20410-20464
PUBLIC CONTRACT CODE
SECTION 20410-20464
20410. The provisions of this article shall apply to contracts by
legislative bodies for the doing of work or the furnishing of
materials, supplies and equipment, as provided for in the Improvement
Act of 1911, Division 7 (commencing with Section 5000) of the
Streets and Highways Code.
20411. Before the legislative body awards any contract for doing
any work or for furnishing materials, supplies and equipment or any
portion thereof, authorized by this division, the legislative body
shall pass a resolution ordering the work.
20412. Notice shall be posted inviting sealed proposals or bids for
doing such work, or for furnishing materials, supplies and equipment
or any portion thereof. Notice inviting such proposals, and
referring to the specifications on file, shall be published, but if
there is no newspaper published in the city, then it shall only be
posted. The time fixed for the opening of the bids shall be not less
than 10 days from the time of the first publication or posting of the
notice.
Said notices shall state the estimated cost of any acquisition,
which estimated cost is required to be advanced as a part of the
incidental expenses referred to in Section 5256 of the Streets and
Highways Code, at the time of entering into the contract.
20413. All bids for construction work shall be presented under
sealed cover and shall be accompanied by one of the following forms
of bidder's security:
(a) Cash.
(b) A cashier's check made payable to the city.
(c) A certified check made payable to the city.
(d) A bidder's bond executed by an admitted surety insurer, made
payable to the city.
The security shall be in an amount equal to at least 10 percent of
the amount of the bid. No bid shall be considered unless one of the
forms of bidder's security is enclosed with it.
Upon an award to the lowest bidder, the security of an
unsuccessful bidder shall be returned in a reasonable period of time,
but in no event shall that security be held by the city beyond 60
days from the time the award is made.
20414. The proposals or bids shall be delivered to the clerk, or
any other officer designated by the legislative body, and the
legislative body shall, in open session publicly open, examine and
declare the same. If the legislative body by resolution so provides
the proposals or bids may be opened, examined and declared by an
officer designated in the resolution. Any such resolution shall
require that the proposals or bids be opened at a public meeting
called by the officer designated who shall report the results of the
bidding to the legislative body at the next regular meeting after the
opening of the bids. In the event of such resolution the notice
inviting bids shall state the time and place of said public meeting
and the officer so designated. No proposal or bid shall be considered
unless accompanied by the check or bond satisfactory to the
legislative body.
20415. The legislative body may reject any and all proposals or
bids should it deem this for the public good, and also the bid of any
party who has been delinquent or unfaithful in any former contract
with the city, and shall reject all proposals or bids other than the
lowest regular proposal or bid of any responsible bidder, and may
award the contract for said work or improvement to the lowest
responsible bidder at the prices named in his bid. If the bids are
rejected the legislative body shall thereupon return to each bidder
the check or bond which accompanied his bid.
20416. Whenever the total amount bid by the lowest responsible
bidder plus the estimated amount of incidental costs would result in
assessments under this division which exceed by more than 15 percent
the engineer's estimate of cost of the proposed work to be assessed,
as stated in the "Notice of Improvement" referred to in Section 5193
of the Streets and Highways Code, the legislative body shall direct
the clerk to give notice by mail of such increase over the estimated
cost.
20417. If the bids are rejected or no bids are received the
legislative body may readvertise for proposals or bids for the
performance of the work as in the first instance, without further
proceedings, and thereafter proceed in the manner provided in this
chapter.
20418. The check or bond accompanying any proposal or bid which is
accepted shall be held by the clerk until the contract for doing the
work has been entered into, either by the lowest bidder or by the
owners of three-fourths part of the frontage, whereupon the certified
check or bond shall be returned to the bidder. If the bidder fails,
neglects or refuses to enter into the contract to perform the work,
the certified check accompanying his bid and the amount therein
mentioned, shall be declared to be forfeited to the city and shall be
collected by it and paid into the general fund, and any bond
forfeited may be prosecuted, and the amount due thereon collected and
paid into the general fund.
