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Contract 49199
� a CITY WMARY R�CF�V�D to CONTRACT N0. RIGHT OF WAY C-YOP J� ENCROACHMENT AGREEMENT ECA�gAY97X/ ,V� (COMMERCIAL) s a s b E Wd IS AGREEMENT is made and entered into by and between the City of Fort a home rule municipal corporation of Tarrant County, Texas ("City"), acting herein by and through its duly authorized City Manager, its duly authorized Assistant City Manager or Planning and Development Department Director, and First Texas Homes Inc., a Corporation("Licensee"), acting herein by and through its duly authorized Division President, the owner of the real property located at Salvia Drive, west of the intersection with Harmon Road, Tarrant County,Fort Worth, Texas 76177 ("Property"). RECITALS WHEREAS, Licensee is the owner of certain real property situated in the City of Fort Worth, Tarrant County, Texas, more particularly described in the attached Legal Description of the Property; and WHEREAS, the City has a street, alley, sidewalk, and/or other public right-of- way(individually or collectively,the "Public Right-of-Way") adjacent to the Property as shown on the map attached to this Agreement as Exhibit"A" and incorporated herein for all purposes; and WHEREAS, Licensee desires to construct/place and maintain certain improvements which will encroach onto the Public Right-of-Way; and WHEREAS, City will allow the encroachment under the terms and conditions as set forth in this Agreement to accommodate the needs of the Licensee, NOW,THEREFORE, the City and Licensee agree as follows: AGREEMENT 1. City, in consideration of the payment by Licensee of the fee set out below and covenants and agreements hereinafter contained, to be kept and performed by Licensee, hereby grants permission to Licensee to encroach upon, use and/or occupy portions of the space under, on, and/or above the City's Public Right-of-Way to construct/install and/or allow to remain, certain improvements for the purpose of boring 24" PVC sleeves (whether one or more,the"Improvements") as described in and at the location shown on Exhibit "A" but only to the extent shown thereon. Upon completion of the Improvements, Licensee agrees to be responsible for maintaining the Improvements. Licensee shall not expand or otherwise cause the Improvements to further infringe in or on City's Public Right-of-Way beyond what is specifically described in the Exhibit(s) attached hereto. 2015 ROW Encroachment Agreement-Commercial OFFICIAL RECFTX Page 1 of 12 First Texas Homes,Inc. CITY SECRETrev.02/2015 FT.WORTH, 2. All construction, maintenance and operation in connection with such Improvements, use and occupancy shall be performed in strict compliance with this Agreement and the City's Charter, Ordinances and Codes, and in accordance with the directions of the City's Director of Transportation and Public Works, or his or her duly authorized representative. Licensee shall submit all plans and specifications to the applicable Director or his or her duly authorized representative prior to the construction of the Improvements. Licensee shall not commence construction of the Improvements until receiving written approval by the Director, but such approval shall not relieve Licensee of responsibility and liability for concept, design and computation in the preparation of such plans and specifications. 3. Upon completion of the construction and installation of the Improvements, there shall be no other encroachments in, under, on or above the surface area of the Public Right-of-Way, except as described herein and depicted on Exhibit"A". 