Standard Specifications for Construction of Roads and Bridges

1. SCOPE OF WORK: Contractor shall provide all labor and materials, and perform all work
necessary for the completion of the residence, structure, or improvements as described in the
drawings and specifications signed by both Owner and Contractor (“Project”) and more
particularly described as

Such drawings and specifications are hereby made a part of this Contract. Drawings and
specifications shall contain a scale drawing showing the shape, size, and dimensions of the
construction and equipment together with a description of the work to be done, materials to be
used, and the equipment to be used or installed.

(a) Contractor shall maintain continuous responsibility for proper placement of all bench marks,
monuments and reference points and leave the trees, landscaping at the project work site
reasonably undamaged.

(b) Contractor shall ensure access of workmen with concrete trucks to the foundation area by storing
the topsoil and stockpile backfill taken from all excavated areas at .

(c) Excavation shall be to undisturbed soil and all material of every description existing in the
excavation area to the depth of . Maximum allowable excavation grade variance will be
inches over each excavated level (if more than one) to allow for rainfall and normal
water drainage.

(d) Basement excavations will have approximately inches overdig of the dwelling footing
dimensions and establish a degree bank slope to prevent cave-in and allow for
installation of footings, foundation walls, piers, drain tile and gravel.

(e) Contractor shall remove all unsuitable earth materials, topsoil and vegetation from excavated areas
receiving fill and place fill gravel in sub-grade concrete floor, patio, driveway,
sidewalk, and front stoop areas as indicated on the to ensure no settlement.

(f) Contractor will use only backfill material that is reasonably free from roots, debris, rocks larger
than inches in diameter and; and deposit backfill material in inch layers against
foundation walls in such manner to avoid wall damage and to ensure minimum settlement.

(g) Contractor shall rough grade the dwelling project area to inches below the finished grade
elevation.

(h) Contractor shall use to bring the dwelling project area to finished grade elevation that
ensures proper water drainage away from the dwelling.

(i) If any rocks larger than are discovered during excavation, Contractor shall place such sized
rocks in the .

(j) Contractor shall notify of unusual digging or soil conditions.

(k) Interior areas shall be backfilled as instructed by Owner to reduce settling.

(l) Owner will be responsible for providing hand labor, bracing, guard rails, fencing and other items
necessary for the protection of the workmen and public.

(m) Prior to backfilling and grading Owner shall be responsible for removing all construction debris
from all excavated and fill areas including but not limited to foundation and concrete flat work
forming materials; dewatering, removing old materials, fences and from the site.

2. WORK SITE: The Project shall be constructed on the property of Owner located at

particularly described as and more
(hereafter
"the Work Site"). Owner hereby authorizes Contractor to commence and complete the usual and
customary excavation and grading on the Work Site as may be required in the judgment of the
Contractor to complete the Project.

3. TIME OF COMPLETION: Contractor shall commence the work to be performed under this
Contract on or before and shall substantially complete the work on or before
Contractor shall not be liable for any delay due to circumstances beyond its control including
strikes, casualty, acts of God, illness, injury, or general unavailability of materials.

4. PERMITS: Contractor shall apply for and obtain such permits and regulatory approvals as may
be required by the local municipal/county government, the cost thereof shall be included as part of
the Project price.

5. INSURANCE: Contractor shall maintain general liability, workers compensation and builder's
risk insurance.

6. SURVEY AND TITLE: If the Project is near the Owner's property boundary, Owner will point
out property lines to the Contractor. If the Owner or Contractor has any doubt about the location
of the property lines, Owner shall provide Contractor with boundary stakes through a licensed
surveyor. In addition, Owner shall provide Contractor documentation that Owner has title to the
Work Site and shall provide Contractor copies of any covenants, conditions, or restrictions that
affect the Work Site.

7. CHANGES TO SCOPE OF WORK: Owner may make changes to the scope of the work,
including changes to the drawings and specifications, from time to time during the construction of
the Project. However, any such change or modification shall only be made by written "Change
Order" signed by both parties. Such Change Orders shall become part of this Contract. Owner
agrees to pay any increase in the cost of the Project as a result of a Change Order. In the event the
cost of a Change Order is not known at the time a Change Order is executed, the Contractor shall
estimate the cost thereof and Owner shall pay the actual cost whether or not it is in excess of the
estimated cost.

8. CONTRACT PRICE:

{COST PLUS}

Owner agrees to pay Contractor the actual cost to Contractor of materials plus the sum of
$ for performing the services set forth in the scope of the work. Contractor
shall be paid as follows:

OR

{FIXED FEE}

Owner agrees to pay Contractor the sum of $ for performing the services set
forth in the scope of the work. Contractor shall be paid as follows:

Contractor shall furnish Owner appropriate releases or waivers of lien for all work performed or
materials provided at the time the next periodic payment shall be due.

9. LATE PAYMENT/DEFAULT: A failure to make payment for a period in excess of ten (10)
days from the due date shall be deemed a material breach of this Contract. If payment is not made
when due, Contractor may suspend work on the job until such time as all payments due have been
made without breach of the Contract pending payment or resolution of any dispute. Owner agrees
to pay a late charge of 1% of all payments that are more than ten (10) days late plus interest at the
rate of 1% per month.

