Request for Tender [**Insert RFT Number**]

for

[**Insert Title of RFT**]

Appendix B

Supplementary General Conditions of Contract

Document 3 of 5

Electronic submission required

The Regional Municipality of Durham

Works Department

Supplementary

General Conditions

of Contract

Supplement to

OPSS.MUNI 100 (November 2019)

OPS General Conditions of Contract

Supplementary General Conditions (GC) of Contract

The following revisions to Ontario Provincial Standard Specifications OPSS.MUNI 100, the Ontario Provincial Standards (OPS) General Conditions of Contract, dated November 2019, shall apply to this contract:

GC 1.04	Definitions

The definition for “Change Directive” is amended by the addition of the words “and acknowledged by the Contractor’s signature” before the word “directing”.

Add the following definition:

RMDCS means the Regional Municipality of Durham Construction Specifications for Regional Services, latest edition at the time of tender closing.

GC 2.02	Order of Precedence

Paragraph .01 is deleted and replaced with the following:

In the event of any inconsistency or conflict in the contents of the following documents, such documents shall take precedence and govern in the following descending order:

Agreement/Purchase Order

Addenda

Special Provisions

Contract Drawings

Information for Bidders, Part 1 through Part 4

Regional Municipality of Durham Construction Specifications for Regional Services

Ontario Provincial Standard Specifications (OPSS)

Regional Municipality of Durham Standard Drawings

Ontario Provincial Standard Drawings (OPSD)

Appendix C, Pricing Forms, Schedule of Items and Unit Prices

Supplementary General Conditions

General Conditions

Working Drawings

Later dates shall govern within each of the above categories of documents.

Subsection 2.02.04 is amended by the addition of the following new paragraph:

Neither party to the Contract shall take advantage of any apparent error or omission in the drawings or specifications. The Contract Administrator shall be permitted to make such corrections and interpretations as may be necessary for fulfilment of the intent of the drawings and specifications. The Contract Administrator shall not unfairly refuse compensation for such corrections and interpretations; however, the Contract Administrator shall be the sole judge of the value of such compensation, if any.

GC 3.03	Right of the Contract Administrator to Modify Methods and Equipment

Subsection GC 3.03 is amended by the addition of the following new paragraphs:

.04	Whenever the progress of the Work is not keeping pace with the approved schedule the Contract Administrator may order the work to proceed on a two or three eight-hour-shift basis if they deems this necessary to speed up the work, or they may order any work to be carried out in whole or in part at night, and the Contractor shall have no claim for extra compensation in respect thereof. No work, however, shall be undertaken at night without the consent in writing of the Owner.

Whenever, in the judgement of the Contract Administrator, it may be necessary or expedient, in order to preserve and maintain traffic over or on any street or road, or to maintain essential services to customers to do work at night or after or before the regular time of ending or beginning labour, such night, overtime or weekend work shall be performed by the Contractor.

GC 3.06	Extension of Contract Time

Subsection GC 3.06 is deleted in its entirety and replaced with the following:

GC 3.06	Progress of Work and Extension of Contract Time

GC 3.06.01	Time

Time shall be of the essence of this agreement.

GC 3.06.02	Time for Completion

If the Contract Time specified is not sufficient to permit Completion of the Work by the Contractor working a normal number of hours each day or week on a single daylight shift basis, it is expected that additional and/or augmented daylight shifts will be required throughout the life of the Contract to the extent deemed necessary by the Contractor to ensure that the work will be performed within the Contract Time specified. Any additional costs occasioned by compliance with these provisions will be considered to be included in the prices bid for the various items of work and no additional compensation will be allowed therefore.

GC 3.06.03	Extension of Contract Time

An application for an extension of Contract Time shall be made in writing by the Contractor to the Contract Administrator as soon as the need for such extension becomes evident and at least 15 Days prior to the expiration of the Contract Time. The application for an extension of Contract Time shall enumerate the reasons and state the length of extension required.

Circumstances suitable for consideration of an extension of Contract Time include the following:

Delays; See subsection GC 3.07.

Changes in the Work; See clause GC 3.10.01.

Extra Work; See clause GC 3.10.02.

Additional Work; See clause GC 3.10.03.

The Contract Administrator, in considering an application for an extension to the Contract Time, shall take into account whether the delays, Changes in the Work, Extra Work or Additional Work involve a Controlling Operation.

The Contract Time shall be extended for such additional time as may be recommended by the Contract Administrator and deemed fair and reasonable by the Owner.

The terms and conditions of the Contract shall continue for such extension of Contract Time.

In the event of the Owner granting an extension of time, time shall continue to be deemed of the essence of this Contract.

