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REVIEWED-BLD2022-0858+Letter+6.30.2022_2.56.22_PM+2965215RECEIVED BLD2022-0858 Jul 01 2022 CITY OF EDMONDS DEVELOPMENT SERVICES DEPARTMENT 1115 N 140i1 Street Seattle, WA 98133 OffiGe 206.545.7837 Contractor Registration No. MCLEOCL951DD C .. e aA eVU. O�U. reUe PROPOSALICONTRACT Proposal Submitted to: THE GREGORY HOA Property: THE GREGORY Company: CIO REAL PROPERTY ASSOCIATES Unit(s): MAIN FLOOR & GARAGE REVIEWED Street/Suite No.: 7500 ROOSEVELT WAY Address: 505 5T" AVE S BY City/State/Zip: SEATTLE WA 98115 CITY OF EDMONDS City/State/Zip: EDMONDS WA 98020 Phone: 206-577-0587 Email: BHARTLEYYQRPAPM.COM DH22009 Thank you for the opportunity to submit this Proposal to provide water damage repairs for the Gregory Condominiums. Subject to the Terms and Conditions of this Proposal, below, McLeod Construction LLC ("Contractor") proposes to perform the following Scope of Work per XM8 estimates provided with this contract on 05131/2022: General Conditions: $15,923.80 • Project Management & Supervision • Debris disposal • Includes open items (permits & fees, portable restrooms) and subject to change Common Areas: $41,935.24 • Entry J main floor hallways & storage areas / elevator lobby / stairwell • Please see Xactimate estimate for detailed scope of work Garage & storage units: $77,o65.38 • Please see Xactimate estimate for detailed scope of work Retail Unit 102: $19,119.87 • Includes open item (wallpaper removal and replacement) and subject to change • Please see Xactimate estimate for detailed scope of work Residential Unit toy: $88,011.42 • Please see Xactimate estimate for detailed scope of work Residential Unit 106: $75,o5z.32 • Please see Xactimate estimate for detailed scope of work IMPORTANT NOTES: • If an insurance claim is filed for this loss, this proposal is subject to an agreed cost and scope with the adjuster assigned to the claim. if agreed cost and scope are different than what is contained in this estimate, a new contract and estimate will be submitted to reflect that agreement prior to commencement of work. If we are unable to reach an agreement with the Insurer, this contract will become invalid and will be withdrawn. • if this contract is signed prior to agreed cost and scope with the Insurer, the amount of this contract wiil supersede the insurance settlement amount and be due and payable in full upon completion of the work. • Personal property must be removed from the work areas prior to commencement of work. Mcleod Construction does not manage contents pack -out or storage without prior authorization by association management. All contents manipulation is the sole responsibility of the unit owner or tenant. If personal items remain in the work area, Mcleod Construction reserves the right to stop work until property is removed. • Each unit/area above will be invoiced individually upon completion, with payment terms as outlined in this contract. "General Conditions" will be invoiced upon completion of the entire project. Qualificafinn.,and A m tions:. • Mcleod Construction is under no obligation to make any changes, deletions or alterations in the contract document. Upon reasonable request of the Owner, we may make changes, additions or alterations after a written change order has been executed. • This estimates assumes that the work will be contracted in its entirety. Deletions or additions to the scope of this estimate may result in changes to the pricing within the remaining line items. AI McLeod Construction LLC Proposal/Contract Page 2 • Individual line item pricing includes multiple job costed items like: material, labor, soft costs, burden and associated work. Due to administrative costs, work deletions and changes in the scope will result in a partial credit of 80% of listed line item. Some line items cannot be allowed for a credit. • Mcleod Construction will make every reasonable attempt to complete the project in a timely manner; however, there is no completion date agreed or a specific time of completion set. Factors that can cause delays in our work schedule can include the discovery of hidden damages, weather, customer specified changes to the scope of work, customer delays in material selections or material upgrade and/or availability. It is impossible to state a definite completion date. • Owner understands and agrees that the direction and supervision