4. Licensee, at no expense to the City, shall make proper provisions for the relocation and installation of any existing or future utilities affected by such encroachment, use and occupancy, including the securing of approval and consent from any affected utility companies and the appropriate agencies of the State of Texas and its political subdivisions. In the event that any installation, reinstallation, relocation or repair of any existing or future utility or improvements owned by, constructed by or on behalf of the public or at public expense is made more costly by virtue of the construction, maintenance or existence of such encroachment and use, Licensee shall pay to City an additional amount equal to such additional cost as determined in the reasonable discretion of the Director of Transportation and Public Works, or his or her duly authorized representative. 5. Upon prior written notice to Licensee, except in the case of an emergency, Licensee agrees that City may enter and utilize the referenced areas at any time for the purpose of installing, repairing, replacing, or maintaining improvements to its public facilities or utilities necessary for the health, safety and welfare of the public or for any other public purpose. City shall bear no responsibility or liability for any damage or disruption or other adverse consequences resulting from the Improvements installed by Licensee, but City will make reasonable efforts to minimize such damage. In the event that any installation, reinstallation, relocation or repair of any existing or future utility or improvements owned by, constructed by or on behalf of the public or at public expense is 2015 ROW Encroachment Agreement-Commercial Page 2 of 12 First Texas Homes,Inc. rev.02/2015 made more costly by virtue of the construction, maintenance or existence of the Improvements and use, Licensee shall pay to City an additional amount equal to such additional cost as reasonably determined by the Director of Transportation and Public Works or the Director of the Water Department, or said Director's duly authorized representative. 6. Licensee agrees to pay to City at the time this Agreement is requested an application fee of$325.00 in order to defray all costs of inspection and supervision which City has incurred or will incur as a result of the construction, maintenance, inspection or management of the encroachments and uses provided for by this Agreement. Licensee agrees to pay a fee in the amount of$.56 per square/linear foot of the encroachment area upon execution of this Agreement and annually thereafter. 7. The term of this Agreement shall be for 30 years commencing on the date this Agreement is executed by City. However, this Agreement shall terminate upon Licensee's non-compliance with any of the terms of this Agreement. City shall notify Licensee in writing of the non-compliance, and if not cured within 30 days, this Agreement shall be deemed terminated unless such non-compliance is not susceptible to cure within 30 days, in which case this Agreement shall be deemed terminated in the event that Licensee fails to commence and take such steps as are necessary to remedy the non-compliance within 30 days after written notice specifying the same, or having so commenced,thereafter fails to proceed diligently and with continuity to remedy same. 8. Upon termination of this Agreement, Licensee shall at no expense to City remove the Improvements encroaching into the Public Right-of-Way, and restore the Public Right-of-Way to a condition acceptable to the Director of Transportation and Public Works, or his or her duly authorized representative, in accordance with then-existing City specifications. It is understood and agreed by Licensee that if this Agreement terminates and Licensee fails to remove the Improvements and restore the Public Right-of-Way, Owner hereby gives City permission to remove the Improvements along with any supporting structures, restore the Public Right-of-Way, and assess a lien on the Property for the costs expended by the City in taking such actions. 