GC 3.07	Delays

For the purpose of subparagraph .01 f), the term “abnormal weather” shall apply only where one of the following conditions has been demonstrated to the satisfaction of the Contract Administrator:

Rainfall exceeds 25 mm in 24 hours

Snowfall exceeds 25 cm in 24 hours

Ambient outside air temperature exceeds 35 °C for more than two hours

Ambient outside air temperature is below -25 °C for more than two hours

In the case of .1 and .2, the majority of the rainfall or snowfall either must have occurred during normal working hours as specified in the Contract Documents or must have commenced within three hours of the start of normal working hours.

Where the Contractor claims that a delay has occurred due to abnormal weather, the Contractor shall, on the date such delay has occurred, inform the Contract Administrator of their intent to claim for such delay and indicate which work activities have been delayed. The Contractor shall submit to the Contract Administrator their final claim for such delay within five Working Days of the occurrence, complete with full supporting documentation from Environment Canada indicating what weather event caused the delay and the hours during which the event occurred.

An extension to the Contract Time due to abnormal weather will only be granted if the work activity that has been delayed is part of the Work’s critical path according to the latest accepted schedule revision at the time of such weather event. The extension to the Contract Time shall be limited to the duration of the weather event and documented in a Change Order by the Contract Administrator.

The Contactor shall monitor local weather forecasts and take reasonable measures to mitigate delays in the Work and damage to the Work due to weather conditions. The Contractor’s claim for delay may be denied or reduced if, in the opinion of the Contract Administrator, the Contractor had failed to take reasonable measures to mitigate such delays.

The Contractor shall not be reimbursed for any costs associated with delays due to abnormal weather. Such delays, if allowed by the Contract Administrator in accordance with this clause, shall only be eligible for an extension of the Contract Time.

GC 3.10.01	Changes in the Work

The last sentence of paragraph .01 of Clause GC 3.10.01 is deleted and replaced with the following:

Upon the receipt of such Change Order or Change Directive the Contractor shall sign the Change Order or Change Directive acknowledging receipt and proceed with the Change in the Work.

Clause GC 3.10.01 is amended by the addition of the following new paragraph:

The Owner reserves the right to delete any portion of the work from the Contract should it be deemed in the interest of the Owner to do so.

Renumber the remaining paragraph as .04.

GC 3.10.02	Extra Work

The last sentence of paragraph .01 of Clause GC 3.10.02 is deleted and replaced with the following:

Upon the receipt of such Change Directive the Contractor shall sign the Change Directive acknowledging receipt and proceed with the Extra Work.

GC 3.11.01	Notices

Add the following sentence to the end of the paragraph:

A notice of non-payment by the Owner to the Contractor pursuant to section s. 6.4(2) of the Construction Act shall be considered a notice under this section of this Agreement.

GC 3.13.04	Negotiations

Paragraph .02 of Clause GC 3.13.04 shall be amended as follows:

The words “or subsection GC 3.14, Arbitration” shall be deleted from the end of Paragraph .02.

GC 3.13.05	Mediation

Paragraph .03 of Clause GC 3.13.05 shall be amended as follows:

The words “prior to proceeding to arbitration” shall be deleted from the third line.

GC 3.14	Arbitration

GC 3.14 – Arbitration is deleted in its entirety.

GC 4.02	Approvals and Permits

Subsection 4.02 is amended by the addition of the following new paragraphs:

The construction of the works and all operations connected therewith are subject to the approval, inspection, by-laws and regulations of all municipal, provincial and federal and other authorities having jurisdiction in respect to any matter embraced in this Contract.

Prior to any works being undertaken within the limits of the Contract, the Contractor shall obtain road occupancy permits from the applicable road authorities as required.

All fees payable in respect of these permits and approvals shall be at the Contractor's expense with the exception of the fees for the Ministry of Labour approval and Building Permits, should these be required.

GC 5.04	Substitutions

Subsection GC 5.04 is amended as specified in Section 01201 of the Region of Durham’s Standard “Construction Specifications for Regional Services”.

GC 6.02	Indemnification

Section GC 6.02 is amended by the addition of the following new paragraph:

Claims that are directed to the Contractor by a third party will be expected to be handled in a timely and professional manner. Final written adjudication of the claim shall be reported to the Region's Supervisor of Risk Management at the following address:

Region of Durham Finance Department

Risk Management Supervisor

605 Rossland Road East

4th Floor

P.O. Box 623

Whitby, Ontario L1N 6A3

Attention: Ms. Sonia Coward

GC 6.03.02	Commercial General Liability Insurance

Paragraph .01 is deleted and replaced with the following:

Commercial General Liability insurance shall be in the name of the Contractor, with the Owner, the lower tier municipality and the consultant named as additional insureds, with limits of not less than five million dollars inclusive per occurrence for bodily injury, death, and damage to property including loss of use thereof, with a property damage deductible of not more than $5,000. The form of this insurance shall be the Regional Municipality of Durham Certificate of Insurance Form. The Contractor shall forward with the executed contract documents a certified copy of the completed Certificate of Insurance Form.

Paragraph .02 is deleted.