20419. If any local, state or national agency or authority
contributes the labor, or labor and any portion of the materials,
supplies or equipment necessary for the construction of any
improvement authorized under this division, the contract shall be for
only those items which are not contributed by any such agency or
authority. If proposals or bids are invited only for the furnishing
of materials, supplies and equipment or any portion thereof not
furnished by such agency or authority, the notice shall contain a
statement to the effect that the legislative body may cancel the
order for any undelivered materials, supplies or equipment by giving
the successful bidder 24 hours notice of the cancellation, in which
event the successful bidder will be entitled to compensation for only
so much of the material, supplies and equipment as has been used
prior to the giving of such notice of cancellation at the prescribed
unit rates stated in the contract, and that the contractor shall
agree to accept the return of any and all materials and supplies not
used prior to the giving of such notice.
20420. Notice of the award of the contract shall be published by
the clerk.
The clerk shall, upon payment of the statutory fee prescribed
therefor, record a notice of the award of contract in the office of
the county recorder. Said recordation shall constitute notice to all
persons that all property within the boundaries of the proposed
assessment district shall be assessed at the time of the confirmation
of the assessment under Chapter 16 (commencing at Section 5360) of
Part 3 of Division 7 of the Streets and Highways Code to pay the
costs of the improvement in proportion to the benefits which the
property receives from the improvement, notwithstanding the
acquisition of the property by the state or any of its agencies, or
by any county, city, municipality or other public or municipal
corporation. Said notice shall be substantially as follows:
NOTICE OF AWARD OF CONTRACT
IN
PROPOSED ASSESSMENT DISTRICT
Pursuant to the requirements of Section 5248 of
the Streets
and Highways Code, notice is hereby given that
a contract has
been awarded by_________________________________
(Legislative body)
to _____________________________________________
(Contractor)
for_____________________________________________
(Nature of improvement)
in___________________ District No.
__________________
(Improvement or
assessment)
and relating to the following described real property:
(The real property in the assessment district may be described by:
a. Stating its exterior boundaries; or
b. Giving a description thereof according to any official or
recorded map; or
c. Referring to a plat or map filed with the clerk of the
legislative body, which shall indicate by a boundary line the extent
of the territory included in the assessment district, and shall
govern for all details as to the extent of the assessment district.)
This shall constitute notice to all persons that all property
within the boundaries of the proposed assessment district shall be
assessed at the time of the confirmation of the assessment under
Chapter 16 (commencing at Section 5360) of Part 3 of Division 7 of
the Streets and Highways Code to pay the costs of the improvement in
proportion to the benefits which said property receives from the
improvement, notwithstanding the acquisition of any such property by
the state or any of its agencies, or by any county, city,
municipality or other public or municipal corporation.
Reference is made to the minutes of the
action taken
by____________________________________________
(Legislative body)
on file in my office for full particulars.
Dated:___________________
____________________
(Clerk of _________)
20421. The owners of three-fourths of the area of lands liable to
be assessed, or their agents (who shall make oath that they are the
owners or agents) are not required to present sealed proposals or
bids, but may within 10 days after the first publication, or first
posting if there is no publication, of the notice of the award of the
contract, elect to take the work and enter into a written contract
to do the whole work at the price at which the contract has been
awarded. All work done under the written contract is subject to
regulations which may be prescribed by ordinance of the legislative
body.
20422. If the owners fail to elect to take the work, and to enter
into a written contract therefor within 10 days, or to commence the
work within 15 days after the date of the written contract, and to
prosecute the work with diligence to completion, the superintendent
of streets shall enter into a contract with the original bidder to
whom the contract was awarded, and at the prices specified in his or
her bid.
