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PERFORMANCE BOND AlA Document A3l2 Performance Bond 1365994 Conforms with the American Institute of Architects, AlA Document A312. Any singular reference to Contractor, Surety, Owner or other party shall be considered plural where applicable. CONTRACTOR (Name and Address): Logistic Systems, Inc. 3000 Palmer Street Missoula, Montana 59802 OWNER (Name and Address): City of Clearwater, Florida City Hall, 112 S. Osceola Avenue, P. O. Box 4748 Clearwater, FL 34618-4748 CONSTRUCTION CONTRACT Date: December 18 1998 Amount: $800,000 (Eight hundred thousand and no/IOO) SURETY (Name and Principal Place of Business): Amwest Surety Insurance Company 5230 Las Virgenes Road Calabasas, CA 91302 Description (Name and Location): Computer System and System Integration Services BOND Date (Not earlier than Construction Contract Date): December 18 1998 Amount: $800,000(Eight hundred thousand and nollOO) Modifications to this Bond: CONTRACTOR AS PRINCIPAL Company: Logistic Systems, Inc. (Corporate Seal) Signature: Name and Title: H. n Q. N g en (Any additional signatures appear on page 2.) (FOR INFORMATION ONLY - Name, Address and Telephone) AGENT or BROKER: Terry Payne & Co., Inc. P. O. Box 16130, Missoula, MT. 59808, 406-728-4050 1 The Contractor and the Surety, jointly and severally, bind themselves, their heirs, executors, administrators, successors and assigns to the Owner for the performance of the Construction Contract, which is incorporated herein by reference. 2 If the Contractor performs the Construction Contract, the Surety and the Contractor shall have no obligation under this Bond, except to participate in conferences as provided in Subparagraph 3.1. 3 If there is no Owner Default, the Surety's obligation under this Bond shall arise after: 3.1 The Owner has notified the Contractor and the Surety at its address described in Paragraph 10 below that the Owner is considering declaring a Contractor Default and has requested and attempted to arrange a conference with the Contractor and the Surety to be held not later than fifteen days after receipt of such notice to discuss methods of performing the Construction Contract. If the Owner, the Contractor and the Surety agree, the Contractor shall be allowed a reasonable time to SURETY 5026 (6-92) S-1 B521GEEF2I9B Page 1 of 2 o None ~ See Page 2 SURETY Company: . . (Corp()'rate Sea! Amwest Surety Insurance Company. Signature: \:)~ fh~~~ . " Name and Tilt:: Judith P. Morris, Attorney-in-Fact" OWNER'S REPRESENTATIVE (Architect, Engineer or othe party): perform the Construction Contract, but such an agreement sha, not waive the Owner's right, if any, subsequently to declare Contractor Default; and 3.2 The Owner has declared a Contractor Default and formall: terminated the Contractor's right to complete the contract. Sue: Contractor Default shall not be declared earlier than twenty day. after the Contractor and the Surety have received notice ~" provided in Subparagraph 3.1; and 3.3 The Owner has agreed to pay the Balance of the Contra~ Price to the Surety in accordance with the terms of tl':. Construction Contract or to a contractor selected to perform tl': Construction Contract in accordance with the terms of t1o., contract with the Owner. 4 When the Owner has satisfied the conditions of Paragraph 3, tl': Surety shall promptly and at the Surety's expense take one of t!~ following actions: BONO PREMIUM BASED ON FINAL CONTRACT PRICE 4.1 A.rrange for the Contractor, with consent of the Owner, to perform and complete the Construction Contract; or 4.2 Unuertake to perform and complete the Construction Contract itself, through its agents or through independent contractors; or 4>3 Obtain bids or negotiated proposals from qualified contractors acceptable to the Owner for a contract for performance and completion of the Construction Contract, arrange for a contract to be prepared for execution by the Owner and the contractor selected with the Owner's concurrence, to be secured with performance and payment bonds executed by a qualified surety equivalent to the bonds issued on the Construction Contract, and pay to the Owner the amount of damages as described in Paragraph 6 in excess of the Balance of the Contract Price incurred by the Owner resulting from the Contractor's default; or 4.4 Waive its right to perform and complete, arrange for completion, or obtain a new contractor and with reasonable promptness under the circumstances: .1 After investigation, determine the amount for which it may be liable to the Owner and, as soon as practicable after the amount is determined, tender payment therefor to the Owner; or .2 Deny liability in whole or in part and notifY the Owner citing reasons therefor. 