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(a) The Contractor shall demonstrate that an employee drug testing program is in place at the time of <br /> submitting its bid, and that such program will be maintained throughout the contract period, including any <br /> extensions. The failure of Contractor to have, or to maintain such a drug testing program is grounds for <br /> rejection of a bid or immediate termination of this contact. <br /> (b) The City of Eugene shall not be liable, either directly or indirectly, iri any dispute arising out of the <br /> substance or procedure of Contractor's drug testing program. Nothing in this drug testing provision shall be <br /> construed as requiring Contractor to violate any legal, inGuding constitutional, rights or any employee, including <br /> but not limited to, selection of which employees to test and the manner of such testing. The City shall not be <br /> liable for Contractor's negligence in establishing or implementing, failure to establish or implement a drug <br /> testing policy, or for any damage or injury caused by Contractor's employees acting under the influence of <br /> drugs while performing work covered by this contract. These are Contractor's sole responsibilities and nothing <br /> in this provision is intended to create any third party beneficiary rights against the City. <br /> 3. ORS 279C.510 Demolition contracts to require material salvage; lawn and landscape maintenance contracts <br /> to require composting or mulching. <br /> 3.1. If this public improvement contract includes demolition, the contractor shall salvage or recycle construction and <br /> demolition debris, if feasible and cost-effective. <br /> 3.2. If this public improvement contract includes services for lawn and landscape maintenance the contractor shall <br /> compost or mulch yard waste material at an approved site. <br /> 4. ORS 279C.515 Conditions concerning payment of claims by public officers, payment to persons furnishing <br /> labor or materials, and complaints. <br /> 4.1. If the Contractor fails, neglects or refuses to make prompt payment of any claim for labor or services furnished <br /> to the contractor or a subcontractor by any person in connection with this contract as the claim becomes due, <br /> the City may pay such claim to the person furnishing the labor or services and charge the amount of the <br /> payment against funds due or to become due the Contractor by reason of the contract. <br /> 4.2. If the Contractor or a first-tier subcontractor fails, neglects or refuses to make payment to a person furnishing <br /> labor or materials in connection with the contract v~ithin 30 days after receipt of payment from the City or the <br /> Contractor, the Contractor orfirst-tier subcontractor shall owe the person the amount due plus interest charges <br /> commencing at the end of the 10-day period that payment is due under ORS 279C.580(4) and ending upon <br /> final payment, unless payment is subject to a good faith dispute as defined in ORS 279C.580. The rate of <br /> interest charged to the Contractor orfirst-tier subcontractor on the amount due shall equal three times the <br /> discount rate on 90-day commercial paper in effect at the Federal Reserve Bank in the Federal Reserve district <br /> that includes Oregon on the date that is 30 days after the date when payment was received from the contracting <br /> agency or from the Contractor, but the rate of interest may not exceed 30 percent. The amount of interest may <br /> not be waived. <br /> 4.3. If the Contractor or a subcontractor fails, neglects or refuses to make payment to a person furnishing labor or <br /> materials in connection with the public improvement contract, the person may file a complaint with the <br /> Construction Contractors Board, unless payment is subject to a good faith dispute as defined in ORS 279C.580. <br /> 4.4. The payment of a claim in the manner authorized in :this section does not relieve the Contractor or the <br /> - contractor's surety from obligation with respect to any unpaid claims. <br /> 5. ORS 279C.830 Public Works Bond <br /> 5.1. A contractor or subcontractor, unless exempt under ORS 279C.800 to 279C.870, shall file with the Construction <br /> Contractors Board a public works bond with a corporate surety authorized to do business in this state in the <br /> amount of $30,000. The bond must provide that the contractor or subcontractor will pay claims ordered by the <br /> Bureau of Labor and Industries to workers performing labor under Public Works projects. Before permitting a <br /> subcontractor to start work on a Public Works project, the contractor shall verify the subcontractor has also filed <br /> a public works bond with the Construction Contractors Board. <br /> 5.2 Before starting work on a contract for a Public Works project, the contractor shall provide the City with a written <br /> -.statement certifying contractor and any subcontractor have filed a public works bond as required above. <br /> <br /> 6. ORS 279A.120 Nonresident Contractors. <br /> 6.1. As used in this section, "nonresident contractor" means a contractor that: (A) has not paid unemployment taxes <br /> or income taxes in the state of Oregon during the 12 calendar months immediately preceding submission of the <br /> bid for the contract, (B) does not have a business address in this state and (C) stated in the bid for the contract <br /> that it was not a "resident bidder" under ORS 279A.120. <br /> <br />