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HomeMy WebLinkAboutResolution - 2011-R0074 - Contract - Jarvis Metals Recycling Inc.- Sale Of Recyclables - Annual Pricing - 02_10_2011Resolution No. 2011-R0074 February 10, 2011 Item No. 5.26 1� RESOLUTION BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF LUBBOCK: THAT the Mayor of the City of Lubbock is hereby authorized and directed to execute for and on behalf of the City of Lubbock, Contract No. 9898 for sale of recyclable scrap paper and plastics -annual pricing, by and between the City of Lubbock and Jarvis Metals Recycling, Inc., and related documents. Said Contract is attached hereto and incorporated in this resolution as if fully set forth herein and shall be included in the minutes of the City Council. Passed by the City Council on February 10, 2011 '4�� TOM MARTIN, MAYOR ATTEST: Rebe ca Garza, City Secretaf) APPROVED AS TO Scott Snider, Assistant City Manager Community Services APPROV AS TO FORM: Chad Weaver, Assistant City Attorney vwxcdocs/RES.Contract-Jarvis Metals Recycling, Inc. January 24, 2011 ITB-I 1-9898-DD Sale of Recyclable Scrap Paper and Plastics -Annual Pricing Resolution No. 2011—R0074 CITY OF LUBBOCK CONTRACT# 9898 CONTRACT FOR SERVICES Sale of Recyclable Scrap Paper and Plastics - Annual Pricing ITB-11-9898-DD STATE OF TEXAS COUNTY OF LUBBOCK This contract, (the "Contract"), effective as of the loth day of February, 2011, (the "Effective Date"), is by and between the City of Lubbock, (the "City'), a municipal corporation, and Jarvis Metals Recycling, Inc. (the "Contractor" ). WITNESSETH WHEREAS, the City desires to sell scrap paper and plastic for the purpose of recycling same; and WHEREAS, Jarvis Metals Recycling, Inc. has a professional staff experienced and qualified to purchase scrap paper and plastic and operate and maintain a facility for recycling same; and WHEREAS, the City desires to contract with Jarvis Metals Recycling, Inc. for the sale of scrap paper and plastic operation and maintenance of a facility for recycling same. NOW THEREFORE, for and in consideration of the terms, covenants and conditions set forth in this Contract the City and Jarvis Metals Recycling, Inc. hereby agree as follows: ARTICLE I. TERM The term of this Contract commences on the Effective Date and continues without interruption for a term of one (1) year from and after the Effective Date. The term may extend for up to four (4) additional one year terms with the written consent of both parties. ARTICLE 1I. COMPENSATION Pricing for each category of scrap paper, will be based on the weekly publication Official Board markets and will be allowed to fluctuate with the market. The base price paid for each delivery will be the Southwest Market High per ton on the day of delivery of the scrap paper. The net price paid to the City of will be calculated by multiplying the high base price per ton by the percentages as follows: 50% Corrugated Cardboard/Chipboard 50% Newsprint 60% Shredded Computer Paper 60% White Paper 40% Mixed Paper Pricing for each category (separated or mixed) of scrap plastics will be based on the on the current Mill Price, and will be allowed to fluctuate with the market. The base price paid for each delivery will be the published Mill Price per ton on the day of the shipment. The net price paid to the City of Lubbock will be calculated by multiplying the Mill Price per ton by the percentages as follows: 30% PET Plastic Separated #1 30% HDPE Plastic Separated #2 Natural Opaque 30% HDPE Plastic Separated #2 Colored 30% Mixed Plastic PET #1 & HDPE #2 11-QRQR-nnrinr ITB-I I-9898-DD Sale of Recyclable Scrap Paper and Plastics - Annual Pricing Should the scrap paper or scrap plastics market drop drastically, and if agreeable to all parties, the rates may be adjusted upward or downward at a percentage not to exceed the effective change in the Consumer Price Index (CIP) or the Product Price Index (PPI), whichever is most appropriate for the specific contract. At the City's discretion, the effective change rate shall be based on either the local or national index average rate for all items. If an agreement cannot be reached, the contract is terminated at the end of the current contract period. ARTICLE Ill. PAYMENT A copy of the scrap prices page, a copy of the certified weight ticket and a copy of the purchase ticket upon which the purchase price is calculated must be furnished as identification of payments to the City within thirty (30) days from the date of the delivery. Each payment must note that it is for the purchase of scrap paper or plastic goods from the City. ARTICLE IV. TERMINATION In the event that Jarvis