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SPECIAL INSPECTION SERVICES AT 2701 VIA CIPRIANI - CLEARWATER AGREEMENT REGARDING SPECIAL INSPECTION SERVICES il7~ This AGREEMENT made this ---.J3ttr_ day of August, 2001, by and between the City of Clearwater, Florida ("City"), P. O. Box 4748, Clearwater Florida 33758, and The Grand Bellagio at Baywatch, L TO., 474 S. North Lake Boulevard, Suite, 1020, Altamonte Springs, FL 32701. WHEREAS, it is advisable to retain special inspectors for applicable construction projects, and that a property owner shall select and pay all costs of employing such inspectors and that the inspectors shall be responsible to the local government having permitting authority over the project; and WHEREAS, it is advisable to set forth the responsibilities of the City and Owner regarding special inspections of the project known as The Grand Bellagioa at Baywatch, which has received certain permits from City and is anticipated to be under construction during July through May, 2002 time period; NOW THEREFORE, City and Owner do hereby mutually agree as follows: 1. SCOPE OF PROJECT. Owner agrees to provide special inspection services by selecting and compensating special inspectors acceptable to City's Chief Building Official for the project known as The Grand Bellagio at Baywatch apartments, located at 2701 Via Cipriani, Clearwater. The inspectors will be empowered by City to sign off on inspections, as would a regular inspector, but shall not be considered employees or independent contractors of City. All inspectors shall possess and maintain required state and local licenses at their own expense. Inspectors shall be available during the duration of the initial inspection portion of the Project during weekdays from 7:00 a.m. to 7:00 p.m., and shall be available for weekend hours upon 48 hours' notice from City. Inspectors shall not perform other work during the hours engaged in inspection services for the Project. InspeGtors shan abide by the Chief (YJ /1r - "/'::( ~~ ~F,: (/c' ,~,J' <./- (J) Building Official's interpretations of City codes and policies in regard to performance of inspections. While being compensated for hours worked by Owner pursuant to this Agreement, inspectors shall not simultaneously perform other work. 2. TIME OF PERFORMANCE. Owner agrees to continue employing the special inspectors during the construction phase(s) of the Project in which their services are required by statute and as long as both City and Owner mutually agree that there is a need for their services. Owner shall give two weeks' notice to inspectors prior to termination of their services. 3. REPORTS. Owner agrees to have its inspectors provide to City reports on the initial construction phase(s) of the Project and to provide additional reports upon reasonable request by City. City agrees to promptly process such reports and notify inspectors of any deficiencies which must be remedied. 4. CONTACTS FOR RESPONSIBILITY. Scot Hamilton will be designated as Project Director for this project by Owner to manage and supervise the performance of this Agreement on behalf of Owner. The City will be represented by Kevin Garriott, Chief Building Official, or his designee for all matters relating to this Agreement. 5. TERMINATION OF CONTRACT. This Agreement shall terminate upon submission and verification of all final inspection reports required by City and by statute. If Owner or its inspectors shall fail to fulfill any obligations hereunder, this contract shall be in default and the City may terminate the agreement. 6. INDEMNIFICATION AND INSURANCE. Owner agrees to protect, defend, indemnify and hold the City and its officers, employees and agents free and harmless from and against any and all losses, penalties, damages, settlements, costs, charges, professional fees or other expenses or liabilities of every kind and character arising out of or due to any negligent act or omission of Owner, or its employees o~agents in connection 2 fIJ with or arising directly or indirectly out of this Agreement and/or the performance hereof. Without limiting its liability under this Agreement, Owner shall procure and maintain during the life of this Agreement liability insurance coverage in those amounts set forth in Exhibit "A" attached hereto and made pa part hereof. This provision shall survive the termination of this Agreement. 7. ATTORNEYS FEES. In the event that either party seeks to enforce this Agreement through attorneys at law, then the parties agree that each party shall bear its own attorney fees and costs, and that jurisdiction for such an action shall be in a court of competent jurisdiction in Pinellas County, Florida. IN WITNESS WHEREOF, City and Owner have executed this Agreement on the date first above written. CITY OF CLEARWATER, FLORIDA B~'IJ..~...,~ William B. Horne II Wiltiamddome City Manager Approved as to form: Attest: ~?:.-tL.