§ 185.14 Performance Bond
   Except for contracts awarded under the Small Business Rotation Program established under Section 187.032, or for contracts anticipated to be under five hundred thousand dollars ($500,000.00) and of a type where MBEs or FBEs are determined to be underutilized at a statistically significant level, when the Commissioner of Purchases and Supplies, with the prior approval of both the Director of Finance and the Director of the Office of Equal Opportunity, based on standards promulgated by the directors to protect the City’s interests, has determined that to reduce or waive a bond requirement will enhance contract competition by making City contract awards equitably available to all qualified contractors and will benefit the City’s interests, the contractor shall be required to furnish a bond with good and sufficient sureties approved by the Director of Law, in an amount equal to at least fifty percent (50%) of the contract price, which bond shall be substantially in the following form:
   FORM A
   BOND
   Know all men by these presents, that we, the undersigned _______________ as principal, and _______________ as surety, are hereby held and firmly bound unto the City of Cleveland in the penal sum of _______________ dollars ($__________), for the payment of which well and truly to be made, we hereby jointly and severally bind ourselves, our heirs, executors, administrators, successors and assigns by these presents.
   The conditions of this obligation are such that whereas the above-named principal did on the __________ day of __________ A.D. 20___, enter into the contract hereto attached with the City of Cleveland, which said contract is made a part of this bond the same as if fully set forth herein:
   Now, if the principal shall well and truly execute all and singular the stipulations by it to be executed and shall fully perform the work therein specified and do and perform all and singular the terms, conditions and requirements of the plans, specifications and contract, and shall indemnify and save harmless the City of Cleveland from all suits and actions of every name and description brought against the City, its directors or any officer of the City, for, or on account of any injury or damage to person or property arising from or growing out of the construction of the work in said contract specified to be done, or the doing of any of the work therein described, and shall indemnify and save harmless the City of Cleveland from any and all suits and expense over and above the expense included in the contract price, for royalties or infringements on patents that may be involved in the construction of the appliances contracted for or any of the parts thereof or in the use of said appliances or any of the parts thereof hereafter and if the principal shall defend, at its proper cost and expense, any and all suits and actions of every kind whatsoever that may be brought against the City of Cleveland by reason of the use of said appliances or any of the parts thereof, and further shall indemnify and save harmless the City of Cleveland from all liens, charges, claims, demands, loss, costs and damages of every kind and nature whatsoever and shall pay all lawful claims of subcontractors, materialmen and laborers for labor performed and for materials furnished in the carrying forward, performing or completing of said contract, then this obligation shall be void, otherwise shall be and remain in full force and virtue in law; we hereby agreeing and consenting that this undertaking shall be for the benefit of any laborer or materialman having a just claim as aforesaid as well as for the City of Cleveland; and further, that the parties to the foregoing contract may, from time to time and as often as they see fit, make any additions to, omissions from, or modifications of the work, plans or specifications and the surety herein stipulates and agrees that no modifications, omissions, or additions, in or to the terms of the contract or in or to the plans or specifications therefor shall in any wise affect the obligations of said surety on its bond; it being expressly understood and agreed that the liability of the surety for any and all claims hereunder shall in no event exceed the penal amount of this obligation as herein stated.
Witness our signature this _____________ day of __________ A.D. 20___.
___________________________________________
___________________________________________
___________________________________________
   Principal.
___________________________________________
___________________________________________
___________________________________________
   Surety.
(Ord. No. 793-03. Passed 6-10-03, eff. 7-20-03)