Metals Recycling, Inc. breaches any term and/or provision of this Contract the City shall be entitled to exercise any right or remedy available to it at law or equity, including without limitation, immediate termination of this Contract and assertion of action for damages and or injunctive relief. The exercise of any right or remedy shall not preclude the concurrent or subsequent exercise of any other right or remedy and all other rights and remedies shall be cumulative. ARTICLE V. REPRESENTATIONS AND WARRANTIES A. Existence. Contractor is a corporation duly organized, validly existing, and in good standing under the laws of the State of Texas and is qualified to carry on its business in the State of Texas. B. Corporate Power. Contractor has the corporate power to enter into and perform this Contract and all other activities contemplated hereby. C. Authorization. Execution, delivery, and performance of this Contract and the activities contemplated hereby have been duly and validly authorized by all the requisite corporate action on the part of Contractor. This Contract constitutes legal, valid, and binding obligations of Contractor and is enforceable in accordance with the terms thereof. D. Contractor. Contractor shall maintain a professional staff and employs, as needed, other qualified specialists experienced in operating and maintaining a recycling facility, and are familiar with all laws, rules, and regulations, both state and federal, including, without limitation the applicable laws, regarding the activities contemplated hereby. E. Performance. Contractor will and shall conduct all activities contemplated by this Contract in a good and workmanlike manner, and comply with all laws, rules, and regulations, both state and federal, relating to operating and maintaining a recycling facility, as contemplated hereby. If any of the activities of Contractor or omissions of the activities required herein, shall cause, in whole or in part, liability or loss on the part of the City, it shall be deemed that did not perform said activities (or omitted the performance of said activities) in a good and workmanlike manner. ARTICLE VI. SCOPE OF WORK A. General. Contractor shall operate and maintain a recycling facility that shall take the City's recyclable scrap paper and plastic goods as set forth in this Contract for Services and the Contract for Specifications and incorporated herein by reference as if fully set forth here, store and prepare the recyclable materials for shipment to a vendor to purchase the recyclable materials and ship the recyclable materials to the vendor. B. Transporting Recyclables. The City shall transport the recyclable materials from the Recycling Drop-off sites and the City municipal buildings. C. Transporting equipment. The City shall use City vehicles in transporting the recyclable materials from the City locations to the recycling facility. 11-4R9R-nneinr ITB-11-9898-DD Sale of Recyclable Scrap Paper and Plastics - Annual Pricing D. Location. Contractor shall accept and store the recyclable materials in an enclosed facility located at 7825 Olive Avenue, Lubbock. Texas. E. Hours of Operation. Contractor shall be prepared to receive recyclable materials Monday through Friday from 8:00 a-m. to 5.00 p.m. daily- F. Monthly Report. Contractor shall submit to the City a Monthly Recycling Activity Report, detailing the type and weight of recyclable materials that has been received, prepared for shipment and shipped to vendors. Copies of purchase tickets shall be attached to the Monthly Recycling Activity Report, The Monthly Recycling Activity Report is due to the City no later than the tenth business day of the following month. G. Storage. Contractor shall ensure that all recyclable material that is received is properly stored. All recyclable material shall be stored in such a manner that it is protected from the effects of wind and weather. The recyclable material shall be segregated in such a manner that the recyclable material remains free from contamination that would make the materials unacceptable to a vendor. H. Shipment. Contractor shall ship recyclable materials to a vendor when there is an economical quantity available for shipment and it is acceptable to the vendor. I. Backlog. Contractor shall ensure that the recyclable material is prepared and tagged for shipment to a vendor and is not allowed to accumulate at the recycling facility unprepared and untagged. ARTICLE VII. INDEPENDENT CONTRACTOR STATUS Contractor and City agree that Contractor shall perform the duties under this Contract as an independent contractor. Contractor has the sole discretion to determine the