Paragraph .03 is deleted and replaced with the following:

The Commercial General Liability insurance policy shall be maintained continuously from commencement of the Work to the date of Completion Acceptance as indicated by the Certificate of Completion. With respect to completed operations, coverage shall be maintained until the end of the Warranty Period.

GC 6.03.04	Aircraft and Watercraft Liability Insurance

GC 6.03.04 is deleted in its entirety and replaced with the following:

GC 6.03.04	Professional Liability (Errors & Omissions) Insurance

Professional Liability (Errors and Omissions) Insurance shall be in the name of the Contractor with limits of not less than two million dollars per occurrence and an aggregate limit of not less than four million dollars.

Where a consulting Engineer or other licensed professional who will perform professional design work is retained for work where Professional Liability coverage is a Contract requirement, the Consultant/Company must ensure the necessary insurance at the limits above is obtained.

GC 6.03.05	Property and Boiler Insurance

GC 6.03.05 is deleted in its entirety and replaced with the following:

GC 6.03.05	Environmental Liability Insurance

Asbestos Abatement and Environmental Impairment Liability insurance shall have limits of not less than five million dollars per occurrence. Such insurance shall include all operations associated with removal and disposal of asbestos-cement pipe.

GC 6.03.06	Contractor’s Equipment Insurance

GC 6.03.06 is deleted in its entirety.

GC 6.04	Bonding

Subsection GC 6.04 is deleted in its entirety and replaced with the following:

A bond, in an amount equal to fifty per cent (50%) of the Total Price, will be required for the faithful performance of the Contract, including rectification of deficiencies during the Warranty Period. The standard Performance Bond form as prescribed in the Construction Act shall be used.

A bond, in an amount equal to fifty per cent (50%) of the Total Price, will be required for the faithful payment of labour and materials related to the Contract. The standard Labour & Material Payment Bond form as prescribed in the Construction Act shall be used.

The surety firm used to provide the specified bonds must be acceptable to the Region of Durham and shall be licensed and authorized by the Financial Services Commission of Ontario (FSCO) to issue bonds in Ontario in accordance with the Insurance Act, R.S.O. 1990, Chapter I.8.

Refer to Appendices SGC-A & SGC-B for Bond Forms

Payment for Bonds shall be made on the first Progress Payment Certificate under the appropriate tender items.

Bonds shall not be extended to cover any amounts in excess of the Total Price unless explicitly requested by the Owner. No claims for such additional bonding will be considered unless such additional bonding is requested by the Owner.

GC 7.01.03	Control and Responsibility

Paragraph .01 is amended by the addition of the following:

The Contract Administrator or Owner shall have the right to order a change in the Contractor's operations, including increased length of Work Day and/or increased number of work crews and/or equipment, in order to ensure that the Contract Time is not surpassed due to the Contractor's construction means, methods, techniques, sequences and/or procedures.

GC 7.01.10	Non-Resident Contractors

Add new section GC 7.01.10 – Non-resident Contractors

If the Contractor is non-resident in Ontario, he shall, immediately after being notified by the Owner that his tender has been accepted, obtain from the Retail Sales Tax Branch a certificate showing that the Contractor has registered with the Retail Sales Tax Branch and shall submit such certificate to the Owner at the time that he furnishes the Performance Bond and the Labour and Materials Payment Bond. In addition, wherever the Contract Documents require a Certificate of Clearance from the Workplace Safety and Insurance Board, the non-resident Contractor shall provide an equivalent document from his home province or state.

GC 7.02	Monuments and Layout

Paragraphs .07, .08 and .09 are amended in that, except as otherwise noted, layout shall be done by Region of Durham forces and all responsibility for the layout and elevations supplied by the Owner shall be borne by the Owner.

The Contractor shall be responsible for the preservation of all property bars while the Work is in progress, except those property bars that require removal to facilitate the Work. Any property bars disturbed, damaged, or removed by the Contractor’s operations shall be replaced under the supervision of an Ontario Land Surveyor, at no cost to the Owner.

All stakes, marks and reference points provided by the Contract Administrator shall be carefully preserved by the Contractor. In the case of their destruction or removal, such stakes, marks, and reference points shall be replaced by the Contractor at no cost to the Owner.

GC 7.03	Working Area

Subsection 7.03 is amended by the addition of the following:

The Contractor shall install, and remove upon completion of the Work, a temporary metal fence to delineate and secure a “compound” for equipment and material storage. All materials and equipment shall be stored in this fenced compound unless such material and equipment is actively in use in the performance of the Work. Any removed materials shall be disposed of immediately or shall be temporarily stored in the fenced compound until its proper disposal.

The Owner has arranged for permanent and construction easements, and easements for access roads as shown on the Contract Drawings and under the conditions stated elsewhere. Any further working areas or access routes will be the responsibility of the Contractor. The Contractor shall provide the Contract Administrator with a copy of any arrangements, including conditions, for occupation of lands other than those acquired by the Owner. In no case shall the Contractor occupy private property without the approval of the Contract Administrator and the property owner.

