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HomeMy WebLinkAboutResolution - 4885 - Assingment-Furr's Family Dining & Marriott Corporation-Food Service Agreement - 07_13_1995Resolution No. 4885 July 13, 1995 Item #19 RESOLUTION BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF LUBBOCK: THAT the attached Assignment of Food Service Agreement by and between Furr's Family Dining and Marriott Corporation is hereby ratified and approved by the City Council of the City of Lubbock and the Mayor is authorized and directed to sign the written approval of such assignment on behalf of the City of Lubbock. Passed by the City Council this ATTEST: Betty A Johnson, City Secretary APPROVED AS TO CONTENT: Doug Go an, Managing Director of Health ommunity Services APPROVED AS TO FORM: nald G. Vandiver, First Assistant City Attorney DGV :da\ccdocs\asgncon.res June 30, 1995 Resolution No. 468-5 July 13, 1995 Item #19 ASSIGNMENT OF FOOD SERVICE AGREEMENT STATE OF TEXAS WITNESSETH: COUNTY OF LUBBOCK For and in consideration of the sum of $10.00 and other good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged, Furr's Family Dining�heein�afterrefe ed to as `"Assiigsnor" does hereby sell, convey, transfer and assign to a i emalfter refer ea% is "Assignee", that certain �l Food Service Agreement entered into on the 1 st day of July, 1994, by and between Assignor and the City of Lubbock, Texas. A true and correct copy of said Food Service Agreement is attached hereto as Exhibit A. Upon execution of this Assignment, the Assignee shall be entitled to receive all benefits and perform all services contained in the attached Food Service Agreement. Executed this 13th day of July , 1995. 1 FURR'S FAMILY DINING: MA RATION: BY: C— BY. Nj Title: Chairman and CEO Title:Cu- o Dd CITY ATTORNEY'S OFFICc CONSENT TO ASSIGNMENT Pursuant to Section XI of the Food Service Agreement attached hereto, the City of Lubbock does hereby consent in writing to the assignment of said Agreement from Furr's Family Dining to the Marriott Co ration. ATTEST: Betty M. Johnson, City Secretary APPROVED AS TO CONTENT: Doug Go an, Managing Director of HealthCommunity Services APPROVED AS TO FO Donald G. Vandiver, First Assistant City Attorney DG V :da/ddcon/cityatt/foodasgn. doc June 30, 1995 VID R. LANGST6N, MAYO Assignment of Food Service Agreement Page 2 CITY OF LUBBOCK INTEROFFICE MEMO TO: Bob Cass, City Manager FROM: Doug Goodman, Managing Director of Health and Community Services DATE: June 27, 1995 SUBJECT: Agenda Comments - July 13, 1995 City Council Meeting CITY OF LUBBOCK AGENDA ITEM SUMMARY ITEWSUBJECT: Consider a resolution authorizing the Mayor to execute an approval of the assignment of a Food Service Agreement by Furr's Family Dining to Marriott Corporation. BACKGROUND/DISCUSSION: The City of Lubbock serves approximately 400 meals at six sites: Lubbock Senior Citizen Center, 2001-19th; Arnett Benson, 3200 Amherst; Mae Simmons, 23rd and Oak; Copper Rawlings, 40th & Ave. B; Homestead, 5401-56th; and Second Baptist, 5300 Elgin. The City of Lubbock contracts with the South Plains Association of Governments to provide meals to the senior citizens of our community. The City had signed a contract with Furr's Family Dining to prepare the meals and deliver the meals to the six senior citizen centers. The contract was to end on June 30, 1997. Due to changes in management and business philosophy, Furr's has contacted the City of Lubbock and would like to end this agreement. At the time the initial bid was opened, Marriott Corporation offered the same price to prepare and deliver the senior meals ad Furr's had bid. The Marriott Corporation is still willing to honor the bid price of $2.03 per meal. Furr's Family Dining will assign their contract with The City of Lubbock to the Marriott Corporation. The date of service from Marriott will begin on July 17, 1995 and go through June 30, 1997. SUMMARY/RECOMMENDATION: Staff recommends City Council authorizing the Mayor to approve the assignment of the Food Service Agreement by Furr's Family Dining to Marriott Corporation. 