manner in which the services are to be performed. ARTICLE VHI. CONFIDENTIALITY Contractor shall retain all information received from or concerning the City and the City's business in strictest confidence and shall not reveal such information to third parties without prior written consent of the City, unless otherwise required by law. ARTICLE IX. INDEMNITY Contractor shall indemnify and save harmless the City of Lubbock and its officers, agents, and employees from all suits, actions, losses, damages, claims, or liability of any character, type, or description, including without limiting the generality of the foregoing all expenses of litigation, court costs, and attorney's fees for injury or death to any person, or injury to any property, received or sustained by any person or persons or property, arising out of, or occasioned by, the acts of Contractor, its agents or employees, in the execution of this Contract. ARTICLE X. COMPLIANCE WITH APPLICABLE LAWS Contractor shall comply with all applicable federal, state and local laws, statutes, ordinances, rules and regulations relating, in any way, manner or form, to the activities under this Contract, and any amendments thereto. t t ,4RgR.nnrinr YrB-11-9898-DD Sale of Recyclable Scrap Paper and Plastics - Annual Pricing ARTICLE XI. NOTICE A. General. Whenever notice from Contractor to City or City to Contractor is required or permitted by this Contract and no other method of notice is provided, such notice shall be given by (1) actual delivery of the written notice to the other party by hand. (2) facsimile, or other reasonable means (in which case such notice shall be effective upon delivery). Or (3) by depositing the written notice in the United States mail, properly addressed to the other party at the address provided in this article, registered or certified mail, return receipt requested, in which case such notice shall be effective on the third business day after such notice is so deposited. B. Contractor's Address. Contractor 's address and numbers for the purposes of notice are: Attn: J. David Waldon 7825 Olive Avenue Lubbock, TX 79404 Telephone: (806) 744-7091 Facsimile: (806) 744-0909 C. City's Address: The City's address and numbers for the purposes of notice are: City of Lubbock Attn: Debra Frankhouser P.O. Box 2000 208 Municipal Drive Lubbock. Texas 79457 Telephone: (806) 775-2486 Facsimile: (806) 775-3013 D. Change of Address. Either party may change its address or numbers for purposes of notice by giving written notice to the other party, referring specifically to this Contract, and setting forth such new address or numbers. The address or numbers shall become effective on the 15s' day after such notice is effective. ARTICLE XII MISCELLANEOUS A. Captions. The captions for the articles and sections in this Contract are inserted in this Contract strictly for the parties' convenience in identifying the provisions to this Contract and shall not be given any effect in construing this Contract. B. Audit. At any time during the term of the contract, or thereafter, the City, or a duly authorized audit representative of the City or the State of Texas, at its expense and at reasonable times, reserves the right to audit Contractor's records and books relevant to all services provided to the City under this Contract. In the event such an audit by the City reveals any errors or overpayments by the City, Contractor shall refund the City the full amount of such overpayments within thirty (30) days of such audit findings, or the City, at its option, reserves the right to deduct such amounts owing the City from any payments due Contractor. C. Records. Contractor shall maintain records that are necessary to substantiate the services provided by Contractor. D, Assignability: Contractor may not assign this Contract without the written approval of the City. i . Successor and Assigns. This Contract binds and inures to the benefit of the City, Contractor, and their respective successors, legal representatives, and assigns. 