5 If the Surety does not proceed as provided in Paragraph 4 with reasonable promptness, the Surety shall be deemed to be in default on this Bond fifteen days after receipt of an additional written notice from the Owner to the Surety demanding that the Surety perform its obligations under this Bond, and the Owner shall be entitled to enforce any remedy available to the Owner. If the Surety proceeds as provided in Subparagraph 4.4, and the Owner refuses the payment tendered or the Surety has denied liability, in whole or in part, without further notice the Owner shall be entitled to enforce any remedy available to the Owner. 6 After the Owner has terminated the Contractor's right to complete the Construction Contract, and if the Surety elects to act under Subparagraph 4.1, 4.2, or 4.3 above, then the responsibilities of the Surety to the Owner shall not be greater than those of the Contractor under the Construction Contract, and the responsibilities of the Owner to the Surety shall not be greater than those of the Owner under the Construction Contract. To the limit of the amount of this Bond, but subject to commitment by the Owner of the Balance of the Contract Price to mitigation of costs and damages on the Construction Contract, the Surety is obligated without duplication for: 6.1 The responsibilities of the Contractor for correction of defective work and completion of the Construction Contract; 6.2 Additional legal, design professional and delay costs resulting from the Contractor's Default, and resulting from the actions or failure to act of the Surety under Paragraph 4; and 6.3 Liquidated damages, or if no liquidated damages are specified in the Construction Contract, actual damages caused by delayed performance or non-performance of the Contractor. MODIFICA nONS TO THIS BOND ARE AS FOLLOWS: 7 The Surety shall not be liable to the Owner or others for obligations of the Contractor that are unrelated to the Construction Contract and the Balance of the Contract Price shall not be reduced or set off on ;ccount of any such unrelated obligations. No right of action shall accrue on this Bond to any person or entity other than the Owner or its heirs, executors, administrators or successors. 8 The Surety hereby waives notice of any change, including changes of time, to the Construction Contract or to related subcontracts, purchase orders and other obligations, 9 Any proceeding, legal or equitable, under this Bond may be instituted in any court of competent jurisdiction in the location in which the work or part of the work is located and shall be instituted within two years after Contractor Default or within two years after the Contractor ceased working or within two years after the Surety refuses or fails to perform its obligations under this Bond, whichever occurs first. If the provisions of this Paragraph are void or prohibited by law, the minimum period of limitation available to sureties as a defense in the jurisdiction of the suit shall be applicable. 10 Notice to the Surety, the Owner or the Contractor shall be mailed or delivered to the address shown on the signature page. 11 When this Bond has been furnished to comply with a statutory or other legal requirement in the location where the construction was to be performed, any provision in this Bond conflicting with said statutory or legal requirement deleted herefrom and provisions conforming to such statutory or other legal requirement shall be deemed incorporated herein. The intent is that this Bond shall be construed as a statutory bond and not as a common law bond. 12 DEFINITIONS 12.1 Balance of the Contract Price: The total amount payable by the Owner to the Contractor under the Construction Contract after all proper adjustments have been made, including allowance to the Contractor of any amounts received or to be received by the Owner in settlement of insurance or other claims for damages to which the Contractor is entitled, reduced by all valid and proper payments made to or on behalf of the Contractor under the Construction Contract. 12.2 Construction Contract: The agreement between the Owner and the Contractor identified on the signature page, including all Contract Documents and changes thereto. 12.3 Contractor Default: Failure of the Contractor, which has neither been remedied nor waived, to perform or otherwise to comply with the terms of the Construction Contract. 