of all workers, including subcontractors, rests with Mcleod Construction. Owner agrees not to issue any instruction to or interfere with the workers. Owner is to contact the project manager or coordinator with any questions or request for additional work not included in the estimate. • Owner agrees not to negotiate for any additional work with workers employed by Mcleod Construction or its subcontractors. • The repair process can be a dusty, dirty job and even with all precautions taken, at times, some dust will accumulate. Please take caution to protect your possessions and bear with us during repairs. Billing n Payment Options ® Lump Sum. Contractor proposes to furnish materials, labor, and equipment, to perform the Scope of Work above for the sum of $317,108.03 subject to additions and changes, not including Washington State Sales Tax. McLeod Construction LLC By: Proposal Date: 05/31/2022 Project Manager CUSTOMER HAS READ AND REVIEWED THE SCOPE OF WORK, CONTRACT PRICE, CONTRACT TERMS, AND TERMS AND CONDITIONS STATED HEREIN AND AGREES TO SAID TERMS IN THEIR ENTIRETY. r Accepted by: 1 Signature. • - Printed Nam16 } E� H hf-�)df %7(j(1�c j Acceptance Date:�}- McLeod Construction LLC Proposal/Contract Page 3 TERMS AND CONDITIONS 1. Proposal Acceptance. This Proposal expires if not accepted within thirty (30) days. Thereafter, the terms of the Proposal are subject to change by Contractor. Customer's execution of this Proposal or directing or allowing Contractor to commence Work constitutes acceptance by Customer of Contractor's Proposal. If materials are delivered to or specifically prepared for Customer than directing Contractor to order such materials constitutes acceptance by Customer of Contractor's Proposal. Contractor reserves the right to cancel any work to be performed under this Proposal before commencing work hereunder without penalty 2. Terms. The terms and conditions of this Contract/Proposal shall be incorporated in and made part of any subsequent contract executed between Contractor and Customer if such contract is executed. Modifications to this Contract/Proposal must be specifically described in the Scope of Work and initialed by an authorized representative of Contractor. The terms and conditions of this Contract/Proposal shall take precedence over any provision in any other contract or agreement between Customer and Contractor. 3. Permits. ❑ Customer ® Contractor (check one) shall obtain the governmental approvals of the Plans and permits for construction of the Project, if required. Customer is responsible for cost of any building permits and must reimburse Contractor for this cost if directly incurred by Contractor. 4. Sales Tax. Unless specifically indicated in this Proposal, this Proposal does not include sales tax applied to any materials or labor installed on or furnished for the Project. All sales tax is to be paid by Customer. 5. Payment. Contractor will be paid an initial deposit equal tom-- % of the Contract Price [OR Customer agrees $ Down Payment is due prior to commencement of Work]. Contractor shall thereafter bill Customer for progress payments based on the value of the work completed, which are due ten (10) days after Customer's receipt of Contractor's progress billing or invoice. Final payment shall be due ten (10) days after the work described herein is substantially complete. All sums not paid when due shall bear interest at a rate of one and one half percent (1.5%) per month from the due date, until paid, or the maximum legal rate permitted by law, whichever is less. If Customer fails to make payment to Contractor herein as provided, then Contractor may stop work without prejudice to any other remedy Contractor may have at law or equity. Customer agrees to pay for all work performed and/or material installed by Contractor, in addition to a mark-up percentage of twenty-five percent (25%) in the event Contractor is dismissed or is removed from the Project for any reason whatsoever. Payment to Contractor is not contingent on payment to Customer by Project Owner if Project Owner and Customer are not the same entity. 6. Collection Costs. In the event any legal or other collection action is necessary to secure payment by Customer under this Contract, Contractor shall be entitled to any and all amounts due to Contractor by Customer plus all related costs of collection, including attorney's fees, court costs, expert fees and other expenses, incurred by Contractor in connection therewith. 