9. It is further understood and agreed between the parties hereto that the Public Right-of-Way to be used and encroached upon as described herein, is held by City as trustee for the public; that City exercises such powers over the public right-of way as have been delegated to it by the Constitution of the State of Texas or by the Texas Legislature; and that City cannot contract away its duty and its legislative power to 2015 ROW Encroachment Agreement-Commercial Page 3 of 12 First Texas Homes,Inc. rev.02/2015 control the Public Right-of-Way for the use and benefit of the public. It is accordingly agreed that if the governing body of City may at any time during the term hereof determine in its sole discretion to use or cause or permit the Public Right-of-Way to be used for any other public purpose, including but not limited to, underground, surface or overhead communication, drainage, sanitary sewerage, transmission of natural gas or electricity, or any other public purpose, whether presently contemplated or not, that this Agreement shall terminate upon 60 days' written notice to Licensee. In the event this Agreement is terminated under this Section 9, Licensee shall perform the obligations regarding removing the Improvements and restoring the Public Right-of-Way described in Section 8. 10. Licensee agrees and acknowledges that this Agreement is solely for the purpose of permitting Licensee to construct, maintain and locate the Improvements over or within the described Public Right-of-Way and is not a conveyance of any right, title or interest in or to the Public Right-of-Way nor is it meant to convey any right to use or occupy any property in which a third party may have an interest. Licensee agrees that it will obtain all necessary permissions before occupying such property. 11. Licensee agrees to comply fully with all applicable federal, state and local laws, statutes, ordinances, codes or regulations in connection with the construction, operation and maintenance of the Improvements, encroachment and uses. 12. Licensee agrees to pay promptly when due all fees, taxes or rentals provided for by this Agreement or by any federal, state or local statute, law or regulation. 13. Licensee covenants and agrees that it shall operate hereunder as an independent contractor as to all rights and privileges granted hereunder and not as an officer, agent, servant or employee of City, and Licensee shall have exclusive control of and the exclusive right to control the details of its operations, and all persons performing same, and shall be solely responsible for the acts and omissions of its officers, agents, servants, employees, contractors, subcontractors, licensees and invitees. The doctrine of respondeat superior shall not apply as between City and Licensee, its officers, agents, servants, employees, contractors and subcontractors, and nothing herein shall be construed as creating a partnership or joint enterprise between City and Licensee. 14. 2015 ROW Encroachment Agreement-Commercial Page 4 of 12 First Texas Homes,Inc. rev.02/2015 LICENSEE COVENANTS AND AGREES TO INDEMNIFY, AND DOES HEREBY INDEMNIFY, HOLD HARMLESS AND DEFEND CITY, ITS OFFICERS, AGENTS, SERVANTS, EMPLOYEES, AND ELECTED OFFICIALS FROM AND AGAINST ANY AND ALL CLAIMS OR SUITS FOR PROPERTY DAMAGE OR LOSS AND/OR PERSONAL INJURY, INCLUDING DEATH, TO ANY AND ALL PERSONS, OF WHATSOEVER HIND OR CHARACTER, ARISING OUT OF OR IN CONNECTION WITH, THE CONSTRUCTION, MAINTENANCE, OCCUPANCY, USE, EXISTENCE OR LOCATION OF THE IMPROVEMENTS AND ENCROACHMENT AND USES GRANTED HEREUNDER, WHETHER OR NOT CAUSED, IN WHOLE OR IN PART, BY ALLEGED NEGLIGENCE OF OFFICERS, AGENTS, SERVANTS, EMPLOYEES, CONTRACTORS, SUBCONTRACTORS, LICENSEES, ELECTED OFFICIALS, OR INVITEES OF THE CITY; AND LICENSEE HEREBY ASSUMES ALL LIABILITY AND RESPONSIBILITY FOR SUCH CLAIMS OR SUITS. LICENSEE SHALL LIKEWISE ASSUME ALL LIABILITY AND RESPONSIBILITY AND SHALL INDEMNIFY CITY FOR ANY AND ALL INJURY OR DAMAGE TO CITY PROPERTY ARISING OUT OF OR IN CONNECTION WITH THE IMPROVEMENTS AND ANY AND ALL ACTS OR OMISSIONS OF LICENSEE, ITS OFFICERS, AGENTS, SERVANTS, EMPLOYEES, CONTRACTORS, SUBCONTRACTORS, LICENSEES, INVITEES, OR TRESPASSERS. 