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<br />"'C <br /> <br />." <br /> <br />. <br /> <br />. <br />STAn OF COLORADO <br />M\\ <br />'WJ <br /> <br />COLORADO WATER CONSERVATION BOARD <br />Department of Natural Resources <br /> <br />721 State Centennial Building <br />1313 Sherman Street <br />Denver, Colorado 60203 <br />Phone: (J03) 866,3441 <br /> <br />MEMORANDUM <br /> <br />Richard D. Lamm <br />Governor <br />J. William McDonald <br />Director <br />David W. Walker <br />Deputy Director <br /> <br />TO: <br /> <br />James A. Stroup <br />State Controller <br /> <br />Charles B. Howe <br />Chief Deputy Attorney General <br /> <br />FROM: <br /> <br />Bill McDonald. Director <br /> <br />DATE: <br /> <br />July 8. 1986 <br /> <br />SUBJECT: Requests to Modify Contractual Indemnification Clause: <br />(1) BishOp. Brogden. & Rumph. Inc. <br />(2) Boyle Engineering Corporation <br /> <br />Summary of Requests <br /> <br />The above identified firms were selected by me pursuant to <br />the procedures required by section 24-30-1401. et ~.. to <br />perform separate engineering studies on two different water <br />projects being undertaken by the Board. Both firms were <br />selected before Mr. Stroup issued his June 9. 1986. memo <br />concerning the state's indemnification clause. <br /> <br />Contracts have been successfully negotiated with each firm <br />except for their objections to the indemnification clause found <br />at paragraph 4 of the "Special provisions" of the state's <br />pre-printed contract form. Both firms have refused to enter <br />into contracts containing that clause as printed (see enclosed <br />letters from each firm). <br /> <br />Both firms seek to have the indemnification clause modified <br />by inserting the word "negligent" after the word "any" in the <br />third line of the clause as it appears in the "special <br />Provisions." I concur in this request and urge you to approve <br />of the modification. As explained below. I believe that the <br />requests of both firms are appropriate. that the risks of loss <br />to the state from so mOdifying the clause are almost nil. and <br />that the Board will not be able to accomplish the two studies <br />at hand in a cost-effective. competent. and timely manner. if <br />at all. unless the requested modification is granted. <br /> <br />Please be advised that I am. pursuant to Mr. Stroup's June <br />9th memo. now indicating the state's requirements with respect <br /> <br />l203E <br />