Performance and Payment BondsAIA Document A312
*erformance. Bond Bond No. 104494211T
Conforms with the American Institute of Architects, AIA Document A312.
Any singular reference to Contractor, Surety, Owner or other party shall be considered plural where applicable
CONTRACTOR (Name and Address): SURETY (Name and Principal Place of Business):
Martel Construction, Inc. Travelers Casualty and Surety Company of America
305 Highway 83 707 W. Main St., Suite 300
Bigfork, MT 59911 Spokane, WA 99201
OWNER (Name and Address): City of Kalispell
Kalispell Fire Department
312 First Avenue East
Kalispell, MT 59901
CONSTRUCTION CONTRACT
Date: June 10, 2005
Amount: *$2,295,000.00*
Description (Name and Location): Kalispell Fire Station #62
Kalispell, MT
BOND
Date (Not earlier than Construction Contract Date): June 10, 2005
Amount: *$2,295,000.00*
Modifications to this Bond:
CONTRACTOR AS PRINCIPAL
Company: (Corporate Seal)
Martel Construction, Inc.
Signature: a
Name and Title:
(Any additional signatures appear on page 2.)
(FOR INFORMATION ONLY - Name, Address and
Telephone) AGENT or BROKER:
Wolf—Majeskey—Rapp, Inc. 509-535-9178
P. 0. Box 2984, Spokane, WA 99220
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
Q None
.` 7wy 1
❑ See Page 2
Company: (Co rat Seal)
Travelers Casualty and Surety Compan)r of America
Signature: t
Name and tt�: James E. eskey, II
Attorney —in —Fact
OWNER'S REPRESENTATIVE (Architect, Engineer or other
Part'):
perform the Construction Contract, but such an agreement shall
not waive the Owner's right, if any, subsequently to declare a
Contractor Default; and
3.2 The Owner has declared a Contractor Default and formally
terminated the Contractor's right to complete the contract. Such
Contractor Default shall not be declared earlier than twenty days
after the Contractor and the Surety have received notice as
provided in Subparagraph 3.1; and
3.3 The Owner has agreed to pay the Balance of the Contract
Price to the Surety in accordance with the terms of the
Construction Contract or to a contractor selected to perform the
Construction Contract in accordance with the terms of the
contract with the Owner.
4 When the Owner has satisfied the conditions of Paragraph 3. the
Surety shall promptly and at the Surety's expense take one of the
following actions:
SURETY 5026 (6-92)
S-18521GEEF10198 Page 1 of 2
.2 Have` either received a rejection in whole or in part from the
Contractor, or not received within 30 days of furnishing the
above 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 Pay or 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
MODIFICATIONS 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 (1) on which the Claimant gave the notice required by
Subparagraph 4. 1 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 f1> 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 of the 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.
(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:
Signature: Signature: _
Name and Title: Name and Title:
Address: Address:
(Corporate Seal)
S-18531GEEF 2/98 Page 2 of 2
AIA Document A312
Payment Bond Bond No. 104494212
Conforms with the American Institute of Architects, AIA Document A312.
Any singular reference to Contractor, Surety, Owner or other party shall be considered plural where applicable.
CONTRACTOR (Name and Address): SURETY (Name and Principal Place of Business):
Martel Construction, Inc. Travelers Casualty and Surety Company of America
305 Highway 83 707 W. Main St., Suite 300
Bigfork, MT 59911 Spokane, WA 99201
OWNER (Name and Address): City of Kalispell
Kalispell Fire Department
312 First Avenue East
Kalispell, MT 59901
CONSTRUCTION CONTRACT
Date: June 10, 2005
Amount: *$2,295,000.00*
Description (Name and Location): Kalispell Fire Station #62
Kalispell, MT
BOND
Date( Not earlier than Construction Contract Date): June 10, 2005
Amount: *$2,295,000.00*
Modifications to this Bond: Q None ❑ See Page 2
CONTRACTOR AS PRINCIPAL SURETY Travelers Casualty and Surety
Company: (Corporate Seal) Company: Company of America (Corporate Seal)
Martel Construction, Inc.
Signature:
Name and Title:
(Any additional signatures appear on page 2.)
(FOR INFORMATION ONLY - Name, Address and
Telephone) AGENT or BROKER:
Wolf—Majeskey-Rapp, Inc. 509-535-9178
P. 0. Box 2984, Spokane, WA 99220
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.