15. While this Agreement is in effect, Licensee agrees to furnish City with a Certificate of Insurance naming City as certificate holder, as proof that it has secured and paid for a policy of public liability insurance covering all public risks related to the proposed use and occupancy of public property as described or depicted in Exhibit"A". The amounts of such insurance shall be not less than $1,000,000 Commercial General Liability with the understanding and agreement by Licensee that such insurance amounts may be revised upward at City's option and that Licensee shall so revise such amounts promptly following notice to Licensee of such requirement. Such insurance policy shall not be canceled or amended without at least 30 days prior written notice to the Building Official of the City of Fort Worth. A copy of such Certificate of Insurance is attached as Exhibit "B" and incorporated herein for all purposes. Licensee agrees to submit a similar Certificate of Insurance annually to City on the anniversary date of the execution of this Agreement. Licensee agrees, binds and obligates itself, its successors and assigns, to maintain and keep in force such public liability insurance at all times during the term of this Agreement and until the removal of all encroachments and the cleaning and restoration of the Public Right-of-Way. All insurance coverage required herein shall include coverage of all Licensees' contractors and subcontractors. 2015 ROW Encroachment Agreement-Commercial Page 5 of 12 First Texas Homes,Inc. rev.02/2015 16. Licensee agrees to deposit with the City when this Agreement is executed a sufficient sum of money to be used to pay the fees to record this Agreement in the Real Property Records of Tarrant County, Texas. After being recorded, the original shall be returned to the City Secretary of the City of Fort Worth. 17. In any action brought by the City for the enforcement of the obligations of the Licensee, City shall be entitled to recover interest and reasonable attorney's fees. 18. Licensee covenants and agrees that it will not assign all or any of its rights, privileges or duties under this Agreement without the prior written approval of the City, and any attempted assignment without such written approval shall be void. In the event Licensee conveys the Property, Licensee may assign all of its rights and obligations under this Agreement to the new owner of the Property, and Licensee shall be deemed released from its duties and obligations hereunder upon City's approval in writing of such assignment, which approval shall not be unreasonably conditioned or withheld. Foreclosure by a secured lender of Licensee or assignment to a secured lender by Licensee in the event of default or otherwise shall not require City approval provided that said lender notifies City in writing within 60 days of such foreclosure or assignment and assumes all of Licensees' rights and obligations hereunder. However, no change of ownership due to foreclosure or assignment to any secured lender of Licensee shall be effective as to City unless and until written notice of such foreclosure or assignment is provided to City. 19. THE PARTIES AGREE THAT THE DUTIES AND OBLIGATIONS CONTAINED IN PARAGRAPH 8 SHALL SURVIVE THE TERMINATION OF THIS AGREEMENT. 20. Any cause of action for breach of this Agreement shall be brought in Tarrant County, Texas. This Agreement shall be governed by the laws of the State of Texas. 21. This Agreement shall be binding upon the parties hereto, their successors and assigns. 