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HomeMy WebLinkAboutResolution - 2008-R0403 - Contract Of Sale Of Scrap - Jarvis Metals Recycling - 10/23/2008Resolution No. 2008-RO403 October 23, 2008 Item No. 5.7 RESOLUTION BE IS 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 sale of scrap (recyclable) paper and plastics — annual pricing, by and between the City of Lubbock and Jarvis Metals Recycling. 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 23rd day of October , 2008. � � �� T M MARTIN, MAYOR ATTEST: CPO 6'.0 Ae Rebec& Garza, City Secretary APPROVEb AS TO CONTENT: llC�, Debra Frankhouser, Solid Waste Collection APPROVED S TO FORM: Chad Weaver, Assistant City Attorney vw/City Att/Chad/RES-Scrap Paper & Plastics 6.26.08 Contract: 8733 SCRAP PAPER CONTRACT Resolution No. 2008—RO403 STATE OF TEXAS § COUNTY OF LUBBOCK This contract, (the "Contract"), effective as of the 23rd day of October , 2008, (the "Effective Date"), is by and between the City of Lubbock, (the "City"), a municipal corporation, and Jarvis Metals Recycling (the "Contractor"). WITNESSETH WHEREAS, the City desires to sell scrap paper and plastic for the purpose of recycling same; and WHEREAS, Contractor 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 Contractor 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 Contractor 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 be extended for up to one (1) additional year term with the written consent of both parties. ARTICLE II. 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 to Contractor calculated by multiplying the high base price per ton by the percentages as follows: 50% Corrugated Cardboard (OCC) 50% Newsprint (OMP8) 60% Shredded Computer Paper (CPO) 60% White Paper (SWO) 40% Mixed Paper (MP) Pricing for each category of plastic, 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 Mill Price for High -Density Polyethylene per ton on the day of delivery of the plastic to Contractor calculated by multiplying the high base price ton by the percentages as follows: 30% PET Plastic Separated #1 30% HDPE Plastic Separated #2 Natural Opaque 30% HDPE Plastic Separated #2 ARTICLE III. 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 Contractor 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 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. Page 2 of 6 City of Lubbock -Scrap Paper and Plastic Contract 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 Exhibit "A" attached (ITB 08 -083 -FO) 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. D. Location. Contractor shall accept and store the recyclable materials in an enclosed facility located at 7825 Olive Avenue, Lubbock, Texas 79404. 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. Page 3 of 6 City of Lubbock -Scrap Paper and Plastic Contract ARTICLE VIII. 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 agents, contractors, or third parties retained and/or employed by Contractor shall be required to carry, for the protection and benefit of the City and Contractor and naming said third parties as additional insureds, insurance as described above in this Contract. ARTICLE IX. 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 X. 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 XI. 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. 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 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. Page 4 of 6 City of Lubbock -Scrap Paper and Plastic Contract B. Contractor's Address. Contractor's address and numbers for the purposes of notice are: Jarvis Metals Recycling Attn: J. David Walden 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) 775-2482 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 15`x' 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 the services provided by Contractor. D. Assignability. Contractor may not assign this Contract without the written approval of the City. E. Successor and Assigns. This Contract binds and inures to the benefit of the City, Contractor, and their respective successors, legal representatives, and assigns. 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 Page 5 of 6 City of Lubbock -Scrap Paper and Plastic Contract 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. 