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April 2, 1992 <br />The State of Colorado as purchaser, is exempt from all Federal <br />taxes under Chapter 32 of the Internal Revenue Code (Registration <br />No. 84-730123K) and from all State and Local Government Use Taxes <br />(Ref. Colorado Revised Statutes Chapter 39-26.114(a).) (Our <br />Colorado State and Local Sales Tax Exemption Number 98-022381.) <br />The Contractor is hereby notified that when materials are <br />purchased in certain political dub-divisions (for example - City <br />of Denver) the Contractor may be required to pay sales tax even <br />though the ultimate product or service is provided to the State <br />of Colorado. This sales tax will not be reimbursed by the State. <br />14. PRIME CONTRACTOR <br />If several CONTRACTORS propose to join together to perform the <br />work, the OWNER will recognize only one bonded prime CONTRACTOR, <br />who will enter into a purchase order contract with the OWNER, and <br />who will subcontract the work to such others as are required to <br />perform the work, unless a "joint venture" arrangement between <br />CONTRACTORS satisfactory to the OWNER has been executed. In this <br />case, the "joint venture" shall be bonded in accordance with <br />these General Conditions and shall designate a Superintendent <br />with whom the OWNER can communicate and who will supervise the <br />work and be fully responsible for the performance thereof. <br />15. <br />The CONTRACTOR shall not, without prior written approval of the <br />OWNER, enter into any subcontract covering any part of the work <br />covered by this contract. An approved verbal request to <br />subcontract shall be followed in writing with the name of the <br />proposed subcontractor and a description of the work to be <br />subcontracted. <br />If at any time the OWNER determines that any subcontractor is <br />incompetent or undesirable, he shall notify the CONTRACTOR <br />accordingly and the CONTRACTOR shall take immediate steps for <br />cancellation of the subcontract. <br />Nothing contained in this purchase order contract shall create <br />any contractual relationship between any subcontractor and the <br />OWNER. Approval by the OWNER to any subcontract or any <br />provisions thereof shall not be construed to be a determination <br />of the acceptability of any subcontract price, or of any amount <br />paid under subcontract or to relieve the CONTRACTOR of any <br />responsibility for performing this purchase order contract. <br />Subcontracting by subcontractors shall be subject to the above <br />requirements. <br />MLRD-9 <br />