HomeMy WebLinkAboutResolution - 2006-R0536 - Contract - Ferguson Enterprises Inc. - Water Inventory Items - 11/09/2006Resolution No. 2006 80536
November 9, 2006
Item No. 5.16
RESOLUTION
BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF LUBBOCK:
THAT the City Council of the City of Lubbock hereby authorizes and directs the
Mayor of the City of Lubbock to execute a Contract by and between the City of Lubbock
and Ferguson Enterprises, Inc., of Lubbock, Texas, for water inventory items—annual
pricing per ITB 06 -053 -MA, which Contract and any associated documents, are attached
hereto and made a part of this Resolution for all intents and purposes.
Passed by the City Council this 9th day of
,ATTEST:
City Secretary
APPROVED AS TO CONTENT:
vi G�
Victor Kilian, Director of Purchasing
and Contract Management
APPROVED AIMO FORM:
Don Vandiver; Attorney of
DDres/FergusonEnterptises06ConRes
October 20, 2006
November
, 2006.
DAVIDMILLER, MAYOR
Resolution No. 2006-RO536
CONTRACT FOR SERVICES
FOR
WATER INVENTORY ITEMS - ANNUAL PRICING
Bid No. 06 -053 -MA
CONTRACT #7262
THIS CONTRACT, (the "Contract"), effective as of November 9, 2006, (the "Effective
Date"), is by and between the City of Lubbock, (the "City"), a Texas Home Rule
Municipal Corporation, and Ferguson Enterprises, Inc., a Texas corporation, whose
principal place of business is located at Lubbock, Lubbock County, Texas (the
"Contractor").
WITNESSETH:
WHEREAS, the City requires a contractor to procure, warehouse, and deliver, on
request, repair parts for the City Water Department, and
WHEREAS, the Contractor is qualified and willing to procure, warehouse, and
deliver, on request, repair parts for the City Water Department, and
WHEREAS, the City desires to contract with Contractor to provide the service,
and
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
ITEM
The tern of this Contract commences on the Effective Date and continues without
interruption for a term of one year from and after the Effective Date. The contract may
be extended for an additional one-year term, upon mutual agreement between the City of
Lubbock and the supplier at the end of the initial contract term.
ARTICLE II
COMPENSATION
Contractor shall be paid in accordance with their bid submitted on August 10,
2006 for ITB #06 -053 -MA.
ARTICLE III
TERMINATION
A. General. City may terminate contract, for any reason, upon ninety- (94) days
written notice to Contractor.
B. Termination and remedies. In the event the 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 IV
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 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 procuring, warehousing, and delivering repair
parts, 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 procuring, warehousing, and delivering
repair parts, as contemplated hereby. If any of the activities of the 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 the Contractor did not perform said
activities (or omitted the performance of said activities) in a good and workmanlike
manner.
ARTICLE V
SCOPE OF WORD
A. General. Contractor shall procure, warehouse, and deliver to the City of
Lubbock Central Warehouse all items listed in BID FORM attached hereto, on an as
needed basis all repair parts for the City's Water Department on request.
B. Out of stock items. In the event the Contractor cannot supply the City
regularly stocked products within twenty-four (24) hours, Contractor shall give
immediate notice to the City of Lubbock Purchasing Manager and City may obtain the
product from another source. The Contractor will be charged the difference in price
between the price paid by the City and the Contract price, plus freight, if any. The City
will not charge the Contractor for items purchased from other sources when the outage is
caused by nationwide outages or manufacturer recalls.
C. Quantities. The Contractor shall maintain all items listed in BID FORM at a
minimum fill rate of 99%. Acceptance of alternate items or products by City will not
constitute compliance with the minimum fill rate requirement, with the exception of the
product manufacturer's inability to fill an order.
D. Minimum quantities requested by City. The Contractor agrees that the City
has made no representation, guaranty, or commitment that the City will purchase any
minimum quantity of products under this Contract. The Contractor further agrees that
any inventories, residual or otherwise, which the Contractor may establish or which may
otherwise arise from the Contractor's performance under this Contract, shall be at the
sole risk and responsibility of the Contractor.
E. The City Purchasing Manager as needed shall schedule periodic performance
meetings. The intent of the meetings will be to review day-to-day performance of the
Contractor's services. The meeting shall include City personnel and Contractor's account
representative.