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. EXECUTED as of the 23rd day of October , 2008. CITY OF LUBBOCK Tom Martin, Mayor ATTEST: Re cca Garza, City Secreta APPRQVr,�D AS TO CONTENT: Q14 AN�_ Debra Fran ouser Director of Solid Waste vw/CityAtt/Chad/Contracts/Scrap Paper Contract 10.15.08 JARVIS METALS RECYCLING Printed Name: J. David Walden Title: Paper Plant Manager APO D TO FORM: Chad Weaver Assistant City Attorney Page 6 of 6 City of Lubbock -Scrap Paper and Plastic Contract 08 -083 -FO Sale of Scrap (Recyclable) Paper and Plastics - Annual Pricing SUBMIT TO: t CITY OF LUBBOCK CITY OF LUBBOCK, TEXAS Purchasing 8t Contract Management / 1625 1P Street, Rm 204 Lubbock, Tx 79401-3830 AN EQUAL OPPORTUNITY INVITATION TO BID CONTACT PERSON: EMPLOYER #08 -083 -FO TEL: 806.775.2167 �T FAX: 806.773.2164 httpJ/purchasing.ci.lubbock.tx.us TITLE: SUBMITTAL DEADLINE: Sale of Scrap (Recyclable) Paper and Plastics - Annual Pricing September 24,2008,3:00 p.m. CST PRE BID DATE, TIME AND LOCATION: DELETED Any bids received after die time and doe listed above, rWrdAw ejde woo* of dagwry. shall be returned reopened RESPONDENT NAME:J. David Walden LABEL THE OUTSIDE OF YOUR SEALED BID WITH THE ITB NUMBER, THE CLOSING DATE AND TIME, AND YOUR COMPANY NAME AND ADDRESS. MAILING ADDRESS: P.O. Box 1943 >F RETURNING AS A "NO BID", PLEASE COMPLETE AND RETURN THE "STATEMENT OF NO BID". CITY — STATE — ZIP: Lubbock, Texas 79408 THE CITY OF LUBBOCK RESERVES THE RIGHT TO ACCEPT OR REJECT ANY AND ALL BIDS IN WHOLE OR IN PART AND WAIVE ANY INFORMALITY IN THE COMPETITIVE BID PROCESS. FURTHER, THE CITY TELEPHONE NO: 806-744-7091 RESERVES THE RIGHT TO ENTER INTO ANY CONTRACT DEEMED TO BE IN THE BEST INTEREST OF THE CITY. IT IS THE INTENT AND PURPOSE OF THE CITY OF LUBBOCK THAT THIS FAX NO: 806-744-7091 REQUEST PERMITS COMPETITIVE BIDS. IT IS THE BIDDER'S RESPONSIBILITY TO ADVISE THE CITY OF LUBBOCK PURCHASING E-MAIL: 806-744-0909 MANAGER IF ANY LANGUAGE, REQUIREMENTS, ETC., OR ANY COMBINATIONS THEREOF, INADVERTENTLY RESTRICTS OR LIMITS THE FEDERAL TAX ID NO. OR SOCIAL SECURITY NO. REQUIREMENTS STATED IN THIS ITB TO A SINGLE SOURCE. SUCH 75-2242881 NOTIFICATION MUST BE SUBMITTED IN WRITING AND MUST BE RECEIVED BY THE PURCHASING MANAGER NO LATER THAN FIVE (5) BUSINESS DAYS PRIOR TO THE ABOVE SUBMITTAL DEADLINE. THE BIDDER HEREBY ACKNOWLEDGES RECEIPT OF AND AGREES ITS BID IS BASED ON ANY ADDENDA POSTED ON RFPDEPOT.COM 2L—YES— NO The City of Lubbock Charter states that no officer or employee of the City can benefit from any contract, job, work or service for the municipality or be interested in the sale to the City of any supplies, equipment, material or articles purchased. Will any officer or employee of the City, or member of their immediate family, benefit from the award of this bid to the above firm? YES_ NO IN COMPLIANCE WITH THIS SOLICITATION, 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 ON THE ATTACHED BID FORM AND AGREES TO DELIVER SAID ITEMS AT THE LOCATIONS AND FOR THE PRICES SET FORTH ON THE BID FORM. AN INDIVIDUAL AUTHORIZED TO BIND THE COMPANY MUST SIGN THE FOLLOWING SECTION. FAILURE TO EXECUTE THIS PORTION MAY RESULT IN BID REJECTION. By my signature 1 certify that this offer is made without prior understanding, agreement, or connection with any corporation, firm, business entity, or person submitting an offer for the same materials, supplies, equipment, or service(s), and is in all respects fair and without collusion or fraud. I further agree that if the offer is accepted, the offeror will convey, sell, assign, or transfer to the City of Lubbock all right, title, and interest in and to all causes of action it may now or hereafter acquire under the Anti-trust laws of the United States and the State of Texas for price fixing relating to the particular commodity(s) or service (s) purchased or acquired by the City of Lubbock. At the City's discretion, such assignment shall be made and become effective at the time the City tenders final payment to the vendor. dz. -L Paper Plant Manager AutboWzed Signature Title J. David Walden 9/23/2008 Frintrrype Name Date THIS FORM MUST BE COMPLETED AND RETURNED WITH YOUR RESPONSE. 08-083-FOdoc 8 08 -083 -FO Sale of Scrap (Recyclable) Paper and Plastics - Annual Pricing BID FORM Sale of Scrap (Recyclable) Paper and Plastics - Annual Pricing CITY OF LUBBOCK, TEXAS ITB # 08 -083 -FO BIDDER'S submittal to the Purchasing Manager of the City of Lubbock, Texas. IN COMPLIANCE WITH THIS SOLICITATION AND TO ALL CONDITIONS IMPOSED HEREIN, THE UNDERSIGNED AGREES TO PURCHASE THE FOLLOWING ITEM (S) AS A RESULT OF THIS SOLICIATION. THE FOLLOWING SECTION SHALL BE SIGNED BY AN AGENT AUTHORIZED TO BIND THE BIDDER. FAILURE TO EXECUTE THIS PORTION MAY RESULT IN BID Kwrlt. "V14. ITEM CATEGORY DESCRIPTION PERCENTAGE BID 1. Corrugated Cardboard (OCC) State bid as a percentage of Southwest market high for Old Corrugated