11-QFt9R-nn lr 4 1TB-11-9898-DD Sale of Recyclable Scrap Paper and Plastics - Annual Pricing F. Construction and Venue. THIS CONTRACT SHALL BE GOVERNED BY AND CONSTRUED IN ACCORDANCE WITH THE LAWS OF THE STATE OF TEXAS. THE PARTIES HERETO HEREBY IRREVOCABLY CONSENT TO THE EXCLUSIVE JURISDICTION AND VENUE OF THE COURTS OF THE STATE OF TEXAS, COUNTY OF LUBBOCK, FOR THE PURPOSES OF ALL LEGAL PROCEEDINGS ARISING OUT OF OR RELATING TO THIS CONTRACT OR THE ACTIONS THAT ARE CONTEMPLATED HEREBY. G. Severability. If any provision of this Contract is ever held to be invalid or ineffective by any court of competent Jurisdiction with respect to any person or circumstances, the remainder of this Contract and the application of such provision to persons and/or circumstances other than those with respect to which it is held invalid or ineffective shall not be affected thereby. H. Amendment. No amendment, modification, or alteration of the terms of this Contract shall be binding unless such amendment, modification, or alteration is in writing, dated subsequent to this Contract, and duly executed by the Contractor and City. I. Entire Agreement. This Contract and related ITB, contains the Entire Contract between the City and Contractor, and there are no other written or oral promises, conditions, warranties, or representations relating to or affecting the matters contemplated herein. CITY OF LUBBOCK C� Tom Martin, Mayor ATTEST: `Rebec�a Garza, City Secretary 1 APPROVEDA,S CONTE _ �VAAC L" Scott Snider, Assistant City Manager APPRO D~ TO RM: Chad Weaver, Assistant City Attorney CONTRACTOR BY Irize � Autd Representative 7F�5- PlLlvr ,Address L,U/SIo���. 1 11.gR9R-nnr1nr TTB-11-9898-DO Sale of Recyclable Scrap Paper and Plastics - Annual Pricing Resolution No. 2011—R0074 BID FORM Sale of Recyclable Scrap Paper and Plastics - Annual Pricing CITY OF LUBBOCK, TEXAS ITB-11-9898-DD In compliance with the Invitation to Bid 11-9898-DD, the undersigned Bidder having examined the Invitation to Bid and Specifications, and being familiar with the conditions to be met, hereby submits the following Bid for furnishing the material, equipment, labor and everything necessary for providing the items listed below and agrees to deliver said items at the locations and for the prices set forth on this form. The Invitation to Bid I I-9898-DD is by reference incorporated in this contract. The Bid Form must be completed in blue or black ink or by typewriter. ITEM CATEGORY DESCRIPTION PERCENTAGE BID 1. Corrugated State bid as a percentage of Southwest market high for Old Corrugated Cardboard (OCC) Cardboard Containers. As specified herein crte 1;kreptirrus 1 ,1, 4 50% % 2. Newsprint (ONP8) State bid as a percentage of Southwest market high for Newsprlim As specified herein ` Note Exceptions 2 ,3, 4 50% 3. Shredded Computer State bid as srpercentage of Southwest market high for Computer Paper (CPO) Paper. As specified herein Note Exceptions 2, 4 60% 4. White Paper fate bid as a percentage of Southwest market high for Old Sorted (SWO1 White ledger Paper. As specified herein Nate Exceptions 2, 4 60% 5. Mixed Paper (MP) State bid as a percentage of Southwest market high for Mixed Paper. �As specified herein Note Exceptions 4 40% 6. 'Magazines State bid as a percentage of Southwest market high for Old Magazines. As specified herein NO BID T Junk Mail/Envelopes State bid as a percentage of Southwest market high for Mixed Paper. As specified herein NO BID 11-9898-DDdoc "-I1-9898-DD Sale of Recyclable Scrap Paper and Plastics - Annual Pricing 8. Phone Books State bid as a percentage of Southwest market high for Mixed Paper. As specified herein NO BID 9. PET Plastic State bid as a percentage of current Mill Price for HDPE (# 1) Separated (# 1) Separated. As specified herein Note Exceptions 1, 2, 5 30% 10. HDPE Plastic State bid as a percentage of current Mill Price for HDPE (#2) Separated (#2) Natural Opaque Separated Natural Opaque. As specified herein Note Exceptions 1, 2, 5 30% IL . HDPE Plastic State bid as a percentage of current Mill Price for HDPE (#2) Separated (#2) Colored Separated Copolymer/Pigmented Color #2. As specified herein Note Exceptions 1, 2, 5 30% 12. Mixed Plastic PET State bid as a percenUg; of current Mill Price for PET (# 1) and HDPE (#1) & HDPE (#2) (#2) As specified * Note Exceptions 1, 2, 5 30% Property will be sold "AS -IS, WHERE -IS" without expensed or implied wdrranties. The City will sell this property to the highest bidder. Bid will be awarded on an "Its 1krn" basis." >!f not bidding on a particular commodity please be sure to indicate on the bid form "No Bid". Otherwise, it adght be Assumed thaft' 0" or a blank field indicates that the City of Lubbock will not receive any compensation for a particular commodity. Exception List Stile of Recyclable Scrap Paper and Plastics - Annual Pricing CITY OF LUBBOCK, TEXAS 1 TB- I l -9898-DD 1. Jarvis Metals Recyc g reserves the right to subtract up to 20% of the net weight due to trash and other contaminates. 2. J is Metals Rec4ing reserves the right to deny acceptance of any delivery of material deemed unacceptable including may Mare contenU,d 3. All Materialvrtiust be dry and or not sunburned. 