HomeMy WebLinkAboutResolution - 6627 - Contract - Temple Inc.- Electric Utility Inventory Items - 12/09/1999Resolution No. 6627
Dec. 9, 1999
Item No. 29
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 Electric Utility
Inventory Items, by and between the City of Lubbock and Temple, Inc. Secondary
Vendor of Amarillo, Texas, 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 this 9th day of December 1999.
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N,MAYO
MAYOR
ATTEST:
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Kaythie arnell, City Secretary
APPROVED AS TO CONTENT:
ictor KiIm , Purchasing Manager
APPROVED AS TO FORM:
William de Haas
Competition and Contracts Manager/Attorney
gs:ccdocs/Elec Util Inven Items -Temple Secondary
December 2, 1999
Resolution No, 6627
Dec. 9, 1999
Item No. 29
SECONDARY VENDOR CONTRACT
STATE OF TEXAS §
COUNTY OF LUBBOCK §
This contract, (the "Contract'), effective as of January 1, 2000, (the "Effective Date"), is
by and between the City of Lubbock, (the "City"), a Texas Home Rule Municipal Corporation,
and Temple, Incorporated, a Texas corporation, whose principal place of business is located at
502 E. 46`h Street, Lubbock County, Texas (the "Contractor").
WITNESSETH
WHEREAS, the City requires a contractor to procure, warehouse, and deliver, on
request, Electrical Inventory Items, and
WHEREAS, the Contractor is qualified and willing to procure, warehouse, and deliver,
on request, Electrical Inventory Items, 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
TERM
The term of this Contract commences on the Effective Date and continues without
interruption for a term of two (2) years from and after the Effective Date. The term may be
extended for three (3) additional one (1) year terms with the written consent of both parties.
ARTICLE II
COMPENSATION
Contractor shall be paid in accordance with their bid submitted on July 13, 1999 for ITB
#99017.
ARTICLE III
TERMINATION
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 WORK
A. General. Contractor shall procure, warehouse, and deliver to the City of Lubbock
Central Warehouse all items listed in Exhibit A, attached hereto, on an as needed basis Electrical
Inventory Items.
B. Account representative. Contractor shall assign an Account Representative whose
function shall be to facilitate all day -today business transactions. The Account Representative
shall conduct a service visit to the City on days and at times mutually agreeable to both parties or
as required by the City. An alternative Account Representative shall provide the same service
when the primary is unavailable for any reason_ The Contractor shall provide name(s), phone
number(s), and resume(s) of Account Representative and alternate Account Representative. At
no time shall the visitation schedule be disrupted.
C. Quantities. 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.
D. Periodic performance meetings. A weekly general performance meeting shall be
scheduled during the first ninety- (90) days of the contract and shall include City personnel and
Contractor's account representative. The intent of the meeting will be to review day to day
performance of the Contractor's service. After ninety (90) days, the meetings will be held
monthly, and as required by City.
E. 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.
Delivery of emergency items outside of standard business hours shall be accomplished as
mutually agreed upon by the Contractor and the City's Representative.
F. Reports. For items covered under this contract, Contractor shall provide a monthly
report of the inventory listing all on -hand quantities, items and quantities ordered by the City,
items and quantities delivered by Contractor to the City, and items and quantities ordered for the
City by the Contractor.
G. 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.).
H. 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. Contractor further represents and warrants to the City that the occurrence in or use
by the equipment or product containing computer code of dates on or after January 1, 2000
("Millennial Dates"), will not adversely affect the performance of such equipment or product
with respect to date -dependent data, computations, output, or other functions (including, without
limitation, calculating, comparing, and sequencing) and that such equipment or product will
create, store, process, and output information related to or including Millennial Dates without
error or omissions and at no additional cost to the City. At the City's request, Contractor will
provide evidence sufficient to demonstrate such equipment or product meets the foregoing.
I. Right of Inspection. City shall have the right to inspect the goods at delivery before
accepting them.
J. 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
Purchasing Department, 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.
K. Prices and Price Adjustment.
1. All prices shown on Exhibit A shall be F.O.B. Destination and shall include all
charges that may be imposed in fulfilling the terms of this contract.
2. The Contractor warrants that the unit price stated herein shall remain firm for a
period of not less than 180 calendar days from the first day of the contract
period. If the Contractor's unit price is increased after 180 days, the contract
unit price may be increased upon approval of the Contractor's written request to
the City of Lubbock Purchasing Manager. Such request shall include as a
minimum, (1) the cause for adjustment; (2) proposed effective date of increase;
(3) the amount of the change requested with documentation to support the
requested adjustment (i.e., appropriate Bureau of Labor Statistics, Consumer
Price Index (CPI -U) change in manufacturer's price, etc.) Such price adjustment
shall be by the same percentage as documented and the contract shall be
modified accordingly provided that:
a. The total of the increase in a contract unit price made under this clause
during the initial contract period shall not exceed a total of five percent (5%)
of the original contract unit price. If the contract is renewed, the percentage
increase shall not exceed five percent (5%) per contract period on the price(s)
prevailing at the time of renewal;
b. The increased contract unit price may be effective after 180 calendar days
provided that the Contractor submits a written request, with supporting
documentation, for an increase at least thirty (30) calendar days prior to the
proposed effective date of the price increase;
c. The increased contract unit price shall not apply to orders received by the
Contractor prior to the effective date of the increased contract unit price.
