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22-0215_SANCON TECHNOLOGIES, INC._Bond Release Letter February 15, 2022 Attn: Kelly Williams Sancon Technologies Inc. 5841 Engineer Dr. Huntington Beach, CA 92649 Subject: Rosenbaum Lift Station Lining Project Performance and Payment Bond Release On April 20, 2021, the City of San Juan Capistrano awarded a contract to Sancon Technologies Inc. for the subject project. Sancon then provided Performance and Payment Bond 5940454 by Old Republic Surety Company for the amount of $52,240 for performance and $52,240 for payment (copy attached). The City of San Juan Capistrano has canceled the subject project an notified Sancon of that cancellation by letter dated November 1, 2021 (copy attached). Therefore, the aforementioned Payment and Performance Bond is released. Please contact the undersigned if there are any questions regarding this matter. Sincerely, Steve May Project Manager SMay@SanJuanCapistrano.org O: 949-443-6363 C: 714-887-9114 Attachments: 1. City Cancellation Letter 11-1-2021 2. Payment and Performance Bond 5940454 CC: City Clerk November 1, 2021 Mark Weber, Project Manager Via Electronic Mail: Mark@sancon.com Sancon Technologies, Inc. 5841 Engineer Drive Huntington Beach, CA 92649 Subject: Notice of Termination of Construction Contract – Rosenbaum Lift Station Dear Mr. Weber: This letter shall serve as minimum 3-day notice of termination of the agreement between the City and Sancon Technologies, Inc. dated April 6, 2021. This notice of termination is in accordance with Subsection 3.17.3 of the agreement. The last day of service under the agreement will be November 08, 2021. The City will be transferring and annexing its water facilities to the Santa Margarita Water District effective November 15, 2021 and will no longer have the need for Sancon Technologies services. Sancon services to the City have been greatly appreciated. Please contact Assistant Utilities Director Eric Bauman if there are any questions. Phone: (949) 487-4312 Email: EBauman@SanJuanCapistrano.org. Sincerely, Charlie View, Assistant City Manager By direction Steve May Project Manager SMay@SanJuanCapistrano.org 949-443-6363 PERFORMANCE BOND KNOW ALL PERSONS BY THESE PRESENTS: Bond No. 5940454 THAT WHEREAS, the City of San Juan Capistrano (hereinafter referred to as "City") has awarded to Sancon Technologies, Inc. , (hereinafter referred to as the "Contractor") an agreement for Rosenbaum Lift Station Lining Project (hereinafter referred to as the "Project"). WHEREAS, the work to be performed by the Contractor is more particularly set forth in the Contract Documents for the Project dated April 6, 2021 , (hereinafter referred to as "Contract Documents"), the terms and conditions of which are expressly incorporated herein by reference; and WHEREAS, the Contractor is required by said Contract Documents to perform the terms thereof and to furnish a bond for the faithful performance of said Contract Documents. Sancon NOW, THEREFORE, we, Technologies, Inc. , the undersigned Contractor and Old Republic Surety Company as Surety, a corporation organized and duly authorized to transact business under the laws of the State of California, are held and firmly bound unto the City in the sum of fifty four thousand two hundred forty & 00100 DOLLARS, ($ 54,240.00 ), said sum being not less than one hundred percent (100%) of the total amount of the Contract, for which amount well and truly to be made, we bind ourselves, our heirs, executors and administrators, successors and assigns, jointly and severally, firmly by these presents. THE CONDITION OF THIS OBLIGATION IS SUCH, that, if the Contractor, his or its heirs, executors, administrators, successors or assigns, shall in all things stand to and abide by, and well and truly keep and perform the covenants, conditions and agreements in the Contract Documents and any alteration thereof made as therein provided, on its part, to be kept and performed at the time and in the manner therein specified, and in all respects according to their intent and meaning; and shall faithfully fulfill all