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HomeMy WebLinkAbout22-Public Services e e e CITY OF SAN BERNARDINO - REQUEST FOR COUNCIL ACTION From: Ken Fischer, Director Dept: Public Services Date: June 25, 2007 Subject: Resolution of the Mayor and Common Council of the City of San Bernardino authorizing the execution of an agreement and purchase order in the amount of $120,000.00 between the City of San Bernardino and Zumar Industries, Inc., for the purchase of traffic signs, and for repair, removal, and replacement of damaged, faded and vandalized signs, and new installation of signs located throughout the City of San Bernardino. Meeting Date: July 16, 2007 Synopsis of Previous Council Action: May 7,2007 - Resolution No. 2007-142 - Council authorized the City Manager to execute Amendment NO.1 to the Vendor Services Agreement and increase Purchase Order Number 300459 in the amount of $30,000.00. October 16, 2006 - Resolution No. 2006-372- Council authorized the execution of an Agreement with Zumar Industries, Inc. in the amount of $86,897. ~. . Signature Recommended Motion: Adopt Resolution Contact person: Ken Fischer, Director Supporting data attached: Staff Report, Resolution, Vendor Service Agreement FUNDING REQUIREMENTS: Council Notes: Phone: Ward: 5140 All Amount: $ 120,000.00 Source: FY 07-08 Account Number 001-408-5111 Materials & Supplies Finance: Agenda Item No. a 1/111/07 e e e CITY OF SAN BERNARDINO - REQUEST FOR COUNCIL ACTION Staff Report Subject: A resolution of the Mayor and Common Council of the City of San Bernardino authorizing the execution of an agreement and purchase order in the amount of $120,000.00 between the City of San Bernardino and Zumar Industries, Inc., for the purchase of traffic signs for repair, removal, and replacement of damaged, faded and vandalized signs, and new installation of signs located throughout the City of San Bernardino. Background: A formal bid process was initiated to solicit bids for the Sign Maintenance Program. Zumar Industries submitted the lowest bid for the purchase of traffic signs, removal and replacement of damaged, faded and vandalized signs, and new installation of signs located throughout the City. On October 16, 2006, the Mayor and City Council approved a contract with and purchase order to Zumar Industries in the amount of $86,897.00. On May 7, 2007, the Mayor and City Council authorized the City Manager to execute Amendment NO.1 to the Vendor Services Agreement and increase purchase order number 300459 by $30,000.00. On May 21, 2007, Zumar Industries sent the City of San Bernardino a letter stating that they would like to extend the contract for an additional year, July 1, 2007 through June 30, 2008 without changing the pricing or terms of their contract. Staff would like to keep the option to renew the contract for the fiscal year 2007/2008 with all the terms and conditions as previously stated. Staff recommends that Council authorize the execution of an agreement and purchase order in the amount of $120,000.00. This purchase is exempt from the formal contract procedures of Section 3.04.010 of the Municipal Code, pursuant to Section 3.04.010. B.3 of said Code, "Purchases approved by the Mayor and Common Council". Financial Impact: Funds are available and have been budgeted in FY 07-08, Account Number 001-408- 5111 Materials and Supplies in the amount of $120,000.00. Recommendation: Adopt resolution. 22 23 24 25 26 27 28 1 2 3 4 5 6 7 8 9 RESOLUTION NO. RESOLUTION OF THE MAYOR AND COMMON COUNCIL OF THE CITY OF SAN BERNARDINO AUTHORIZING THE EXECUTION OF AN AGREEMENT AND PURCHASE ORDER IN THE AMOUNT OF $120,000.00 BETWEEN THE CITY OF SAN BERNARDINO AND ZUMAR INDUSTRIES, INC., PURSUANT TO SECTION 3.04.010 B-3 OF THE MUNICIPAL CODE FOR THE PURCHASE OF TRAFFIC SIGNS FOR REPAIR, REMOVAL, AND REPLACEMENT OF DAMAGED, FADED AND VANDALIZED SIGNS, AND NEW INSTALLATION OF SIGNS LOCATED THROUGHOUT THE CITY OF SAN BERNARDINO. BE IT RESOLVED BY THE MAYOR AND COMMON COUNCIL OF THE CITY OF SAN BERNARDINO AS FOLLOWS: SECTION 1. That the City Manager of the City of San Bernardino is hereby authorized to execute on behalf of said City an Agreement between the City of San 10 11 12 13 14 15 16 17 fiscal year 2007/2008 with all the terms and conditions as previously stated. 