Signature: "t
Name and it -- James E. a"eskey, TT
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.
SURETY 5026 (6-92)
S-1853IGEEF 2198 Page 1 of 2
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
-a. f turattge, tui mu %_umracwr; wuu consent ui uie owner, to perform
and complete the Construction Contract; or
4.2 Undertake 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.
MODIFICATIONS TO THIS BOND ARE AS FOLLOWS:
® t lie surety shall not be liable to the owner or omers ror 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 account 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 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.
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.
(Space is provided below for additional signatures of added parties, other than those appearing on the cover page.)
CONTRACTOR AS PRINCIPAL
Company:
Signature:
Name and Title:
Address:
SURETY
(Corporate Seal) Company:
Signature: _
Name and Title:
Address:
(Corporate Seal)
S-1852/GEEF 10198 Page 2 of 2
IMPORTANT DISCLOSURE NOTICE OF TERRORISM INSURANCE
COVERAGE
On November 26, 2002, President Bush signed into law the Terrorism Risk
Insurance Act of 2002 (the "Act"). The Act establishes a short-term pro-
gram under which the Federal Government will share in the payment of
covered losses caused by certain acts of international terrorism. We are
providing you with this notice to inform you of the key features of the Act,
and to let you know what effect, if any, the Act will have on your premium.
Under the Act, insurers are required to provide coverage for certain losses
caused by international acts of terrorism as defined in the Act. The Act fur-
ther provides that the Federal Government will pay a share of such losses.
Specifically, the Federal Government will pay 90% of the amount of cov-
ered losses caused by certain acts of terrorism which is in excess of an in-
surer's statutorily established deductible for that year. The Act also caps
the amount of terrorism -related losses for which the Federal Government or
an insurer can be responsible at $100,000,000,000.00, provided that the
insurer has met its deductible.
Please note that passage of the Act does not result in any change in cov-
erage under the attached policy or bond (or the policy or bond being
quoted). Please also note that no separate additional premium charge has
been made for the terrorism coverage required by the Act. The premium
charge that is allocable to such coverage is inseparable from and imbed-
ded in your overall premium, and is no more than one percent of your pre-
mium.
ILT-1018 (9/04)
TRAVELERS CASUALTY AND SURETY COMPANY OF AMERICA
TRAVELERS CASUALTY AND SURETY COMPANY
FARMINGTON CASUALTY COMPANY
Hartford, Connecticut 06183-9062
]KNOW ALL PERSONS BY THESE PRESENTS, THAT TRAVELERS CASUALTY AND SURETY COMPANY OF
AMERICA, TRAVELERS CASUALTY AND SURETY COMPANY and FARMINGTON CASUALTY COMPANY,
corporations duly organized under the laws of the State of Connecticut, and having their principal offices in the City of Hartford,
County of Hartford, State of Connecticut, (hereinafter the "Companies") hath made, constituted and appointed, and do by these
presents make, constitute and appoint: Judith A. Rapp, James E. Majeskey, II, of Spokane, Washington, their true and lawful
Attorney(s)-in-Fact, with full power and authority hereby conferred to sign, execute and acknowledge, at any place within the United
States, the following instrument(s): by his/her sole signature and act, any and all bonds, recognizances, contracts of indemnity, and
other writings obligatory in the nature of a bond, recognizance, or conditional undertaking and any and all consents incident thereto
and to bind the Companies, thereby as fully and to the same extent as if the same were signed by the duly authorized officers of the
Companies, and all the acts of said Attorneys) -in -Fact, pursuant to the authority herein given, are hereby ratified and confirmed.
This appointment is made under and by authority of the following Standing Resolutions of said Companies, which Resolutions are
now in full force and effect:
VOTED: That the Chairman, the President, any Vice Chairman, any Executive Vice President, any Senior Vice President, any Vice President, any.
Second Vice President, the Treasurer, any Assistant Treasurer, the Corporate Secretary or any Assistant Secretary may appoint Attorneys -in Fact
and Agents to act for and on behalf of the company and may give such appointee such authority as his or her certificate of authority may prescribe
to sign with the Company's name and seal with the Company's seal bonds, recognizances, contracts of indemnity, and other writings obligatory in
the nature of a bond, recognizance, or conditional undertaking, and any of said officers or the Board of Directors at any time may remove any such
appointee and revoke the power given him or her.