~<> Cy ia E. GoudefUj City lerk Leslie K. Dougall-Sides Assistant City Attorney Owner: The Grand Bellagio at Baywatch, LTD. By: Presid t or Authorized Agent Christopher Del Guidice ~' Special Inspection Services Agreement - Bellagio 3 fIJ EXHIBIT A CITY OF CLEARWATER RISK MANAGEMENTIINSURANCE REQUIREMENTS FOR AGREEMENTS AND CONTRACTS STATEMENT OF PURPOSE The City of Clearwater enters into agreements and contracts for services and/or products of other parties. Agreements and contracts shall contain Risk Management/Insurance terms to protect the City's interests and to minimize its potential liabilities. Whenever applicable, the following terms shall be included in agreements and contracts. CITY DEFINED The term City (wherever it may appear) is defined to mean the City itself, its Commission, the Community Redevelopment Agency of the City of Clearwater, a Florida governmental agency created pursuant to Part III, Chapter 163, Florida Statutes, its duly appointed officers, or other public bodies, officers, employees, volunteers, representatives and agents. OTHER PARTY DEFINED The term other party (wherever it may appear) is defined to mean the other person or entity which is a party to an agreement or contract with the City, any subsidiaries or affiliates, officers, employees, volunteers, representatives, agents, contractors, and subcontractors. HOLD HARMLESS The City shall be held harmless against all claims for bodily injury, sickness, disease, death or personal injury or damage to property or loss of use resulting there from, arising out of the agreement or contract unless such claims are a result of the City's sole negligence. PAYMENT ON BEHALF OF CITY The other party agrees to pay on behalf of the City, and to pay the cost of the City's legal defense, as may be selected by the City, for all claims described in the Hold Harmless paragraph. Such payment on behalf of the City shall be in addition to any and all other legal remedies available to the City and shall not be considered to be the City's exclusive remedy. INSURANCE The other party shall provide the following described insurance, except for coverages specifically waived by the City, on policies and with insurers acceptable to the City. 1 ..<v.> These insurance requirements shall not limit the liability of the other party. The City does not represent these types or amounts of insurance to be sufficient or adequate to protect the other party's interests or liabilities, but are merely minimums. Except for workers' compensation and professional liability, the other party's insurance policies shall be endorsed to name the City as an additional insured to the extent of the City's interests arising from this contract or agreement. Except for workers' compensation, the other party waives its right of recovery against the City, to the extent permitted by its insurance policies. The other party shall request that its insurers' policies include or be endorsed to include a severability of interests/cross liability provision so the City will be treated as if a separate policy were in existence without increasing the policy limits. The other party's deductibles/self-insured retentions shall be disclosed to the City and may be disapproved by the City. They shall be reduced or eliminated at the option of the City. The other party is responsible for the amount of any deductible or self-insured retention. Workers' Compensation Coverage The other party shall purchase and maintain workers' compensation insurance for all workers compensation obligations imposed by state law and employers liability limits of at least $100,000 each accident and $100,000 each employee/$500,OOO policy limit for disease. The other party shall also purchase any other coverages required by law for the benefit of the employees. General, Automobile and Excess or Umbrella Liability Coverage The other party shall purchase and maintain coverage on forms no more restrictive than the latest editions of the Commercial or Comprehensive General Liability and Business Auto policies of the Insurance Services office. Minimum limits of $500,000 per occurrence for all liability must be provided, with excess or umbrella insurance making up the difference, if any, between the policy limits of underlying policies (including employers liability required in the Workers' Compensation Coverage section) and the total amount of coverage required. Commercial General Liability If Commercial General Liability coverage is provided: Coverage A shall include premises, operations, products and completed operations, independent contractors, contractual liability covering this agreement or contract, and broad form property damage coverages. Coverage B shall include personal injury. Coverage C, medical payments, is not required. 2 I/J Occurrence Form The occurrence form of Commercial General Liability must be provided. Comprehensive General Liability If Comprehensive General Liability coverage is provided it shall include at least: Bodily injury and property damage liability for premises, operations, products/completed operations, independent contractors, and property damage resulting from explosion, collapse or underground (x,c,u) exposures. Broad Form Comprehensive General Liability coverage, or its equivalent, with at least: Broad form contractual liability covering this agreement or contract, personal injury liability and broad form property damage liability. Products/Completed Operations Coverage The other party is required to continue to purchase products/completed operations coverage for a minimum of three years beyond the City's acceptance of renovation or construction projects. Business Auto Liability Business Auto Liability coverage is to include bodily injury and property damage arising out of operation, maintenance or use of any auto, including owned, nonowned and hired auto- mobiles and employee nonownership use. Watercraft/Aircraft Liability If the other party's provision of services involves utilization of watercraft or aircraft, watercraft and/or aircraft liability coverage must be provided to include bodily injury and property damage arising out of ownership, maintenance or use of any watercraft or aircraft, including owned, non-owned and hired. Excess Or Umbrella Liability Umbrella Liability insurance is preferred, but an Excess Liability equivalent may be allowed. Whichever type of coverage is provided, it shall not be more restrictive than the underlying insurance policy coverage's. CERTIFICATES OF INSURANCE Required insurance shall be documented in Certificates of Insurance, which provide that the City shall be notified at least 30 days in advance of cancellation, nonrenewal or adverse change. New Certificates of Insurance are to be provided to the City at least 15 days prior to coverage renewals. 