obligations including the one-year guarantee of all materials and workmanship; and shall indemnify and save harmless the City, its officers and agents, as stipulated in said Contract Documents, then this obligation shall become null and void; otherwise it shall be and remain in full force and effect. As a condition precedent to the satisfactory completion of the Contract Documents, unless otherwise provided for in the Contract Documents, the above obligation shall hold good for a period of one (1) year after the acceptance of the work by City, during which time if Contractor shall fail to make full, complete, and satisfactory repair and replacements and totally protect the City from loss or damage resulting from or caused by defective materials or faulty workmanship, Surety shall undertake and faithfully fulfill all such obligations. The obligations of Surety hereunder shall continue so long as any obligation of Contractor remains. Nothing herein shall limit the City's rights or the Contractor or Surety's obligations under the Contract, law or equity, including, but not limited to, California Code of Civil Procedure section 337.15. Whenever Contractor shall be, and is declared by the City to be, in default under the Contract Documents, the Surety shall remedy the default pursuant to the Contract Documents, or shall promptly, at the City's option: -29- 61147.02100\14019172.3 (1) Take over and complete the Project in accordance with all terms and conditions in the Contract Documents; or (2) Obtain a bid or bids for completing the Project in accordance with all terms and conditions in the Contract Documents and upon determination by Surety of the lowest responsive and responsible bidder, arrange for a Contract between such bidder, the Surety and the City, and make available as work progresses sufficient funds to pay the cost of completion of the Project, less the balance of the contract price, including other costs and damages for which Surety may be liable . The term "balance of the contract price" as used in this paragraph shall mean the total amount payable to Contractor by the City under the Contract and any modification thereto, less any amount previously paid by the City to the Contractor and any other set offs pursuant to the Contract Documents. (3) Permit the City to complete the Project in any manner consistent with local, California and federal law and make available as work progresses sufficient funds to pay the cost of completion of the Project, less the balance of the contract price, including other costs and damages for which Surety may be liable . The term "balance of the contract price" as used in this paragraph shall mean the total amount payable to Contractor by the City under the Contract and any modification thereto, less any amount previously paid by the City to the Contractor and any other set offs pursuant to the Contract Documents. Surety expressly agrees that the City may reject any contractor or subcontractor which may be proposed by Surety in fulfillment of its obligations in the event of default by the Contractor. Surety shall not utilize Contractor in completing the Project nor shall Surety accept a bid from Contractor for completion of the Project if the City, when declaring the Contractor in default, notifies Surety of the City's objection to Contractor's further participation in the completion of the Project. The Surety, for value received, hereby stipulates and agrees that no change, extension of time, alteration or addition to the terms of the Contract Documents or to the Project to be performed thereunder shall in any way affect its obligations on this bond, and it does hereby waive notice of any such change, extension of time, alteration or addition to the terms of the Contract Documents or to the Project, including but not limited to the provisions of sections 2819 and 2845 of the California Civil Code. IN WITNESS WHEREOF , we have hereunto set our hands and seals this 6th day of May , 2011.). (Corporate Seal) 6 1147 .02 100\1401 9 172.3 -30 - Sancon Technologies, In c. Contracl_9fl)rin ipal By _ _:~::::::::~~::::::::__ ____ _ Title Pn~~ i ~fl + (Corp orate Seal) Surety By --=a...