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HomeMy WebLinkAboutResolution - 2022-R0115 - Contract 16334 with AEG Petroleum 3.8.22Resolution No. 2022-RO115 Item No. 7.11 March 8, 2022 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, Service Contract No. 16334 for engine oils and lubricants as per ITB 22-16334-SB, by and between the City of Lubbock and AEG Petroleum, LLC of Amarillo, Texas, 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 March 8, 2022 L�� DANIEL M. POPE, MAYOR ATTEST: D'Lu' A,` Rebe ca Garza, City SecrJo APPROVED AS TO CONTENT: Erik Rejino, Assistant City Manager APPROVED AS TO FORM: elli Leisure, Assistant City Attorney ccdocs/RES.ServiceContract 16334 Engine oil 2.17.22 Resolution No. 2022-RO115 City of Lubbock, TX Contract for Engine Oils and Lubricants Contract 16334 THIS CONTRACT made and entered into this 8th day of March , 2022, by and between the City of Lubbock ("City"), and AEG Petroleum LLC, ("Contractor"). WITNESSETH: WHEREAS, the City of Lubbock duly advertised for bids for Engine Oils and Lubricants and bids were received and duly opened as required by law; and AEG Petroleum LLC. WHEREAS, after careful consideration of the bid submitted by Contractor, the City authorized the execution, in the name of the City of Lubbock a contract with said Contractor covering the purchase and delivery of the said Engine Oils and Lubricants. NOW, THEREFORE, in consideration of the mutual agreement contained herein, as well as the financial consideration hereinafter referred to, the parties hereby covenant and agree as follows: 1. In accordance with City's specifications and Contractor's bid, copies of which are attached hereto and made part hereof, Contractor will deliver to the City, Engine Oils and Lubricants and more specifically referred to as Items 1 through 33 on the bid submitted by the Contractor or in the specifications attached hereto. 2. The City promises and agrees to employ, and does employ, the Contractor to cause to be done the work provided for in this Contract and to complete and finish the same according to the attached specifications, offer, and terms and conditions contained herein. 3. The contract shall be for a term of one (1) year, with the option of two (2), one year extensions, said date of term beginning upon formal approval. All stated annual quantities are approximations of usage during the time period to be covered by pricing established by this bid. Actual usage may be more or less. Order quantities will be determined by actual need. The City of Lubbock does not guarantee any specific amount of compensation, volume, minimum, or maximum amount of services under this bid and resulting contract. The Contractor must maintain the insurance coverage required during the term of this contract including any extensions. It is the responsibility of the Contractor to ensure that valid insurance is on file with the Purchasing and Contract Management Department as required by contract or contract may be terminated for non-compliance. 4. Prices quoted shall be set for a period for one (1) year, said date of term beginning upon City Council date of formal approval. The rate may be adjusted upward or downward at this time at a percentage not to exceed the effective change in Consumer Price Index (CPI) or Product Price Index (PPI), which ever is most appropriate for the specific contract for the previous 12-months at the City's discretion, the effective change rate shall be based on either the local or national index average rage for all items. If agreement cannot be reached, the contract is terminated at the end of the current contract period. 5. This contract shall remain in effect until the first of the following occurs: (1) the expiration date, (2) performance of services ordered, or (3) termination of by either party with a 30 day written notice. The City of Lubbock reserves the right to award the canceled contract to the next lowest and best bidder as it deems to be in the best interest of the city. 6. Contractor shall at all times be an independent contractor and not an agent or representative of City with regard to performance of the Services. Contractor shall not represent that it is, or hold itself out as, an agent or representative of City. In no event shall Contractor be authorized to enter into any agreement