2015 ROW Encroachment Agreement-Commercial Page 6 of 12 First Texas Homes,Inc. rev.02/2015 [SIGNATURES APPEAR ON FOLLOWING PAGE] 2015 ROW Encroachment Agreement-Commercial Page 7 of 12 First Texas Homes,Inc. rev.02/2015 THIS AGREEMENT may be executed in multiple counterparts, each of which shall be considered an original, but all of which shall constitute one instrument. City: Licensee: CITY OF FORT WORTH, First Texas Homes,Inc. By: By: Randle H ood Name: Keith Hardesty Director Title: Division President Planning and Development Department Date: J d lk 5 , 201T ATTEST: Approved As To Form and Legality C t City Secretary Assistant City Attorney � FORT�'L U; ;Z �r �r �L'XAS �iM;Oi V4101 a4F�,4� it' 4� 2015 ROW Encroachment Agreement-Commercial Page 8 of 12 First Texas Homes,Inc. rev.02/2015 STATE OF TEXAS § COUNTY OF TARRANT § This instrument was acknowledged before me on OS , 201_7 by Randle Harwood, Director of the Planning and Dev opment Department of the City of Fort Worth, on behalf the City of Fort Worth. z', 6 'r" , Notary Public, State of Texas IRMA SAENZ :°; ='s Notory Public.State of Texas n �.' Comm.Expires 01.28-2020 r. ;FOF+� ' Notary ID 2724984 After Recording Return to: Cassandra Foreman Planning and Development Department 1000 Throckmorton Street Fort Worth TX, 76102 2015 ROW Encroachment Agreement-Commercial Page 9 of 12 First Texas Homes,Inc. rev.02/2015 STATE OF TEXAS § COUNTY OF DALLAS § BEFORE ME, the undersigned authority, a Notary Public in and for the State of Texas, on this day personally appeared Keith Hardesty, Division President (title), known to me to be the person whose name is subscribed to the foregoing instrument, and acknowledged to me that he/she executed the same for the purposes and consideration therein expressed, as the act and deed of First Texas Homes, Inc., a Corporation, and in the capacity therein stated. GIVEN UNDER MY HAND AND SEAL OF OFFICE this 6r�_day of 20Aa. wi ei;''• LAC HE -`�Y MY COMMISSION EXPIRES October 29,2018 }4'" Notary Public in and for the State of Texas 2015 ROW Encroachment Agreement-Commercial Page 10 of 12 First Texas Homes,Inc. rev.02/2015 LEGAL DESCRIPTION OF THE PROPERTY The encroachment is located 230 feet west of the intersection of Salvia Drive and Harmon Road. The encroachment is in the 60 foot Right-of-Way of Salvia Drive,located in Tract 2 of the Final Plat FP-014-041. (reference attached Final Plat FP-014-041) 2015 ROW Encroachment Agreement-Commercial Page 11 of 12 First Texas Homes,Inc. rev.02/2015 EXIMrr"A" Location and Description of Encroachment and Improvements 2015 ROW Encroachment Agreement-Commercial Page 12 of 12 First Texas Homes,Inc. rev.02/2015 g �b 0O'Oa CD NOAHVH °p g o co g N - - DE z� - � f X 600 Ld M � W 20 r- O X a N C .) � � N~ W W v O toOf 0 V CO3 W�5 Q g >U a OLq W. �o_ v Q V J y •G� \ ZZ yd's w w xQ 0!l CD S N Z� W3 J 9_ co a NN +W �0 a� a mw Z W W 0 >>o> M U N 41 a. r U Jh Q_ w 4 �a w �� iii ir� 11 .yr OD � O 00 .r W W '-rl �� Md' �A Wa. Q� "r'r� OM 0� D4. Q'A 2 N O� n �t0 • dpi ^ Mn M^ NW (D �j� M^ Z fl in CL wW O O 71j^ Z A Z 11 Z II a0 � fn ZC N WW Z 1 � O� H ZX d oz X� 3� wa0 CL 00(oz, X� WW M �OJ WW '6w WW a~ Q W V W W W C.GIS W O W a 4J ~� LL � Qw WQ N =C CL ' F spa D ad x� W 10T � ~N �0•£ 0 0 z o w 0 = oe u ' W m0-u-:E J84100H 'WO4pU!M 'LIOZ/Ll/t 'BMp-;!q!4x3 GuOg\}u®WseJ6y }u®W4OOa0u3\91!q!4x3 8ZL\OOV'J OOL\4O6£NK4M\ms\:I ACC> CERTIFICATE OF LIABILITY INSURANCE DATE(MMID DIYYYY) 4/27/2017 THIS CERTIFICATE IS ISSUED AS A MATTER OF INFORMATION ONLY AND CONFERS NO RIGHTS UPON THE CERTIFICATE HOLDER. THIS CERTIFICATE DOES NOT AFFIRMATIVELY OR NEGATIVELY AMEND, EXTEND OR ALTER THE COVERAGE AFFORDED BY THE POLICIES BELOW. THIS CERTIFICATE OF INSURANCE DOES NOT CONSTITUTE A CONTRACT BETWEEN THE ISSUING INSURER(S), AUTHORIZED REPRESENTATIVE OR PRODUCER,AND THE CERTIFICATE HOLDER. IMPORTANT: If the certificate holder is an ADDITIONAL INSURED, the policy(ies) must be endorsed. If SUBROGATION IS WAIVED, subject to the terms and conditions of the policy,certain policies may require an endorsement. A statement on this certificate does not confer rights to the certificate holder in lieu of such endorsement(s). PRODUCER CONTACT Amber Ingle Bowen, Miclette&Britt Insurance Agency, LLC NAMEPHONE ,Amber FAX 713-880-7166 