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CASS COUNTY HIGHWAY DEPARTMENT AGREEMENT This agreement made and entered into by Cass County, North Dakota, party of the first part, and, by virtue of its acquired rights from Valley Gravel and the obligations and responsibilities of that entity as a result of the award of Bid Number 1, of May 6, 2003, Mark Sand & Gravel Dakota Co. d/b/a Gutzmer Sand & Gravel Co. party of the second part (hereinafter called Contractor), WITNESSETH: 1. That for and in consideration of the payments to be made by the party of the first part, the contractor promises and agrees to furnish and deliver all labor, equipment, and materials, and to pay or cause to be paid as they become due, all claims for any work, labor, materials, equipment, including equipment rental or repair, and other supplies or insurance premiums, all of which are attributable to or utilized in road repair operations on and adjacent to County and Township Highways within Cass County. The contractor shall furnish Class 13 gravel only and as directed. In accordance and in conformity with the provisions of this contract and the Standard Specifications for Road and Bridge Construction which are hereby made a part of this agreement as fully and to the same effect as if the same had been set forth in the body of this agreement, including Section 108.04J pertaining to liquidated damages. References in the Standard Specifications for Road and Bridge Construction, 2002 edition, to the North Dakota Department of Transportation or Department must be construed as referring to the owner. Likewise, a reference by the same works to engineer or director must be construed as referring to the owner of the project. 2. The party of the first part agrees and promises to pay to the Contractor for said work, when completed and accepted in accordance with the provisions of this contract, Class 13 gravel at $2.50 per cubic yard loaded, at Lisbon, ND site. The estimated minimum quantity is 35,000 cubic yards. 3. The said work shall be done in accordance with the terms of this contract, and the laws of the State of North Dakota subject at all times to the inspection and approval of the engineer. 4. The decision of the engineer upon questions connected with the execution of this agreement or any failure or delay in the prosecution of the work by the Contractor shall be final and conclusive. 5. In the employment of labor, other things being equal, preference shall be given to honorably discharged soldiers, sailors and marines, and bona fide North Dakota residents, as determined by NDCC Section 43-07-20. CASS COUNTY NORTH DAKOTA Scott Wagner, Chairman Cass County Commission Date Mark Sand & Gravel Dakota Co. d/b/a Gutzmer Sand & Gravel Co. Contractor By. Title Corporate Executive Date