HomeMy WebLinkAboutResolution - 2014-R0285 - Contract No. 11972, Bulk Fuel, Rip Griffin Truck Service Center Inc. - 08/28/2014Resolution No. 2014-RO285
August 28, 2014
Item No. 5.19
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. 11972 for bulk fuel, by and between the City
of Lubbock and Rip Griffin Truck Service Center, 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
Auuust 28. 2014
CAOBERTSON, MAYOR
ATTEST:
.- ......... W__._
yReec—ca Garza, City Secret
APPROVED AS TO CO
7 Scott Snider, Assistant City Manager
Mitchell Satte irst Assistant City Attorney
vw:ccdocs/RES.Contract-Rip Griffin
August 13, 2014
Resolution No. 2014-RO285
Fuel Purchaser. City of Lubbinck
Address. 1625 13`1i Street
I-ubbock TX 79401
Telephone No.- (806) 775-2165
Fax No: (806) 77.5-2164
4 710 4" STMM 11 uhli a J,, YX 19416
ft ncr (8 06 j 795-87785 - Faux (906) 795.6514
.FIXEDPC QUOTATION
Contact Person, Marta Alvaro?, Director of Purchasing and
Contract Mana.genient
Quantity I Product I Price (EXCLUDNG -fA.XE:.S) Delivery Location
UL D, Dved ULSD, B5, B20, Details to follow upon of
Unleaded Gasoline 10% award of contract
Ethanol
. ERM OF AC. RE EM ENT-,` January 1, 2015 through December 31, 2015 (the "Tenn")
PAYMENT TF�RMS- Net 15 Days without discount
GENERAL PR0Vl$I()N&-
1. L ffe " c ' li ' v ' e Mite. The m
'Date" of this Agreement shall be the date deliveries comence, notwithitandifng the date oexecution
by the parties.
2.Enfite_Ag-rgrniqgg This Agrearnent constitutes the catire agreerricut bctwccn the parties rolating to L11C sub CU matter hereof and can
only be revised or amended in ►wiling, signed by both parties.
3. Tests required by the City for specification compliance shall be provided by a third party certified laboratory mutually agreed by both
parties,
4, We will not be responsible for any discrepancies or variances that may occur benAcen the invoiced fuel voluine and lite City's
reLus dud fuel volume due to the fact we do not have care, custody or control of the Facility
5. Prices are based an the Fixed Pricc agreement
6, In compliance with the City of I ubboLk RI l' 14 -119'72 -MA %Nc will not accept a partial bid, t%e will only agei. on an `"all or nothing"
bid,
7. ThQ pirtic.,i ai,,Tee ta the tenns of'Attachmrat "A" atrac.hed hereto and incorporated by ret mer
FUEL PURCHSER
CITY OF Ll' 'BI301(
A Texas Homc-Ru
C sort n
Its: Mor
Date- August 28, 2014
A[ st
Re me Garza, City S Cet.
Approve , as to Conic V
9cnti Snider, ,assistant i Y M
Rli? GRIFi'lN TRUCK SERVICE CENTER, INC
A Fexas(Ao orat
-77
rk (in,
Its plea, I
Date""
A
Attachment A
A. Non -Arbitration'
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 he exercised
concurrently. To the extent of any conflict between this provision and another provision in, or related to, this
document, this provision shall control.
H. Nonappropriation
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 nonappropriation of funds by the City Council of the City of
Lubbock for the goads 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 he
accepted by the Seller on thirty (30) days prior written notice, but failure to give such notice shall be of no
effect and the City shall not he obligated under this contract beyond the date of termination.
J
EXHIBIT A
PROVISIONS OF AGREEMENT
The following terms and conditions are incorporated into and form an integral part or the Quotation to which they
are Attached, with the same being collectively referred_ to as the "Agreement", as provided therein,
1. PURCHASE ORDER LANGUAGE. All purchase orders utilized under this Agreement must contain the
following language:
"This purchase order is issued as acceptance of RGTSC's Quotation dated and of all
the term and conditions thereof, including but not limited to the "Provisions of Agreement" attached thereto
(collectively, the "Agreement"). The Agreement shall control over any purchase order, delivery sheet or
other document used by Fuel Purchaser, regardless of whether or not such document is signed by an
employee of RGTSC."
2. PRICE ADJUSTM EN'rS. In the event fuel prices are to be determined by reference to an index, the price for each
product shall be that First published on the date of delivery. Fuel Purchaser acknowledges that the prices of product sold
under this Agreement, if stated in a dollar and cents figure, are based upon consideration of several factors and, as such, are
subject to increase or decrease by Seller, in its sole discretion, at any time during the Term of this Agreement, without prior
written notice to Fuel Purchaser. In the event any increase in price is unacceptable to Fuel Purchaser, Fuel Purchaser may
elect to im+nedialely discontinue future purchases hereunder, only as to the product or products for which the price was
increased, provided that, Fuel Purchaser timely makes such election in accordance with any requirement of RGTSC in such
regard, it being understood that Fuel Purchaser may discontinue the purchase of other products hereunder and/or terminate
this Agreement only upon thirty (30) days prior written notice to Seller.