1111 N. Loop West, Suite 400 E-MAIL AIC No Houston TX 77008 DDRE .certificates@bmbinc.com INSURERS AFFORDING COVERAGE NAIC# INSURERA:Amerisure Insurance Company 19488 INSURED MABAKDIREC INSURERB:Amerisure Mutual Insurance Company 23396 Mabak Directional Drilling, Inc. INSURERC:North River Insurance Co. 21105 3447 McReynolds Road Sanger TX 76266 INSURER D INSURER E: INSURER F: COVERAGES CERTIFICATE NUMBER: 1638223743 REVISION NUMBER: THIS IS TO CERTIFY THAT THE POLICIES OF INSURANCE LISTED BELOW HAVE BEEN ISSUED TO THE INSURED NAMED ABOVE FOR THE POLICY PERIOD INDICATED. NOTWITHSTANDING ANY REQUIREMENT, TERM OR CONDITION OF ANY CONTRACT OR OTHER DOCUMENT WITH RESPECT TO WHICH THIS CERTIFICATE MAY BE ISSUED OR MAY PERTAIN, THE INSURANCE AFFORDED BY THE POLICIES DESCRIBED HEREIN IS SUBJECT TO ALL THE TERMS, EXCLUSIONS AND CONDITIONS OF SUCH POLICIES.LIMITS SHOWN MAY HAVE BEEN REDUCED BY PAID CLAIMS. INSR ADDLISUBR TYPE OF INSURANCE POLICY EFF POLICY EXP LIMITS LTR INSD WVD POLICY NUMBER MM/DD/YYYY MMIDD/YYYY B X COMMERCIAL GENERAL LIABILITY Y Y CPP20728420503 10/24/2016 10/24/2017 EACH OCCURRENCE $1,000,000 CLAIMS-MADE X�OCCUR PREM SESOEa o'cur RENTED $100,000 MED EXP(Any one person) $5,000 PERSONAL&ADV INJURY $1,000,000 GEN'L AGGREGATE LIMIT APPLIES PER: GENERAL AGGREGATE $2,000,000 POLICY1XI jE O LOC PRODUCTS-COMP/OP AGG $2,000,000 OTHER: $ A AUTOMOBILE LIABILITY Y Y CA207284106 10/24/2016 10/24/2017 COMBINED SINGLE LIMIT $ Ea accident 1,000,000 X ANY AUTO BODILY INJURY(Per person) $ ALL OWNED ISCHEDULED BODILY INJURY(Per accident) $ AUTOS AUTOS X HIRED AUTOS X NON-OWNED PROPERTY DAMAGE $ AUTOS Per accident C X UMBRELLA LIAB X OCCUR Y Y 5811075207 10/24/2016 10/24/2017 EACH OCCURRENCE $9,000,000 EXCESS LIAB CLAIMS-MADE AGGREGATE $9,000,000 DED I I RETENTION$ $ A WORKERS COMPENSATION Y WC207284006 10/24/2016 10/24/2017 X PER OTH- AND EMPLOYERS'LIABILITY YINANY STATUTE ER OFFICERIMEMBER EXCLUDED? ECUTIVE N NIA E.L.EACH ACCIDENT $1,000,000 (Mandatory in NH) E.L.DISEASE-EA EMPLOYE $1,000,000 If yes,describe under DESCRIPTION OF OPERATIONS below E.L.DISEASE-POLICY LIMIT $1,000,000 DESCRIPTION OF OPERATIONS I LOCATIONS I VEHICLES (ACORD 101,Additional Remarks Schedule,may be attached if more space is required) The following policy provisions and/or endorsements form part of the policies of insurance represented by this certificate of insurance. The terms contained in the policies and/or endorsements supersede the representations made herein. Electronic copies of the policy provisions and/or endorsements listed below are available by emailing: certificates@bmbinc.com General Liability: See Attached... CERTIFICATE HOLDER CANCELLATION SHOULD ANY OF THE ABOVE DESCRIBED POLICIES BE CANCELLED BEFORE City of Fort Worth THE EXPIRATION DATE THEREOF, NOTICE WILL BE DELIVERED IN 311 W. 10th Street ACCORDANCE WITH THE POLICY PROVISIONS. Fort Worth TX 76102 AUTHORIZED REPRESENTATIVE e-b : @ 1988-2014 ACORD CORPORATION. All rights reserved. ACORD 25(2014/01) The ACORD name and logo are registered marks of ACORD AGENCY CUSTOMER ID: MABAKDIREC _ LOC M !� ADDITIONAL REMARKS SCHEDULE Page 1 of 1 AGENCY NAMED INSURED Bowen, Miclette&Britt Insurance Agency, LLC Mabak Directional Drilling, Inc. 3447 McReynolds Road POLICY NUMBER Sanger TX 76266 CARRIER NAIC CODE EFFECTIVE DATE. ADDITIONAL REMARKS THIS ADDITIONAL REMARKS FORM IS A SCHEDULE TO ACORD FORM, FORM NUMBER: 25 FORM TITLE: CERTIFICATE OF LIABILITY INSURANCE Blanket additional insured Ongoing Operations per form#CG 70 85 10 15 Blanket additional insured Completed Operations per form#CG 70 85 10 15 Blanket waiver of subrogation per form#CG 70 63 07 12 Blanket primary/non-contributory per form#CG 70 85 10 15 Automobile: Blanket additional insured per form#CA 71 18 11 09 Blanket waiver of subrogation per form#CA 71 18 11 09 Blanket primary/non-contributory per form#CA 71 65 10 07 Worker's Compensation: Blanket waiver of subrogation per form#WC 42 