3i ?OA#A �i C/ a a O June 23, 1995 City of Lubbock Purchasing Department 1625 13th Street Lubbock, Texas 79401 Attention: Laura Ritchie CERTIIF1ED MAIL NO. P 863 623 622 RETURN RECEIPT REQUESTED RE: City of Lubbock Senior Citizens Meal Program Gentlemen: Pursuant to the provisions designated in Section I and Section XVII of the Food Service Agreement between the City of Lubbock Senior Citizens Meal Program and Furr's Family Dining, dated July 1, 1994, please consider this letter as notification by Furr's Family Dining of termination of the agreement and cancellation of the services provided under said agreement. It is our understanding that every effort is being made by the City of Lubbock and its representatives to locate a successor provider and to implement the services offered by such successor provider prior to the 30-day effective date of this notice. In such event it is also our understanding that termination of this agreement shall become effective immediately. Sincerely, Ke ' E. Lewis Chairman and Chief Executive Officer KEL:ll 6901 QUAKER AVENUE • LUBBOCK. TEXAS 79413 PHONE 906-792-7151 • FAX "-792-9277 JUN-16-191:-;5 11:55 NPRRIOTT 214 5—=0 1465 P.01i01 T� Marriott Management Services 1431 Grern.va} Dr.'ve, Sw-e 200 Educarion Services Irving, T\ 75038 Tom Post Regional Sales D=reaoe 21-1630-1465 =ax June 16, 1995 Ms. Laura Ritchie Buyer City of Lubbock 1625 13th. Street, Room L-04 Lubbock, Texas 79401 Dear Ms. Ritchie: Thank you for your call and time concerning the City of Lubbock, Meal Service for Senior Citizen Centers. Please consider this letter as our acceptance to commit to becoming partners and providing services under the terms we presented in our proposal, dated June 10, 1994. We will be in fiuther contact with you in the near future. We look forward to a great partnership. Sincerely, Thomas M. Post Regional Sales Director FOOD SERVICE AGREEMENT This Agreement is made and entered into this day by and between CITY OF LUBBOCK SENIOR CITIZENS MEAL PROGRAM, hereinafter called the "CLIENT" and FURR'S FAMILY DINING, hereinafter called the "OPERATOR" The parties agree and obligate themselves and successors and assigns as follows: The CLIENT hereby grants to the OPERATOR the exclusive right to operate as an independent contractor during the term of this agreement. I. The OPERATOR agrees to make available prepared foods to the CLIENT for the City of Lubbock Senior Citizen Meal Program, planning and service area and to procure and prepare at its own expense meals for the clients of the CLIENT during the term of this agreement. The term of this agreement shall commence on the first day of July, 1994, and shall continue through the 30th day of June, 1997. Notice to terminate given under this contract shall be deemed sufficient if given by posting same in the United States mail, postage prepaid and certified return receipt requested, to the parties herein at the following addresses: CLIENT: City of Lubbock, Purchasing Department 1625 13th Street Lubbock, TX 79401 OPERATOR: Furr's Family Dining 6001 Slide Road Lubbock, Texas 79414 OPERATIVE PROVISIONS The operations of said food service facilities by the OPERATOR shall be upon the following terms, provisions, and conditions, and the parties hereby mutually covenant and agree as follows: The OPERATOR shall maintain food preparation facilities in a sanitary condition at all times, employ and train food service employees, employ the best known food cost control methods, furnish supervisory personnel in setting up and maintaining the operation at a high standard, do all buying and recordkeeping, including payrolls, and to insure that said preparation facilities shall be operated in a manner that will be a credit to the CLIENT. The OPERATOR shall be responsible for aH costs of operation of the food preparation and service facilities or the service of meals therein except as otherwise noted, and will indemnify and hold harmless the CLIENT from any and all claims, demands, or liability on account thereof. Unless otherwise noted, aH food and other supplies shall be purchased and all managers, dietitians and other personnel shall be employed by the OPERATOR in its own name and at its own expense. The OPERATOR will carry Workmen's Compensation Insurance covering all of its employees who may be employed by it for any purpose connected with the operation of said facilities and will file proof of such coverage with the CLIENT. The OPERATOR will keep full and accurate procurement records related to sales covered by the contract for a minimum of three (3) years after the end of the federal year to which they pertain. The CLIENT reserves the right to supervise and inspect the food preparation and service facilities, and the service of meals therein. !W OPERATOR must maintain high food/meal quality standards which meet all state and federal regulations for elderly feeding programs. Food/Meal quality standards will be evaluated from the following guidelines: A Raw food used in preparation of meals are to be of specified high quality. Canned fruits and vegetables - USDA grade A or Fancy. 2. Fresh fruits and vegetables - U.S. Fancy, U.S. No. 1 or better. 