4. Jarvis Metals Recycling provides no sorting of higher grade materials, therefore material is graded based on the lowest grade mixed with the delivery. S. Material volume results in viable material sales, typically once a year. Jarvis Metals Recycling will pay the City the MILL RATE percentage on sale and shipment of material on that month which material is sold. 10 11.9898-DDdoc TTBA 1-9898-DD Sale of Recyclable Scrap Paper and Plastics - Annual Pricing In order to assure adequate coverage for remote locations throughout the City and Lubbock County, the City may make multiple awards, selecting multiple vendors to provide the services desired, if multiple awards arc in the best interest of the City. Cost and location will be used in making this determination. A decision to matte a multiple award of this Bid, however, is an option reserved by the City, based on the needs of the City. rYM NT TERMS AND DISCOUNTS - Bidder offers a prompt payment discount of q 0/g net_ calendar days. Discounts will not be considered in ..etermiaing low bid. Unless otherwise indicated on the Bid Form, payment terms will be NET THIRTY DAYS, The City will pay the successful bidder within thirty days after the receipt of a correct invoice or after the date of acceptance, whichever event occurs later, Discounts for prompt payment requiring payment by the City within a stipulated number of days will be interpreted as applying within the stipulated number of calendar days after the date of receipt by the City of a correct invoice or after the date of acceptance that meets contract requirements, whichever event occurs later, Discounts for payment in less than ten days will not be considered. MOST FAVOURED PRICING: The Bidder certifies that the price quoted is not in excess of the lowest price charged anyone else, including its most favoured customer, for like quality and quantity of the productstservices; does not include an element of profit on the sale in excess of dot normally obtained by the Bidder on the sale of products/services of like quality and quantity; and does not include any provision for discounts to selling agents. If at arty time during the contract period, the supplier should sell or offer for sale to any other customer, an equal or less quantity of similar contract products of like or better quality, at a lower net pricc(s) than provided herein, supplier agrees to notify the City and sell same product(s) at the lower prioe(s) on all deliveries made during the period in which such lower price(s) is effective. iNTERLOCAL PURCHASING (optional): The City desires to make available to other local governmental entities of the Stan of Texas, by mutual agreement with the successful bidder, and properly authorized interlocal purchasing agreements as provided for by the Interlocal Cooperation Act (Chapter 791, Gavetnment Code), the right to purchase the same services, at the prices quoted, for the period of this contract. Each bidder shall indicate on the Bid Farm in the space provided below if he/she will honor Political Subdivision orders in addition to orders from the City of Lubbock. Should these other governmental entities decide to participate in this contract, would you (the bidder) agree that all terms, conditions, specifications, and pricing would apply?' Other governmental entities that might have interests in this contract are Freaahip Independent School District, Lubbock Housing Authority, Lubbock County, Lubbock County Hospital District, Lubbock Independent School District, South Plains Association of Governments, City of Texarkana, Texas Tech University, West Texas Municipal Power Agency, Lynn County, and City of Wolfforth. YES X NO • If you (the bidder) checked YES, the following will apply: Governmental entities utilizing Intedocal Agreements for Cooperative Purchasing kh the City of Lubbock will be eligible, but not obligated, to purchase materials/services under the contract(s) awarded as a result of this soHcWon. All purchases by governmental entities other than the City of Lubbock will be billed directly to that governmental entity OW paid by that governmental entity. City of Lubbock will not be responsible for another governmental entity's debts. Each gtB/emmental etttlht will order their own materials/service as needed. THIS 911) IS SUBMITTED BY Jarvis Metals Rec Trip , or a partnership consisting of of the City of Firm: Jarvis Metals Recycling Address: 7825- Olive Avenue City: M/WBE Firm: corporation organized under the laws of the State of State: Texas Zip-----U404 Authorized Represerttwtve - must sign by hand or an individual trading as Officer Name and Title: L Yrlas id Walden , Paper Plant Manager please Print i Business Telephone Number_ _IQ�-_.; 3-t-?091 FAX. 806-744-0909 LABEL THE OUTSIDE OF YOUR SEALED BID WITH THE ITS NUMBER, THE CLOSING DATE AND TIME, AND YOUR COMPANY NAME AND ADDRESS. 