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provided in this section; To be subject to the procedures governing enforcement of breaches of contracts based on violations of contract provisions required by this Chapter as set forth in this section; That the contractor's commitment to comply with this Chapter is a material element of the City's consideration for this contract; that the failure of the contractor to comply with the contract provisions required by this Chapter will cause harm to the City and the public which is significant and substantial but extremely difficult to quantity; that the harm to the City includes not only the financial cost of funding public assistance programs but also the insidious but impossible to quantify harm that this community and its families suffer as a result of unemployment; and that the assessment of liquidated damages of up to $5,000 for every notice of a new hire for an entry level position improperly withheld by the contractor from the first source hiring process, as determined by the FSHA during its first investigation of a contractor, does not exceed a fair estimate of the financial and other damages that the City suffers as a result of the contractor's failure to comply with its first source referral contractual obligations. That the continued failure by a contractor to comply with its first source referral contractual obligations will cause further significant and substantial harm to the City and the public, and that a second assessment of liquidated damages of up to $10,000 for each entry level position improperly withheld from the FSHA, from the time of the conclusion of the first investigation forward, does not exceed the financial and other damages that the City suffers as a result of the contractor's continued failure to comply with its first source referral contractual obligations; That in addition to the cost of investigating alleged violations under this Section, the computation of liquidated damages for purposes of this section is based on the following data: The average length of stay on public assistance in San Francisco's County Adult Assistance Program is approximately 41 months at an average monthly grant of $348 per month, totaling approximately $14,379; and In 2004, the retention rate of adults placed in employment programs funded under the Workforce Investment Act for at least the first six months of employment was 84.4%. Since qualified individuals under the First Source program face far fewer barriers to employment than their counterparts in programs funded by the Workforce Investment Act, it is reasonable to conclude that the average length of employment for an individual whom the First Source Program refers to an employer and who is hired in an entry level position is at least one year; Therefore, liquidated damages that total $5,000 for first violations and $10,000 for subsequent violations as determined by FSHA constitute a fair, reasonable, and conservative attempt to quantify the harm caused to the City by the failure of a contractor to comply with its first source referral contractual obligations. That the failure of contractors to comply with this Chapter, except property contractors, may be subject to the debarment and monetary penalties set forth in Sections 6.80 et seq. of the San Francisco Administrative Code, as well as any other remedies available under the contract or at law; and Violation of the requirements of Chapter 83 is subject to an assessment of liquidated damages in the amount of $5,000 for every new hire for an Entry Level Position improperly withheld from the first source hiring process. 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"exhibit-d", "type": "clause", "offset": [3868, 3877]}, {"key": "wage-determination", "type": "clause", "offset": [3887, 3905]}, {"key": "expiration-date", "type": "definition", "offset": [3933, 3948]}, {"key": "the-prime-contractor", "type": "clause", "offset": [3962, 3982]}, {"key": "to-insure", "type": "clause", "offset": [4023, 4032]}, {"key": "prevailing-wage-rates", "type": "clause", "offset": [4042, 4063]}, {"key": "of-concern", "type": "definition", "offset": [4064, 4074]}, {"key": "to-the-employee", "type": "definition", "offset": [4095, 4110]}], "size": 3, "snippet": "(a) To do the work and furnish all the labor, materials, tools, equipment, and insurance required for the construction of PROJECT in accordance with the plans and specifications therefore regularly adopted on , by Council Motion No.\n(b) To do and perform the work contemplated hereby in a good and workmanlike manner and to furnish all labor, materials, tools, and equipment necessary therefor at the prices specified in Exhibit \"A,\" attached hereto and by reference made a part hereof, under the direction of and to the complete satisfaction of the Director of Public Works of the City of Stockton.\n(c) CONTRACTOR shall not commence any work before obtaining, and shall maintain in force at all times during the duration and performance of this contract, the policies of insurance specified in Exhibit \u201cB\u201d, which is attached to this contract and incorporated by this reference, and as provided in the \u201ccontract documents\u201d including Section 7-1.12 of the City of Stockton Standard Specifications and Plans as adopted on November 25, 2003, by Council Resolution No. 03-0707, effective December 1, 2003. Before permitting any subcontractors to perform work under the contract, CONTRACTOR shall require subcontractors to furnish satisfactory proof that insurance has been issued and is maintained similar to that provided by CONTRACTOR as may be applied to each subcontractor's work. Contractor shall defend, indemnify, and hold harmless City, its officers, officials, employees, and volunteers from and against all claims, damages, losses, and expenses, including attorney fees arising out of the performance of the work described herein, caused in whole or in part by any negligent act or omission of Contractor, any sub- contractor, anyone directly or indirectly employed by any of them, or anyone for whose acts any of them may be liable, except where caused by the active negligence, sole negligence, or willful misconduct of the City.