3. Eggs and dairy products - USDA Grade A or better. Lowfat milk (2%) should be used. 4. Pork - No. 1 - Pork should be tender with a minimum of fat. 5. Poultry - USDA Grade A. Chicken quarter. Serving portion should include breast and wing or leg and thigh. Chicken quarters must be from a minimum 2 1/2 lb. size bird to provide 3 oz. cooked meat. When chicken quarters are served, pan must be 50% white meat and 50% dark meat. 6. Beef - Ground beef special quality Grade USDA utility or better. Maximum fat content of 20%; maximum texturized vegetable protein allowed is 7%. Roast beef will have no more than 70/6 filler. 7. Salt - Iodized. No salt or pepper shall be added as a seasoning during meal preparation. Specifications to certify the above mentioned minimum quality standards must be on file in the OPERATOR's kitchen for review by the CLIENT. Product specifications of new menu items or proposed menus should accompany the menu packet to be reviewed and approved by the CLIENT. B. All foods shall be prepared from Standardized Recipes to ensure consistent quality. FOOD SERVICE AGREEMENT - Page 2 C. OPERATOR shall preserve the nutritional value and safety of food when purchasing, receiving, preparing, or delivering same. D. Meals will be delivered to meal sites at proper temperatures: Hot food to be 140 degrees Fahrenheit or higher, Cold food to be 45 degrees Fahrenheit or lower, Frozen food to be 32 degrees Fahrenheit or lower. OPERATOR ja to use proper transport equipment to maintain necessary holding temperatures. E. Meals to include proper components: 3 ozs. cooked serving of protein obtained from entree; 2 1/2 cup servings of vegetables and fruits; 1 serving of bread; 1 serving of margarine; 1 1/2 cup serving of dessert; and 1 1/2 pint serving of 2% milk. F. Appropriate extras (Suitable for elderly consumption). G. CLIENT satisfaction of meals - meals to be of acceptable color, odor, taste and overall appearance. 1`A The CLIENT reserves the right to have any item believed not to meet specifications analyzed at a test laboratory at the expense of the OPERATOR If the product is found to be in compliance with specifications, the expense will then be incurred by the CLIENT. VI. The OPERATOR will provide Comprehensive Insurance in the amount not less than $1,000,000 combined single unit including products; and Automotive Liability Insurance in the amount not less than $1,000,000 combined single unit. The OPERATOR shall comply with all laws, ordinances, regulations, orders, and directives of any federal, state, county, or local government or agency having jurisdiction over food preparation and service facilities or to the service of meals therein. Both parties hereto agree to be responsible for the actions of their own members, agents, or employees and to hold the other harmless from any damages, claims, or liability of any nature whatsoever stemming from their own activities undertaken pursuant to this contract. M It is understood that the management employees of the OPERATOR who will supervise the operation have been trained by the OPERATOR at substantial expense. The CLIENT FOOD SERVICE AGREEMENT - Page 3 agrees not to hire directly or indirectly, or offer employment to, or allow any other entity or concern over which it has any control to hire or offer employment to any such management employee of the OPERATOR for the purpose of any food service operation during the continuance of this contract. This provision also applies to and protects the CLIENT management staff. For any breach of this covenant, the OPERATOR may recover from -the CLIENT and the CLIENT may recover from the OPERATOR, as liquidated damages, and not as a penalty, the sum of $200.00 per calendar day for each day that such employee remains in such unauthorized employment for a maximum period of six months. Additionally, the OPERATOR/CLIENT may proceed to enjoin such unauthorized employment. If legal action is necessary to enforce this provision or to collect liquidated damages, the OPERATORlCLIENT shall be entitled to recover all legal expenses, including reasonable attorney's fees. X. In the event of a substantial breach of this agreement by the OPERATOR, the CLIENT may notify the OPERATOR in writing of such default and may demand the same by remedied within ten (10) days from the delivery of such notice and in the event that the OPERATOR shall fail to relieve the default or take appropriate steps leading thereto within said ten (10) days, the CLIENT shall thereupon have the right to cancel this agreement without further notice. EM This agreement may not be assigned in whole or in part without the consent in writing of the CLIENT. M The method of operation is as follows: A The CLIENT will be responsible to provide a site and furniture suitable to serving the participants. The site will be maintained by the CLIENT or its designee. B. The CLIENT shall be responsible