Orders placed, via City of Lubbock Purchase Order, shall be considered to
have been received by the Contractor after the fifth (5) calendar day
following the date of signature by the City of Lubbock Purchasing Manager
or his authorized representative;
d. Such requested contract unit price increase shall become effective only upon
approval by the City of Lubbock Purchasing Manager;
e. Within thirty (30) calendar days after receipt of a Contractor's written
request, the City of Lubbock Purchasing Manager may cancel, without
liability to either party, any portion of the contract affected by the requested
increase and undelivered at the time of such cancellation.
3. Price Reduction. If at any time after the effective date of the contract, the
Contractor makes a general price reduction in the comparable price of any
material covered by the contract to customers generally, an equivalent price
reduction based on similar quantities and/or considerations shall apply to this
contract for the duration of the contract period (or until the price is further
reduced). Such price reduction shall be effective at the same time and in the
same manner as the reduction in the price to customers generally. For purpose
of this provision, a "general price reduction" shall mean any horizontal reduction
a
in the price of an article or service offered (1) to Contractor's customers
generally, or (2) in the Contractor's price schedule for the class of customers,
i.e., wholesalers, jobbers, retailers, etc., which was used as the basis for bidding
on this solicitation. An occasional sale at a lower price, or sale of distressed
merchandise at a lower price would be considered a "general price reduction"
under this provision. The Contractor shall submit his or her invoice at such
reduced prices indicating on the invoice that the reduction is pursuant to the
"Price Reduction" provision of the contract documents. The Contractor in
addition, will within ten days of any general price reduction notify the
Purchasing Manager of such reduction by letter. FAILURE TO DO SO MAY
RESULT IN TERMINATION OF THE CONTRACT. Upon receipt of any such
notice of a general price reduction, all ordering offices will be duly notified by
the Purchasing Manager.
The Contractor, if requested, shall furnish, within ten days after the end of the
contract period, a statement certifying either (1) that no general price reduction ,as
defined above, was made after the date of the bid, or (2) if any such general price
reductions were made, that as provided above, they were reported to the Purchasing
Manager within ten (10) days and ordering offices were billed at the reduced prices.
Where one or more such general price reductions were made, the statement
furnished by the Contractor shall include with respect to each price reduction (1) the
date when notice of any such reduction was issued, (2) the effective date of the
reduction, and (3) the date when the Purchasing Manager was notified of any such
reduction.
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 VII
INSURANCE
A. General Contractor 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 Contractor, 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. 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 it's authorized agents and shall contain an endorsement
naming the City of Lubbock an additional insured. Written notice of cancellation or any
material change will be provided thirty (30) days in advance of cancellation or change. All
insurance, other than Workers' Compensation, shall provide a waiver of subrogation in favor of
the City of Lubbock, and shall contain cross liability and severability clauses.
B. Required Coverage. Contractor shall obtain and maintain policies of insurance
throughout the Contract term in limits specified below.
1. Worker's Compensation. The Contractor shall maintain Workers' Compensation and
Employer's Liability insurance coverage as required by statute or coverage approved by the City
Risk Management Coordinator.
2. Commercial General Liability. The Contractor shall maintain Commercial General
Liability coverage endorsed to include premises/operations, contractual liability, and
independent contractors' and completed operations. The policy shall have a minimum of One
Million and no/100 Dollars ($1,000,000) combined single limit in the aggregate and per
occurrence.
3. Commercial Automobile Liability. The Contractor shall maintain Commercial
Automobile Liability coverage with a minimum of One Million and no/100 Dollars ($1,000,000)
combined single for Bodily Injury and Property Damage and shall include any auto or in the
alternative, owned autos, non -owned autos and hired autos.
4. Umbrella Liability Insurance. The Contractor shall maintain Umbrella Liability
Insurance coverage in the amount of Two Million and no/100 Dollars ($2,000,000) with
coverage corresponding to the Commercial General Liability, Commercial Automobile Liability
and Professional Liability policies.
C. Subcontractors. The Contractor shall require each subcontractor with whom it
contracts to provide activities as contemplated by this Contract, to obtain proof of insurance
coverage as set forth herein, and to provide to Contractor, prior to such person performing any
such activities, a Certificate of Insurance establishing such coverage.
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 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
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 costs 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.
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
MISCELLANEOUS
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.
are:
B. Contractor's Address. Contractor's address and numbers for the purposes of notice
Attn: Ronnie Dewbre
502 E. 46`h Street
Lubbock, TX 79404
Telephone: 806/747-3128
Facsimile: 806/747-0313
C. City's Address. The City's address and numbers for the purposes of notice are:
City of Lubbock
Attn: Helen Bums
P. O. Box 2000
1625 13th Street
Lubbock, Texas 79457
Telephone: (806) 775-2168
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.
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. Records. Contractor shall maintain records that are necessary to substantiate the
services provided by the Contractor.
C. Assignability. Contractor may not assign this Contract without the prior written
approval of the City.
D. Successor and Assigns. This Contract binds and inures to the benefit of the City,
Contractor, and their respective successors, legal representatives, and assigns.
E. 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.
F. 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.
G. 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.
H. 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
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11
OR JTRON, MAY
ATTEST:
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Darnell
bGX
Ka arnel
City Secretary
APPROVED AS TO CONTENT:
Victor Kilm
Purchasing MXnager
APPROVED AS TO FORM:
'14 -,-
William de Haas
Competition and Contracts Manager
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INCORPORATEDFEMPLE
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