3 ~ If requested by the City, the other party shall furnish complete copies of the other party's insurance policies, forms and endorsements. The address where all such Certificates of Insurance and policies of insurance, when requested, shall be sent or delivered is as follows: City of Clearwater Attention: City Clerk P.O. Box 4748 Clearwater, FL 33758-4748 For Commercial General Liability coverage the other party shall, at the option of the City, provide an indication of the amount of claims payments or reserves chargeable to the aggregate amount of liability coverage. Receipt of certificates or other documentation of insurance or policies or copies of policies by the City, or by any of its representatives, which indicate less coverage than required does not constitute a waiver of the other party's obligation to fulfill the insurance requirements herein. INSURANCE OF THE OTHER PARTY PRIMARY Insurance required of the other party or any other insurance of the other party shall be considered primary, and insurance of the City shall be considered excess, as may be applicable to claims which arise out of the Hold Harmless, Payment on Behalf of City, Insurance, Additional Insurance and Certificates of Insurance provisions of this agreement or contract. LOSS CONTROL/SAFETY Precaution shall be exercised at all times by the other party for the protection of all persons, including employees, and property. The other party shall be expected to comply with all applicable laws, regulations, or ordinances related to safety and health and shall make special efforts where appropriate to detect hazardous conditions and shall take prompt action where loss control/safety measures should reasonably be expected. The City may order work to be stopped if conditions exist that present immediate danger to persons or property. The other party acknowledges that such stoppage will not shift responsibility for any damages from the other party to the City. ADDITIONAL INSURANCE FOR REPAIR OR SERVICE OR OTHER CONTRACTS If checked below, the City requires the following additional provisions or types of insurance for repair or service or other contracts to afford added protection against loss, which could affect the work being performed. _x_ Commercial General Liability Increased General Aggregate Limit The minimum commercial general liability general aggregate limit shall be $_500,000.00_ which is greater than the occurrence limit simply because it is an annual aggregate limit. 4 ,1fA ADDITIONAL INSURANCE FOR RENOVATION OR CONSTRUCTION CONTRACTS If checked below, the City requires the following types of insurance for renovation or construction contracts, in addition to required coverages previously cited, including Additional Insurance for Repair or Service or Other Contracts. _2C Commercial General Liability Project Aggregate Because the Commercial General Liability form of coverage includes an annual aggregate limitation on the amount of insurance provided, a separate project aggregate limit is required by the City for this contract or agreement. Owners Protective Liability For renovation or construction contracts the other party shall provide for the City an owners protective liability insurance policy (preferably through the other party's insurer) in the name of the City. Builders Risk Builders Risk insurance is to be purchased to cover the property for all risks of loss, subject to a waiver of coinsurance, including coverage of risks indicated in the Installation Floater and Motor Truck Cargo insurance previously described if such coverages are not separately provided. The Builders Risk insurance is to be endorsed to cover the interests of all parties, including the City and all contractors and subcontractors. The insurance is to be endorsed to grant permission to occupy. PROFESSIONAL LIABILITY, MALPRACTICE AND/OR ERRORS OR OMISSIONS If checked below, the City requires the following terms and types of insurance for professional, malpractice, and errors or omissions liability. _x_ Hold Harmless The following replaces the previous Hold Harmless wording: The City shall be held harmless against all claims for bodily injury, sickness, disease, death or personal injury or damage to property or loss of use resulting there from arising out of performance of the agreement or contract, unless such claims are a result of the City's own negligence. The City shall also be held harmless against all claims for financial loss with respect to the provision of or failure to provide professional or other services resulting in professional, malpractice, or errors or omissions liability arising out of performance of the agreement or contract, unless such claims are a result of the City's own negligence. 5 ,fIl) -/ .. ' .. _x_ Professional Liability/Malpractice/Errors or Omissions Insurance The other party shall purchase and maintain professional liability or malpractice or errors or omissions insurance appropriate for the type of business of business engaged in by the other party with minimum limits of $_1,000,000.00_ per occurrence. If a claims made form of coverage is provided, the retroactive date of coverage shall be no later than the inception date of claims made coverage, unless prior policy was extended indefinitely to cover prior acts. Coverage shall be extended beyond the policy year either by a supplemental extended reporting period (ERP) of as great duration as available, and with no less coverage and with reinstated aggregate limits, or by requiring that any new policy provide a retroactive date no later than the inception date of claims made coverage. 6 A:1