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HomeMy WebLinkAbout20-Public Services e e e CITY OF SAN BERNARDINO - REQUEST FOR COUNCIL ACTION From: Ken Fischer, Director Subject: Resolution authorizing the execution of an agreement and increase to an Annual Purchase Order, to McCray Enterprises of San Bernardino for medium and heavy duty equipment and truck repair, including purchase of various related parts. Dept: Public Services Date March 26, 2007 Meeting Date: April 16, 2007 Synopsis of Previous Council Action Reso 2001-2 January 8,2001 Annual PO with (2) year renewal options Reso 2004-221 July 6, 2004 Annual PO with (2) year renewal options Recommended Motion: Motion #1: Adopt resolution. Motion #2: Authorize the Director of Finance to amend the FY 06/07 Fleet and Refuse budgets as discussed in this staff report to reflect the additional $32,000 in service and parts costs. . iiiJ;- ~ -/ n ure Contact person Don Johnson, Fleet Manager Phone: 5220 Supporting data attached: Staff report, Resolution, Agreement. Ward: All FUNDING REQUIREMENTS: Amount: $32,000 $32,000 635-341-5173 Outside Vehicle Maintenance Source: Finance: Council Notes: ~JliI/07 Agenda Item No. lO e e e CITY OF SAN BERNARDINO - REQUEST FOR COUNCIL ACTION Staff Report Subject: A resolution authorizing the execution of an agreement and increase to an Annual Purchase Order, to McCray Enterprises of San Bernardino for medium and heavy-duty equipment and truck repair including purchase of various related parts. Background: McCray Enterprises of San Bernardino was the successful bidder for Bid No. F-05-002 on July 6, 2004, and was awarded an Annual Purchase Order, with two single year renewal options, in the amount of $23,500 for FY 2004/2005. The Public Services Department, Fleet Division staff is requesting an increase of $32,000 to the purchase order, for a total amount not to exceed $55,500 for the remainder FY 2006/2007. The requested increase is needed due to staff shortages in the Fleet Division, the addition of (4) four Refuse trucks (loaned from City of Los Angeles), increased usage of the already aging Refuse trucks (longer hours and weekends) as well as compliance with the CHP mandated BIT program. These factors have contributed to the purchase order funds being depleted. Financial Impact: A budget amendment of $32,000 increasing Fleet's outside vehicle maintenance account (635-341-5173) is requested. Because the Fleet Fund operates as an "internal service fund" all of Fleet's expenditures are charged back to city departments based on related usage. These charges will ultimately be charged back to the Refuse Division, as they are directly related to the Refuse operation, so the Refuse Division budget will also be amended accordingly. Recommendation: Motion #1: Adopt resolution. Motion #2: Authorize the Director of Finance to amend the FY 06/07 Fleet and Refuse budgets as discussed in this staff report to reflect the additional $32,000 in service and parts costs. e 1 RESOLUTION NO. 2 RESOLUTION OF THE MA YOR AND COMMON COUNCIL OF THE CITY OF SAN BERNARDINO AUTHORIZING THE EXECUTION OF AN AGREEMENT AND 3 INCREASE TO AN ANNUAL PURCHASE ORDER IN THE AMOUNT OF $32,000.00, TO MCCRA Y ENTERPRISES OF SAN BERNARDINO FOR MEDIUM AND HEA VY-DUTY 4 EQUIPMENT AND TRUCK REPAIR, INCLUDING PURCHASE OF VARIOUS RELATED PARTS. 5 BE IT RESOLVED BY THE MAYOR AND COMMON COUNCIL OF THE CITY OF 6 SAN BERNARDINO AS FOLLOWS: 7 SECTION 1. The City Manager of the City of San Bernardino is hereby authorized to 8 execute on behalf of said City an Agreement between the City of San Bernardino and McCray 9 Enterprises, a copy of which is attached hereto, marked Exhibit "A" and incorporated herein by 10 reference as fully as though set forth at length. 11 SECTION 2. That McCray Enterprises provides medium and heavy-duty equipment and 12 truck repair, including purchase of various related parts. Pursuant to this determination, the 13 Purchasing Manager is hereby authorized to issue an increase of $32,000.00 to an Annual Purchase e 14 Order to McCray Enterprises for a total amount not to exceed $55,500.00 as a result of Bid No. F-05- 15 002. 16 SECTION 3. The Purchase Order shall reference this Resolution No.2007 17 and shall read, "Medium and heavy-duty equipment and truck repair, including purchase of various 18 related parts." P.O. No. 07-035 not to exceed $55,500.00 and shall incorporate the terms and 19 conditions of the Contract. 