for site facility personnel, compliance with local, state, and federal health laws. C. All meal plans will meet or exceed the one-third daily recommended allowance for persons age 60 and over. Each menu cycle with complete analysis will be submitted to the OPERATOR not less than thirty (30) days prior to implementation for the OPERATOR'S review and approval. D. All menus shall be served as planned. When substitutions are unavoidable, a written request shall be mailed to the CLIENT for approval prior to implemen- tation. Unapproved menu substitutions shall be at the expense of the OPERATOR. A complete menu switch with another day within the menu cycle is not considered a substitution but does require approval of the CLIENT. E. Menus shall be jointly reviewed and agreed upon quarterly by representatives of the OPERATOR and CLIENT. All menus must provide not less than 1/3 of the current Dietary Allowance for males 60 years and older as set by the Committee 1 i OF-01 �aT:45s I�TM on Dietary Allowances, Food and Nutrition Board of the National Research Council. F. The OPERATOR must submit a quarterly self -assessment report to the CLIENT. This report shall address the following: 1. Client satisfaction. 2. Transporting vehicles. 3. Condition of transporting equipment. 4. Meal shortages. 5. Any deficiencies from previous reports and Client's nutrition assessments. 6. Temperature or quality refusals of food. The Client reserves the right to request additional information and the right to approve the quality assurance program and reports. G. Should the governor of the State of Texas or the City of Lubbock or any other governmental authority close a building which houses a CLIENT servicing site or sites, the CLIENT shall notify the OPERATOR one (1) working day in advance of such closing. If one (1) working day is not provided to the OPERATOR, the CLIENT will pay for the normal number of meals served at such closed site or sites, or accept a menu revision which will allow the OPERATOR to utilize food products which were purchased for the closed day. H. Should the CLIENT desire to close a serving site or sites, the CLIENT shall notify the OPERATOR of the closing of such site or sites three (3) working days in advance of such a closing. If three (3) working days notice is not provided to the OPERATOR, the CLIENT will pay for the normal number of meals serviced at such closed site or sites, or accept a menu revision which will allow the OPERATOR to utilize food products which were purchased for the closed day. I. The CLIENT will give notice of site closing or extra meal requirements to the OPERATOR in writing. J. On those occasions when the CLIENT desires a box lunch or holiday gift pack meal, the CLIENT shall give the OPERATOR written notice five (5) working days in advance of the date such service is requested. K. OPERATOR agrees to comply with the requirements of Title VI, Title VII of the Civil Rights Act of 1964 and Section 504 of the Rehabilitation Act of 1973 and the requirements of the Office of Management and Budget Circulars A-102, A-110 and A 122, Title 45 Part 74, Attachment O. OPERATOR will not discriminate against any employee or applicant for employment because of race, color, religion, sex, or national origin. OPERATOR will take affirmative action to insure that, to the extent possible, eligible persons, as defined in Section 1 hereoC are employed, and that employees are treated, during employment, without discrimination of their race, color, religion, sex, or national origin. Kn A The OPERATOR will prepare and deliver meals for the CLH NTS'S distribution at six (6) feeding sites included on Attachment "B". The noon meal will be dispensed five (5) days a week, for the term of this agreement, with the exception of designated holidays as stated in Attachment "C" of this agreement. FOOD SERVICE AGREEMEW - Page 5 B. In consideration for meal services provided to the projects the OPERATOR shall invoice the CLIENT based on the number of meals ordered per week. The rate charge d per meal ordered will be shown on Attachment "A" to this agreement. C. The OPERATOR will invoice the CLIENT every month. This invoice will show number of daily meals ordered, multiplied by the number of days, multiplied by the applicable rate, less any credits due from alternate vendor bills or shortages of food items not replaced. D. The CLIENT will pay the OPERATOR within thirty (30) working days from date of invoice. E. In the event that USDA commodities are made available to the CLIENT, the OPERATOR shall meet all applicable federal and state regulations pertaining to their use, and this contract shall be amended to insure the proper use of USDA commodities. F. For the