18 19 20 21 Bernardino and Zumar Industries, Inc. a copy of which is attached hereto, marked Exhibit "A" and incorporated herein by reference as fully as though set forth at length. That Zumar previously submitted the lowest bid for the purchase of traffic signs for repair, removal, and replacement of damaged, faded and vandalized signs, and new installation of signs. Staff would like to keep the option to renew the contract for the SECTION 2. That the City Manager of the City of San Bernardino is hereby authorized to execute on behalf of said City an Agreement between the City of San Bernardino and Zumar Industries Inc. A copy of which is attached hereto, marked Exhibit "A: and incorporated herein by reference as fully as though set forth at length; and SECTION 3. This purchase is exempt from the formal contract procedures of Section 3.04.010 of the Municipal Code, pursuant to Section 3.04.010. B.3 of said Code, "Purchases approved by the Mayor and Common Council"; and --(La. dd. 07- /fo~ '07 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 RESOLUTION OF THE MAYOR AND COMMON COUNCIL OF THE CITY OF SAN BERNARDINO AUTHORIZING THE EXECUTION OF AN AGREEMENT AND PURCHASE ORDER IN THE AMOUNT OF $120,000.00 BETWEEN THE CITY OF SAN BERNARDINO AND ZUMAR INDUSTRIES, INC., PURSUANT TO SECTION 3.04.010 B-3 OF THE MUNICIPAL CODE FOR THE PURCHASE OF TRAFFIC SIGNS FOR REPAIR, REMOVAL, AND REPLACEMENT OF DAMAGED, FADED AND VANDALIZED SIGNS, AND NEW INSTALLATION OF SIGNS LOCATED THROUGHOUT THE CITY OF SAN BERNARDINO. SECTION 4. Pursuant to this determination the Purchasing Manager is hereby authorized to issue a purchase order to Zumar Industries, Inc. in the amount of $120,000.00. The Purchase Order shall reference this Resolution No. 2007- and shall read, "Zumar Industries, Inc. for traffic sign materials. Agreement not to exceed $120,000.00" and shall incorporate the terms and conditions of the agreement. SECTION 5. The authorization to execute the above referenced Purchase Order is rescinded if it is not issued within sixty (60) days of the passage of this resolution. III /II III III III II III III /II III 1 2 3 4 5 6 RESOLUTION OF THE MAYOR AND COMMON COUNCIL OF THE CITY OF SAN BERNARDINO AUTHORIZING THE EXECUTION OF AN AGREEMENT AND PURCHASE ORDER IN THE AMOUNT OF $120,000.00 BETWEEN THE CITY OF SAN BERNARDINO AND ZUMAR INDUSTRIES, INC., PURSUANT TO SECTION 3.04.010 B-3 OF THE MUNICIPAL CODE FOR THE PURCHASE OF TRAFFIC SIGNS FOR REPAIR, REMOVAL, AND REPLACEMENT OF DAMAGED, FADED AND VANDALIZED SIGNS, AND NEW INSTALLATION OF SIGNS LOCATED THROUGHOUT THE CITY OF SAN BERNARDINO. I HEREBY CERTIFY that the foregoing Resolution was duly adopted by the 7 8 9 following vote, to wit: Mayor and Common Council of the City of San Bernardino at a day of , 2007, by the meeting thereof, held on the 10 11 12 AYES NAYS ABSTAIN ABSENT Council Members: ESTRADA BAXTER 13 14 15 16 17 18 19 20 21 22 23 24 25 Appr ved as to Form: 26 27 28 BRINKER DERRY KELLEY JOHNSON MCCAMMACK Rachael G. Clark, City Clerk The foregoing resolution is ,2007. hereby approved this day of Patrick J. Morris, Mayor City of San Bernardino 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 July 2007, by and between Zumar Industries, Inc. ("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 acquire sign materials and related items; and WHEREAS, the City of San Bernardino did solicit and accept proposals and bids from a number of vendors for the purchase of sign materials. 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 for sign materials for the maintenance of the City's sign system. 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 $120,000.00 for providing sign materials. 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 from July I, 2007 to June 30, 2008. I Exhibit "A" 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 ofthis 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, 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 claims, actions, 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 2 Exhibit "A" 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 engage in, nor permit its officers, employees or agents to engage in, discrimination in employment of persons because of their race, religion, color, national origin, ancestry, age, mental or physical disability, medical conditions, marital status, sexual gender or sexual orientation, or any other status protected by law, except as permitted pursuant to Section 12940 of the California Government Code. 