3. TAXES, Fuel Purchaser shall be responsible for any and all taxes arising from or related to the transactions
`contemplated by this Agreement, including but not limited to, all domestic and foreign taxes and duties now or hereafter
,:r nposed directly or indirectly: (i) on fuel products purchased by Fuel Purchaser hereunder and (ii) on the production,
manufacture, transportation, purchase, sale, use or handling of such fuel products, of any material contained in such fuel
products, or of any material from which such fuel products are wholly or partly refined or manufactured. Upon receipt of any
invoice, bill or assessment related to such taxes or duties, Fuel Purchaser shall promptly and timely pay the same.
4, INDEMNITY. To the extent permitted by applicable law, Fuel Purchaser hereby agrees to defend, indemnify and
hold harmless RGTSC, its parent, subsidiaries, affiliates and related companies, and the partners, officers, directors,
members, employees and representatives of any of the foregoing, from and against any and all liabilities, claims, liens,
damages, fines or penalties, losses, judgments, costs and expenses (including attorneys fees and court costs), of whatever
kind or nature and in any manner directly or indirectly arising out of in connection with or resulting from (i) any breach of
this Agreement or the performance of its obligations under this Agreement by Fuel Purchaser, an employee of Fuct Purchaser
or anyone acting under Fuel Purchaser's direction or control or on its behalf, (ii) the negligence (whether active or passive) of
Fuel Purchaser, an employee of Fuel Purchaser or anyone acting under Fuel Purchaser's direction or control or on its behalf,
and (iii) the willful misconduct of Fuel Purchaser, an employee of Fuel Purchaser or anyone acting under Fuel Purchaser's
direction or control or on its behalf, it being understood that Fuel Purchaser's obligations hereunder shall not apply to
liabilities caused by the sole or gross negligence or willful misconduct of the indemnified party. RGTSC may participate in
any investigation or defense of any claim or action hereunder and may, at its option, notwithstanding the foregoing
indemnity, elect to conduct any investigation or litigation regarding a claim for which it is indemnified hereunder through
counsel of its own choosing and expense. This indemnification shall survive the expiration or termination of this Agreement.
5. MANNER OF PAYMENT; DEFAULT IN PAYMENT, All payments hereunder shall be made by Fuel
Purchaser in U.S. dollars, without discount, deduction or offset of any kind, and in accordance with the other terms of this
Agreement. If at any time, in RGTSC's opinion, Fuel Purchaser's creditworthiness becomes impaired or otherwise
unsatisfactory, RGTSC may require that Fuel Purchaser (i) make only cash payments for products hereunder and/or (ii)
provide such security, as RGTSC determines necessary or desirable, for Fuel Purchaser's payment and performance under
this Agreement. Upon Fuel Purchaser's failure to timely pay any amount due to RGTSC hereunder, such amount shall (i)
�cerue interest at the rate of eighteen percent (i S%) per annum and (ii) be subject to a late charge equal to ten percent (10%)
of the outstanding sutra due. The accrual of interest on such amourtts and such late charge shall not prejudice any other
reined ies available to RGTSC tinder this Agreement or applicable law.
Page] of 4
G, 11 A FA KLF Ll FYINC, I f she term of this AgMeAnent extends beyond one ( I ) calendar month, 1hu 11ol [ow ing terms
and Colidinunq .hltjl apply
Fuel Purchaser shall lift all 11101111dy quanlitios of fuel purchased uncitr this Agreement
by the end of each calend-, ' ir month. an a ratable basis (1e, %rith elleinarvibly Ynkirric being lifted in approximately equal
ninnants cacti day of a calendar munth, as practicat). In any event (i) during each week of the Temi, FUCI Purchaser 511311 lilt
nu more then one h tin d red lire percent (1051,5) an d nu less than ninety-11ve percent (95%) of the applicable monthly c u ri tmct
Volume (`4ICV`), and (it) during each calendar month of the term, the actual snunlhly volume ("6MW) of fuel lined by
Duel Purchaser shall be Within 11 v c percent (51 n) o r i h c ap p I ico b le IM CV,
LjffWg,—Above N19V. Upon written agreement or the parties. Fuel Purchaser mny lift above the MCV for any
calendar mough of the Tenn. in the ahwoce of such written agmemcnt, all va lulne lifted above tile applicable 441 C V shall be
priced avid payrlble at RGTSC's pricing formula ?eNcIed in RC;l'SC'i re -sponse in the City of Lubbock Request rnr Proposal
09 -047 -MA.
tLiLdcrl i Ijjnj;-qLMC'y. In the event Fuel Purchaser I i 113 lessthan ninety -fine percent (95%) of the MCV for any
Q
calendar inutith of the Term, Fuel Purchaser shall pay to RGrsc an amount equal to the pricing lorrmilit reflected in
RG M's response io the City of Lubbock Request for Proposal 09 -013 -MA per gallon inulliplied by the product (X %,tcv
less AVIV.