~~~,...c;...----------- Scott Signatuies of those signing for the Contractor and Surety must be notarized and evidence of corporate authority attached. (Attach Attorney-in-Fact Certificate) Title ___ A_tto_r_n_ey'---in_-_fa_c_t ______ _ The rate of premium on this bond is NIA per thousand. The total amount of premium charges, $ NIA (The above must be filled in by corporate attorney.) THIS IS A REQUIRED FORM Any claims under this bond may be addressed to: (Name and Address of Surety) _01_d_R_ep_u_bl_ic_s_u_re_ty_c_o_m_pa_n_Y ___________ _ 14728 Pip eline Avenue , Suite E, Chino Hills , CA 91709 (Name and Address of Agent or Representative for service of process in California, if different from above) (Telephone number of Surety and Agent or Representative for service of process in California) (909) 367-2015 Patriot Risk & Insu ra nce Services LLC 241 5 Campus Drive, Suite 200 , Irvine, CA 92612 (949) 486-7917 See above NOTE: A copy of the Power-of-Attorney authorizing the person signing on behalf of the Sure ty to do so must be attached hereto. -31 - 61 147.02100\140!9172.3 ACKNOWLEDGMENT · A notary public or other officer completing this certificate verifies only the identity of the individual who signed the document to which this certificate is attached, and not the truthfulness, accuracy, or validity of that document. State of California County of Orange on MAY O 6 202 1 before me, Annette Lisa Romero, A Notary Public -----------(insert name and title of the officer) personally appeared _S_co_tt_S_al_an_di_· ______________________ _ who proved to me on the basis of satisfactory evidence to be the person(s) whose name(:a) is/are: subscribed to the within instrument and acknowledged to me that he/~Nl!f~ executed the same in his/ti.eYl:tlifek" authorized capacity(~, and that by his/ti.eYl:tti.ek" signature(~) on the instrument the person(s}, or the entity upon behalf of which the person(s} acted, executed the instrument. I certify under PENAL TY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct. WITNESS my hand and official seal. ♦ ♦ • + • ♦ • ♦ •••• + • t • ' ~I@•·. . AN NETTE LI SA ROMERO I~ N ' • . COMM. II 2244076 "!! ~ . NOTARY PUBLI C CALIF ORNI A ~ ~ . ORANGE CO UNTY "' 11 My comm. expires May. 26, 2022 It , ... , ........... . (Seal) Notary Acknowledgment A notary publi c or oth er offi cer compl eting thi s certifi cate verifies only the ident ity of the indi vid ua l who sign ed the document to which thi s certifi cate is attached , ana not the truthfulness, ac cura cy, or validity of th at docum ent. STATE OF CAQ ORNIA COUNTY OF r0inqe. On M lA.j VJ , 20'2J , before me, appeare d C, htxr \( ~ Poi r-Son s ke\ lj w ·, \ \ i C\ }Y1 ') ' Nota ry Public, pers onally , who proved to m e on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within in strume nt and a cknowl edged to me that he/she/they ex e cuted the same in his/her/their authorized c apacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the e ntity upon behalf of whic h the pe rs on(s) acted, executed the instrument WITNESS my hand and official seal. ~L--,t-1 ---- Sig nature of Notary Public OPTIONAL Tho u g h th e in form a tion b e l ow i s not r e quired by l aw, i i may prove va luable to persons rel ying on the document a nd coul d preve nt fraudul ent r e m oval a nd r e attachment o f this form t o another d ocument. CAPACITY CLAIMED BY SIGNER D Indi vidu al ::fiit._Corp orate Office r Pr c ~·• ck \':1± Title(s) D Partn er(s) □ Attorn ey-In -Fact D Tru stee (s) D Guardi an/Conservator 0 Oth er: Sig ner is repre se ntin g: D D Nam e Of Person(s) Or E ntity(ies) 6 1147.02 100\14019 172.3 Limited General DESCRIPTION OF ATTACHED DOCUMENT Titl e or Type of Document Number of Pages Date of Document Sig ner(s) Other T han Na med Above -32 - PAYMENT BOND KNOW ALL MEN BY THESE PRESENTS Thal Bond No. 5940454 WHEREAS, the City of San Juan Capistrano (hereinafter designated as the "City"), by action taken or a resolution passed,.,......,.,,. ___ _. 