7. Extra Work. Any requested alteration or deviation from the specifications in agreed prices involving extra costs will be required to be performed only upon written change orders, and shall become an extra charge over and above the agreed prices of this Proposal. Extra work beyond the scope of this Proposal shall be charged at a labor rate of $67.00 per hour, and materials shall be charged at their invoice price plus a 25% mark-up. Overtime rates will be charged for work performed outside of normal business hours (Monday -Friday, 7:00 a.m. - 5:00 p.m.). Work performed on weekends is charged as overtime unless otherwise agreed to by Contractor. 8. Delays. Contractor will not be responsible for delays and damages due to delays either by Customer or other contractors that impede progress and scheduling of Contractor's Work. Any such delays that cause Contractor to incur more labor hours to complete the Project or overtime hours than were originally bid will be billed to the Customer and will be the responsibility of the Customer to pay. Contractor will give appropriate notice when possible to the Customer prior to either the Customer or Contractor incurring such charges. Contractor shall be reimbursed for all costs incurred by Contractor McLeod Construction LLC Proposal/Contract Page 4 or its subcontractors due to work by others that alters or delays Contractor's Work, either prior, during or after Contractor has started Work. In the event Contractor is delayed by labor disputes, fire, unusual delays in deliveries, unavoidable casualties, or other causes beyond our control, the Contractor shall be entitled to additional time. 9. Differing Site Conditions. Should conditions be encountered in the performance of Contractor's work which differ from: (a) those indicated in the Scope of Work and/or specifications furnished to Contractor; or (b) those ordinarily encountered and generally recognized as inherent in the work of the character provided in the Proposal, an equitable adjustment will be made to the Proposal to cover the resulting costs and appropriate time extensions. Said work will be treated as extra work under the Contract and will require a Change Order. 10. Insurance/Risk of Loss. Customer is responsible for removing and/or protecting any and all personal property at the Work Site. Customer shall carry fire, theft, and other standard casualty insurance, and such insurance will not be the responsibility of Contractor. Contractor shall carry commercial general liability insurance with limits of at least $1,000,000.00 per occurrence and will provide Customer with its insurance coverage on request. Contractor's liability to Customer, however caused, shall (1) in no event exceed Contractor's insurance limits if covered by insurance; or (2) if not covered by insurance, the total compensation paid to Contractor hereunder, whichever is greater. 11. Limitation of Liability. Customer's exclusive remedy for claims arising hereunder shall be for damages. Contractor's liability to Customer for any matter not covered by insurance, however caused, whether in contract, tort, or otherwise, including without limitation any indemnification liabilities or damages for property or personal loss, shall in no event exceed the total compensation paid to Contractor hereunder. Contractor shall have no liability for or arising out of services, material, or equipment furnished by others. FURTHER, CONTRACTOR SHALL IN NO EVENT BE LIABLE TO CUSTOMER FOR CONSEQUENTIAL LOSSES OR DAMAGES, INCLUDING, BUT NOT LIMITED TO, LOSS OF USE, LOSS OF PROFITS OR REVENUES, EXTENDED OVERHEAD, COST OF CAPITAL, LOSS OF GOODWILL, DECREASED PROPERTY VALUES, COST OF REPLACEMENT SERVICES OR FACILITIES, LIQUIDATED DAMAGES, OR REGULATORY AGENCY PENALTY OR FINES. This limitation of liability shall survive completion or termination of this Contract/Proposal. 12. Disputes. All claims, disputes, or other matters in question between Contractor and Customer arising out of, or relating to this Contract, or breach thereof, or any way relating to the Scope of Work which forms the subject matter of this Proposal shall be decided by arbitration, in accordance with the rules of the American Arbitration Association then in effect, unless the parties mutually agree otherwise. The locale of the arbitration shall be Seattle, Washington. The prevailing party in any arbitration or litigation shall be entitled to an award of its reasonable attorneys' fees and costs. 