20423. If the original bidder neglects, fails or refuses, for 25
days after the first publication of the notice of the award of the
contract, to enter into the contract, the legislative body, without
further proceedings, shall again advertise for and receive proposals
or bids, as in the first instance, and award the contract for the
work to the then lowest regular bidder.
20424. If no bids are received in response to this second call for
bids, the legislative body may again advertise for and receive bids
under the same proceedings at any time and let the contract to the
then lowest bidder, and such delay shall in no way affect the
validity of any of the proceedings or assessments levied thereunder.
20425. The bids of all persons and the election of all owners who
have previously failed to enter into the contract shall be rejected
in any bidding or election subsequent to the first for the same work.
20426. All contractors, contracting owners included, shall, at the
time of executing any contract for the work, execute a bond to the
satisfaction and approval of the superintendent of streets and
payable to the city, in a sum not less than 25 percent of the amount
of the contract, conditioned upon the faithful performance of the
contract.
20427. At any time prior to publication and posting notice inviting
bids, the legislative body by resolution, may determine that in the
event that the contractor, contracting owners included, does not
complete the work within the time limit specified in the contract or
within such further time as the legislative body shall have
authorized, the contractor or contracting owners, as the case may be,
shall pay to the city liquidated damages in the amount fixed by the
legislative body in said resolution. The amount so fixed is valid as
liquidated damages unless manifestly unreasonable under the
circumstances existing at the time the contract was made. If such
determination is made, the plans or specifications and the contract
shall contain provisions in accordance therewith.
Any moneys received by the city on account of such liquidated
damages shall be applied as follows:
(1) If received prior to confirmation of the assessment, such
moneys shall be applied as a contribution against the assessment.
(2) If received after the confirmation of the assessment, such
moneys shall be applied in the manner provided in Section 5132.1 of
the Streets and Highways Code for the disposition of excess
acquisition funds.
(3) If a contribution has theretofore been made or ordered by any
agency, the legislative body may order a refund to the contributing
agency in the proportion which said contribution bears to the total
costs and expenses of the work.
20428. If the owner or contractor who may have taken any contract
does not complete the work within the time limited in the contract,
or within such further time as the legislative body may give him, or
abandons or fails to proceed with the work, the legislative body may
declare him in default and may either relet all or any portion of the
work, or it may complete the work by direct purchase of labor and
materials, and the owner or contractor shall pay to the city the
entire cost of completing the work before the warrant is delivered to
the owner or contractor.
Notice of the declaration of default shall be given by the clerk
of the legislative body to the owner or contractor by personal
service or by mail. Upon receipt of such notice, the owner or
contractor shall forthwith quit the work, and shall receive no
payment for any work performed thereafter, unless ordered by the
legislative body to resume the work.
20429. Before being entitled to a contract, the bidder to whom the
award was made, or the owners who have elected to take the contract,
must advance to the superintendent of streets, for payment by him,
the cost of publication of the notices, resolutions, orders and
matters required under the proceedings prescribed in this division,
and of such other notice as may be deemed requisite by the
legislative body, together with all other incidental expenses
incurred up to the time of entering into the contract, including the
estimated cost of any acquisition which the legislative body may
determine to be payable at said time, but limited to the amount
specified in the notice inviting bids pursuant to Section 5241 of the
Streets and Highways Code. All other acquisition costs shall be
payable at the time of the delivery to the contractor, or his agent,
or assigns, of the warrant, assessment and diagram as provided in
Section 5375 of the Streets and Highways Code. The legislative body
may waive the payment in advance of all or any part of the incidental
expenses and acquisition costs by resolution adopted not later than
the time of ordering the work. The waiver must appear in the notice
inviting bids.
20430. If the work is abandoned by the city before work is actually
started or before any materials, supplies or equipment have been
furnished or used, the incidental expenses incurred previous to such
abandonment shall be paid out of the city treasury, but such expense
for which the city is liable and which shall have been paid by it may
be charged as incidental expenses against the district benefited in
any new proceeding had or taken for any work which includes
substantially the same work as that which was included in the
abandoned proceedings.