Upon completion of the Contract, the Contractor shall provide the Contract Administrator with two copies of a Form of Property Owner’s Release, using the format as provided in Appendix SGC-F, signed by each property owner upon whose land he has entered for any purpose in conjunction with the Contract.

GC 7.14	Limitations of Operations

Paragraph .01 is deleted and replaced with the following new paragraphs:

Except for such work as may be required by the Contract Administrator to maintain the Work in a safe and satisfactory condition, the Contractor shall normally carry on operations under the Contract during the daylight hours of any week day, or Saturday, providing that he so conducts his operations as not to create a nuisance or disturb the peace unnecessarily and providing such hours meet with the approval of the Owner and the lower tier municipality. No work shall be permitted on Sundays, except in the case of emergency, and then only with the written permission of the Contract Administrator and to such extent as he may judge to be necessary. Whenever the Contractor desires to depart from his normal working hours as established by his past performance, he shall obtain written approval from the Owner at least 48 hours prior to the contemplated change in operations.

The Contractor shall, as far as possible, refrain from work on statutory holidays or other holidays recognized by the Owner. In case he desires to work on any such holiday, he shall notify the Contract Administrator in writing at least four Business Days in advance of such holiday that he desires to work, stating those places where said work will be conducted. Failure to give such notice in advance shall be considered as an indication that no work requiring the presence of the Contract Administrator is to be done by the Contractor on such Statutory Holiday.

The remaining paragraph is renumbered as .03.

GC 7.16	Warranty

Paragraph .02 is deleted and replaced with the following:

Subject to the previous paragraph the Contractor shall correct promptly, at no additional cost to the Owner, defects or deficiencies in the Work that appear,

a)	prior to and during the period of 24 months from the date of Substantial Performance of the Work, as set out in the Certificate of Substantial Performance of the Work,

b)	where there is no Certificate of Substantial Performance, 24 months from the date of Completion of the Work as set out in the Completion Certificate, or

c)	such longer periods as may be specified in the Contract Documents for certain Materials or some of the Work.

The Contract Administrator shall promptly give the Contractor written notice of observed defects or deficiencies. The decision of the Owner as to the nature, extent and cause of such imperfections and the necessity for remedying the same shall be final.

Subsection 7.16 is amended by the addition of the following new paragraphs:

Should the Contractor fail to comply with the directions of the Contract Administrator, the Owner may, after giving the Contractor five Business Days written notice, perform the necessary work, provided that in the event of an emergency, the Owner may forthwith without notice perform the necessary work and the cost of such work in either event may be deducted or collected by the Owner.

The Warranty Period will be extended if known deficiencies are incomplete upon expiration of the specified Warranty Period.

GC 7.17	Contractor’s Workers

Paragraph .01 is deleted and replaced with the following:

The Contractor shall be responsible for the conduct of any person or persons in his employ or in the employ of his Subcontractors and suppliers. The Contractor shall only employ orderly, competent, and skilful workers to do the Work. For the purposes of this Contract, "workers" shall also include all persons under the employ of the Contractor's Subcontractors and suppliers.

Where any worker(s) are, in the opinion of the Contract Administrator, found to be: intemperate; disorderly; wilfully negligent; dishonest; repeatedly in contravention of the Contract Documents; in any way repugnant to a member of the public, the Owner or the Contract Administrator; or incompetent in the performance of their duties under the Contract, such worker(s) shall be removed from the work. Such worker(s) shall not be employed on the work or involved in the Contract again without the written consent of the Contract Administrator.

Where any worker has been removed from the work under this provision from a previous contract, the Owner reserves the right to refuse such worker from any involvement in the Contract.

Insert the following new Subsection GC 7.19:

GC 7.19	Health and Safety

The Contractor shall comply with the Region’s Health and Safety policies, programs, rules and requests. Copies of the Region of Durham's Corporate Health and Safety Policy and Programs are available through the Region's Works Department Safety Office.

The Contractor shall ensure all Subcontractors and suppliers are aware of and comply with all Region of Durham Health and Safety policies, programs, rules and requests.

The Contractor shall provide a copy of Contractor’s current Health and Safety Policies and Program prior to the commencement of construction.

The Contractor shall obtain copies of all Subcontractors’ Health and Safety policies and programs.

The Contractor shall comply with all Federal and Provincial Health and Safety Acts and Regulations, Lower Tier Municipality Health and Safety By-Laws and with all applicable industry safety standards.

The Contractor shall comply with current Ontario Regulations for Construction Projects made under the Occupational Health and Safety Act (OHSA). Copies of the Regulations may be obtained from Service Ontario Publications, email webpubont@ontario.ca (Tel. 416-326-5300 or 1-800-668-9938).