03 04B Umbrella: Blanket additional insured per form#FM 101.0.1108 08 05 Blanket waiver of subrogation per form#FM 101.0.1108 08 05 ACORD 101 (2008/01) ©2008 ACORD CORPORATION. All rights reserved. The ACORD name and logo are registered marks of ACORD THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY. TEXAS CONTRACTOR'S BLANKET ADDITIONAL INSURED ENDORSEMENT- FORM A This endorsement modifies insurance provided under the following: COMMERCIAL GENERAL LIABILITY COVERAGE PART Policy Number Agency Number Policy Effective Date CPP20728420503 1012412016 Policy Expiration Date Date Account Number 10/24/2017 Named Insured Agency Issuing Company Mabak Directional Drilling,Inc. I J 1. a. SECTION II -WHO IS AN INSURED is amended to add as an additional insured any person or organization whom you are required to add as an additional insured on this policy under a written contract or written agreement relating to your business. b. The written contract or written agreement must: (1) Require additional insured status for a time period during the term of this policy; and (2) Be executed prior to the "bodily injury", "property damage", or"personal and advertising injury" leading to a claim under this policy. c. If, however: (1) "Your work"began under a letter of intent or work order;and (2) The letter of intent or work order led to a written contract or written agreement within 30 days of beginning such work; and (3) Your customer's customary contracts require persons or organizations to be named as additional insureds; we will provide additional insured status as specified in this endorsement. 2. The insurance provided under this endorsement is limited as follows: a. That person or organization is an additional insured only with respect to liability caused, in whole or in part, by: (1) Premises you: (a)Own; (b) Rent; (c) Lease; or (d) Occupy; (2) Ongoing operations performed by you or on your behalf. Ongoing operations does not apply to "bodily injury" or"property damage" occurring after: (a) All work to be performed by you or on your behalf for the additional insured(s) at the site of the covered operations is complete, including related materials, parts or equipment(other than service, maintenance or repairs); or (b) That portion of"your work"out of which the injury or damage arises is put to its intended use by any person or organization other than another contractor working for a principal as a part of the same project. Includes copyrighted material of Insurance Services Office, Inc. CG 70 86 10 15 Pages 1 of 3 (3) Completed operations coverage, but only if: (a) The written contract or written agreement requires completed operations coverage or"your work" coverage; and (b) This coverage part provides coverage for"bodily injury" or"property damage" included within the "products-completed operations hazard". However, the insurance afforded to such additional insured only applies to the extent permitted by law. b. If the written contract or written agreement: (1) Requires"arising out of" language;or (2) Requires you to provide additional insured coverage to that person or organization by the use of either or both of the following: (a) Additional Insured—Owners, Lessees or Contractors—Scheduled Person Or Organization endorsement CG 20 10 10 01; or (b) Additional Insured—Owners, Lessees or Contractors—Completed Operations endorsement CG 20 37 10 01; then the phrase"caused, in whole or in part, by" in paragraph 2.a. above is replaced by"arising out of". c. If the written contract or written agreement requires you to provide additional insured coverage to that person or organization by the use of: (1) Additional Insured—Owners, Lessees or Contractors—Scheduled Person Or Organization endorsement CG 20 10 07 04 or CG 20 10 04 13; or (2) Additional Insured—Owners, Lessees or Contractors—Completed Operations endorsement CG 20 37 07 04 or CG 20 37 04 13; or (3) Both those endorsements with either of those edition dates; or (4) Either or both of the following: (a) Additional Insured—Owners, Lessees or Contractors—Scheduled Person Or Organization endorsement CG 20 10 without an edition date specified; or (b) Additional Insured—Owners, Lessees or Contractors—Completed Operations endorsement CG 20 37 without an edition date specified; then paragraph 2.a. above applies. d. Premises, as respects paragraph 2.a.