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CONTRACTOR AGREEMENT THIS AGREEMENT is made and entered into this 21 st day of June, 2016, by and between Sandwood Enterprises, Inc., a California Corporation (hereinafter "Contractor "), and the City of Santa Ana, a charter city and municipal corporation organized and existing under the Constitution and laws of the State of California (hereinafter "City "). ZxyYi_11' A. The City desires to retain a contractor having special skill and knowledge in the field of demolition and clearing of single family dwellings. B. Contractor represents that Contractor is able and willing to provide such services to the City. C. In undertaking the performance of this Agreement, Contractor represents that it is knowledgeable in its field and that any services performed by Contractor under this Agreement will be performed in compliance with such standards as may reasonably be expected from a professional consulting firm in the field. NOW THEREFORE, in consideration of the mutual and respective promises, and subject to the terms and conditions hereinafter set forth, the parties agree as follows: SCOPE OF SERVICES Contractor shall perform those services as set forth in Exhibit A to this Agreement. The scope of services shall be in compliance with Proposal Submitted in response to the City's Request for Proposal, attached hereto as Exhibit B. 2, COMPENSATION City agrees to pay, and Contractor agrees to accept as total payment for its services, the rates and charges identified in Exhibit C. The total sum to be expended under this Agreement shall not exceed $36,000 during the term of this Agreement. The project budget allows for contingency /additional funds, supported by adequately documented approved change orders, in the amount of $9,000.00, to ensure project completion, for a potential total amount not to exceed $45,000. Payment by City shall be made upon completion of the scope of services. City shall retain ten percent (10 %) from the payment. The retain amount shall be paid to the Contractor thirty -five (35) days after completion of the scope of service. Payment need not be made for work which fails to meet the standards of performance set forth in the Recitals which may reasonably be expected by City. 3. TERM This Agreement shall commence on the date first written above and terminate 30 days after the notice to proceed provided to Contractor by City, unless terminated earlier in accordance with Section 16, below. The term of this Agreement may be extended upon a writing executed by the City Manager and the City Attorney. 4. PREVAILING WAGES Contractor is aware of the requirements of California Labor Code Section 1720, at seq., and 1770, at seq., as well as California Code of Regulations, Title 8, Section 16000, at seq., ( "Prevailing Wage Laws "), which require the payment of prevailing wage rates and the performance of other requirements on "public works" and "maintenance" projects. Since the services being performed are Cr7