes a recorded lien against your property. Generally, the maximum time allowed for filing a mechanics'lien against your property is 90 days after substantial completion of your project. TO INSURE EXTRA PROTECTION FOR YOURSELF AND YOUR PROPERTY, YOU MAY WISH TO TAKE ONE OR MORE OF THE FOLLOWING STEPS: (1). Require that your contractor supply you with a payment and performance bond(not a li- cense bond)that provides that the bonding company will either complete the project or pay dam- ages up to the amount of the bond.This payment and performance bond,as well as a copy of the construction contract, should be tiled with the comity recorder for your further protection. The payment and performance bond will usually cost from 1 to 5 percent of tine contract annount de- pending on the contractor's bonding ability. If a contractor cannot obtain such bonding, it may indicate his or her financial incapacity. (2).Require that payments be made directly to subcontractors and material suppliers through a joint control. Funding services that will establish voucher or other means of payment to your contractor may be available, for alfee, in your area. These services may also provide you with lien waivers and other f0rm5'bf ptotecdgn::A",join(control agreement should include the ad- dendum approved by the:registrisr, (3). Issue joint checks for payment, made out to both your contractor and subcontractors or material suppliers involved in the project.,The joint checks should be made payable to the per- sons or entities*Aaf1 setnd frelitrlln4q'y u6;'ictes to you.Those persons or entities have indicated that they may have lien right's' 'On your property,so you need to protect yourself.This will help to in- sure that all persons due payment are actually paid. (4).Upon making payment on any completed phase of the project,and before making any fur- ther payments,require your contractor to provide you with unconditional "Waiver and Release" fors signed by each material supplier,subcontractor,and laborer involved in that portion of the work for which payment was made.The statutory lien releases are set forth in exact language in Section 3262 of the California Civil Code. Most stationery stores will sell the "Waiver and Re- lease"forms if your contractor does not have them. 'fire material suppliers, subcontractors, and laborers that you obtain releases from are those persons or entities who have filed preliminary notices with you. If you are not certain of the material suppliers, subcontractors, and laborers working on your project, you may obtain a list from your contractor.On projects involving im- provements to a single-family residenco or a duplex owned by individuals,the persons signing 72651 Theodora Ln. Palm Desert,Ca 92260 1760)360-9700 Fax:(760)406-9734 Llcense#561636 27 S1 PKJ�VAC CONSTRUCTION INNOVATION these releases lose the right to file a mechanics' lien claim against your property. In other types of construction,this protection still may be important,but may not be as complete.To pro- tect yourself under this option, you must be certain that all material suppliers, subcontractors, and laborers have signed the "Waiver and Release" form If a mechanics' lien has been filed against your property, it care he voluntarily released only by a recorded "Release of Mechanics' Lien" signed