The Contractor shall provide any and all personal protective equipment for its own workers where prescribed. If any worker fails to comply with any program, policy, rule or request regarding health and safety, the Region reserves the right to order the removal of that person from the Work.

The Contractor shall maintain on site, at a location accessible to the Consultant and the Owner, current Safety Data Sheets (SDS).

The Contractor shall provide the Owner with a list of Designated Substances that will be brought to the site prior to commencing work.

In accordance with the Region of Durham Corporate Health and Safety Policy and Program, if any designated hazardous substances have been identified within the Working Area, a list of those substances found to be present will be provided in the Special Provisions or the Geotechnical Report contained in the Contract Documents.

The Contract Administrator shall have the right to document all health and safety concerns regarding the Contractor’s operations and to issue warnings and/or to stop work for any Contractor violations of the OHSA, Ontario Construction Regulations, or any health and safety requirements of the contract, including Regional health and safety policies, programs, rules, and/or if the Contractor creates a health or safety hazard.

Written warnings and/or stop work orders shall be given to the Contractor using the Region’s Contractor Health and Safety Warning / Stop Work Order Form.

The Owner reserves the right to have a hazard corrected at the Contractor’s expense.

The Contractor shall notify all regulatory bodies required for construction activities, (e.g., Notice of Project, employer notification, etc.). Notifications shall include, but not be limited to, the notification requirements laid out in OHSA Section 51 through Section 53.1 and the requirements of Ontario Regulation 213/91 (Construction Projects) Sections 5, 6 and 7. For the purpose of this contract the Contractor shall be the “Constructor”.

GC 8.02.03	Advance Payments for Material

Paragraph .01 is deleted and replaced with the following:

The Owner may make advance payments for Material intended for incorporation in the Work upon the written request of the Contractor and according to the following terms and conditions:

GC 8.02.04.01	Progress Payment

Paragraph .01 and .02 are deleted and replaced with the following:

The Contract Administrator shall schedule and chair a monthly payment review meeting with the Owner and Contractor no less than five (5) calendar days before the end of the payment period to review amounts owing to the Contractor for the payment period. These amounts shall be communicated by the Owner to the Contractor by the last day of the current payment period with the preparation of a proposed payment certificate.

The Contractor shall submit an invoice, which must include the following to be considered a Proper Invoice under the Construction Act:

The Contractor’s name and address;

The date of the application for payment and the period during which services or materials were supplied;

Information identifying the authority under which services or materials were supplied;

A description, including quantity where appropriate, of the services or materials that were supplied;

The amount payable for the services or materials that were supplied and the payment terms;

The amount of any applicable taxes;

The name, title, telephone number and mailing address of the person to whom payment is to be sent;

An updated copy of the current Progress Schedule from the most recent Progress Meeting;

Approved Change Orders signed by the Owner, Consultant and Contractor;

Copy of successful testing and commissioning reports where specified in the Contract Special Provisions,

Record of payment review meeting for applicable billing period and proposed payment certificate;

Copy of completed Region of Durham Time and Material breakdown form, when work was performed on a Time and Material basis; and

A Substantial Performance Release of Claims letter, a Completion Release of Claims letter or a Final Release of Claims letter (when applicable) in the form provided in Appendix SGC-C, Appendix SGC-D or Appendix SGC-E respectively.

The aforesaid progress payment shall not be deemed to be a finalization of work performed up to the end of the respective payment period. The Contractor shall retain all rights to claim for any work, or extra work, performed during the course of the contract and the Contract Administrator shall retain all rights to make adjustments to any previous Certificate.

Add the following new paragraph:

On all invoices submitted after the Substantial Performance Payment Certificate, the Contract Administrator may retain two per cent (2%) of the estimated value of Work performed to the Cut-Off Date for finalization of quantities and Change Orders. The Contract Administrator shall endeavour to complete their finalization of quantities and Change Orders in a timely manner, however, the Contract Administrator reserves the right to retain such 2% Finalization Holdback for a period not to exceed 120 Days from the date of Completion.

GC 8.02.04.05	Substantial Performance Payment and Substantial Performance Statutory Holdback Release Payment Certificates

GC 8.02.04.05 is amended by the addition of the following:

a Substantial Performance Release Letter, using the format as provided in Appendix SGC-C, releasing the Owner from all further claims relating to the Contract for all work up to and including the date of Substantial Performance, qualified by stated exceptions such as outstanding work or matters arising out of adjudication or subsection GC 3.13, Claims, Negotiations, Mediation

a statutory declaration in a form satisfactory to the Contract Administrator that all liabilities incurred by the Contractor and the Contractor’s Subcontractors in carrying out the Contract have been discharged except for statutory holdbacks properly retained and that all liens in respect of the Contract and Subcontracts thereunder have expired or have been satisfied, discharged or provided for by payment into Court;

GC 8.02.04.07	Completion Payment and Completion Statutory Holdback Release Payment Certificates

The title of this Clause is revised to “Completion Payment and Finishing Holdback Release Payment Certificates.”

