AGENDA PROPERTY MANAGEMENT COMMITTEE MEETING ...

2.9.4 Compliance with Building Codes: Licensee shall comply with all Building Codesin effect at the time of construction or installation of an improvement of any kind on thePremises. The applicable Building Codes shall be those codes as adopted by the localpermitting jurisdiction (i.e., city or county) in which the Premises is located. In the eventthat Licensee fails to conform to the Building Codes, OCWD may require immediatecompliance. If Licensee fails to comply, OCWD, at its option, may make such changesto bring the improvement into compliance with the Building Codes and charge Licenseethe cost of such changes plus ten percent (10%) to cover administrative costs. Licenseeshall have ten (10) days from receipt of the invoice to reimburse OCWD for the cost ofmaking such changes.2.9.5 Licensee’s Assurance of Construction Completion: Prior to commencement ofconstruction of approved facilities, or any phase thereof, within the Premises byLicensee, Licensee shall furnish to OCWD evidence that assures OCWD that sufficientmonies will be available to Licensee to complete the proposed construction in accordancewith the plans approved by OCWD. The amount of money available shall be at least thetotal estimated construction cost. Such evidence may take one of the following forms:(a) Completion bond issued to OCWD as oblige, and issued by asurety acceptable to OCWD.(b) Performance bond and labor and material bond (or performancebond containing the provisions of the labor and material bond), issued by a suretyacceptable to OCWD and supplied by Licensee's contractor or contractors,provided said bond(s) are issued jointly to Licensee and OCWD as obligees.(c) Irrevocable letter of credit issued to OCWD from a financialinstitution acceptable to OCWD to remain in effect until OCWD acknowledges,in writing, satisfactory completion of construction.(d)(e)Cash.Any combination of the above.2.9.6 Modification of Alterations or Improvements: In the event that Licensee desires tomodify or add to any alteration of or improvement to the Premises, Licensee shall notcommence any such modification or alteration without the prior written consent ofOCWD’S General Manager or his designee.2.9.7 Mechanics Liens or Stop-Notices: Licensee shall at all times indemnify and saveOCWD harmless from all claims, losses, demands, damages, costs, expenses, or liabilitycosts for labor or materials in connection with construction, repair, alteration, orinstallation of structures, improvements, equipment, pipelines, or facilities within the-18-