by the person or entity that filed the mechanics' lien against your property,unless the lawsuit to enforce the lien was not timely filed.You should not make any final payments mail any and all such liens are removed.You should consult an attorney if a lien is filed against your property. Contractors are required by law to be licensed and regulated by the Contractors'State License Board,which has jurisdiction to investigate complaints against contractors if a complaint is filed within three years of the date of the alleged violation.Any questions concerning a contractor may be referred to the Registrar,Contactors'State License Board,P.O.Box 26000,Sacramento,Cali- fornia 95826.THE OWNER HAS THE RIGHT TO REQUIRE THE CONTRACTOR TO HAVE A PERFORMANCE AND PAYMENT BOND.THE EXPENSE OF THESE BONDS MAY BE BORNE BYTHE OWNER. Executed on April 14,2015 at Palm Desert,California. U/Owner: Bills Orson CONTRACTOR: Sipovac Cons iction,�nc. BY: C! 2 Bob Sipovac,Preside7 — California Contractor's License Number:581636 72651 Theodora Ln,Palm Desert,Ca 92260 (760)3Go-9700 Fax:(760)406-9734 License#581636 (, 8 S 3, �VAt' CONSTRUCTION INNOVATION s - t EXHIBIT 1 BUDGET AND SCOPE OF WORK(DESCRIPTION OF'I'HE PRO E TAND DL- SCRTPTTON OF THE S1CNIFT ANT MA' EBTA S TO BE USFD AND OT iPM N9' TO BE INSTALLED) Payment Schedule, 1st draw: $1,000.00 Deposit on signing of contract $ 1,000.00 - 2nd draw: 20%after Demo minus the deposit $28,867.11 3rd draw: 20% after all underground plumbing installed $29,867.11 4th draw: 20%after all framing and plumbing top out to include gas line $29,867.11 5th draw:20% after all drywall and painting $29,867.11 6th draw: 10%after all equipment installed $14,933.56 7th draw 10% at completion S14,933,55 $ 149,335.55 *** All payment must be paid in full before city final.*** 72651 Theodora Ln,Palm Desert,Ca 92260 (760)360-9700 Fax:(760)406-9734 License#581636 29 s I i"ro"Pl c CONSTRUCTION INNOVATION Exhibit 2 Electrical Scope of Work: 1,923 sq.ft.Electrical and Lighting as per plans dated 2/12/2015 (2)125 amp 120/240 volt 1 phase 4 wire 30 circuit semi flush load centers. (1)20 amp 240 volt walk in cooler circuit and junction box at roof penetration. (1)20 amp 120 volt fan coil circuit andjunction box at walk in cooler unit. (2)20 amp 240 volt hood exhaust fan circuits and disconnect switches at roof penetration. (1)20 amp 240 volt hood supply circuit andjtmcdon box at roof penetration. (1)20 amp 120 volt ice machine circuit and power outlet. (1)20 amp 240 volt espresso machine circuit and power outlet. (1)20 amp 120 volt under counter refrigerator circuit and power outlet. (2)20 amp 120 volt commercial burr grinder circuit and power outlet. (I)20 amp 120 volt refrigerator circuit and power outlet, (2)20 amp 120 volt sandwich and.salad prep refrigerators circuits and power outlets. (2)20 amp 120 volt microwave circuits and power outlets. (1)20 amp 120 volt sandwich grill circuit and power outlet. (1)20 amp 120 volt conveyer toaster circuit and power outlet. (1)20 amp 120 volt bagel bun slicer circuit and power outlet. (1)20 amp 120 volt dispenser circuit and power outlet, (1)20 amp 120 volt bulk grinder circuit and power outlet. (1)20 amp 120 volt commercial blender circuit and power nutlet. (1)20 amp 120 volt bakery oven circuit and power outlet. (1)20 amp 120 volt roaster