12.4 Owner Default: Failure of the Owner, which has neither been remedied nor waived, to pay the Contractor as required by the Construction Contract or to perform and complete or comply with the other terms thereof. This bond is qualified that warranty period is limited to 1 year from acceptance date for supply and install. (Space is provided below for additional signatures of added parties, other than those appearing on the cover page.) CONTRACTOR AS PRINCIPAL SURETY Company: (Corporate Seal) Company: Countersigned By: Amwest Sure ,Insurance Co I Signature: Name and Title: Che L. Beaird, Florida Resident Agent Address: One Urban Centre, 4830 W. Kennedy Blvd., Suite 540, Tampa, Florida 33609 Signature: Name and Title: Address: S-1852/GEEF 2/98 Page 2 of 2 (Corporate Seal) a~~ AlA Document A312 1365994 Payment Conforms with the American Institute of Architects, AlA Document A312. Any singular reference to Contractor, Surety, Owner or other party shall be considered plural where applicable. CONTRACTOR (Name and Address): Logistic Systems, Inc. 3000 Palmer Street Missoula, Montana 59802 OWNER (Name and Address): City of Clearwater, Florida City Hall, 112 S. Osceola Avenue, P. O. Box 4748 Clearwater, FL 34618-4748 CONSTRUCTION CONTRACT Date: December 18 1998 Amount: $800,000(Eight hundred thousand and no/IOOO Bond SURETY (Name and Principal Place of Business): Amwest Surety Insurance Company 5230 Las Virgenes Road Calabasas, CA 91302 Description (Name and Location): Computer System and System Integration Services, Clearwater FL BOND Date( Not earlier than Construction Contract Date): December 18 1998 Amount: $800,000(Eight hundred thousand and no/IOO) Modifications to this Bond: CONTRACTOR AS PRINCIPAL Company: Logistic Syste (Corporate Seal) Signature: NameandTit : Hien Q. Ngu n, President/CEO (Any additional signatures appear on page 2.) (FOR INFORMATION ONLY - Name, Address and Telephone) AGENT or BROKER: Terry Payne & Co., Inc. P. O. Box 16130, Missoula, MT 59808,406-728-4050 1 The Contractor and the Surety, jointly and severally, bind themselves, their heirs, executors, administrators, successors and assigns to the Owner to pay for labor, materials and equipment furnished for use in the performance of the Construction Contract, which is incorporated herein by reference. 2 With respect to the Owner, this obligation shall be null and void if the Contractor: 2.1 Promptly makes payment, directly or indirectly, for all sums due Claimants, and 2.2 Defends, indemnifies and holds harmless the Owner from claims, demands, liens or suits by any person or entity whose claim, demand, lien or suit is for the payment for labor, materials or equipment furnished for use in the performance of the Construction Contract, provided the Owner has promptly notified the Contractor and the Surety (at the address described in Paragraph 12) of any claims, demands, liens or suits and tendered defense of such claims, demands, liens or suits to the Contractor and the Surety, and provided there is no Owner Default. SURETY 5026 (6-92) S-1853/GEEF 2/98 Page 1 of 2 o None ~ See Page 2 SURETY Company: Amwest Surety Insurance Company (Corporate Seal) " uMvCY Signature: Name and Tit Judith P. Morris, Attorney-in-Fact OWNER'S REPRESENTATIVE (Architect, Engineer or other party): 3 With respect to Claimants, this obligation shall be null and void if the Contractor promptly makes payment, directly or indirectly, for all sums due. 4 The Surety shall have no obligation to Claimants under this Bond until: 4.1 Claimants who are employed by or have a direct contract with the Contractor have given notice to the Surety (at the address described in Paragraph 12) and sent a copy, or notice thereof, to the Owner, stating that a claim is being made under this Bond and, with substantial accuracy, the amount of the claim, 4.2 Claimants who do not have a direct contract with the Contractor: .1 Have furnished written notice to the Contractor and sent a copy, or notice thereof, to the Owner, within 90 days after having last performed labor or last furnished materials or equipment included in the claim stating, with substantial accuracy, the amount of the claim and the name of the party to whom the materials were furnished or supplied or for whom the labor was done or performed; and .2 c .Have either received a rejection in whole or in part from the Contractor, or not received within 30 days of furnishing the a1:i6ve notice any communication from the Contractor by which the Contractor has indicated the claim will be paid directly or " indirectly; and .3 Not having been paid within the above 30 days, have sent a written notice to the Surety (at the address described in Paragraph 12) and sent a copy, or notice thereof, to the Owner stating that a claim is being made under this Bond and enclosing a copy of the previous written notice furnished to the Contractor, 5 If a notice required by paragraph 4 is given by Owner to the Contractor or to the Surety, that is sufficient compliance. 6 When the Claimant has satisfied the conditions of Paragraph 4, the Surety shall promptly and at the Surety's expense take the following actions: 6.1 Send an answer to the Claimant, with a copy to the Owner, within 45 days after receipt of the claim, stating the amounts that are undisputed and the basis for challenging any amounts that are disputed. 6.2 Payor arrange for payment of any undisputed amounts. 