(1) above, include common or public areas about such premises if so required in the written contract or written agreement. e. Additional insured status provided under paragraphs 2.a.(1)(b) or 2.a.(1)(c) above does not extend beyond the end of a premises lease or rental agreement. f. The limits of insurance that apply to the additional insured are the least of those specified in the: (1) Written contract; (2) Written agreement; or (3) Declarations of this policy. The limits of insurance are inclusive of and not in addition to the limits of insurance shown in the Declarations. g. The insurance provided to the additional insured does not apply to "bodily injury", "property damage", or "personal and advertising injury"arising out of an architect's, engineer's, or surveyor's rendering of, or failure to render, any professional services, including but not limited to: (1) The preparing, approving, or failing to prepare or approve: (a) Maps; (b) Drawings; (c) Opinions; Includes copyrighted material of Insurance Services Office, Inc. Page 2 of 3 CG 70 851015 (d) Reports; (e)Surveys; (f) Change orders; (g) Design specifications; and (2) Supervisory, inspection, or engineering services. h. SECTION IV—COMMERCIAL GENERAL LIABILITY CONDITIONS, paragraph 4.Other Insurance is deleted and replaced with the following: 4. Otherinsurance. Coverage provided by this endorsement is excess over any other valid and collectible insurance available to the additional insured whether: a. Primary; b. Excess; c. Contingent; or d.On any other basis; but if the written contract or written agreement requires primary and non-contributory coverage, this insurance will be primary and non-contributory relative to other insurance available to the additional insured which covers that person or organization as a Named Insured, and we will not share with that other insurance. L If the written contract or written agreement as outlined above requires additional insured status by use of CG 20 10 11 85, then the coverage provided under this CG 70 85 endorsement does not apply except for paragraph 2.h. Other Insurance. Additional insured status is limited to that provided by CG 20 10 11 85 shown below and paragraph 2.h. Other Insurance shown above. ADDITIONAL INSURED-OWNERS, LESSEES OR CONTRACTORS(FORM B) This endorsement modifies insurance provided under the following: COMMERCIAL GENERAL LIABILITY COVERAGE PART. SCHEDULE Name of Person or Organization: Blanket where required by written contract or written agreement that the terms of CG 20 10 11 85 apply. (If no entry appears above, information required to complete this endorsement will be shown in the Declarations as applicable to this endorsement.) WHO IS AN INSURED(Section II) is amended to include as an insured the person or organization shown in the Schedule, but only with respect to liability arising out of"your work"for that insured by or for you. CG 20 10 11 85 Copyright, Insurance Services Office, Inc., 1984 j. The insurance provided by this endorsement does not apply to any premises or work for which the person or organization is specifically listed as an additional insured on another endorsement attached to this policy. Includes copyrighted material of Insurance Services Office, Inc. CG 70 86 1015 Pages 3 of 3 Contract Compliance Manager.- By anager:By signing I acknowledge that I am the person responsible for the monitoring and administration of this contract, including ensuring all performance and reporting requirements. i, ame of Employee Title ��T