13. Warranty. Contractor warrants all work performed under this Contract for a period one (1) year from the substantial completion of the Work. Contractor's warranty does not include remedies for defects or damages caused by normal wear and tear during normal usage, use for a purpose for which the Project was not intended, improper or insufficient maintenance, modifications performed by the Customer or Others, or abuse. Customer warrants the adequacy and accuracy of all plans and specifications provided to Contractor. CONTRACTOR MAKES NO OTHER REPRESENTATION OR WARRANTY OF ANY OTHER KIND, EXPRESS OR IMPLIED, WITH RESPECT TO THE WORK, WHETHER OR NOT AS TO MERCHANTABILITY, FITNESS FOR A PARTICULAR PURPOSE, OR ANY OTHER MATTER. 14. Modifications. No Modification of this Proposal will be valid or enforceable unless said modification is in writing. 15. Indemnity. Customer agrees to indemnify and hold Contractor harmless from third -party claims arising from Contractor's performance of the Work, except to the extent the claims are a result of the Contractor's negligence. Contractor agrees to indemnify and hold Customer harmless from claims brought by third -parties, such as subcontractors, material suppliers, and the Contractor's employees, arising from Contractor's performance of the Work, except to the extent McLeod Construction LLC Proposal/Contract Page 5 the claims are a result of the Customer's negligence. The indemnification obligations under this paragraph shall not be affected by any limitation on the amount or type of damages, compensation, or benefits payable under any worker's compensation act, including Title 51 RCW, any disability benefit acts, or any other employee benefit acts. Customer and Contractor hereby waive, for themselves and their successors, any right to claim any such limitation as a defense, set off, or other reduction of rights to indemnification under this paragraph. 16. Limitation of Actions. Any statute or law to the contrary notwithstanding, any action to recover for any loss or damage arising out of or connected with, or resulting from this Contract/Proposal or from the performance or breach thereof, must be commenced within a two-year period from the last day of Contractor's work. 17. Hazardous Materials. Contractor shall under no circumstances be liable for any damages of any nature whatsoever resulting from the removal or disposal of hazardous waste, including damages arising from the Comprehensive Environmental Response and Liability Act of 1980. This includes, but is not limited to asbestos, lead and any other materials defined as being radioactive, infectious, hazardous, dangerous, or toxic by any federal, state, or local statute, regulation, or ordinance. If Contractor encounters hazardous materials, it will immediately stop work and allow the Customer to obtain duly qualified asbestos and/or hazardous material contractor to perform any required remediation or clean up work. 18. Notice of Claims. Upon completion of Contractor's Work, Customer shall inspect the Work. All claims, including claims for alleged defective workmanship, shall be made in writing within the two year period after completion of Work. All claims not made in writing and received by Contractor within the time period specified above shall be deemed waived. With respect to defects incapable of discovery upon initial inspection, all claims for damage or loss as a result of such defects shall be deemed waived unless made in writing and received by Contractor two (2) years from completion of Contractor's work. After the expiration of said period, Customer expressly assumes all liability for such damage or losses, irrespective of any installation or use which shall have taken place, or whether the alleged defect shall have occurred or been discovered prior to expiration of such periods. Ere McLeod Construction LLC ProposallContract Page 6 NOTICE TO CUSTOMER This contractor is registered with the State of Washington, Registration No. MCLEOCI.951 DD, as a general contractor and has posted a bond or deposit of $12,000 for the purpose of satisfying claims against the Contractor for negligent of improper work or breach of contract in the conduct of the Contractor's business. The