20431. At any time within 10 days from the date of the first
publication of the notice of award of the contract, any owner of, or
other persons having any interest in, any lot or land liable to
assessment, who claims that any of the previous acts or proceedings
relating to the work are irregular, defective, erroneous or faulty,
may file with the clerk a written notice specifying in what respect
the said acts and proceedings are irregular, defective, erroneous or
faulty. The notice shall state that it is made pursuant to this
section.
20432. All objections to any act or proceeding occurring prior to
the time within which such objections are permitted to be filed in
relation to the work, not made in writing and in the manner and at
the time specified, shall be waived, if the resolution of intention
to do the work has been actually published, as provided in this
division.
20433. If in the opinion of the legislative body the public
interest will not be served by allowing the property owners to take
the contract it may so provide in the resolution of intention.
20434. An action to determine the validity of proceedings relating
to the work and the validity of any contract entered or to be entered
into pursuant thereto may be brought by the legislative body or by
the contractor pursuant to Chapter 9 (commencing with Section 860) of
Title 10 of Part 2 of the Code of Civil Procedure. For such purpose
proceedings shall be deemed to be in existence upon the award of the
contract. An action may be commenced and concluded by the legislative
body before the publication of the notice inviting bids, and for
such purpose the proceedings shall be deemed to be in existence upon
the adoption of the resolution ordering the work.
20435. In such action, all findings, conclusions and determinations
of the legislative body which conducted the proceedings shall be
conclusive in the absence of actual fraud.
20436. If an action is commenced under the provisions of this
chapter to determine the validity of any contract or proposed
contract, and the contract has not been signed, the contractor shall
not be obligated to sign the same until a judgment sustaining the
validity of the proceedings and the proposed contract has become
final. If the contractor has signed and executed the contract, he
shall not be obligated to begin work until a judgment sustaining the
validity of the proceedings and the contract has become final. If a
judgment is entered holding the contract invalid, the contractor
shall be discharged and relieved of all obligation under the
contract, and he and his sureties shall be discharged and relieved of
all obligation upon any bond required by law in connection with such
contract.
20436.5. Notwithstanding any other provisions of law, the action
authorized by this chapter shall not be brought by any person other
than the legislative body or the contractor, nor shall the action be
brought after the date fixed for the beginning of work.
20437. The superintendent of streets is hereby authorized in his
official capacity to make all written contracts, and to receive all
bonds authorized by this division and to do any other act, either
expressly or impliedly required by this division, that pertains to
the street department.
20438. He shall fix the time for the commencement, which shall not
be more than 45 days from the date of the contract, and for the
completion of the work under each contract entered into by him. The
work shall be prosecuted with diligence from day to day thereafter to
completion.
20439. He may extend the time fixed for completion of the work from
time to time, under the direction of the legislative body. All
applications for extensions of time, if in writing, must be filed in
the office of the clerk before the expiration of the original time
fixed in the contract, or of the time granted by extension, as the
case may be. An extension of time may be granted by the legislative
body after the expiration of the time originally fixed in the
contract or as previously extended, and the extension so granted
shall be deemed to commence and be effective from the date of such
expiration. Any extension of time shall not release the sureties upon
any bond required under this division.
20440. The work, in all cases, shall be done under the direction
and to the satisfaction of the superintendent of streets and the
materials used shall comply with the specifications and be to the
satisfaction of the superintendent of streets and all contracts made
therefor shall contain a provision to that effect unless the
legislative body by resolution adopted within 10 days after the
passage of the resolution ordering the work directs that the work
shall be done under the direction of the engineer and the materials
used shall comply with the specifications and be to the satisfaction
of the engineer, instead of the superintendent of streets, and in
such case the contract shall contain a provision to that effect.