F. Time. It is agreed and understood that time is of the essence for the
performance of this Contract, and failure by Contractor to meet the time specifications of
this Contract will cause Contractor to be in default of this Contract.
G. Delivery. Deliveries will be made directly to the City of Lubbock Central
Warehouse, 302 Municipal Drive, Lubbock, Texas, and to other locations as required
from time to time. Contractor shall fill routine requests within six (6) hours of City's
request. Emergency orders, defined as disruption related to an essential service when
supplies/services are needed for immediate use in work which may vitally affect the
public health, welfare, or safety, placed during standard business hours within two (2)
hours after receipt of order. Delivery of emergency items outside of standard business
hours shall be accomplished as mutually agreed upon by the Contractor and the City's
Representative.
H. Account representative. Contractor shall assign an Account Representative
whose function shall be to facilitate all day-to-day business transactions. The Account
Representative shall conduct a service visit to the City each Monday, Wednesday, and
Friday at 8:00 a.m. or as required by the City. An alternative Account Representative
shall provide the same service when the primary is unavailable for any reason. At no
time shall the visitation schedule be disrupted.
I. Reports. Contractor shall provide a monthly report of the inventory listing all
items: on -hand, ordered by City, delivered by Contractor, and ordered.
J. Material Safety Data Sheets. Contractor shall provide Material Safety Data
Sheets (MSDS) for all chemicals to comply with provisions of the Texas Hazard
Communication Act, Title 6, Subchapter D, Chapter 502, Texas Health and Safety Code
Ann. (This Act is corollary to OSHA Standard 29 CRF 1910.1200, which is generally
known as the Right to Know Law.).
K. Product Guarantee. Contractor guarantees equipment or product offered will
meet or exceed specifications identified in this bid invitation. The Contractor shall, upon
request, replace any equipment or product proved to be defective and make any and all
adjustments necessary without any expense to the City. If at any time, the equipment or
product cannot satisfactorily meet the requirements of the specifications, the Contractor
shall upon written request from the City, promptly remove such equipment or product
without any further expense to the City.
L. Right of Inspection. City shall have the right to inspect the goods at delivery
before accepting them.
M. Invoices. Contractor shall submit separate invoices, in duplicate, on each
purchase order or purchase release after each delivery. Invoices shall indicate the
purchase order or purchase release number and the supply agreement number if
applicable. Invoices shall be itemized and transportation charges, if any, shall be listed
separately. A copy of the bill of lading, and the freight waybill when applicable, shall be
attached to the invoice. Mail to Accounts Payable, City of Lubbock, P.O. Box 2000,
Lubbock, Texas 79457. Payment shall not be due unless and until the Seller shall not be
in default under the terms of this Contract, and until the above instruments are submitted
after delivery.
ARTICLE VI
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 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 insured, insurance as described in Article VI of 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
City of Lubbock shall not be liable or responsible for, and shall be saved and
held harmless by Contractor from and against any and all suits, actions, losses,
damages, claims, or liability of any character, type, or description, including 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, directly or indirectly, in whole or in part,
the performance of Contractor under this agreement, including claims and damages
arising in whole or in part from the negligence of City of Lubbock.
It is the expressed intent of the parties to this Agreement that the indemnity
provided for in this section is an indemnity extended by Contractor to indemnify
and protect City of Lubbock from the consequences of City's own negligence,
whether that negli2ence is the sole or contributory cause of the resultant in'u
death, or damage.
ARTICLE XI
COMPLIANCE WITH APPLICABLE LAW
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.
B. Contractor's Address. Contractor's address and numbers for the purposes of
notice are:
Attn: Mike Wolfe
Ferguson Enterprises, Inc.
600242 nd Street
Lubbock, Texas 79407
Telephone: (806) 784-3140
Facsimile: (806) 788-0516
City's Address. The City's address and numbers for the purposes of notice are:
City of Lubbock
Attn: Marta Alvarez, Purchasing Manager
P. d. Box 2000
1625 13th Street
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 or numbers shall
become effective on the 15th 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 the Contractor.
D. Assignability. Contractor may not assign this Contract without the prior
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 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.
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
CITY OF LUBBOCK
DAVID A.MILLER, MAYOR
ATTEST:
Rebecca G4fza
City Secretary
APPROVED AS TO CONTENT:
V,�!&
Victor Kilm
Director of Purchasing and Contract Management
APPROVED AS TO FORM:
orney
By: Gr�
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