or undertaking for or on behalf of City. 7. Insurance Requirements SECTION A. Prior to the approval of this contract by the City, the Contractor shall furnish a completed Insurance Certificate to the City, which shall be completed by an agent authorized to bind the named underwriter(s) to the coverages, limits, and termination provisions shown thereon, and which shall furnish and contain all required information referenced or indicated thereon. THE CITY SHALL HAVE NO DUTY TO PAY OR PERFORM UNDER THIS CONTRACT UNTIL SUCH CERTIFICATE SHALL HAVE BEEN DELIVERED TO THE CITY. SECTION B. The City reserves the right to review the insurance requirements of this section during the effective period of the contract and to require adjustment of insurance coverages and their limits when deemed necessary and prudent by the City based upon changes in statutory law, court decisions, or the claims history of the industry as well as the Contractor. SECTION C. Subject to the Contractor's right to maintain reasonable deductibles in such amounts as are approved by the City, the Contractor shall obtain and maintain in full force and effect for the duration of this contract, and any extension hereof, at Contractor's sole expense, insurance coverage written by companies approved by the State of Texas and acceptable to the City, in the following type(s) and amount(s): GENERAL LIABILITY X Commercial General Liability AUTOMOTIVE LIABILITY X Any Auto General Aggregate 1,000,000 Products-Comp/Op AGG X Personal & Adv. Injury X Contractual Liability X Med Exp (Any one X Person) Per Occurrence 1,000,000 EXCESS LIABILITY N Umbrella Form Each Occurrence 4,000,000 X POLLUTION 1,000,000 WORKERS COMPENSATION — STATUTORY AMOUNTS OR OCCUPATIONAL MEDICAL AND DISABILITY Q9 EMPLOYERS' LIABILITY OTHER: COPIES OF ENDOSEMENTS ARE REQUIRED X City of Lubbock named as additional insured on Auto/General Liability on a primary and non- contributory bases. To include products of completed operations endorsement. Waiver of subrogation in favor of the City of Lubbock on all coverages, except IMPORTANT: POLICY ENDORSEMENTS The Contractor will provide copies of the policies without expense, to the City and all endorsements thereto and may make any reasonable request for deletion, revision, or modification of particular policy terms. conditions, limitations, or exclusions (except where policy provisions are established by law or regulation binding upon either of the parties hereto or the underwriter of any of such policies). Upon such request by the City, the Contractor shall exercise reasonable efforts to accomplish such changes in policy coverages, and shall pay the cost thereof. Any costs will be paid by the Contractor. REQUIRED PROVISIONS The Contractor agrees that with respect to the above required insurance, all insurance contracts and certificate(s) of insurance will contain and state, in writing, on the certificate or its attachment, the following required provisions: a. Name the City of Lubbock and its officers, employees, and elected representatives as additional insureds, (as the interest of each insured may appear) as to all applicable coverage; b. Provide for 30 days notice to the City for cancellation, nonrenewal, or material change; c. Provide for notice to the City at the address shown below by registered mail; d. The Contractor agrees to waive subrogation against the City of Lubbock, its officers, employees, and elected representatives for injuries, including death, property damage, or any other loss to the extent same may be covered by the proceeds of insurance; Provide that all provisions of this contract concerning liability, duty, and standard of care together with the indemnification provision, shall be underwritten by contractual liability coverage sufficient to include such obligations within applicable policies. NOTICES The Contractor shall notify the City in the event of any change in coverage and shall give such notices not less than 30 days prior the change, which notice must be accompanied by a replacement CERTIFICATE OF INSURANCE. All notices shall be given to the City at the following address: Marta Alvarez, Director of Purchasing & Contract Management City of Lubbock 1314 Avenue K, 91h Floor Lubbock, Texas 79401 SECTION D. Approval, disapproval, or failure to act by the City regarding any insurance supplied by the Contractor shall not relieve the Contractor of full responsibility or liability for damages and accidents as set forth in the contract documents. Neither shall the bankruptcy, insolvency, or denial of liability by the insurance company exonerate the Contractor from liability. 