Paragraph .01 is deleted and replaced with the following:

When the Contract Administrator issues the Completion Certificate, the Contract Administrator will also issue the Completion Payment Certificate and the Finalization Holdback Release Payment Certificate or where appropriate, a combined payment certificate.

Paragraph .02 is deleted and replaced with the following:

The Finishing Holdback Release Payment Certificate will be a payment certificate releasing to the Contractor the 10% Finishing Holdback. Payment of such Finishing Holdback shall be due 61 Days after the date of Completion of the Work as established by the Completion Certificate but subject to the provisions of the Construction Act and the submission by the Contractor of the following documents that are in addition to the requirements stated in GC 8.02.04.01 - Progress Payment Certificates:

a Completion Release Letter, using the format as provided in Appendix SGC-D, releasing the Owner from all further claims relating to the Contract, qualified by stated exceptions where appropriate; and

a statutory declaration in a form satisfactory to the Contract Administrator that all liabilities incurred by the Contractor and the Contractor’s Subcontractors in carrying out the Contract have been discharged except for statutory holdbacks properly retained and that all liens in respect of the Contract and Subcontracts thereunder have expired or have been satisfied, discharged or provided for by payment into Court.

GC 8.02.04.09	Interest for Late Payment

Sub-paragraph .01 f) is deleted and replaced with the following:

f)	Finishing Holdback Release Payment Certificate: 89 Days after the date certified as the date that the Work was completed.

GC 8.02.04.10	Interest for Negotiations and Claims

GC 8.02.04.10 is deleted in its entirety.

GC 8.02.04.11	Owner’s Set-Off

Paragraph .01 is deleted and replaced with the following:

Pursuant to Section 12 of the Construction Act, the Owner may retain from monies owing to the Contractor under this contract (or in the event of the Contractor’s insolvency under any other contract) an amount sufficient to cover any outstanding or disputed liabilities including the cost to remedy deficiencies, the reduction in value of substandard portions of the Work, claims for damages by third parties which have not been satisfactorily determined in writing by the Contractor’s insurer, undetermined claims by the Owner under paragraph GC 8.01.02.01 a), any assessment due the Workplace Safety and Insurance Board and any monies to be paid to the workers in accordance with clause GC 8.02.06, Payment of Workers, all as determined in the sole and absolute discretion of the Owner.

Clause GC 8.02.04 is amended by the addition of the following new Sub-clause GC 8.02.04.13:

GC 8.02.04.13	Final Payment Certificate

Upon the issuance of the Final Acceptance Certificate in accordance with clause GC 8.02.06 and when the Contractor and the Contract Administrator have finalized all quantities, Change Orders, claims and credit issues, the Contract Administrator shall prepare a Final Payment Certificate releasing any monies due the Contractor. The receipt of a Final Release of Claims Letter from the Contractor using the format provided in Appendix SGC-E, releasing the Owner from all further claims relating to the Contract shall be a condition precedent to the preparation of a Final Payment Certificate. No alterations, qualifications or limitations upon the Final Release of Claims Letter will be accepted.

Insert the following new clause GC 8.02.04.14:

GC 8.02.04.14	Warranty Security Holdback

The Warranty Security Holdback will be retained progressively, commencing on the first Payment Certificate, from monies that would otherwise be payable to the Contractor. The maximum value of the Warranty Security Holdback will be as specified in the Special Provisions.

The maximum Warranty Security Holdback will be held commencing on the Substantial Performance Payment Certificate. The amount withheld on Payment Certificates prior to the Substantial Performance Payment Certificate will be based on the percentage of work completed.

Where Extra Work or Additional Work is added to the Contract after the closing of tenders the Owner reserves the right to request additional Warranty Security to cover such additional work, if such additional security is deemed in the Owner’s interest. Payment for any additional security shall be included in the respective Change Orders.

The retained amount is strictly to be used as a Warranty Security and is in addition to the Statutory Holdback, Finishing Holdback, the warranty provided by the Contractor's Performance Bond and any monies withheld due to known incomplete and/or deficient work or for finalization of the contract value.

Except as otherwise provided hereunder, the Warranty Security Holdback, less any deductions made therefrom as provided for in the Contract, shall be released to the Contractor on the Final Payment Certificate. No interest will be payable on the Warranty Security Holdback where credit issues and/or claims remain outstanding at the end of the Warranty Period.

No substitute forms of security will be accepted.

GC 8.02.05	Payment on a Time and Material Basis

Subsection GC8.02.05 is amended by the addition of the following:

The Owner shall not be responsible to pay any H.S.T. amounts on invoiced work or materials. As such, the Owner shall deduct H.S.T. amounts from all equipment, Material and Subcontractor invoices prior to applying allowable mark-up on such costs.