7 The Surety's total obligation shall not exceed the amount of this Bond, and the amount of this Bond shall be credited for any payments made in good faith by the Surety. 8 Amounts owed by the Owner to the Contractor under the Construction Contract shall be used for the performance of the Construction Contract and to satisfy claims, if any, under any Construction Performance Bond. By the Contractor furnishing and the Owner accepting this Bond, they agree that all funds earned by the Contractor in the performance of the Construction Contract are dedicated to satisfy obligations of the Contractor and the Surety under this Bond, subject to the Owner's priority to use the funds for the completion of the work. 9 The Surety shall not be liable to the Owner, Claimants or others for obligations of the Contractor that are unrelated to the Construction Contract. The Owner shall not be liable for payment of any costs or expenses of any Claimant under this Bond, and shall have under this bond no obligations to make payments to, give notices on behalf of, or otherwise have obligations to Claimants under this Bond. 10 The Surety hereby waives notice of any change, including changes of time, to the Construction Contract or to related subcontracts, purchase orders and other obligations. 11 No suit or action shall be commenced by a Claimant under this Bond other than in a court of competent jurisdiction in the location in which MODIFICA nONS TO THIS BOND ARE AS FOLLOWS: the work or part of the work is located or after the expiration of one year from the date (I) on which the Claimant gave the notice required by Subparagraph 4. I or Clause 4.2,3, or (2) on which the last labor or service was performed by anyone or the last materials or equipment were furnished by anyone under the Construction Contract, whichever of (I) or (2) first occurs. If the provisions of this Paragraph are void or prohibited by law, the minimum period of limitation available to sureties as a defense in the jurisdiction ofthe suit shall be applicable. 12 Notice to the Surety, the Owner or the Contractor shall be mailed or delivered to the address shown on the signature page, Actual receipt of notice by Surety, the Owner or the Contractor, however accomplished, shall be sufficient compliance as of the date received at the address shown on the signature page. 13 When this Bond has been furnished to comply with a statutory or other legal requirement in the location where the construction was to be performed, any provision in this Bond conflicting with said statutory or legal requirement shall be deemed deleted herefrom and provisions conforming to such statutory or other legal requirement shall be deemed incorporated herein. The intent is that this Bond shall be construed as a statutory bond and not as a common law bond. 14 Upon request by any person or entity appearing to be a potential beneficiary of this Bond, the Contractor shall promptly furnish a copy of this Bond or shall permit a copy to be made, 15 DEFINITIONS 15.1 Claimant: An individual or entity having a direct contract with the Contractor or with a subcontractor of the Contractor to furnish labor, materials or equipment for use in the performance of the Contract. The intent of this Bond shall be to include without limitation in terms" labor, materials or equipment" that part of water, gas, power, light, heat, oil, gasoline, telephone service or rental equipment used in the Construction Contract, architectural and engineering services required for performance of the work of the Contractor and the Contractor's subcontractors, and all other items for which a mechanic's lien may be asserted in the jurisdiction where the labor, materials or equipment were furnished. 15.2 Construction Contract: The agreement between the Owner and the Contractor identified on the signature page, including all Contract Documents and changes thereto, 15.3 Owner Default: Failure of the Owner, which has neither been remedied nor waived, to pay the Contractor as required by the Construction Contract or to perform and complete or comply with the other terms thereof This bond is qualified that warranty period is limited to 1 year from acceptance date for supply and install. (Space is provided below for additional signatures of added parties, other than those appearing on the cover page.) CONTRACTOR AS PRINCIPAL SURETY Company: (Corporate Seal) Company: Countersigned by: Amwest Sure nsurance Co Signature: Name and Title: Che I L. Beaird, Florida Resident Agent Address: One Urban Centre, 4830 W. Kennedy Blvd., Suite 540, Tampa, Florida 33609 Signature: Name and Title: Address: S-1853/GEEF 2/98 (Corporate Seal) Page 2 of 2 READ CAREFULLY This document is printed on white paper containing the artificial watennarked logo (A ) of Amwest Surety Insurance Company (the "Company") on the front and brown security paper on the back. Only unaltered originals of the POA are