8. Neither the City nor the Contractor shall assign, transfer or encumber any rights, duties or interests accruing from this Contract without the written consent of the other. 9. The City reserves the right to exercise any right or remedy available to it by law, contract, equity, or otherwise, including without limitation, the right to seek any and all forms of relief in a court of competent jurisdiction. Further, the City shall not be subject to any arbitration process prior to exercising its unrestricted right to seek judicial remedy. The remedies set forth herein are cumulative and not exclusive, and may be exercised concurrently. To the extent of any conflict between this provision and another provision in, or related to, this document, this provision shall control. 10. 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 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. 11. All funds for payment by the City under this contract are subject to the availability of an annual appropriation for this purpose by the City. In the event of non -appropriation of funds by the City Council of the City of Lubbock for the goods or services provided under the contract, the City will terminate the contract, without termination charge or other liability, on the last day of the then -current fiscal year or when the appropriation made for the then -current year for the goods or services covered by this contract is spent, whichever event occurs first. If at any time funds are not appropriated for the continuance of this contract, cancellation shall be accepted by the Seller on 30 days prior written notice, but failure to give such notice shall be of no effect and the City shall not be obligated under this contract beyond the date of termination. 12. The Contractor shall not assign or sublet the contract, or any portion of the contract, without written consent from the Director of Purchasing and Contract Management. Should consent be given, the Contractor shall insure the Subcontractor or shall provide proof on insurance from the Subcontractor that complies with all contract Insurance requirements. 13. Contractor acknowledges by supplying any Goods or Services that the Contractor has read, fully understands, and will be in full compliance with all terms and conditions and the descriptive material contained herein and any additional associated documents and Amendments. The City disclaims any terms and conditions provided by the Contractor unless agreed upon in writing by the parties. In the event of conflict between these terms and conditions and any terms and conditions provided by the Contractor, the terms and conditions provided herein shall prevail. The terms and conditions provided herein are the final terms agreed upon by the parties, and any prior conflicting terms shall be of no force or effect. 14. The Contractor (i) does not engage in business with Iran, Sudan or any foreign terrorist organization and (ii) it is not listed by the Texas Comptroller under Section 2252.153, Texas Government Code, as a company known to have contracts with or provide supplies or services to a foreign terrorist organization. As used in the immediately preceding sentence, "foreign terrorist organization" shall have the meaning given such term in Section 2252.151, Texas Government Code. 15. The requirements of Subchapter J, Chapter 552, Government Code, may apply to this contract and the contractor or vendor agrees that the contract can be terminated if the contractor or vendor knowingly or intentionally fails to comply with a requirement of that subchapter. To the extent Subchapter J, Chapter 552, Government Code applies to this agreement, Contractor agrees to: (1) preserve all contracting information related to the contact as provided by the records retention requirements applicable to the governmental body for the duration of the contract; (2) promptly provide to the governmental body any contracting information related to the contract that is in the custody or possession of the