circuit and power outlet, (1)20 amp 120 volt work top freezer circuit and power outlet with ceiling mounted twist lock device. (1)20 amp 120 volt slicer circuit and power outlet with ceiling mounted twist lock device. (1)20 atop 120 volt dough roller circuit and power outlet with ceiling mounted twist lock device. (1)20 amp 120 volt mini chip slicer circuit and power outlet with ceiling mounted twist lock device. (1)20 amp 240 volt bread sliver circuit and power outlet with ceiling mounted twist lock device. (1)20 amp 120 volt bagel divider farmer circuit and power outlet. (1)20 amp 120 volt mixer circuit and power outlet. (1)20 amp 120 volt spiral mixer circuit and power outlet. (2)20 amp 120 volt air curtain circuits and junction box at exterior door at front and rear. (1)20 amp 120 volt mentt board circuit andpower outlet. (2)20 amp 120 volt duplex receptacles for convenience around corner from panels. (25)halo 6inch recessed can housings with LED down tight modules. (2)20 amp 120 volt 4/0 track light outlets and fixture installation. (4)Lutron 600 watt diva style LED single pole dimmer control switches. (1)Lutron 600 watt diva style LED 3 way dirmner control switches. (2)Leviton manual on auto ofPoccupancy sensor control switches. (2)Cat 5 4 pair low voltage comtmmication lines for P03 station at front counter of unit 105, (2)Attto shut off single pot single throw timer control boxes with contractors to control lights. Note:Air conditioning circuits,disconnects,and power whips are existing and are expected to be in working order. In suite 105,all 2x4 drop in fixtures to be removed befm c tenant improvements begin. In suite 104,2x4 drop in fixtures to remain as is and are expected to be in working order.Also to 72651 Theodora Ln.Palm Desert,Ca 92260 (760)360-9700 Fax:(760)406-9734 License#561636 30 S I P VA C CONSTRUCTION INNOVATION be couverted to T-S florescent lamp and ballast which is to be completed by owner. (2)exhaust fans in restrooms to remain as is and are expected to be in working order. All 2x4 drop in fixtures,exit signs,emergency lights,exhaust fans or track lighting provided by others will not be under warranty. Mechanical Scope of Works Fumish and install(2)I600CFM grease exhaust fans,welded grease duct,2-layers of"firemaster"fire wrap,(1)3000CFM snake up air evaporative cooler system and independent air balance forlrcalih de- partment approval.Hang owner furnished hoods.($8,880 allowance for walk-in cooler) Note:Does not include equipment screens,modification to HVAC system,HVAC equipment repairs and Permits. Plumbing Scope of Work: Provide and install plumbing futures for as follows: Upon layout of framing,snapped lines,Sipovac Construction will layout the saw-cutting route. Ali allowance of$1,000 is included for the capping and removal of existing plumbing.No plumbing was shown,however,if needed this allowance is provided. Run underground sewer and grease waste in A13S plastic pipe and fittings to the fixtures shown on the plumbing sheets. Connection to existing sower and grease lines in existing space.Venting will be installed and routed to the nearest vent location.IF a penetration for a.new vent needs to be installed we will provide the galvanized flashing. Hat and cold water will be provide and installed per the drawings.All water will be