10. RIGHT TO CURE: Contractor shall have the right to cure a defect before Owner may file any
action in court against Contractor. See the “Notice of Potential Claims Must be Provided within
One Year” attached hereto and made a part of this Contract.

11. DESTRUCTION AND DAMAGE: If the Project is destroyed or damaged for any reason,
except where such destruction or damage was caused by the sole negligence of the Contractor or
its subcontractors, Owner shall pay Contractor for any additional work done by Contractor in
rebuilding or restoring the Project to its condition prior to such destruction or damage. If the
estimated cost of replacing work already accomplished by Contractor exceeds 20 percent of the
Contract price, either the Contractor or Owner may terminate this Contract. Upon termination by
either party, Contractor shall be excused from further performance under this Contract and Owner
shall pay Contractor a percentage of the Contract price in proportion to the amount of work
accomplished prior to the destruction or damage.

12. ASSIGNMENT: Neither party may assign this Contract, or payments due under the Contract,
without the other party's written consent. Any such assignment shall be void and of no effect.

13. INTERPRETATION:

(a) Interpretation of Documents. The Contract, drawings, and specifications are intended to
supplement one another. In the event of a conflict, the specifications shall control the drawings,
and the Contract shall control both. If work is displayed on the drawings but not called for in the
specifications, or if the work is called for in the specifications but not displayed on the drawings,
Contractor shall be required to perform the work as though it were called for and displayed in both
documents.

(b) Entire Agreement. This Contract constitutes the entire agreement of the parties. No other
agreements, oral or written, pertaining to the work to be performed under this Contract exists
between the parties. This Contract may only be modified only by a written agreement signed by
both parties.

(c) Governing Law. This Contract shall be interpreted and governed in accordance with the
laws of the State of Alaska.

14. ATTORNEYS' FEES AND COSTS: If any party to this Contract brings a cause of action
against the other party arising from or relating to this Contract, the prevailing party in such
proceeding shall be entitled to recover reasonable attorney fees and court costs.

15. PERFORMANCE:

(a) Contractor may, at its discretion, engage licensed subcontractors to perform work pursuant
this Contract provided Contractor shall remain fully responsible for the proper completion of the
Project.

(b) All work shall be completed in a workman-like manner and in compliance with all
building codes and applicable laws. To the extent required by law, all work shall be performed by
individuals duly licensed and authorized by law to perform said work.

16. WARRANTY: Contractor's warranty shall be limited to defects in workmanship within the scope
of work performed by Contractor and which arise and become known within
hereof. All said defects arising after and defects in material are not warranted by
Contractor. Owner agrees to inspect the work with Contractor within day(s) following
completion of each excavation, backfilling and grading and phase and make a written record of
any defects. Contractor shall not be responsible for Owners'/Builders' negligence. Contractor
agrees to correct immediately, weather permitting, any defects in the excavation, backfilling or
grading work discovered to be due to fault of Contractor. Contractor hereby assigns to Owner all
warranties on materials as provided by the manufacturer of such materials.

NOTICE OF POTENTIAL CLAIMS MUST BE PROVIDED WITHIN ONE YEAR

ALASKA LAW AT AS 09.45.881-09.45.899 CONTAINS IMPORTANT REQUIREMENTS
THAT YOU MUST FOLLOW BEFORE YOU MAY FILE A COURT ACTION FOR DEFECTIVE
DESIGN, CONSTRUCTION, OR REMODELING AGAINST THE DESIGNER, BUILDER OR
REMODELER OF YOUR HOME. WITHIN ONE YEAR OF THE DISCOVERY OF A DESIGN,
CONSTRUCTION, OR REMODELING DEFECT, BEFORE YOU FILE A COURT ACTION, YOU
MUST DELIVER TO THE DESIGNER, BUILDER OR REMODELER A WRITTEN NOTICE OF
ANY DESIGN, CONSTRUCTION, OR REMODELING CONDITIONS YOU ALLEGE ARE
DEFECTIVE IN ORDER TO PROVIDE YOUR DESIGNER, BUILDER, OR REMODELER WITH
THE OPPORTUNITY TO MAKE AN OFFER TO REPAIR OR PAY FOR THE DEFECTS.

YOU ARE NOT OBLIGATED TO ACCEPT ANY OFFER MADE BY THE DESIGNER,
BUILDER OR REMODER. THERE ARE STRICT DEADLINES AND PROCEDURES UNDER
STATE LAW, AND FAILURE TO FOLLOW THEM MAY AFFECT YOUR RIGHT TO FILE A
COURT ACTION. ALASKA LAW AT AS 09.45.895 CONTAINS LIMITATIONS TO THE AMOUNT
OF DAMAGES THAT MAY BE RECOVERED IN A COURT ACTION FOR DEFECTIVE DESIGN,
CONSTRUCTION OR REMODELING.