entity on request of the governmental body; and (3) on completion of the contract, either: (A) provide at no cost to the governmental body all contracting information related to the contract that is in the custody or possession of the entity; or (B) preserve the contracting information related to the contract as provided by the records retention requirements applicable to the governmental body. 16. Pursuant to Section 2271.002 of the Texas Government Code, a) This section applies only to a contract that: (1) is between a governmental entity and a company with 10 or more full-time employees; and (2) has a value of $100,000 or more that is to be paid wholly or partly from public funds of the governmental entity. (b) A governmental entity may not enter into a contract with a company for goods or services unless the contract contains a written verification from the company that it: (1) does not boycott Israel; and (2) will not boycott Israel during the term of the contract. 17. The 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. 18. The Contractor shall indemnify and save harmless the city of Lubbock and its elected officials, officers, agents, and employees from all suits, actions, losses, damages, claims, or liability of any kind, 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, to the extent arising out of, related to or occasioned by, the negligent acts of the Contractor, its agents, employees, and/or subcontractors, related to the performance, operations or omissions under this agreement and/or the use or occupation of city owned property. The indemnity obligation provided herein shall survive the expiration or termination of this agreement. 19. This Contract consists of the following documents set forth herein; Invitation to Bid No. 22- 16334-SB, Specifications, and the Bid Form. -----INTENTIONALLY LEFT BLANK----- IN WITNESS WHEREOF, the parties hereto have caused this Contract to be executed the day and year first above written. Executed in triplicate. CITY OF L BOCK Daniel M. Pope, Mayor ATTEST: Retie ca Garza, City Secreta APP OVED AS TO CONTENT: Dominic Esperat, Assists bi - rector Fleet Services A P OVED A TO FORM: K li Leisure, Assistant City Attorney CONTRA OR BY Aut orized Representative 11L ade- Print Name S//_6 Address �— Aihg (-;l�a_ City, State, Zip Code BID FORM City of Lubbock, TX Engine Oil and Lubricants r1B 22-16334-M In compliance with the hwitadon to BM 22-1"U SB, the undersigned Bidder Laving examined the Invitation to Bid and Specifications, and being tbndliar with the conditions to be met, hereby stibmits the following Bid for furnishing the material, equipment, labor and everything necessary for providing the kepis listed below and agrees to deliver said items at ibe locations and for the prices. set forth on this form. A bid will be subject to being considered irregular and may be rejected if it shows omissiom alte dead of form, conditional alternate bids, additions or altemstes in lieu of the items specified, if the unit prices are obviously unbalanced (either in excess of or below reasonably expected values), or irregvlsrida of any kind. The Invitation to Bid 22-16334-SB is by refercooc incorporated in this contrita The Bid Form must be eomplabd in blue or black Ink or by typewriter. Annual Item Qty. U/M Deacrlptien Brand Unit Extended "Delivery ON Cost • Coo Days ARO HYDRAULIC OM AW-46 Hydraulic FhW i. 10 DR 55 p1lon drums MESA 463.65 4636.50 3 PS0913000M AW46 Hydraulic Fluid 2. 6000 GL Banc Deliveryr, MESA 6.95 41,700.00 3 Part 0915000069 Tractor Hydraulic Fluid 3. 2So EA S Gallon auckact MESA 48.75 12,178.50 3 Pert #9130000M6 Tractor Hydraulic Fluid 4. 4 DR SS Oallon Drums MESA 479.86 '819.40 3 Part #915000066 DESCRIPTION ENGINE OIL Motor on low/3o S. 10 CS CAN Lot 1211 CITGO 37.26 372.60 3 Pert # 915000055 Motor Oil 15W/40 HD, TBN -11 6. sot CS case 1m,12/1 CITGO 39.10 19.600.00 3 Part#915000024 MotorOil ISW/40HD TBN-I1 7. 10 DR SS gain drams MESA 585.97 5859.70 3 Part 0915000065 Motor 0H 1SW/40 HD, TBN-11 S. 4000 aL Bulk Delivery MESA 8.77 35,080.00 3 Part # 915000069 Motor Oil 3oW 9. 10 CS Case lot,12JI CITGO 38.25 382.50 3 Item #915000021 Twin Cycle Engine Oil 10. S CS Can cos, 1211 VENOM 44.30 221.60 3 Item 0915000019 Annual �dOn Unit Cost Extended "�'e'y Item Qty. U/M Brand Cost Days ARO TRANSMISSION OIL ATF MetwoMeizon W 11. 