20441. The legislative body also may by resolution adopted within
10 days after the passage of the resolution ordering the work provide
and direct that the assessment thereafter to be made in the
proceeding shall be made and signed by the engineer instead of by the
superintendent of streets.
20442. The contract shall contain express notice that, in no case,
except where it is otherwise provided by law or by charter will the
city, or any officer thereof, be liable for any portion of the
expense, nor for any delinquency of persons or property assessed.
20443. The legislative body may, by ordinance, prescribe general
rules directing the superintendent of streets or the engineer, as the
case may be, and the contractor as to the materials to be used, and
the mode of executing the work, under all contracts thereafter made.
The assessment and apportionment of the expenses of all such work
shall be made by the superintendent of streets or the engineer, as
the case may be, in the mode provided by this division.
20444. If any fiscal agent of the United States government
contributes any money or materials to be used in the construction of
any work provided for in this division, the requirements of the
agency contributing such money or materials may be incorporated in
the contract.
20445. If a contribution of labor or of labor and any portion of
materials, supplies or equipment is to be made by any local, state or
national agency or authority, the contract shall contain a provision
that the legislative body may cancel the order for any undelivered
materials, supplies or equipment by giving the contractor 24 hours
notice of said cancellation, and require the contractor to accept the
return of the unused materials and supplies, in which event the
contractor will be entitled to compensation for only so much of the
materials, supplies and equipment as has been used prior to the
giving of such notice. The contract shall also contain a provision
that no materials, supplies or equipment shall be delivered until a
delivery permit signed by the superintendent of streets has been
received by the contractor.
20446. "Changes" as used in this chapter shall include corrections,
alterations, modifications, additions, omissions, increases or
decreases.
20447. Unless the power to proceed shall have ceased at the
conclusion of the hearing on the resolution of intention because of a
majority protest, at any time before the confirmation of the
assessment the legislative body may make changes in, to or from the
boundaries of the proposed assessment district, the work proposed to
be done, or any act, determination or provision made, or permitted to
be made, by the legislative body under and pursuant to this
division, which act, determination or provision does not affect the
jurisdiction of the legislative body to order the work or
improvement; provided, that after the award of the contract no such
changes shall be made without the written consent of the contractor
or the bidder to whom the contract shall have been awarded. The
legislative body shall not change the boundaries to include any
territory which will not, in its judgment, be benefited by the work.
20448. At the hearing on the resolution of intention, the
legislative body, without further notice and hearing, may order any
changes, as defined in Sections 20446 and 20447, except changes to
include additional territory in the assessment district. Any changes
to include additional territory and all changes after the hearing on
the resolution of intention shall be ordered only as provided in this
chapter.
20449. Before ordering any changes made, the legislative body shall
adopt a resolution briefly describing the changes proposed to be
made, stating the amount of the estimated increase or decrease in the
cost of the work by reason of the proposed changes and giving notice
of a time and place when and where any interested person having any
objection to the changes proposed to be made may appear before the
legislative body and show cause why the changes should not be
ordered. The resolution shall also contain the name and telephone
number of a local department or agency designated by the legislative
body to answer inquiries regarding the hearing proceedings. Such
notice shall be omitted if the hearing of objections is not required
as provided hereunder. The resolution may describe the changes by
referring to maps, plats, plans, profiles, detailed drawings, or
specifications on file in the office of the clerk or engineer, which
shall indicate the changes proposed to be made and which shall govern
for all details thereof. The resolution shall be published pursuant
to Section 6061 of the Government Code, at least 10 days prior to the
date of the hearing.
The hearing of objections shall not be required if the legislative
body, when considering passage of the resolution, finds and
determines by a four-fifth's vote of all members thereof, that all of
the owners of lots or lands liable to be assessed, or their agents,
who shall make oath that they are such agents, have signed and filed
a petition waiving the hearing, with the clerk, on or before the
fifth day prior to the day that the resolution is considered for
passage, declaring that they do not have any objections to the
proposed changes and requesting that the hearing of objections shall
not be required.