GC 8.02.05.02	Daily Work Records

Paragraph .01 of Subsection GC8.02.05.02 is deleted and replaced with the following:

Daily Work Records, prepared by either the Contractor's representative or the Contract Administrator, as the case may be, reporting the labour and Equipment employed and the Material used on each Time and Material project, shall be reconciled and signed by both the Contractor's representative and the Contract Administrator within 24 hours.

GC 8.02.05.04	Payment for Labour

Paragraph .01 is deleted and replaced with the following:

The Owner shall pay the Contractor for labour employed on each Time and Material project at the unit prices stated in the Schedule of Contingency Unit Prices shown in the Tender. Reference Section 01210 of RMDCS for details.

GC 8.02.05.09	Submission of Invoices

The first sentence of Paragraph .02 is deleted and replaced with the following:

Separate summaries shall be completed by the Contractor on the “Region of Durham T&M Cost Breakdown” form.

Clause GC 8.02.05.09 is amended by the addition of the following new paragraph:

.05	Invoices shall be delivered to the Owner no earlier than seven days after the last day of the applicable billing period.

GC 8.02.08	Taxes

The last sentence of Paragraph .03 is deleted and replaced with the following:

This statement shall be submitted not later than 30 Days after issuance of the Completion Certificate in accordance with clause GC 8.02.03.06, Certification of Completion.

Clause GC 8.02.08 is amended by the addition of the following new paragraphs:

The Contract Administrator reserves the right to make deductions from the regular progress payments to compensate for the estimated benefit from decreased tax costs. Such deductions will be set-off from contract payments pending receipt of the statement itemizing the benefits which have resulted from the decrease in tax costs at which time the final payment adjustment will be determined.

All bid prices set out in the Tender shall be submitted exclusive of taxes (H.S.T.)

GC 8.02.09	Liquidated Damages

Paragraph .01 is deleted and replaced with the following:

It is agreed by the Parties to the Contract that in case the work is not Substantially Performed within the Contract Time, damage will be sustained by the Owner and the parties hereto agree that the Contractor will pay to the Owner the sum of _______ ($____.00) for each and every calendar day beyond the Contract Time that the work remains not Substantially Performed.

The Owner may deduct any amount due under this paragraph from any monies that may be due or payable to the Contractor on this or any other contract with the Owner. The liquidated damages payable under this paragraph are in addition to and without prejudice to any other remedy, action or other alternative that may be available to the Owner.

The Contractor shall not be assessed with Liquidated Damages for any delay caused by Acts of God or of the Public Enemy, Acts of the Province or of a Foreign State, Fire, Flood, Earthquake, Epidemic, Quarantine Restriction, Embargo or delays of Subcontractors due to such causes.

Insert the following new subsection GC 8.02.10:

GC 8.02.10	Construction Act

The Contractor shall give the Contract Administrator notice in writing, immediately, of all lien claims or potential lien claims coming to the knowledge of the Contractor or its agents.

When a claim for lien or notice of lien is filed by a Subcontractor, labour or material supplier or equipment renter, the Contractor shall forthwith pay to the Owner its reasonable legal fees incurred in connection therewith, on a substantial indemnity basis, together with all interest, costs and expenses incurred by the Owner and such remedy shall be in addition to any other remedy available to the Owner under the terms of the Contract.

Where any lien claimant asks from the Owner the production for inspection of the Contract Documents or the state of the accounts between the Owner and the Contractor, the Contractor shall be liable for an administration fee of up to Two Hundred Dollars ($200.00) for each request made as compensation for the preparation of such accounting or for the preparation of the Contract Documents, or both, as the case may be.

Where an application is brought to a judge of a competent jurisdiction to compel production of any particular document to a lien claimant, the Contractor further agrees to indemnify the Owner from reasonable legal fees, on a substantial indemnity basis, incurred in appearing on such an application and in addition agrees to pay to the Owner its reasonable costs incurred in producing such documents to the extent that the same is made necessary under the disposition of the matter by such judge.

The Contractor acknowledges and agrees that any and all fees, costs, or expenses of any nature whatsoever which are the responsibility of the Contractor under this Clause shall be deductible from monies otherwise payable to the Contractor.

Appendices

SGC-A	Form 32 Performance Bond under Section 85.1 of the Act

SGC-B	Form 31 Labour and Material Payment Bond under Section 85.1 of the Act

SGC-C	Substantial Performance Release of Claims Letter

SGC-D	Completion Release of Claims Letter

SGC-E	Final Release of Claims Letter

SGC-F	Region of Durham Standard Form for Property Owner's Release

Appendix SGC-A - Form 32 Performance Bond under Section 85.1 of the Act

In accordance with the terms and conditions of this RFT, the lowest compliant bidder must complete and submit Form 32 Performance Bond under Section 85.1 of the Construction Act.