11 11.9898-DDdoc ITB-I 1-9898-OD Sale of Recyclable Scrap Paper and Plastics - Annual Pricing In order to assure adequate coverage for remote locations throughout the City and Lubbock County, the City may make multiple awards, selecting multiple vendors to provide the services desired, If multiple awards are in the best interest of the City. Cost and location will be used in making this determination. A decision to make a multiple award of this Sid, however, is an option reserved by the City, based on the needs of the City. *YMENT TERMS AND DISCOUNTS - Bidder offers a prompt payment discount of NA%, net calendar days. Discounts will not be considered in ..etermining low bid. Unless otherwise indicated on the Bid Form, payment terms will be NET TMRTY DAYS. The City will pay the successful bidder within thirty days after the receipt of a correct invoice or after the date of acceptance, whichever event occurs later. Discounts for prompt payment requiring payment by the City within a stipulated number of days will be interpreted as applying within the stipulated number of calendar days after the date of receipt by the City of it correct invoice or after the date of acceptance that meets contract requirements, whichever event occurs later. Discounts for payment in less than ten days will not be considered. MOST FAVOURED PRICING: The Bidder certifies that the price quoted is not in excess of the lowest price charged anyone else, including its most favoured customer, for like quality and quantity of the products/serviees; does not include an element of profit on the sale in excess of tWaormally obtained by the Bidder on the sale of products/services of like quality and quantity; and does not include any provision for discounts to selling agents. If at any time during the contract period, the supplier should sell or offer for sale to any other customer, an equal or less quantity of similar contract products of like or better quality, at a lower net pricF(s) than provided herein, supplier agrees to notify the City and sell same product(s) at the lower prices) on all deliveries made during the period in which such lower pdce(s) is effective. 1NTERLOCAL PURCHASING (optional): The City desires to make available to other local governmental entities of the Statttof Texas, by mutual Weement with the successful bidder, and properly authorized interlocal purchasing agreements as provided for by the Interlocal Cooperation Act (Chapter 791, Government Code), the right to purchase the same services, at the prices quoted, for the period of this contract- Each bidder shall indicate on the Bid Farm in the space provided below if he/she will honor Political Subdivision orders in addition to orders from the City of Lubbock. Should these other governmental entities decide to participate in this contract, would you (the bidder) agree that all terms, conditions, specifications, and pricing would apply't ' Other governmental entities that might have interests in this contract are Frensbip Independent Sehool District: Lubbock Housing Authority, Lubbock County, Lubbock County Hospital District, Lubbock Independent School District, South Plains Assocladop of Governments, City of Texarkana, Texas Tech University, West Texas Municipal Power Agency, Lynn County, and City of Wolflbrth. YES X NO • If you (the bidder) checked YES, the following will apply: ` • Governmental entities utilizing Interlocal Agreements for Cooperating urchasing with the City of Lubbock will be eligible, but not obligated, to purchase materialsiservices under the contract(s) awarded as a re of this solletation. All purchases by govemmentai entities other than the City of Lubbock will be billed directly to that go ntal artd paid by that governmental entity. Ctty of Lubbock will not be responsible for another governmental entity's detrrnE!lnc. mmenta It will order their own materialslservice as needed. THIS BID IS SUBMITTED BY Jarvis Metals Re vcl tl corporation organized under the laws of the State of Texas or a partnership consisting of I , or an individual trading as i of the city 01K 1 Firm: Jarvis Metal§ Recycling Address: 7825- Olive Avenue City:_ Lubbock ', h State: Texas Zip 79404 M/WBE Firm: I I Woman I I Black American l I Native American I Authorized Representative - must sign by hand Officer Name and Title: J. David Walden. Paper Plant Manager Please Print Business l cl-hone l+lmnlrer 44- _ FAX RQL7M-Q2V LABEL THE OUTSIDE OF YOUR SEALED BID WITH THE 1T8 NUMBER, THE CLOSING DATE AND TIME, AND YOUR COMPANY NAME AND ADDRESS. 11 11 -9898- DDdoc