copper pipe. All hot water will be insulated with foam thcrmacell type insulation. Connections will be made to the customer provided hand sinks,throe compartment sinks,and gas appliances.Indirect drains will be routed from equipment shown on the schedule to the nearest drain receptor. Gas will be routed from the meter location as shown on the isometrics in black steel pipe and fit- tings,overhead. This proposal is a bid that the equipment supplier will provide the equipment and set the equip- ment in its location so Sipovac Construction can plumb fixtures as needed.The final mounting and placement is to be by others(Peck ovens,bagel boiler,coffee roaster). There is one 1/2"RP device included for the ice machine. *If fixtures arc to be provided by Sipovac Construction a fixtures list is provided for bid purpos- es and at time of purchase by Sipovac Construction will be provided on a change order. Fixture schedule includes: (2)Floor drains (4)Floor sinks 72651 Theodora Ln.Palm Desert,Ca 92260 (760)360-9700 Fax:(760)406-9734 License#581636 � 1 S I PkJ-VAC CONSTRUCTION INNOVATION (1) Mop sink (5)Cold water lines to espresso machine,ice maker,dispenser,make up air,bagel boiler,and deck even, Move existing toilet over I'and reconnect water line. Water heater spec:U2-XR-75S6RN 75 Gal Capacity,75,000 BTU/hr. Exclusions: Gas to FAU's,existing connection not applicable. Soda lines or sleeves. Roof drains or work to the existing roof drains. Gas quick connects. Warranty work provided on customer provided equipment and finish. Acquisition of utilities. Plumbing fixtures(including:hand sinks,3 compartment sink and prep sinks)except for water heater. General Contract Exclusions: Permits and fees Flooring:kitchen,dining room,and bathroom 72651 Theodora Ln,Palm Desert,Ca 92260 (760)360-9700 Fax:(760)406.9734 License#581636 32 51 ? VAC CONSTRUCTION INNOVATION Title Project Towne Begin 650 E.Sunny Costs based on drawing prepared by: Palm Sprin Date:March 12m, Square Footage: 1850 ,hems. _ Cost Subcontractors Permits $3,600.00 estimate Plans/City Health = $4.450.00 General Condition $7•�.00 nee 24 $150.00 Equipment Rental $450.00 Demolition $2•500.00 Roof Patch $2,350.00 Cleanup $2,80040 Concede FlIi- $1,200.00 Mechanical $15,500.00 includes air balancabood and makeup air install,gre Electrical $18.775.00 Includes new,panel-See electrical exhibit _Paint —� $2,875.00 PlumbinglGes $21,500.00 Underground/roughtinish hock-up Acoustical $1.200.00 washable panels Epoxy flood $15,500.00 includes bathroom flooring in dinning area Drywall/Tape 5 Texture $2.5M.00 FRP - $3,575.00 Framing $4,300.00 includes roof Curbs Kitchen Equipment —_ — $3,500.00 Budget Walk in Cooler $8,880.00 Ansul/fire sup,res $3,465.00 Restaurant Wares $0.00 Kitchen Hood Return Air_ $14,415.D0 Subtotal $140,M00 Insurance $1.683.42 Over $5,330.83 Prafh' $14,028.50 Contingency i Total Bid $161,327.75 % Submitted Signature: Bid Valid for: — _. days 1 33 Addendum NO.1 Townie Bagel 650 E. Sunny Dunes Unconditional Release from contractor Pictures Remodel Grant Program 3-23-10 10 34 B/26/2015 06 : 33 TO: 17603228325 FROM: 7603004056 Page: 1 - Fax Transmission TO: Cathy Van Horn From: Bill Sanderson Fax: 17603228325 Date: 8/26/2015 RE: townie bagels payment checks Pages: 11 Comments: M1 '- Irs er�:/ zkr� David, Attached are the copies