20 __ has awarded to Sancon Technologies, Inc. hereinafter designated as the "Principal," a contract for the work described as follows: ________ R--o_se_n_b_a_u_m'--L-'-ifl_S_ta_ti_o __ n_L_in_in-"g'--P_r~oj'--e_ct ____ (the "Project"); and WHEREAS, the work to be performed by the Principal is more particularly set forth in the Contract Documents for the Project dated April 6, 2021 ("Contract Documents"), the terms and conditions of which are expressly incorporated by reference; and WHEREAS, said Principal is required to furnish a bond in connection with said contract; providing that if said Principal or any of its Subcontractors shall fail to pay for any materials, provisions, provender, equipment, or other supplies used in, upon, for or about the performance of the work contracted to be done, or for any work or labor done thereon of any kind, or for amounts due under the Unemployment Insurance Code or for any amounts required to be deducted, withheld, and paid over to the Employment Development Department from the wages of employees of said Principal and its Subcontractors with respect to such work or labor the Surety on this bond will pay for the same to the extent hereinafter set forth. NOW THEREFORE, we, the Principal and Old Republic Surety Company as Surety, are held and firmly bound unto the City in the penal sum of fifty four thousand two hundred forty & 0010 Dollars ($ 54 240.00 ) lawful money of the United States of America, for the payment of which sum well and truly to be made, we bind ourselves, our heirs, executors, administrators, successors and assigns, jointly and severally, firmly by these presents. THE CONDITION OF THIS OBLIGATION IS SUCH that if said Principal, his or its subcontractors, heirs, executors, administrators, successors or assigns, shall fail to pay any of the persons named in Section 9100 of the Civil Code, fail to pay for any materials, provisions or other supplies, used in, upon, for or about the performance of the work contracted to be done, or for any work or labor thereon of any kind, or amounts due under the Unemployment Insurance Code with respect to work or labor performed under the contract, or for any amounts required to be deducted, withheld, and paid over to the Employment Development Department or Franchise Tax Board from the wages of employees of the contractor and his subcontractors pursuant to Section 18663 of the Revenue and Taxation Code, with respect to such work and labor the Surety or Sureties will pay for the same, in an amount not exceeding the sum herein above specified. This bond shall inure to the benefit of any of the persons named in Section 9100 of the Civil Code so as to give a right of action to such persons or their assigns in any suit brought upon th is bond. It is further stipulated and agreed that the Surety on this bond shall not be exonerated or released from the obligation of this bond by any change, extension of time for performance, addition, alteration or modification in, to, or of any contract, plans, specifications, or agreement pertaining or relating to any scheme or work of improvement herein above described, or pertaining or relating to the furnishing of labor, materials, or equipment therefore, nor by any change or modification of any terms of payment or extension of the time for any payment pertaining or relating to any scheme or work of improvement herein above described, nor by any -33 - 61147.02100\14019172.3 rescission or attempted rescission of the contract, agreement or bond, nor by any conditions precedent or subsequent in the bond attempting to limit the right of recovery of claimants otherwise entitled to recover under any such contract or agreement or under the bond , nor by any fraud practiced by any person other than the claimant seeking to recover on the bond and that this bond be construed most strongly against the Surety and in favor of all persons for whose benefit such bond is given, and under no circumstances shall Surety be released from liability to those for whose benefit such bond has been given, by reason of any breach of contract between the owner or City and original contractor or on the part of any obligee named in such bond, but the sole conditions of recovery shall be that claimant is a person described in Section 9100 of the Civil Code, and has not been paid the full amount of his claim and that Surety does hereby waive notice of any such change, extension of time, addition, alteration or modification herein mentioned and the provisions of sections 2819 and 2845 of the California Civil Code. IN WITNESS WHEREOF, we have hereunto set our hands and seals this 6th day of May , 20-1._1 (Corporate Seal) (Corporate Seal) Sancon Technologies, Inc/ Cl1adri Rlniorn Contra'?