20 /II 21 III 22 1/1 23 /II 24 /II 25 III e 26 1/1 No. ~D 27 /II 4/ } 0 J D( 28 III 1 e e e 1 RESOLUTION OF THE MAYOR AND COMMON COUNCIL OF THE CITY OF SAN BERNARDINO AUTHORIZING THE EXECUTION OF AN AGREEMENT AND 2 INCREASE TO AN ANNUAL PURCHASE ORDER IN THE AMOUNT OF $32,000.00, TO MCCRA Y ENTERPRISES OF SAN BERNARDINO FOR MEDIUM AND HEAVY .DUTY 3 EQUIPMENT AND TRUCK REPAIR, INCLUDING PURCHASE OF VARIOUS RELATED PARTS. 4 SECTION 4. The authorization to execute the above-referenced Purchase Order and 5 Agreement is rescinded if it is not issued within sixty (60) days of the passage of this resolution. 6 III 7 III 8 III 9 III 10 III 11 III 12 III 13 III 14 III 15 III 16 III 17 III 18 III 19 III 20 III 21 III 22 III 23 III 24 III 25 III 26 III 27 III 28 2 e 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 e 27 28 e 1 2 3 4 RESOLUTION OF THE MAYOR AND COMMON COUNCIL OF THE CITY OF SAN BERNARDINO AUTHORIZING THE EXECUTION OF AN AGREEMENT AND INCREASE TO AN ANNUAL PURCHASE ORDER IN THE AMOUNT OF $32,000.00, TO MCCRAY ENTERPRISES OF SAN BERNARDINO FOR MEDIUM AND HEAVY- DUTY EQUIPMENT AND TRUCK REPAIR, INCLUDING PURCHASE OF VARIOUS RELATED PARTS. 5 I HEREBY CERTIFY that the foregoing Resolution was duly adopted by the 6 Mayor and Common Council of the City of San Bernardino at a meeting thereof, held on the day of , 2007, by the following vote, to wit: Council Members: AYES NAYS ABSTAIN ABSENT ESTRADA BAXTER BRINKER DERRY KELLEY JOHNSON MCCAMMACK Rachel G. Clark, City Clerk The foregoing resolution is hereby approved this ,2007. day of Patrick J. Morris, Mayor City of San Bernardino App~ ved as to Form: .~ es F. Penman, City Attorney March 26, 2007 e e e 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 VENDOR SERVICE AGREEMENT This Vendor Service Agreement is entered into this 16th day of April 2007, by and between McCray Enterprises ("VENDOR") and the City of San Bernardino ("CITY" or "San Bernardino"). WITNESSETH: WHEREAS, the Mayor and Common Council has determined that it is advantageous and in the best interest of the CITY to contract for medium and heavy-duty equipment and truck repair including purchase of various related parts; and WHEREAS, the City of San Bernardino did solicit and accept quotes from avai.lable vendors for medium and heavy-duty equipment and truck repair including purchase of various related parts. NOW, THEREFORE, the parties hereto agree as follows: 1. SCOPE OF SERVICES. For the remuneration stipulated, San Bernardino hereby engages the services of VENDOR to provide those products and services as set forth in this purchase agreement. 2. COMPENSATION AND EXPENSES. a. For the services delineated above, the CITY, upon presentation of an invoice, shall pay the VENDOR up to the amount of $32,000.00 for medium and heavy-duty equipment and truck repair, including purchase of various related parts. b. No other expenditures made by VENDOR shall be reimbursed by CITY, 3. TERM; SEVERABILITY. The term of this Agreement shall be for a period of one year. e e e 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 This Agreement may be terminated at any time by thirty (30) days written notice by either party. The terms of this Agreement shall remain in force unless mutually amended. The duration of this Agreement may be extended with the written consent of both parties. 4. INDEMNITY. CITY agrees to indemnify and hold harmless VENDOR, its officers, agents and volunteers from any and all claims, actions, or losses, damages and/or liability resulting from CITY's negligent acts or omissions arising from the CITY's performance of its obligations under the Agreement. VENDOR agrees to indemnify and hold harmless the CITY, its officers, agents, and volunteers from any and all claim, actions, or losses, damages and/or liability resulting from VENDOR's negligent acts or omissions arising from the VENDOR's performance of its obligations under the Agreement. In the event the CITY and/or the VENDOR is found to be comparatively at fault for any claim, action, loss, or damage which results from their respective obligations under the Agreement, the CITY and/or VENDOR shall indemnify the other to the extent of this comparative fault. 5. INSURANCE. While not restricting or limiting the forgoing, during the term of this Agreement, VENDOR shall maintain in effect policies of comprehensive public, general and automobile liability insurance, in the amount of $1,000,000.00 combined single limit, and statutory worker's compensation coverage, and shall file copies of said policies with the CITY's Risk Manager prior to undertaking any work under this Agreement. CITY shall be set forth as an additional named insured in each policy of insurance provided hereunder. The Certificate of e e e 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 Insurance furnished to the CITY shall require the insurer to notify CITY of any change or termination in the policy. 