of invocies and checks ( front only) for Townie Bagel. Bill Sanderson also said he has asked the contractor to resubmit the Unconditional Release form with the total construction cost. I hope to recieve that today. Thankyou, Cathy 35 i Interior Remodel Grant Program Bill Sanderson Townie Bagel Payments to Sipovac Construction Innovation Date Check# Amount Description 2/8/2015 1151 $2,355.39 Final 50% of plans contract date 1/2/15 4/17/2015 1160 $28,867.11 2nd material draw 5/10/2015 1165 $30,717.11 3rd material draw, ceiling fraing Chamge Order#1 5/21/2015 1167 $31,141.88 4th materiald raw, Change orders#2,3, 6/1/2015-11M $29,867.11 5th material draw 7/3/2015 1183 $14,933.56 6th material draw $137,882.16 Total paid invoices with check copies (front only) 36 i co/ cut -- Wti:33.__.___..._'1'V.; 1;/603'L-ZbJZ5 PHOM: '/603004056 Page : 2 AndreW'J Wysocki 41-07 Wdlibin J Sanderson 1776 a Pa1m Canyon,or sta no PMg 271 1:151 Palm SPrina3,CA$2264. —�t PAY �'�-{�"--20 r TO THE - - ��4N_ T�AmeritrAde �OLLARS "Paya6fe through. ad« w "To.@ank_USA,Nn FOR rl�` yl +r Andrew Sipovac SIPOVAC CONSTRUCTION INNOVATION "Skillfully Navigating the Building Process" CSLB.N 581636 72651 Theodora Ln. Palm Desert Ca.92260 760-567-2347 Office 760-567-3937 Cell 760-406-9734 Fax `.,zIRQYr�4991T1 Invoice 72-661 Theodora Ln. ... - •r 5 r.r.r...s..—.....�- - Parrtn DaeEwt.CA 92260 S I PUVAC COKSTR U CTION iNMOVA7I0IN OvIce(7w)3W-9700 Pax(76W 406.9734 - m@ data Invoice No i i)#31 T0.-_..._ .... .. .. ....... -..,.. F .... . Jtlk Na 1 _.... ..__ a .,...........-..i Sill Sandereon .. j 0207.r16 SS-04 660 E.Shiny Duryea Rd. Palm Springs.CA 92262 _ - De5cription Quantity... . . ..._Rate Amxiuttt I lRn�6G-%— f paans convect dated 1l215 2�95.00�Y - 2.22500 ptana copies_ T— y ._...__ 130.30 93039 i I !(i 14-1 I i 1 i i 4 I , 37 I i/'L6✓'LQ1b 013: 33 TO: 1'7603228325 FROM: 7603004056 Page: 3 . _ _ __- _ Invoice 72-651 Theodora S 3, P� V A C Palm Desert, CA 9222260 CONSTRUCTION 1NNOVATION Office(760)360-9700 f 11 111 • e Fax (760)406-9734 Bill To: �Jb I Date ----I Invoice No. Bill Sanderson 04/17/15 BS-07 650 E. Sunny Dunes Rd. Palm Springs, CA 92262 Description Quantity Rate Amount 2nd material draw minus the deposit as per fixed price 28,867.11 28,86T11 contract dated 4/14/15 j Andrew J W William J Sande Ysocki rson t 07 elm 7775EP - ' Palm g Prinps,Canyon Dr Ste 7t0 PmB CA 92264 271 PAY I .� 50129t219 To THE _ 20 ORDER op_ _ . T V � i _ Y1i 1 sec s �114J�' : i � —, off �TO gmeritrade I Payabl9[hough: �y., p I i09ank USA,fy,A -vVLLAR3 {J "w j I I i Total $28,867.11 Balance Due $28,867.11 38 ;/z6/zoi5 06: 33 TC : 17603228325 FROM: 7603004056 - Page: 4 72-651 Theodora Ln. u Invoice Palm Desert,CA 92260 V A C CONSTRUCTION INNOVATION Office (760)360-9700 Fax (760)406-9734 Bill To: Job Name _ Date Invoice No. ' Bill Sanderson 05/06/15 BS-09 650 E.Sunny Dunes Rd. Palm Springs, CA 92262 L_ Description _ _ Quantity Rate Amount_ F3ratlerlal draw after all underground plumbing is installed 29,867.11 29,667.11 fxed price contract rinf+d.4/_14/1,5„ Andrew J william J Sanderson t 07 Pali,FpanmS anyon or Ste 110 PMB 271 Palm S 9 CA 92264 PAY 65 TO THE _ ORDER OF —20-- 50129 IMS TD�Amerrgitrede � 1tLlR.�„L.i�—_e $NO TO BnnkuSAq,A —*DOLLA 'm.".„. FOR I ...._-..