°~ !clp8\ By ~ s;; ,,. Title __ B""--'-rf~S id'--e_n+ ____ _ Old Republic Surety Company Surety ~ By ~Fact Title Attorney-in -fa ct Signatures of those signing for the Contractor and Surety must be notarized and evidence of corporate authority attached . A Power-of-Attorney authorizing the person signing on behalf of the Surety to do so must be attached hereto. NOTE: A copy of the Power-of-Attorney authorizing the person signing on behalf of the Surety to do so must be attached hereto. -34 - 6 11 47.02 100\140 19!72.3 ACKNOWLEDGMENT · A notary public or other officer completing this certificate verifies only the identity of the individual who signed the document to which this certificate is attached, and not the truthfulness, accuracy, or validity of that document. State of California County of Orange on ____ M_A_Y_O _;6'----20_2_1_ before me, Annette Lisa Romero, A Notary Public (insert name and title of the officer) personally appeared _S_co_tt_S_al_an_d_i ______________________ _ who proved to me on the basis of satisfactory evidence to be the person(s) whose name(:s) is/are: subscribed to the within instrument and acknowledged to me that he/met~ executed the same in his/l"lerttl"lek' authorized capacity(~, and that by his/l"lerttl"lek' signature(~} on the instrument the person(:s), or the entity upon behalf of which the person(s) acted, executed the instrument. I certify under PENAL TY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct. WITNESS my hand and official seal. (Seal) Notary Acknowledgment A notary public or other officer completing this certificate verifies only the identity of the individual who signed the document to which this certificate is attached, and not the truthfulness, accuracy, or validity of that document. STATE OF CAb\FORNIA COUNTY OF u\Q?\e, On M lh"{ lo , 20 ZI , before me, k-e l \ 'j W i I\ i Ct Yr1 S , Notary Public, personally appeared C. \1 (W'k ~ P C\\%[) n S> , who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument. I certify under PENAL TY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and corr• e e o o e e e ft ft o o ~ ',., KELLY WILLIAMS _ .i: .... , ,. Not•ry Mlle. C•llfornla I WITNESS my hand and official seal. i ~ .' ~ On111e County ;; i Commlulon II 2 J 54100 - .,, , .. ,. My Comm. Expfr@s Apr 10 , 2025 ~ , Signature of Notary Public OPTIONAL Though the information below is not required by Jaw, ii may prove valuable to persons relying on the document and could prevent fraudulent removal and reattachment of this form to another document. CAPACITY CLAIMED BY SIGNER □ Individual )(_Corpo r.ate Offi9er + Pr~s ,d-cn Title(s) □ Partner(s) □ Attorney-In-Fact □ Trustee(s) □ Guardian/Conservator □ Other: Signer is representing: □ □ Name Of Person(s) Or Entity(ies) 6 11 47.02100\140191 72.3 Limited General DESCRIPTION OF ATTACHED DOCUMENT Title or Type of Document Number of Pages Date of Document Signer(s) Other T han Named Above -35 - **** * * ! OLD REPUBLIC SURETY COMPANY . *•••* . ·.·· . . ·-;::: . . .. KNOW ALL MEN BY T!-IESE PRESENTS:.That OLD REPUBLiC SURETY COMPANY, a Wisconsin siock insurance corporation, d~es make; constitute and appoint: SCOTT SALANDI, DAVID JACOBSON, OF IRVIN!