HomeMy WebLinkAboutResolution - 2006-R0171 - Contract - Internet Auctioneer Service - Online Auctioning - 04_13_2006Resolution No. 2006-RO171
April 13, 2006
Item No. 5.20
RESOLUTION
BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF LUBBOCK:
THAT the Mayor of the City of Lubbock BE and is hereby authorized and
directed to execute for and on behalf of the City of Lubbock, a Contract for online
auctioning, per RFP #06-001-MA, with Internet Auctioneer Service of Lubbock, Texas,
and any associated 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 this 13th
ATTEST:
Rebe ca Garza
City Secretary
APPROVED AS TO CONTENT:
kajA��-41
Alvarez, Interim 119rchasing Manager
APPROVED AS TO FORM:
Amy L. S'
Assistant City Attorney
gs/ccdocs/res-Contract-Internet Servs-RFP 06001MA
04.03.06
day of April , 2006.
Resolution No. 2006-RO171
April 13, 2006
Item No. 5.20
STATE OF TEXAS
COUNTY OF LUBBOCK
INTERNET AUCTIONEER SERVICE CONTRACT
This contract for Internet Auctioneer Service, effective as of April 13, 2006, is by and
between the City of Lubbock, a municipal corporation, and Rene'Bates Auctioneers, Inc.
WITNESSETH
WHEREAS, the City requires a contractor to provide Internet Auctioneer Services for the
city of Lubbock on an "as needed" basis; and
WHEREAS, the Contractor is a qualified Internet Auction Firm; and
WHEREAS, the City desires to contract with Contractor to furnish Internet auctioneer
services; and
NOW THEREFORE, for and in consideration of the terms, covenants and conditions set
forth in this contract, the city and the Contractor hereby agree as follows:
ARTICLE
TERM
The term of the Contract commences on the Effective Date and continues without interruption
for a term of one year from and after the Effective Date. Upon mutual agreement between the
City and the Contractor, the Contract may be extended annually for up to four additional one
year terms under the same terms and conditions otherwise herein stated.
ARTICLE II
COMPENSATION
Contractor shall be paid in accordance with Exhibit A, attached hereto.
ARTICLE III
TERMINATION
A. General. City may terminate this contract, for any reason, upon Thirty (30) days notice to
Contractor in accordance with Article XII of this Contract.
B. Termination and remedies. In the event the Contract 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
04/03/06,Q:Purchasing/Bid Documents/Marta/06-001-MA Internet Service Contract
preclude the concurrent or subsequent exercise of any other right or remedy and all other
rights and remedies shall be cumulative.
ARTICLE IV
REPRESENTATIONS AND WARRANTIES
A Existence. Contractor is a corporation duly organized, validly existing, and in good 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 the Contractor. This Contract constitutes legal, valid, and binding
obligations of the Contractor and is enforceable in accordance with the terms thereof.
D. Contractor. Contractor maintains a professional staff and employs, as needed, other qualified
specialists experienced in internet auction services, and are familiar with all laws, rules, and
regulations, both state and federal, including, without limitations and 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 internet auction services, as contemplated hereby. If any of the
activities of the Contractor, or omissions of the activities required herein, shall be deemed
that the Contractor did not perform said activities (or omitted the performance of said
activated) in a good and workmanlike manner.
ARTICLE V
SCOPE OF WORK
A. General. Contract shall provide internet auction services for the City of Lubbock.
B. Time. The time and date of Internet auctions shall be determined by the City of Lubbock.
C. Any or all abandoned, stolen or recovered property, including motor vehicles, held in custody
by the City of Lubbock Police Department and either unclaimed or not reclaimed for a period
of sixty (60) or more days, and also any other property or real property determined by the
City's Purchasing Manager to be surplus property of the City, will be sold to the highest
bidder.
D. Neither the Auction Firm nor its employees may bid directly or indirectly on any item sold at
the City's Auction.
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E. Contract's response to RFP 06-001-MA, Dated February 2, 2006, is incorporated by
reference and made a part of this Contract.
ARTICLE VI
INSURANCE
A. General. Contract shall procure and carry, at its sole cost and expense through the life of this
Contract insurance protection hereinafter specified, in form and substance satisfactory to the
City. City must approve all policies prior to the commencement of any activities whether
performed by the Contract, subcontractor, agents, or third parties. The insurance carrier must
be an insurance company authorized to transact business in the State of Texas and have a
Best's Financial rating of A:VII or better. A Certificate of Insurance specifying each and all
coverage shall be submitted to City prior to the execution of this Contract. All insurance
shall be prepared and executed by the insurance company or its authorized agents and shall
contain an endorsement naming the City of Lubbock as primary additional insured. Written
notice of cancellation or any material change will be provided ten (10) days in advance of
cancellation or change.
B. Required Coverage. Contract shall obtain and maintain a policy of insurance throughout the
contract term in the limit specified below.