____ Total $29,867.11 Balance Due $29,867.tt 39 izti/ZviS Uti: 33 T0: 1'I803Z28325 FROM: 7603004056 Page: 5 -- Invoice 72-651 Theodora Ln. Palm Desert, CA 92260 S 1. PO V A C CONSTRUCTION INNOVATION Office(760)360-9700 , ,. ,. •. Fax (760) 406-9734 Bilt To: Job Name Date _ Invoice No. Bill Sanderson 04/20/15 85-08 650 E. Sunny Dunes Rd. Palm Springs, CA 92262 Description Quantity _Rate_ Amount 100% of Change Order#1 -Ceiling Framing 850.00 850.00 1155 _ 5a-�zeM1nis ',�{NV50Ck�::-0t A7 Zp Andrew SaedOrSon Y PMB 27 VII1�ll Pet Canyon 4 M110 1775E Palm CA 9226 �� ,yam-k- ,m,,,«..• npLLARs . oRDER of r � d � TO ,�peritrade Ypgz1nY USAyN.h ..-..,-- foR Total $850.00 Balance Due $850.00 40 /Zb,/Z01t Ob: 33 T0: 1'/503ZZt33Z5 FROM: 7603004056 Page: 7 Invoice 2-651 Theodora P S 3,P A C Palm Desert, CA 9222260 CONSTRUCTION INNOVATION Office(760)360-9700 .. Fax(760)406-9734 Bill To: Job Name Date Invoice No. Bill Sanderson 05/20/15 BS-12 650 E.Sunny Dunes Rd. Palm Springs, CA 92262 _Description Quantity Rate Amount 4th material draw after all framing and plumbing top out to 29,867.11 29,867.11 include gas line as per fixed price contract dated 4/14/15 Credit for cooler. Cooler allowance as per contract is$8,880 167.91 16T91 and cooler amount is$8,733.99 i r` Total $29,699. 00 Balance Due $29,699.20 7 Gti7LV13 Ub: 3:i '1'0: 1 /bUJZZIdJZO PKUM: 'Ib03004o5b Page : 6 Andrew J Wysocki o1.07 . , Willitim J Sanderson 1167 1775 E Palm Canyon Dr S[e ti0 PM8271 Palm Springs,CA 92264, s0.1ze1rz1s PAY TO THE 1� ORDER OF �..7V Uc `-- �1'YIi TD Amen rade DOLLARS TO Bank U50.NlUrou e - TOA - - " FOR 42 iLo,/ Lul3 UU: jcs TU: I ujzzdjzt) MUM: '/[3u3004U56 Page : 8 - - --' - - Invoice 72-651 Theodora Ln. ' //�^�^ Palm Desert,CA 92260 S I P V A C CONSTRUCTION INNOVATION Office (760) 360-9700 Fax (760)406.9734 Bill To: Job Name Date� r Invoice No. Bill Sanderson 05/20/15 BS 11 650 E.Sunny Dunes Rd, Palm Springs, CA 92262 _ Description Quantity Rate Amount _ 100% of Change Order#3 -Air Curtain 1,182,68 1,182.68 Total $1,182.68 Balance Due $1,182.68 43 •i coi culd ub: 66 TU: 1 /dutjzzbaZ* PhUM: •1bo30o40b6 Page: 9 - - w �--- Invoice Palm Theodora S Palm Desert,CA 9222260 CONSTRUCTION INNOVATION Office (760)360.9700 Fax (760)406-9734 --..._ BIII To: Job Name 1 Date Invoice No. BIII Sanderson OS/08/15 BS-10 650 E.Sunny Dunes Rd. Palm Springs, CA 92262 _ Description Quantity _ Rate Amount '100% of Change Order#2 - Move Doors 260.00 260.00 — Total $260.D0 Balance Due $260.00 44 i/eai.1Vl5 0b: 3s TU: 1'I6032Z8325 FROM: 7603004056 Page : 10 -- -72-651 Theodora Ln. Invoice S W3V A C Palm Desert,CA 92260 CONSTRUCTION INNOVATION Office(760)360.9700 Fax (760)406-9734 Bill To: Job Name DateT nvo"No.BIII Sanderson O6/01/15B 650 E.Sunny Dunes Rd. �— — Pa Springs, CA 92262 Description Quantity Rate Amount 5th material draw after all drywall and painting as per fixed 29M7.11 29,867-11 price contract dated 4/14/15 1170 of-o7 _ Andrew J 1NYsoclni William J San M82T derson SO�7— 1775Epam rayon 64te710P _ paim O - ORDER OF---- rUW ,, -- TO Ameritra e < Payable Nrougb: J/ J TD Bank USA,N.A ( J i I 1 —Total $29,867,11 Balance Due $29,867.11 45 . 