purpose of establishing a ready reference to the financial obligations the following schedule is provided: TO BE FURNISHED AND PAID BY THE CLIENT: Trash can liners, plastic gloves, stainless steel serving utensils. Janitorial/cleaning supplies at serving sites. Equipment repair/maintenance at serving sites. Pest control at serving sites. Utilities at serving sites. Tables and chairs at serving sites. Real and personal property use tax at feeding sites. Fire and hazard insurance on feeding sites. Real estate tax at feeding sites. Furnish qualified LDN dietitian services to include Menu Planning. IQ BE FURNISHED AND PAID BY THE OPERATOR: Furnish menus. Staff personnel training. Delivery of meals to designated sites. Furnish qualified, trained production kitchen manager. Food purchases. Labor at production kitchen. Employee hospitalization insurance on OPERATOR'S employees. Social Security taxes on OPERATOR'S employees. Unemployment Insurance Security taxes on OPERATOR'S employees. Workmen's Compensation Insurance on OPERATOR'S employees. Paper products/disposables for serving at sites. Janitorial/cleaning supplies at production kitchen. Dishwashing supplies at production kitchen. Kitchen smallwares at production kitchen. Telephone, local at production kitchen. Telephone, long distance to production kitchen. Equipment repair/maintenance at production kitchen. Pest control at production kitchen. Utilities at production kitchen. Trash/garbage disposal at production kitchen. Office supplies for use by OPERATOR Uniforms for OPERATOR'S personnel. Laundry for OPERATOR'S uniforms. Vehicle maintenance for OPERATOR'S vehicles. Gas for OPERATOR's vehicles. Rent for production facility. Management salary. Management benefits. Facilities production kitchen. Kitchen equipment in production kitchen. Equipment replacement in production kitchen. Office equipment at production kitchen. Equipment for temperature control and holding of food during transportation to the feeding sites. Delivery vehicles. Furnish invoices/statements. Furnish certificates of insurance. Test kitchen and standardized recipes. Fire and hazard insurance on production kitchen. Food products liability insurance. Public liability FOOD SERVICE AGREEMENT - Page 6 insurance. Automobile liability for OPERATOR'S vehicles. Comprehensive bodily injury for OPERATOR'S vehicles. License to operate. Accounting expense. Q It is mutually understood and agreed by the parties hereto that the consideration fixed pursuant to this agreement (Attachment A) for the services to be rendered by the OPERATOR, includes the cost of all fees, licenses, and taxes. However, it is agreed by the parties hereto that tin the event of a reduction of any taxes upon the purchase of food and services by the OPERATOR, use of facilities and equipment, or upon the performance of its services to the CLIENT under this contract, the consideration set forth in Attachment A shall be adjusted by an appropriate reduction of the consideration to reflect this reduced cost to the OPERATOR. M If funding for the CLIENT is not provided, this agreement shall automatically terminate. In the event funding is reduced, the terms of this agreement shall be renegotiated to the mutual satisfaction of both parties, or this agreement shall be terminated immediately. The CLIENT will pay the OPERATOR for all services performed under this agreement prior to any notification by the CLIENT of cancellation of this agreement due to lack of funding. XVI. The OPERATOR agrees to all terms and conditions contained in the Bid Specifications with a submission date of DUNE 13. 1994 , which are not superseded in this agreement. ®i In accordance with the bid specifications, the OPERATOR shall make payment and/or reimbursement to the CLIENT for missing meal portions and alternate vendor obligations. The CLIENT will submit to the OPERATOR all such requests for meal credits and/or alternate vendor invoices within ninety (90) days of occurrence. The OPERATOR shall give at least thirty (30) days written notice to CLIENT of any interruption or stoppage of services under this agreement. FOOD SERVICE AUNT - Page 7 IN TESTIMONY WHEREOF, the parties hereto have caused this agreement to be executed by their duly authorized officers. DATED this 1st day of July , 1994. ATTEST: 1 Betty M. Johnson, C#y Secretary APP OVER AS TO CONTENT: r I-,, SylviaMartinez-Flores, Manager of Community Development and Neighborhood Initiatives APPROVED AS TO FORM: Dofiald G. Vandiver, First Assistant City Attorney D0V:dn4NSr4D1 a(F00D3ERV.doc Rev. J m 14, 1994 OPERATOR: FURR' S FAMILY DINING BY: Corporate -Officer or oikw person with authority to Bind Operator contractually FOOD SERVICE AGREQAENT - Page 8