valid, This POA may not be used in conjunction with any other POA. No representations or warranties regarding this POA may be made by any person, This POA is governed by the laws of the State of California and is only valid until the expiration date, The Company shall not be liable on any limited POA which is fraudulently produced, forged or otherwise distributed without the pennission of the Company, Any party concerned about the validity of this POA or an accompanying Company bond should call your local Amwest branch office at (303) 985-7010 KNOW ALL BY THESE PRESENT, that Amwest Surety Insurance Company, a Nebraska corporation (the "Company"), does hereby make, constitute and appoint: ED HEINE JUDITH P. MORRIS M. G. ANDERSON TERRY PAYNE ELAINE GRAY AS EMPLOYEES OF TERRY PAYNE & CO., INC. ^ its true and lawful Attorney-in-fact, with limited power and authority for and on behalf of the Company ~s~ ~ecute, thereto if a seal is required on bonds, undertakings, recognizances, reinsurance agreement for a Miller A~r perfo the nature thereof as follow: 0 Bid Bonds up to $**1,000,000.00 Ucense & Permit Bonds up to $*****25,000.00 ~ MisceUaneous Bonds up to $*****25,000.00 ~ Small Business Administration Guaranteed Bonds up to $**1,000,000.00 , 4.. '\' Contract (performance & Payment), Court, Subdivbdon $**2,500,000.00 ~ ~ 1 Md '" bi.. "" ~m...y ili=by Thi. ",,:m",,"" " """ Md~'" by.4 By,Lo -:::s.~'" ~ M. i, ',Ii '0='" off"'. I,the undersigned secretary of Amwest Surety Insurance C, ompany'~Ne corporation~ ~Y TIFY that this Power of Attorney remains in full force and effect and has not been revoked and furthennore, that the 'ons fthe Board' fo on this Power of Attorney, and that the relevant pro.i,io~ ,'ilio By,LoM 0''''' Cou,..", ~ 00' m fullfo= M '~ ' Bond No. 1365994 Signed&sealedthi~8 O~DeC. ~.JA-ijP ~ ~ = , ~ Karen G, Cohen, Secretary · · · · · · · · · · . ONS T DIRECfORS . . . . . . . . . . . This POA is signed and sealed by facsimile un~er d by autho~' 0 owi~ utions adopted by the Board of Directors of Amwest Surety Insurance Company at a meeting duly held on December 1975: , " ' RESOL YED, that the President or any . ent, in~~unc wittAC Secretary or any Assistant Secretary, may appoint attorneys-in-fact or agents with authority as defined or limited in the ins me vi encin~po' tment~ case, for and on behalf of the Company, to execute and deliver and affix the seal of the Company to bonds, undertaking, n' ces, Ip obliga~ris of all kinds; and said officers may remove any such attorney-in-fact or agent and revoke any POA previously gran rson, ~ RESOL YED FURTHER, that an nd, unde '~i ce'Muretyship obligation shall be valid and bind upon the Company: (i) when signed by the President 0 any Vi resl an and sealed (if a seal be required) by any Secretary or Assistant Secretary; or (ii) when signed by the President or any 'dent or Assistant Secretary, and countersigned and sealed (if a seal be required) by a duly authorized attorney-in-fact or age 0 (iii) when duly executed and seale (if a requir~~ one or more attorneys-in-fact or agents pursuant to and within the limits of the authority evidenced by the power of attorney issue ompany ;;;~ person or persons, RESOL YED FURTHER, that the si a re of any authorized officer and the seal of the Company may be affixed by facsimile to any POA or certification thereof authorizing the execution and del' ery of any bond, undertaking, recognizance, or other suretyship obligations of the Company; and such signature and seal when so used shall have the same force and effect as though manually affixed, affix the seal of the company or other written obligations in IN WITNESS WHEREOF, Amwest Surety Insurance Company has caused these presents to be signed by its proper officers, and its corporate seal to be hereunto affixed this 14th day of December, 1995, ../ / ~ ~ ~ ~ ......~.L ~--<7: J~ John E. Savage, Pre dent Karen G. Cohen, Secretary State of California County of Los Angeles On December 14,1995 before me, Peggy B. Lofton Notary Public, personally appeared John E, Savage and Karen G, Cohen, personally known to me (or proved to me on the basis of satisfactory evidence) to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me all that helsh~they executed the same in hislher/~eir authorized capacity(ies), and that by hislher/their signature(s )f ~;. nenJ.1he~;~O;hc;.l(.ntiLY ~nJlehf of which the person(s) acted. executed the Instrument. ""UIIUIII", . . __..._ ",,'" \ N S ti""", WITNESS hand and offiCial seal. r~... .............. """':(.-{ ~""''''''.''''.'~''';'''''' i Com'ltIlll,n#lQWD61 ~ .frv',.....~POIi.....~T'k% ~ NoIaIyNllc-CaltradI S l~/"cP '1;':\.0\ Signature . (seal)1 LoI~.CcMny 1- ~ ,:) t ~ ~ \ t1\ ~ Mv Comm. ElplMeAug 6. 1t9t ;: CJ;) iDEe. M, i (") ~ _ _ ~ _ _ _ _ _ _ ~ _ ..- ~ r- \. 1995 j 0 i \tIl \. 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