45 CS he0umisd0m Fluff Case 10t,12/1 CHOICE 29.97 1348.65 3 1`010915000034 ATF Macon0e ron III 12. 5 DR Transmission ld MESA 496.89 2479.45 S5 gallon drum3 Part #913000067 ATF Type F 1ia»smiss[ar FW 13. 5 CS Case K 12n CAM 2 29.39 146.95 3 Item #915000035 DESCRIPTION: GREASE Mult[-Pupose Lithium (Grosse 14. S0 CS Case Lot 50/1 14os: Tubes MYSTIK 26.58 1329.00 3 Item #915000011 Multi-Pupose Lithium Cmeaso 15. 5 DR 120 Ux Drum MYSTIK 495.89 2479.45 3 Item #9150000027 Gear Lubricant WW/140 16. 25 cs Case Lot 12/l XTREME 38.29 957.25 3 Fart #915000049 clear Lubricant s5W/140 17. 4 DR 1201b. Drums MYSTIK 297.89 1191.56 3 Part#915000022 Muh1-Pupose Lhhinm t3reaee Is. 4 BA 5 Gallon Bucket MYSTIK 89.79 359.16 3 Item # 915000023 High-1�npuatura (lneaaa 19. 50 CS Case Lot 50/1 MYSTIK 28.79 1439.50 14 = Tubes 3 Item # 915000079 HWTaap nutm Cltease 20. 4 1 A 5 Gallon Bucher MYSTIK 94.10 376.40 3 Item # 913000077 HWTampershme Grease 21. 4 DR 120 lb. Drum MYSTIK 361.89 1447.50 3 Item # 9130O 76 High-Teampe<app�a cirease 22. 5 &► Case Lot 12/I lb. Cana MYSTIK 37.29 186.45 3 Item # 915000077 Annual Item Qty. Ulm Description Brand Unit Cost E>stended **Delivery (+/) Coat Days ARO DESCRIPTION: SYNTHETIC GREASE Synft& (leer Lubricant 75W190 23. 10 cs CM Lot 12/1 MYSTIK 63.98 839.80 3 Item # 913000081 Spabcdc (leer Lubricant 75W1'90 3 24. 10 DR 120lb. Dmas MESA 321.89 3218.90 Item # 913000102 Diesel Exheuat Fluid 25 20 8A Tote CIUAL.17Y 728.76 14,676.00 3 Item# 68SM14 Mod Exh M Fluid 25-A 66M GL && QUALITY 2.10 13,860.00 3 Item 68s000014 Starring Fluid 26. so cs I1 w ceas MASTER 21.72 1088.00 3 Item # 68"WW8 Anti6oeaea Ooolaat 27. 120 CS unbrelsel ForawlePOWERGARO 36.75 4410.00 3 Item # 683000042 WhxMW Wasim Andfi=w 28. 100 CS 121 oz. JOHNSON 18.94 1894.00 3 Item # 683000007 Windshield WadwrAnditoxe 29. 4000 OL Tote DWvuy ROBBIES 1.88 7520.00 3 Part # 693000007 DBSCRIPTION r TURBINE OILS Plena nobs drat the tbw its lkbed 6001 N. Guam below w111 be ddh►L bu: No"yadtetic ISO 3200 30. EA Won -Foaming MESA 49.80 3 S zsL Dnans Synthetic ISO 32 OU 31. EA Non -Foaming SHELL 123.75 3 S saL Dams H- Wood arade Gear Oil 90WT 32. EA S gv Drum CLARION 90.25 3 (Food Grade Must have Standard 61 Cer i cation included with Wl Food Orade Bearing 00 33. EA SWT CLARION 92.89 3 5gdDn= CERTIFICATE OF INTERESTED PARTIES FORM 1295 1 of 1 Complete Nos. 1- 4 and 6 if there are interested parties. 7-7 OFFICE USE ONLY Complete Nos.1, 2, 3, 5, and 6 if there are no interested parties. CERTIFICATION OF FILING Certificate Number: 1 Name of business entity filing form, and the city, state and country of the business entity's place of business. 2022-841087 AEG Petroleum LLC Amarillo, TX United States Date Filed: 01/18/2022 2 Name of governmental entity or state agency that is a party tot the contract for which the form is being filed. City of Lubbock Date Acknowledged: 02/08/2022 3 Provide the identification number used by the governmental entity or state agency to track or identify the contract, and provide a description of the services, goods, or other property to be provided under the contract. ITB 22-16334-sb Engine Oils and Lubricants 4 Name of Interested Party City, State, Country (place of business) Nature of interest (check applicable) Controlling I Intermediary Irving, Brad Lubbock, TX United States X Neumann, Dale Amarillo, TX United States X Alexander, Wade Amarillo, TX United States X 5 Check only if there is NO Interested Party. ❑ 6 UNSWORN DECLARATION My name is and my date of birth is My address is (street) (city) (state) (zip code) (country) 1 declare under penalty of perjury that the foregoing is true and correct. Executed in County, State of on the day of , 20 (month) (year) Signature of authorized agent of contracting business entity (Declarant) Forms provided by Texas Ethics Commission www.ethics.state.tx.us Version V1.1.191b5cdc ock TEXAS Purchasing and Contract Management Project Summary ITB 22-16334-SB Engine Oils and Lubricants Notice was published in the Lubbock Avalanche Journal on December 29 and January 5, 2022. Notice was published on the Purchasing Web Site under Bid Opportunities. Notice was published on Bonfire-hub.com from December 28, 2021 to January 20, 2022. 18 vendors took documents from Bonfire-hub.com 16 vendors were notified separately. 4 vendors submitted a bids.