Cardboard Containers. Note Exceptions 1,2 50% 2. Newsprint (OMP8) State bid as a percentage of Southwest market high for Newsprint. Note Exceptions 2 ,3 50% 3. Shredded Computer Paper (CPO)Note State bid as a percentage of Southwest market high for Computer Paper. Exceptions 4 60% 4. White Paper (SWO) State bid as a percentage of Southwest market high for Old Sorted White Ledger Paper. I Note Exceptions 4 60% S. Mixed Paper (MP) State bid as a percentage of Southwest market high for Mixed Paper. Note Exceptions 4 40% 6. Magazines State bid as a percentage of Southwest market high for Old Magazines. NO BID 7. Junk Mail/Envclopes State bid as a percentage of Southwest market high for Mixed Paper. NO BID 8. Phone Books State bid as a percentage of Southwest market high for Mixed Paper. NO BID 08.083-FOdoc 10 08 -083 -FO Sale of Scrap (Recyclable) Paper and Plastics - Annual Pricing 9. PET Plastic Separated (#1) State bid as a percentage of current Mill Price for HDPE (# 1) Separated Note Exceptions 2, 5 30% 10. HDPE Plastic Separated (#2) Natural Opaque State bid as a percentage of current Mill Price for HDPE (#2) Separated Natural Opaque Note Exceptions 2, S 30% 11. HDPE Plastic Separated (#2) Colored State bid as a percentage of current Mill Price for HDPE (#2) Separated Copolymer/Pigmented Color #2 Note Exceptions 2, S 30% 12. Mixed Plastic PET (#1) & HDPE (#2) State bid as a percentage of current Mill Price for PET (#1) and HDPE (#2) NO BID Property will be sold "AS -IS, WHERE -IS" without expressed or implied warranties. The City will sell this property to the highest bidder. Exception List Sale of Scrap (recyclable) Paper and Plastics — Annual Pricing ITB # 08 -083 -FO 1. Jarvis Metals Recycling reserves the right to subtract up to 20% of the net weight due to trash and other contaminates. 2. Jarvis Metals Recycling reserves the right to deny acceptance of any delivery of material deemed unacceptable including moisture content. 3. All Materials must 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. 5. 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. 08-083-FOdoc II 08 -083 -FO Sale of Scrap (Recyclable) Paper and Plastics - Annual Pricing PAYMENT TERMS AND DISCOUNTS - Bidder offers a prompt payment discount of % net _ calendar days. Discounts will not be considered in determining 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 no in excess of the lowest price charged anyone else, including its most favoured customer, for like quality and quantity of the products/services; does no include an element of profit on the sale in excess of that 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 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 price(s) than provided herein, supplier agrees to notify the City and sell same product(s) at the lower price(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 State 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, Government Code), the right to purchase the same services, at the prices quoted, for the period of this contact. Each bidder shall indicate on the Bid Form in the space provided below if he/she wall 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 Freaship 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, Wert Texas Manitipal Power Agency, Lynn County, and City of Wolfforth. YES X_ NO 0 If you (the bidder) checked YES, the following will apply: • Governmental entities utilizing Intariocal Agreements for Cooperative Purchasing with the City of Lubbock will be eligible, but not obligated, to purchase matedaWservicas under the contract(s) awarded as a result of this solicitation. All purchases by governmental entities other than the City of Lubbock will be billed directly to that governmental entity and paid by that governmental entity. City of Lubbock will not be responsible for another governmental entity's debts. Each governmental entity will order their own materials/service as needed. THIS BID IS SUBMITTED BY Jarvis Metals Recycling a corporation organized under the laws of the State of Texas , or a partnership consisting of or an individual trading as Firm: Jarvis Metals Recycling_ Address: 7825- Olive Avenue, of the City of City: Lubbock State: Texas Zip 79404 M/WBE Firm: I Woman I I Black American Hisoanic American I I Asian Pacific Au Authorized Rephsentattve - mwt sign by hand Officer Name and Title: Parer Plant Managgr Please Print Business Telephone Number 806-744-7091 FAX: 806-744-0909 LABEL THE OUTSIDE OF YOUR SEALED BID WITH THE ITB NUMBER, THE CLOSING DATE AND TIME, AND YOUR COMPANY NAME AND ADDRESS. 08-083-FOdoc 12