*The surety firm must send all contract progress report requests directly to the Contract Administrator*

Appendix SGC-B - Form 31 Labour and Material Payment Bond under Section 85.1 of the Act

In accordance with the terms and conditions of this RFT, the lowest compliant bidder must complete and submit Form 31 Labour and Material Payment Bond under Section 85.1 of the Construction Act.

Appendix SGC-C - Substantial Performance Release of Claims letter

Before the release of any portion of the 10 % Statutory Holdback, the Contractor must provide a Substantial Performance Release Letter to the Contract Administrator using the following wording and format:

(Contractor's letterhead)

The Regional Municipality of Durham

Works Department

5th Floor

605 Rossland Road East

P.O. Box 623

Whitby, Ontario

L1N 6A3

Attention: Contract Administrator

RE:	Region of Durham Contract D20xx-xxx

Xxxxxxxxxx xxxxxxxxxxxxxxx

Substantial Performance Release

In the matter of Contract D20xx-xxx, being a contract between (company name) and the Regional Municipality of Durham, I, (first last), being the (position) of the above named company, hereby certify that (company name) agrees that the amount of $xxx.xx represents the total value of the work completed under this contract up to (cut-off of next payment).

(xxxx being the date of Substantial Performance).

I further certify that (company name) has no further claims related to work performed on this contract on or before the date of Substantial Performance except as noted below.

I further certify that (company name) will expeditiously complete any and all outstanding work and to discharge all unfulfilled obligations under the Contract.

Outstanding issues previously submitted in accordance with GC 3.13.03:

1.	(Description and value of claim)

2.	(Description and value of claim)

3.	(Description and value of claim)

Signature

Name

Position

Note: Issues not previously submitted in accordance with GC 3.13.03 shall not be listed here or in any future correspondence related to this contract.

Appendix SGC-D - Completion Release of Claims Letter

Before release of the Completion Payment Certificate or Invoice, the Contractor must provide a Completion Release Letter to the Contract Administrator using the following wording and format:

(Contractor's letterhead)

The Regional Municipality of Durham

Works Department

5th Floor

605 Rossland Road East

P.O. Box 623

Whitby, Ontario

L1N 6A3

Attention: Contract Administrator

RE:	Region of Durham Contract D20xx-xxx

Xxxx xxxx xxxx

Completion Release of Claims

In the matter of Contract D20xx-xxx, being a contract between (company name) and the Regional Municipality of Durham, I,Name, being the (position) of the above named company, hereby certify that (company name) agrees that the amount of $xxxx.xx , as shown on your proposed Completion Payment Certificate No. , represents the total final value of work completed under this contract, subject to the resolution of the following outstanding claims:

Outstanding issues previously submitted in accordance with GC 3.13.03:

1.	(Description and value of claim)

2.	(Description and value of claim)

3.	(Description and value of claim)

Appendix SGC-D - Completion Release of Claims Letter (Continued)

Signature

Name

Position

Note: Issues not previously submitted in accordance with GC 3.13.03 shall not be listed here or in any future correspondence related to this contract.

Appendix SGC-E - Final Release of Claims Letter

Before release of the Final Payment Certificate or Invoice, the Contractor must provide a Final Release Letter to the Contract Administrator using the following wording and format with no alterations, qualifications or limitations:

(Contractor's letterhead)

The Regional Municipality of Durham

Works Department

5th Floor

605 Rossland Road East

P.O. Box 623

Whitby, Ontario

L1N 6A3

Attention: Contract Administrator

RE: Region of Durham Contract D20xx-xxx

Xxxx xxxx xxx

Final Release of Claims

In the matter of Contract D20xx-xxx, being a contract between (company name) and the Regional Municipality of Durham, I, name, being the (position) of the above named company, hereby certify that (company name) agrees that the amount of $xxx.xx represents the total final value of the work completed under this contract and that (company name) has no further claims related to this contract.

Signature

Name

Position

Appendix SGC-F - Region of Durham Standard Form for Property Owner's Release of Land Used by the Contractor

Upon completion of the Contract, the Contractor shall provide to the Contract Administrator two (2) copies of a form of release signed by each property owner upon whose land the Contractor has entered for any purpose in conjunction with the Contract as follows:

Date:

To:	Contract Administrator

The Regional Municipality of Durham

Works Department

5th Floor

605 Rossland Road East

P.O. Box 623

Whitby, Ontario

L1N 6A3

RE:	Contract D20xx-xxx

I hereby certify that (insert name of Contracting Firm) have fulfilled the terms of our agreement and have left my property in a satisfactory condition.

I release (insert name of Contracting Firm) and the Regional Municipality of Durham from further obligations.

Yours very truly,

Signature

Property Owner's Name

Lot	, Concession	, Municipality of

(Please complete above, printing with ink or by typewriter)

Final payment will not be paid to the Contractor until all the applicable forms of release have been signed by property owners, received by the Owner and checked.