\n(d) The performance of said work and the furnishing of said materials shall be executed in accordance with Section 8-1.03 of the City of Stockton Standard Specifications and Plans as adopted on November 25, 2003, by Council Resolution No. 03- 0707, effective December 1, 2003, and the provisions of the issued project specifications.\n(e) To conform strictly with the provisions of Division 2, Part 7, Chapter 1, Article 2, of the Labor Code of the State of California. To forfeit as a penalty to CITY the sum of TWENTY-FIVE AND NO/100 DOLLARS ($25.00) for each laborer, worker, or mechanic employed by CONTRACTOR, or by any subcontractor under CONTRACTOR, in the execution of this contract, for each calendar day during which any laborer, worker, or mechanic is required or permitted to work more than eight (8) hours and who is not paid the general prevailing rate of per diem wages for holiday and overtime work in violation of the provisions of Sections 1770 to 1781 of the Labor Code of the State of California.\n(f) That all sums forfeited under the provisions of the foregoing sections shall be deducted from the payments to be made under the terms of this contract.\n(g) CONTRACTOR and any subcontractor shall pay each employee engaged in the trade or occupation not less than the prevailing hourly wage rate. In accordance with the provisions of Section 1770 of the Labor Code, the Director of Department of Industrial Relations of the State of California has determined the general prevailing rates of wages and employer payments for health and welfare, pension, vacation, travel time, and subsistence pay as provided for in Section 1773.1, apprenticeship or other training programs authorized by Section 3093 and similar purposes applicable to the work to be done. CONTRACTOR performing the work under this contract shall obtain a copy of the wage rate determination and shall distribute copies to each subcontractor (see Exhibit D). As the wage determination for each craft reflects an expiration date, it shall be the prime CONTRACTOR and each subcontractor's responsibility to insure that the prevailing wage rates of concern is current and paid to the employee.", "hash": "5d0ddd6c446fe9b8f77c029196aa0c0e", "id": 9}, {"samples": [{"hash": "cFMN8depl6K", "uri": "/contracts/cFMN8depl6K#contractor-agrees", "label": "Standard Agreements", "score": 27.3434963226, "published": true}], "snippet_links": [{"key": "to-amend", "type": "definition", "offset": [0, 8]}, {"key": "original-contract", "type": "definition", "offset": [13, 30]}, {"key": "to-provide", "type": "clause", "offset": [31, 41]}, {"key": "services-for", "type": "clause", "offset": [97, 109]}, {"key": "oc-fair-event-center", "type": "definition", "offset": [110, 132]}, {"key": "for-2018", "type": "clause", "offset": [133, 141]}, {"key": "not-to-exceed-amount", "type": "definition", "offset": [152, 172]}], "size": 3, "snippet": "To amend the original contract to provide additional event tenting, drapery and furniture rental services for OC Fair & Event Center for 2018 Fair at a not to exceed amount of SIXTY ONE THOUSAND SEVEN HUNDRED NINETY THREE DOLLARS AND 05/100 ($61,793.05)", "hash": "a6debe271473598b2366500a616e09c4", "id": 10}], "next_curs": "CloSVGoVc35sYXdpbnNpZGVyY29udHJhY3RzcjYLEhZDbGF1c2VTbmlwcGV0R3JvdXBfdjU2Ihpjb250cmFjdG9yLWFncmVlcyMwMDAwMDAwYQyiAQJlbhgAIAA=", "clause": {"title": "Contractor agrees", "size": 120, "children": [["", ""], ["insurance", "Insurance"], ["contract-payment", "Contract Payment"], ["discriminatory-vendors", "Discriminatory Vendors"], ["contract-dates", "Contract Dates"]], "parents": [["deliverables-tasks-minimum-level-of-service-and-financial-consequences", "Deliverables Tasks Minimum Level of Service and Financial Consequences"], ["entire-contract", "ENTIRE CONTRACT"], ["performance-bond-and-payment-bond", "Performance Bond and Payment Bond"], ["warranty", "WARRANTY"], ["contractior-obligations", "Contractior Obligations"]], "id": "contractor-agrees", "related": [["hhsc-and-contractor-agreements", "HHSC and Contractor Agreements", "HHSC and Contractor Agreements"], ["contractor-project-manager", "Contractor Project Manager", "Contractor Project Manager"], ["contractor-key-personnel", "Contractor Key Personnel", "Contractor Key Personnel"], ["contractor", "Contractor", "Contractor"], ["contractor-parties", "Contractor Parties", "Contractor Parties"]], "related_snippets": [], "updated": "2025-07-24T06:48:53+00:00", "also_ask": ["What essential obligations must be explicitly stated to avoid ambiguity in a 'Contractor Agrees' clause?", "How can this clause be strategically negotiated to limit contractor liability?", "What are the most common enforceability challenges courts face with broadly worded 'Contractor Agrees' clauses?", "How does this clause compare to similar provisions in standard industry contracts?", "What critical risks arise if the clause lacks specificity regarding performance standards or deliverables?"], "drafting_tip": "Specify contractor obligations, clarify performance standards, and define deliverables to ensure enforceability and prevent disputes.", "explanation": "The \"CONTRACTOR AGREES\" clause sets out the specific obligations and commitments that the contractor undertakes as part of the contract. This may include requirements such as performing work to certain standards, complying with applicable laws, or meeting deadlines. By clearly outlining what the contractor is responsible for, this clause ensures both parties understand the contractor's duties and helps prevent disputes over expectations or performance."}, "json": true, "cursor": ""}}