Dishonesty bond — limited of at least $500,000
C. Subcontractors. The Contract shall require each subcontractor with whom it contracts to
provide activities as contemplated by this Contract, to obtain proof of insurance coverages set
forth herein, and to provide to Contractor, prior to such person performing any such
activities, a Certificate of Insurance establishing such coverage.
ARTICLE VII
INDEMNITY
Contractor shall indemnify, defend, keep and save harmless the City, its agents, officials
and employees, against all injuries, deaths, loss, damages, claims, patent claims, suits,
liabilities, judgments, costs and expenses, which may in anywise arise or accrue against the
City in consequence of the granting of this Contract or which may anywise result
therefrom, whether or not it shall be alleged or determined that the act was caused
through negligence or omission of the Contractor or its employees, or of the subcontractor
or assignee or its employees, if any, and the Contractor shall, at his own expense, appear,
defend and pay all charges of attorneys and all cost and other expenses arising therefrom
or incurred in connection therewith, and, if any judgment shall be rendered against the
City in any such action, the Contractor shall, at its own expenses, satisfy discharge the
same. Contractor expressly understands and agrees that any bond required by this
Contract, or otherwise provided by Contractor, shall in no way limit the responsibility to
indemnify keep and save harmless and defend the City as herein provided.
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ARTICLE VIII
INDEPENDENT CONTRACTOR STATUS
Contractor and City agree that Contractor shall perform the duties under this Contract as an
independent contractor. The Contractor has the sole discretion to determine the manner in which
the services are to be performed.
ARTICLE IX
EMPLOYMENT OF AGENTS
Contractor may employ or retain agents, consultants, contractors, or third parties, to perform
certain duties of Contractor under this Contract provided that Contractor is in no event relieved
of any obligation under this Contract. Any such agent, contractors, or third parties retained
and/or employed by and Contractor and naming said third parties as additional insured, insurance
as described in Article VI Insurance of this Contract.
ARTICLE X
COMPLIANCE WITH APPLICABLE LAWS
Contractor shall comply with all applicable federal, state and local laws, statues, ordinances,
rules and regulations relating, in any way, manner or form, to the activities under this Contract,
and any amendments thereto.
ARTICLE XI
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 XII
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 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 in the third business day after such notice is so
deposited.
04/03/06,Q;Purchasing/Bid Documents/Marta/06-001-MA Internet Service Contract 4
B. Contractor's Address. Contractor's address and numbers for the purpose notice are:
Attn:
Sheryl Bates
Rene' Bates Auctioneers, Inc
4660 County Road 1006
McKinney, Texas 75070
Telephone:
(972)548-9636
Facsimile:
(972)542-5495
E-mail:
sheryl@renebates.com
C. City's Address. The City's address and numbers for the purposes of notice are:
Attn: Marta Alvarez, Interim Purchasing Manager
City of Lubbock
P.O. Box 2000
Lubbock, Texas 79457
Telephone: (806)775-2572
Facsimile: (806)775-2164
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 and numbers shall become effective on the
151h day after such notice is effective.
ARTICLE XIII
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. Contractor shall provide access to its corporate books and records to the City. The
City may audit, at its expense and during normal business hours, Contractor's books and
records with respect to this Contract between the Contractor and City.
C. Records. Contractor shall maintain records that are necessary to Substantiate and services
provided by the Contractor.
D. Assignability. This Agreement may not be assigned by either party without the written
consent of the other party.
E. Successor and Assigns. This Contract binds and inures to the benefit of the City, Contractor,
and their respective successors, legal representatives, and assigns.
04/03/06,Q:Purchasing/Bid Documents/Marta/06-001-MA Internet Service Contract 5
F. Construction and Venue. THIS CONTRACT SHALL BE GOVERNED BY AND
CONSTRUED IN ACCORDANCE WITH THE LAWS OF THE STATE OF TEXAS. THE
PARITES 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 effected 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, including Exhibit A hereto, 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.
EXECUTED as of the Effective Date Hereof.
RENE' BATES AUCTIONEERS, INC.
Michelle Bates, Vice President
ATTEST:
/'Q 0014 -^ � -3 -
ebe ca Garza, City Secretary
APPROVED AS TO CONTENT:
�", aLtl'1111
Alvarez, InVim Purchasing Manager
APPROVED AS TO ••
04/03/06,Q:Purchasing/Bid DocumentstMarta/06-001-MA Internet Service Contract
Resolution No. 2006-RO171
EXHIBIT A
COMPENSTATION
A. Online auctions, all items. A sum equivalent to five percent of total gross sales collected,
excluding sales tax.
B. All Other Property. A sum equivalent to five percent of all gross auction proceeds. There
will be no other fees charged to the City of Lubbock.
C. Payment. Contract will collect all monies for the City of Lubbock and remit all funds
collected less sales tax collected and commission, no later than fifteen (15) days after the end
of each auction.
04/03/06,Q:Purchasing/Bid Documents/Marta/06-001-MA Internet Service Contract 7