4o14VV j VO: Ja 1L: 1 /0Vjzzt5jz!3 PROM: '/603004056 Page: 11 Invoice Theodora Palm -S ], Palm Desert,CA 9222260 CONSTRUCTION INNOVATION Office (760)360.9700 Fax(760)406-9734 Bill To: Job Name Date Invoice No. Bill Sanderson 07/02/15 eS-19 650 E.Sunny Dunes Rd. Palm Springs, CA92262 `Mscnpt on Quantity Rate Amount 6th material draw after all equipment installed as per fixed 14,933.56 14,933.56 price contract dated 4/14/15 Andrew i William J S Ysocki and 1775 E Palm Canyon Dr Orson _Palm SPrulBaCA 92284Ste.9po PM827Y .. - . .. PAY ORDERS OF 5a.129111211 — k lc . p. Ar"erftrade �^ sib 7/ 1 Jrt Peya0le m, To Bank USq,Bry�a' 1 1 7 1 rTotal $14,933.56 Balance Due $14,933.56 46 UNCONDITIONAL WAIVER AND RELEASE ON FINAL PAYMENT NOTICE TO CLAIMANT: THIS DOCUMENT WAIVES AND RELEASES LIEN,STOP PAYMENT NOTICE,AND PAYMENT BOND RIGHTS UNCONDITIONALLY AND STATES THAT YOU HAVE BEEN PAID FOR GIVING UP THOSE RIGHTS.THIS DOCUMENT IS ENFORCEABLE AGAINST YOU IF YOU SIGN IT, EVEN IF YOU HAVE NOT BEEN PAID. IF YOU HAVE NOT BEEN PAID, USE A CONDITIONAL WAIVER AND RELEASE FORM. Identifying Information Name of Claimant:_Sipovac Construction Inc. Name of Customer: _Townie Bagels Job Location:_M E Sunny Dunes Rd. Palm Springs, CA 92262_ Owner:—Bill Sanderson Through Date:_8/25/15 Unconditional Waiver and Release This document waives and releases lien, stop payment notices, and payment bond rights the claimant has for labor and services provided, and equipment and materials delivered, to the customer on this job. Rights based upon Tabor or services provided, or equipment or materials delivered, pursuant to a written change order that has been fully executed by the parties prior to the date that this document is signed by the claimant, are waived and released by this document, unless listed as an Exception below. The claimant has been paid in full. Exceptions This document does not affect any of the following: Disputed claims for extras in the amount of: $ Covers contract dated 4/14/15 Claimant's Sign ur : //] /,64;, Date: s �� 47 Wiz. t� ^yY 5 Work in progress h T _ � Finished interior counter • sitting areas LIE !0 CA CD jj. r F --- v 2 . '. fC L Q L U 4� Y +( i 51 1 SIR VAC CONSTRUCTION INNOVATION Skillfully Navigating the Building Process Townie Bagels -Bill Sanderson 650 E. Sunny Dunes Rd.Palm Springs,CA 92262 Re: Vendors and Subcontractors List ATTN: Bill Sanderson Please see list below of Vendors that have worked on your project and have been paid in full: • Builders Supply • Burrtec Recovery and Transfer • Captive Aire Systems • Hajoca Corporation • Cal Portland,Inc. • Hathaway and Sons • D'Mundo Tile • ICM Installations,Inc. • Daltile • SA Recycling • Desert Electric Supply, Inc. • Scheu Steel Supply Company • Desert Pipe and Supply,Inc. • White Cap Construction Supply • Desert Polymer Flooring Please see list below of Subcontractors that have worked on your project and have been paid in full: • Chris McGuire • David C. Greenbaum Co. • Joe Corona Electric • Michael Clark Construction • Palm Springs Mirror and Glass,Inc. • Polar Barr Air Conditioning,Inc. • RA Structural Engineering • Santa Rosa Stone,Inc. • West Coast Beverage,Inc. • Western Pacific Roofing Corporation We have received payments in full for$167,250.70 from Bill Sanderson and subsequently have paid all vendors and subcontractors listed above. Thank you, Bob Sipovac Sipovac Construction Inc. Lic. 581636 72651 Theodora Lane Palm Desert, Ca 92260 (760)567-2347 �pDiria;sAV 72651 Theodora Ln. Palm Desert, Ca 92260 (760) 360-9700 Fax: (760)406-9734 License#581636