=, CA . .. . its true and lawful Attorney(s)-in-Faci, with full po1v J r and authority, for and on behalf of the conipany .is surety, to execute and deliverand affix the seal of the company thereto (if a seal is required), bonds, unde1takings, recognizances or other written obligations in the nature thereof, (other than bail bonds, bank depository bonds, mmtgage deficiency bonds, mo1t gage guaranty bonds, g uarantees of in stallment paper and note guaranty bonds, self-insurance workers compensation bonds guaranteeing payme nt o f benefits or blac k Jung bonds), as follows: ALL WRITTEN INSTRUMENTS and to bind OLD REPUBLIC SURETY COMPANY thereby, and all of the acts of said Attorneys-iri~Fact, pursuant to these presents, areratified an~ confirmed. This appointment is 1nade under and by authority of the board of directorsat a special meeting held on February 18, 1982 .. Thls Power ofAttofoeyis slgned and . sealed by facsimile under and by the authority of the following' resolutions adopted by th e board of directors of the OLD REPUBLIC SURETY COMP ANY on Febrnaiy 18, 1982. RESOLYED that, the president, any vice-president, or assistant vice president, in conjunciion wiih the secreta1y or any assistant s~cr~\ary,may appoint attomeys-in-fact or agents with.authority as defined or limited in the instrnment evidencing the appointment in each case, for and on behalf ofthe company to execute and deliver and affix the seal of the company to bondi;, undertakings, recognizances;and suretyship obligations of all kinds; and said officers may 1'emove . any such attorney~in-fact or agent and revoke any Power of Attorney previously granted to such person. · · ••• RESOLVED FURTi'.fER, .that ariy bond, undertaking, recognizance, or suretyship obligation shall be valid and binding upon the Coinpariy · ,, (i) when signed by the president, any vice president or assistant vice jJtesident, and attested and sealed (if a seal be required) by any sectetary p r assistant secretary; or · • . .•·· ·· . ., (ii) when.signed by the president, any vice president or assis.tant vice p1'esident, secretary or assistant secretary, and countersigned andsealcd (ifa seal be required) by a duly authorized attorney-in-fact or agent; or (iii) when duly executed and scaled (if a seal be required) by one or more attorneys-in-fact or agents pursuant to and within the limits oflhe authority evidenced by the Power of Attorney issued by the company to such person or persons, RESOLVED FURTHER, that the signature of any authorized officer and the seal of the company may be affixed by facsimile to any Power of Attorney. or ce1tificationJhere of authorizing the execution and delive1y of any bond, undertaking,.recognizance; or other sur11tyship obligations Of the compal)y; and such signature and seal when so used shall have the same force and elTcct as though manually affixed. . . IN WITNESS WHEREOF, OLD REPUBLIC SURETY COMPANY has caused ihese presents to be signed by its proper officer, audits corpdfate seal to be affixed thi s 30TH day of DECEMBER, 2020. OLD REPUBLIC SUREfY COMPANY Assistant Secretary STATE OF WISCONSIN, COUNTY OF WAUKESHA-SS President On this 30TH ·day of DEC l;MBER, 2020 , pe1~onally came b~fo re 1he, Ala~ P~vlic · ··. ·. and --~K=a=r-=e=n ~J~H,,,_,,_a,.,ff..,,n"'e,__r ____ ~---' to me kno\vn to be the individuals and officers of the OLD REPUBLIC SURETY COMPANY 1vho executed the abqve instnunent; and they cach acknowledged the e xecution of the same;' and being by me duly sworn, did severally depose ~nd say; that they !liC the said 9f!lc;ers ofjlie corporation aforesaid, and th a t the seal affixed to the above i~shumeni is the seal of the :orporati~ri. ·~nd that sa id corporate seal and their signatures as such officers were duly affixed an.d sub~cribed to the said instrument by the authority. of the board of director$ of said corporation .... ·•CERTIFICATE . My commission expires: __ ~==~---- (ExpiraliQrt of nqtary commission does not !~validate this Instrument) I, the imderslgned, assistant secretary of the QLD REPUBLIC SURETY COMPANY, a Wi sconsin corporation, CERTIFY that the foregoing an4 attached Power ofAttome» remain~_in full force and ha~ not beenrevoked; and fu11herinore, that the Resolutions of the board 0fdirect<>1tset forth in the Pqwer of Atto1~1ey, are 1iow in force. Signed and sealed at th·e City of Brookfield; WI this ------,-day o f __ M-,-A_Y_o _ _,,6 ~2_._0_2_1_ Assistant Secretary .. 22851-W POAORS 102020