20450. If a resolution required under Section 20449 proposes to
include additional territory in the assessment district, at least 15
days prior to the hearing fixed therein, the clerk shall mail a copy
of the resolution to all persons owning real property within the
additional territory whose names and addresses appear on the last
equalized assessment roll or as known to the clerk. This section
shall not apply if the hearing of objections is not required pursuant
to Section 20449.
20451. Written objections to the proposed changes may be filed with
the clerk by any interested person at any time not later than the
time set for the hearing. The legislative body shall hear and pass
upon the objections at the time appointed, or at any time to which
the hearing thereof may be adjourned, and its decision thereon shall
be final and conclusive. If no written objections to the changes have
been delivered to the clerk up to the hour set for hearing thereon,
or if the objections have been heard and found by the legislative
body to be insufficient or have been overruled or denied, immediately
thereupon the legislative body by an affirmative vote of four-fifths
of its members shall acquire jurisdiction to order the changes made.
If the hearing of objections is not required, pursuant to Section
20449, immediately upon passage of the resolution the legislative
body shall acquire jurisdiction to order the changes made. The
decisions and determinations of the legislative body ordering the
changes shall be final and conclusive upon all persons entitled to
appeal thereupon to the legislative body.
20452. (a) No changes, except as provided in Section 20453, shall
be made pursuant to this chapter that will increase the estimated
assessable cost by more than 20 percent of the total estimated cost
of the work as determined from either of the following:
(1) The engineer's estimate, if the change is ordered prior to the
award of the contract.
(2) The successful bid, if the change is ordered after the award
of the contract.
(b) Any changes made pursuant to subdivision (a) shall also be
subject to the limitations, if any, contained in any law applicable
to the proceedings that imposes limitations upon the amount by which
the estimated cost of the work or improvement may be increased by
reason of those changes.
20453. Changes may exceed the 20-percent limitation in cost when
the legislative body orders such changes. That portion of the added
cost which exceeds the 20-percent limitation shall be paid by the
city.
20454. Any changes made pursuant to this chapter shall not release
or discharge the sureties upon any bond required under this division.
20455. (a) After construction has begun, the legislative body, or
the superintendent of streets if authorized by the legislative body,
may order changes in the work without the necessity of a hearing. The
order shall be in writing, and the amount of any change ordered
shall not exceed five thousand dollars ($5,000) when the total amount
of the original contract does not exceed fifty thousand dollars
($50,000), nor 10 percent of the amount of any original contract that
exceeds fifty thousand dollars ($50,000), but does not exceed two
hundred fifty thousand dollars ($250,000).
(b) For contracts whose original cost exceeds two hundred fifty
thousand dollars ($250,000), the extra cost for any change or
addition to the work so ordered shall not exceed twenty-five thousand
dollars ($25,000), plus 5 percent of the amount of the original
contract costs in excess of two hundred fifty thousand dollars
($250,000). In no event shall any such change or alteration exceed
one hundred fifty thousand dollars ($150,000).
(c) The limitations on the cost of changes permitted by this
section shall not apply where (1) the change is requested in writing
by the owner of property subject to assessment for the improvement
under construction and the nature of the change requested is such
that the cost thereof will be assessed exclusively against the
property of the person requesting the change, or (2) the change in
the work will not adversely affect the benefiting property and any
increase in the cost resulting from the changes will be paid by the
city and will not be assessed against the property within the
assessment district.
20456. Subject to the limitations of Section 20455, the contract
may include a provision to determine a fair and equitable price for
changes in the work, including, but not limited to, arbitration or
cost plus a fixed fee.
20457. Every contractor, to whom is awarded any contract for street
work under this division, shall at the time of signing and executing
the contract, file with the superintendent of streets a good and
sufficient bond, approved by the street superintendent in a sum not
less than one-half of the total amount payable by the terms of the
contract.