6. NON-DISCRIMINATION. In the performance of this Agreement and in the hiring and recruitment of employees, VENDOR shall not discriminate on the basis of race, creed, color, religion, sex, physical handicap, ethnic background or country of origin. 7. INDEPENDENT CONTRACTOR. VENDOR shall perform work tasks provided by this Agreement, but for all intents and purposes VENDOR shall be an independent contractor and not an agent or employee of the CITY. VENDOR shall secure, at its expense, and be responsible for any and all payment of Income Tax, Social Security, State Disability Insurance Compensation, Unemployment Compensation. and other payroll deductions for VENDOR and its officers, agents, and employees, and all business license, if any are required, in connection with the services to be performed hereunder. 8. BUSINESS REGISTRATION CERTIFICATE AND OTHER REQUIREMENTS. VENDORwarrants that it possesses or shall obtain, and maintain a business registration certificate pursuant to Chapter 5 of the Municipal Code, and any other license, permits, qualifications, insurance and approval of whatever nature that are legally required of VENDOR to practice its business or profession. III III III III e e 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 e 1 9. 2 3 4 NOTICES. Any notices to be given pursuant to this Agreement shall be deposited with the United States Postal Service, postage prepaid and addressed as follows: TO THE CITY: Public Services Director 300 North "D" Street San Bernardino, CA 92418 Telephone: (909) 384-5140 TO THE VENDOR: McCray Enterprises 24268 5th Street San Bernardino, CA 92410 Telephone: (909) 381-1964 10. ATTORNEYS' FEES In the event that litigation is brought by any party in connection with this Agreement, the prevailing party shall be entitled to recover from the opposing party all costs and expenses, including reasonable attorneys' fees, incurred by the prevailing party in the exercise of any of its rights or remedies hereunder or the enforcement of any of the terms, conditions or provisions hereof. The costs, salary and expenses of the City Attorney and members of his office in enforcing this Agreement on behalf of the CITY shall be considered as "attorneys' fees" for the purposes of this paragraph. II. ASSIGNMENT. VENDOR shall not voluntarily or by operation of law assign, transfer, sublet or encumber all or any part of the VENDOR's interest in this Agreement without CITY's prior written consent. Any attempted assignment, transfer, subletting or encumbrance shall be void and shall constitute a breach of this Agreement and cause for the termination of this Agreement. Regardless of CITY's consent, no subletting or assignment shall release VENDOR of VENDOR's obligation to perform all other obligations to be performed by VENDOR hereunder for the term of this Agreement. e e tit 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 12. VENUE. The parties hereto agree that all actions or proceedings arising in connection with this Agreement shall be tried and litigated either in the State courts located in the County of San Bernardino, State of California or the U.S. District Court for the Central District of California, Riverside Division. The aforementioned choice of venue is intended by the parties to be the mandatory and not permissive in nature. 13. GOVERNING LAW. This Agreement shall be governed by the laws of the State of California. 14. SUCCESSORS AND ASSIGNS. This Agreement shall be binding on and inure to the benefit of the parties to this Agreement and their respective heirs, representatives, successors, and assigns. IS. HEADINGS. The subject headings of the sections of this Agreement are included for the purposes of convenience only and shall not affect the construction or the interpretation of any of its provIsIOns. 16. ENTIRE AGREEMENT; MODIFICATION. This Agreement constitutes the entire agreement and the understanding between the parties, and supercedes any prior agreements and understandings relating to the subject manner of this Agreement. This Agreement may be modified or amended only by a written instrument executed by all parties to this Agreement. III III III III e e e 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 IN WITNESS THEREOF, the parties hereto have executed this Agreement on the day and date set forth below. Dated: Dated VENDOR. By: ,2007 Its: CITY OF SAN BERNARDINO By: ,2007 Approved as to Form: 1-, s . Penman, City Attorney Fred Wilson