MAR—A
walsiliAl"! 6111,04106
8. 17011111111111111, jj!Z E M AJ E U R E. R GTS Cs failure to perform any wns or condition of this Agreement a,, a result of conditions
beyond RG MC's reasonable conlro 1, including, but nal linifted to, Acts ul'God, natural disaster or severe weather conclaikin%,
war, strike%, riots, picketing or other labor troubles or disputes, malicious mischief, civil commotion, rhe inability to procure
materials, .shortages, gov er n in e rit rc-3i ric t i a as. power failures, the damage, destruction or rn a I fitinci ion of any network fin c i I i t ics
or server%, perforinnneL failures of third panics apoit which RGTSC inay rely in its pcKbrinance herelindcr, and the total or
p irl i a I failure o r I ransp n na I id n ffic i 11 t i es customarily a va i I abl a to RGTSC, shall n or be deemed a breads of Chis Agreement.
9. LL1VrrED WARRANTY AND I.INIITATI()IV OF DAJMWFS. BFYOND THE BASIC DESCRIPTION OF
THE PRODWl' BFJNG SOLD TO FUEL PURC"ASEK uNDFP, THIS AGREEMENT, RGTSC MAKES No
WARRANTIES OR RrPREV-.NTATI0NS, Eflfl(Etk EXPRESS OR EMPLIED, AS TO THE QUALITY, CONDITION,
MEKCl-IAt,4,rmuTY. Fn -NESS FOR A PARTICULAR PURPosr., NONINFRINGENIENT BY OR ANY orm-ii
MATTER RLLAHNG I-OTHE PRODUCr, FUELPLIRCHASER'S SOLL AND EXCLUSIVE RfMFl)Y FOR BR17ACII
OF Tl HS LIN11 IT.D WARRANTY SHALL DE RLllLACFMFN'r OF THE NONCONFORMING PRODUCT. IN ANY
EVEN I-, R01"iC SHALL NOT HAVE ANY RESPONSIRILITY TO FUEL 13URCHANIR FOR INCIDENTAL,
ENDIREC 1` OR CONSEQUEN-rIA I., JDAMAGII'S OF ANY NATURE, UNCLUDING, HOT No -r LiNwrr.o ro, Loss ov
BUSINESS OR ANTICIPA,rFD PROFITS, OR OTJIFR FINANCIAL LOSS ARISING OUI'OFOR IN CONNEC')InN
WITH -THE SALE. PURCHASE. USE, IbLRFORMANCEOR NONCONFORMANCE` OF PRODUCTHERCUNDF,lit. 1'Q
TUE HXTFNT PER-NUFTED BY LAW, THIS DISCLAIMER OF LIAmu'r Y WILL NOT RE AFFECI'FD OR
IMPAIRED IF THE REMEDY PROVIDI-1) HURFUNDPR .911ALL FAIL OFITS ESSENTIALKIRPOSE.
Fuel Purchaser must nutify RGTSC in Writing of any cluirn.fair brmch of Musts
warranty provided in this Agreement within four (4) husirins tint's after defivery of the product, but in any event piqnr to
subsequent delivery of priKluct to lbc tank (site) of the product at issue, it being agreed that Fuel purchaser, 9 failure %tv pru,.ide
timely writ t ell n 1) t ice shall constitute Fuel Purchasers waiver of any such claim. Fuel Purchaser r shal I allow RGTSC renso n a bi C
opportunity to inspect the product at issue; prorided that, if delivLry of'product is made in equipment fumished by RGTSC,
mid cc of any c I ai r n .arid the maso n a b I c oppurimn i hr iD inspect sba]I he given prior to such pn)du cl being u ri I ou ded. Fuel Pu reha.w
shall inimcdinicly notify RFTSC in writing if any equipment uiwd to delivery lrudoct is leaking or k offier-wise not in gcK)d
condition and repair.