20458. The bond shall provide that the contractor or subcontractor
shall pay for any materials, provisions, provender, or other supplies
or use of implements or machinery 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.
20459. Any person furnishing materials, provisions, provender or
other supplies used in, upon, for or about the performance of the
work contracted to be executed or performed, or any person renting or
hiring teams or implements, or machinery for, or contributing to,
the work to be done, or any person who performs work or labor upon
the same, or any person who supplies both work and materials and
whose claim has not been paid by the contractor or by the
subcontractors of the contractor may, at any time within 30 days from
the date of the recordation of the assessment file with the
superintendent of streets a verified statement of his claim, together
with a statement that the same, or some part thereof, has not been
paid.
20460. Each person whose claim has not been paid by the contractor
or his subcontractors, shall have a first lien upon and against the
assessment, any partial assessment, any reassessment and any bonds
which may be issued to represent any assessment or reassessment,
which lien may be enforced by action brought within three months
after the date of the filing of the verified statement in the
superior court of the county in which such work is done.
20461. No assignment by the contractor of the whole or any part of
the money, assessment, partial assessment, any reassessment and any
bonds which may be issued to represent any assessment or
reassessment, due him or to be due him under the contract, or for
"extras" in connection therewith, whether made before or after a
verified claim is filed pursuant to this chapter, shall take priority
over such claims, and such assignment shall have no binding force
insofar as the rights of the claimants, or their assigns, are
concerned. None of the provisions of Title 15 (commencing with
Section 3082), Part 4, Division 3, of the Civil Code, shall be
applicable to any assessment, partial assessment, reassessment,
bonds, moneys or funds payable to the contractor or his assignee
under this division or to any matter contained in this chapter.
20461. No assignment by the contractor of the whole or any part of
the money, assessment, partial assessment, any reassessment and any
bonds which may be issued to represent any assessment or
reassessment, due or to be due under the contract, or for "extras" in
connection therewith, whether made before or after a verified claim
is filed pursuant to this chapter, shall take priority over the
claims, and the assignment shall have no binding force insofar as the
rights of the claimants, or their assigns, are concerned. None of
the provisions of Title 3 (commencing with Section 9000) of Part 6 of
Division 4 of the Civil Code shall be applicable to any assessment,
partial assessment, reassessment, bonds, moneys or funds payable to
the contractor or assignee under this division or to any matter
contained in this chapter.
20462. If any contractor disputes the correctness or validity of
any claim filed pursuant to this chapter, the city or superintendent
of streets may permit the contractor to deliver to the city or
superintendent of streets a bond satisfactory to said city or
superintendent of streets executed by the contractor and some
corporation authorized to issue surety bonds in a penal sum equal to
one and one-fourth times the amount of the claim.
20463. The bond shall guarantee the payment of any sum which the
claimant may recover on the claim together with his costs of suit in
the action, if he shall recover therein. If such bond is filed, the
city, any officer thereof, or superintendent of streets shall not
withhold any moneys or funds, assessment, partial assessment, any
reassessment and any bonds which may be issued to represent any
assessment or reassessment from the contractor on account of the
claim. The sureties upon the bond shall be jointly and severally
liable to the claimant with the sureties upon the contractor's
original labor and material bond posted by the contractor.
20464. Suit against the sureties on the bond of the contractor
filed pursuant to this chapter may be brought by any claimant, or his
assigns, at any time after the claimant has ceased to perform labor
or furnish materials or both and until the expiration of six months
after the period in which verified claims may be filed. The filing of
a verified claim shall not be a condition precedent to the
maintenance of such action against the sureties on the bond and an
action on the bond may be maintained separately from and without the
filing of an action against the city or officer by whom the contract
was awarded. Upon the trial of the action, the court shall award to
the prevailing party a reasonable attorney's fee, to be taxed as
costs, and to be included in the judgment therein rendered.