VOTED: That the Chairman, the President, any Vice Chairman, any Executive Vice President, any Senior Vice President or any Vice President
may delegate all or any part of the foregoing authority to one or more officers or employees of this Company, provided that each such delegation is
in writing and a copy thereof is filed in the office of the Secretary.
VOTED: That any bond, recognizance, contract of indemnity, or writing obligatory in the nature of a bond, recognizance, or conditional
undertaking shall be valid and binding upon the Company when (a) signed by the President, any Vice Chairman, any Executive Vice President, any
Senior Vice President or any Vice President, any Second Vice President, the Treasurer, any Assistant Treasurer, the Corporate Secretary or any
Assistant Secretary and duly attested and sealed with the Company's seal by a Secretary or Assistant Secretary, or (b) duly executed (under seal, if
required) by one or more Attorneys -in -Fact and Agents pursuant to the power prescribed in his or her certificate or their certificates of authority or
by one or more Company officers pursuant to a written delegation of authority.
This Power of Attorney and Certificate of Authority is signed and sealed by facsimile (mechanical or printed) under and by
authority of the following Standing Resolution voted by the Boards of Directors of TRAVELERS CASUALTY AND SURETY
COMPANY OF AMERICA, TRAVELERS CASUALTY AND SURETY COMPANY and FARMINGTON CASUALTY
COMPANY, which Resolution is now in full force and effect:
VOTED: That the signature of each of the following officers: President, any Executive Vice President, any Senior Vice President, any Vice
President, any Assistant Vice President, any Secretary, any Assistant Secretary, and the seal of the Company may be affixed by facsimile to any
power of attorney or to any certificate relating thereto appointing Resident Vice Presidents, Resident Assistant Secretaries or Attorneys -in -Fact for
purposes only of executing and attesting bonds and undertakings and other writings obligatory in the nature thereof, and any such power of attorney
or certificate bearing such facsimile signature or facsimile seal shall be valid and binding upon the Company and any such power so executed and
certified by such facsimile signature and facsimile seal shall be valid and binding upon the Company in the future with respect to any bond or
undertaking to which it is attached.
(11-00 Standard)
IN WITNESS WHEREOF, TRAVELERS CASUALTY AND SURETY COMPANY OF AMERICA, TRAVELERS
CASUALTY AND SURETY COMPANY and FARMINGTON CASUALTY COMPANY have caused this instrument to be
signed by their Senior Vice President and their corporate seals to be hereto affixed this loth day of September, 2003.
STATE OF CONNECTICUT
) SS. Hartford
COUNTY OF HARTFORD
M� gJP�,tY ANp 8G 2 o0&,5U4.� J,
eF •
s HnR1Fow, < 1982 o
OUR
CONN. ° Z
O
TRAVELERS CASUALTY AND SURETY COMPANY OF AMERICA
TRAVELERS CASUALTY AND SURETY COMPANY
FARMINGTON CASUALTY COMPANY
George W. Thompson
Senior Vice President
On this loth day of September, 2003 before me personally came GEORGE W. THOMPSON to me known, who, being by me duly
sworn, did depose and say: that he/she is Senior Vice President of TRAVELERS CASUALTY AND SURETY COMPANY OF
AMERICA, TRAVELERS CASUALTY AND SURETY COMPANY and FARMINGTON CASUALTY COMPANY, the
corporations described in and which executed the above instrument; that he/she knows the seals of said corporations; that the seals
affixed to the said instrument are such corporate seals; and that he/she executed the said instrument on behalf of the corporations by
authority of his/her office under the Standing Resolutions thereof.
GTE
o t*%
My commission expires June 30, 2006 Notary Public
Marie C. Tetreault
CERTIFICATE
I, the undersigned, Assistant Secretary of TRAVELERS CASUALTY AND SURETY COMPANY OF AMERICA,
TRAVELERS CASUALTY AND SURETY COMPANY and FARMINGTON CASUALTY COMPANY, stock corporations of
the State of Connecticut, DO HEREBY CERTIFY that the foregoing and attached Power of Attorney and Certificate of Authority
remains in full force and has not been revoked; and furthermore, that the Standing Resolutions of the Boards of Directors, as set
forth in the Certificate of Authority, are now in force.
"Signed and Sealed at the Home Office of the Company, in the City of Hartford, State of Connecticut. Dated this day of
120
Y AN O oASU,1
o 90
M e N 1982O
CON
• �`J �661 • a+ate by " r�
P
Y
KoriM.Johanson
Assistant Secretary, Bond