11. ��FCE. All rmliceq tar wher cottiniunicafion herein Tcquired or permitted shall be in tinting and given by
PCFs012;kl CICJWCry or sent by (i) registered ur certified miul, rLim-u recelpt r��questetl, fiost,-igge prcpllk�l, jil) ��r
PiLge 2 ur'l
nationally recognized overnight courier service, addressed to the respective party as set forth on the first page of the
Agreement (tin less written notice of change thereof is provided). Notice shall be deemed given on the earlier of (i) actual
receipt, (ii) three (3) business days after deposit in the U.S. Mail, (iii) the date of Facsimile delivery/receipt confirmation, or
(iv) the first business day after deposit with an overnight courier. Any notice or communication not received because of
change of address, without notice to the other parry thereof, or refusal to accept delivery, shall be deemed received on the
date of attemptcd personal delivery or on the date, as indicated above, For other permitted methods of delivery.
12. MISCELLANEOUS, This Agreement and the legal relations between the parties shall be governed by the laws of the
State of Texas without giving effect to any conflict of law provision (whether of the State of Teras or any other
jurisdiction) that would cause the application of the law of any other jurisdiction. No waiver by RGTSC of any breach
or default of any provision of this Agreement shall waive any subsequent breach or default of the same or any other
provision. Fuel Purchaser may assign its rights under this Agreement only upon the prior written approval of RGTSC
and, notwithstanding any such assignment, Fuel Purchaser shall not be released from its obligations hereunder, absent
RGTSC's written agreement to the contrary. This Agreement may be executed in one or more counterparts, and by
facsimile, all of which counterparts shall be considered one and the same agreement. In any action to enforce or defend
this Agreement, the prevailing party shall be entitled to an award of its reasonable attorneys' fees and costs associated
therewith.
Page of4
Attachment A
A. Non -Arbitration
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.
H. Nonappropriation
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 nonappropriation 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 fust. If at any time Funds are not appropriated for the continuance of this contract, cancellation shall be
accepted by the Seller on thirty (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.
r �
7
Travel Centers
Pricing & Delivery Method
Proposal Part IV - Pricing
CITY OF LUBBOCK
BULK FUEL RFP 14 -11972 -MA
Rip Griffin has submitted an offer for a fixed firm price as requested to help control the City's
annual fuel budget. This fixed price will remain the same for the initial term of the contract for
r Bobtail and Transport deliveries. Rip Griffin currently provides bulk fuel and delivery services
to the City and the ordering 1 delivery process will remain unchanged.
GENERAL OFFICES * 4710 4 T1 STREET " LUBBOCK, TEXAS 79416 ` (806) 795-8785
TOLL FREE (800) 333-9330
0
f ')
PRICE PROPOSAL
The pricing structure includes eight (8) cost categories. The Contractor cannot modi fy, change or increase the Total
Delivered Firm Price per Gallon For the initial term of the contract. Prices must be stated in Four (4) decimal places
(10 ten thousandths).
For evaluation purposes only, use the average net price published in the OPIS Daily Report for Lubbock, Texas,
July 31, 2011. The firm fired delivered price per gallon for the duration of the initial contract term shall be
determined using the average net price published in the OP1S Daily Report for Lubbock, Texas, on the date specific
Offeror enters in Category 1.
Offeror shall state in date specific to be used for the average net price per gallon published in the OPTS
Daily Report for Lubbock, Texas, for fuel delivery beginning January 1, 2015. For evaluation purposes
only, use the average net price published in the ❑PIS Daily Report for Lubbock, Texas, for July 31, 2014.
The firm fixed delivered price per gallon for the duration of the initial contract term.
INCLUDE THE FEE FOR THE DELIVERY OF PETROLEUM PRODUCTS IN WITH THE
PRICES YOU PROPOSED BELOW.
** If ProposinLy a different fuel type include the price and product specifications.
Item
Fuel
Load
Firm Price
Per Gal
I
Ethanol (10%)
Transport
2,645
2
Ethanol (10%)
Bobtail
$ 2.545
3
Red Dyed Diesel
Transport
$ 2.995
4
Red Dyed Diesel
Bobtail
$ 2.995
S
Ultra Law Sulfur Diesel — B5
Transport
$ 2.995
(I5ppm)
6
Ultra Low Sulfur Diesel — B5
Bobtail
$ 2.995
(I 5ppm)
7
Ultra Low Sulfur Diesel — B20
Transport
$2.995
(15ppm)
8
Ultra Low Sulfur Diesel — 1320
8obtaii
$ 2.995
(]5ppm)
Trade name of fuel ofrered
❑PIS Rack Averages Published July 31. 2014
For Inforonatfon purposes only
Unl 10% $2,8176
Iced Dyed Diesel $3.6658
Ultra Law Sul(er Diesel- 135 Clear $3.0551
Ultra Lo%v 5ulfer Diesel- 135 Clear $3.05$2
The above price does not include any and all applicable taxes and or fees. Taxes will be charged in
addition to the above price.
See attached Lubbock, TX Rack OPTS publication for July 31, 2014 for reference and information
purpose only.
I ) Q IL,chafa'IIid Qxs RF P I4 -11'172.4A 18