expiration date of this Contractor's registration is March 8, 2023. THIS BOND OR DEPOSIT MIGHT NOT BE SUFFICIENT TO COVER A CLAIM THAT MIGHT ARISE FROM THE WORK DONE UNDER YOUR CONTRACT. This bond or deposit is not for your exclusive use because it covers all work performed by this contractor. The bond or deposit is intended to pay valid claims up to $12,000 (residential homeowners) or $6,000 (commercial) that you and other customers, suppliers, subcontractors, or taxing authorities may have. FOR GREATER PROTECTION YOU MAY WITHHOLD A PERCENTAGE OF YOUR CONTRACT. You may withhold a contractually defined percentage of your construction contract as retainage for a stated period of time to provide protection to you and help ensure that your project will be completed as required by your contract. YOUR PROPERTY MAY BE LIENED. If a supplier of materials used in your construction project or an employee or subcontractor of your contractor or subcontractors is not paid, your property may be liened to force payment and you could pay twice for the same work. FOR ADDITIONAL PROTECTION, YOU MAY REQUEST THE CONTRACTOR TO PROVIDE YOU WITH ORIGINAL "LIEN RELEASE" DOCUMENTS FROM EACH SUPPLIER OR SUBCONTRACTOR ON YOUR PROJECT. The contractor is required to provide you with further information about lien release documents if you request it. General information is also available from the Washington State Department of Labor and Industries. CURE NOTICE CHAPTER RCW 64.50 CONTAINS IMPORTANT REQUIREMENTS YOU MUST FOLLOW BEFORE YOU MAY FILE A LAWSUIT FOR DEFECTIVE CONSTRUCTION AGAINST THE SELLER OR BUILDER OF YOUR HOME. FORTY-FIVE DAYS BEFORE YOU FILE YOUR LAWSUIT, YOU MUST DELIVER TO THE SELLER OR BUILDER A WRITTEN NOTICE OF ANY CONSTRUCTION CONDITIONS YOU ALLEGE ARE DEFECTIVE AND PROVIDE YOUR SELLER OR BUILDER THE OPPORTUNITY TO MAKE AN OFFER TO REPAIR OR PAY FOR THE DEFECTS. YOU ARE NOT OBLIGATED TO ACCEPT ANY OFFER MADE BY THE BUILDER OR SELLER. THERE ARE STRICT DEADLINES AND PROCEDURES UNDER STATE LAW, AND FAILURE TO FOLLOW THEM MAY AFFECT YOUR ABILITY TO FILE A LAWSUIT. I have read and acknowledge receipt of the above N ' e to Customer and Cure Notice. Date: �'Z Signed: Cusi6Ker OT McLeod Construction LLC Proposal/Contract Page 7 ASBESTOS LEAD AND OTHER HAZARDOUS MATERIALS DISCLOSURE Washington law requires property owners to notify contractors about asbestos, lead based paint, and/or other hazardous materials where contractors are to perform work. PLEASE READ THE FOLLOWING AND RETURN TO McLeod Construction LLC, N 140th Street, Seattle, WA 98133. Please notify us if you know or presume asbestos, lead paint, mold, or other hazardous materials exist on or in any portion of the premises affected by the Project commonly known as: The Gregory The Washington Industrial Safety and Health Act ("WISHA") Regional Directive 23-10 and WAC 296-62-07721, Communication of Hazards to Employees, have specific requirements for property owners and their agents: "Building, vessel, and facilities owners have the responsibility to notify contractors and tenants in writing of the presence of asbestos -containing materials and presumed asbestos -containing materials (ACMIPACM) even though the employees at risk are notthe owner's direct employees." If you have had an Asbestos Hazardous Emergency Response Act ("AHERA") Building Inspection performed, you must provide a copy of the inspection report to McLeod Construction LLC before we begin work. ❑ 1 have enclosed a copy of the Asbestos Inspection Report. ❑ 1 have arranged for an asbestos inspection. Expected completion date: ❑ 1 do not know if asbestos exists. Please provide information on getting a building inspection. I understand my obligation to notify the contractor for any known exposure to asbestos at this property. I IIII-decline to pursue a building inspection and take full responsibility for any and all personal injury resulting from asbestos exposure to the contractor's employees who performed work at this property. By executing this Disclosure below, Customer / Property Owner%hereby represents and warrants that Customer and/or its agents have no knowledge of the existence n-ar y portion of the premises affected by the Project of any asbestos, lead pain, mold (including all types of microbial matter or microbiological contamination, mildew or fungus) or other hazardous materials. Customer / Property 6wner / Agent Date