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. VENDOR warrants 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. 3 Exhibit "A" 1 9. NOTICES. 2 Any notices to be given pursuant to this Agreement shall be deposited with the United 3 States Postal Service, postage prepaid and addressed as follows: 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 TO THE CITY: Public Services Director 300 North "D" Street San Bernardino, CA 92418 Telephone: (909) 384-5140 TO THE VENDOR: Zumar Industries, Inc. 9719 Santa Fe Springs Road Santa Fe Springs, CA 90670 Attention: Eric Gustafson 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. 11. 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. 4 Exhibit "A" 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 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. 15. 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. 5 Exhibit "A" 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. ,2007 VENDOR. By: Dated: Its: ,2007 CITY OF SAN BERNARDINO By: Fred Wilson, City Manager Dated Approved as to Form: By: James F. Penman, City Attorney 6 Exhibit "A" 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 July 2007, by and between Zumar Industries, Inc. ("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 acquire sign materials and related items; and WHEREAS, the City of San Bernardino did solicit and accept proposals and bids from a number of vendors for the purchase of sign materials. 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 for sign materials for the maintenance of the City's sign system. 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$120,000.00 for providing sign materials. 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 from July I, 2007 to June 30,2008. I 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, 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 claims, actions, 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 2 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 engage in, nor permit its officers, employees or agents to engage in, discrimination in employment of persons because of their race, religion, color, national origin, ancestry, age, mental or physical disability, medical conditions, marital status, sexual gender or sexual orientation, or any other status protected by law, except as permitted pursuant to Section 12940 of the California Government Code. 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. VENDOR warrants 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. 3 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 ~~ 9. 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: Zumar Industries, Inc. 9719 Santa Fe Springs Road Santa Fe Springs, CA 90670 Attention: Eric Gustafson 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. 11. 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. 4 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 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. 15. 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. 5 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. ,2007 VENDOR. Dated: By: Its: Dated ,2007 CITY OF SAN BERNARDINO By: Fred Wilson, City Manager Approved as to Form: By: lame . Penman, City Attorney 6 ZUAfAR INDUSTRIES, INC. May 21,2007 City of San Bernardino Attn: Randy Kuettle 234 South Mountain View Ave. San Bernardino CA 92408 Subject Renewal P.O. #300459 Dear: Randy Kuettle Zumar Industries would like to extend the above contract for an additional year, July I, 2007 through June 30, 2008. We are pleased to offer this extension without any change in pricing or terms per the renewal agreement in the original contract. Zumar has enjoyed a long and successful relationship with the City of San Bernardino and look forward to serving your needs in the future. Sincerely, ~~;;)7~ ~ Erick Gustafson Account Manager 9719 Santa Fe Springs Road. Santa Fe Springs, CA 90670 . 562-941-4633 . 800-654-SIGN (7446) . Fax 562-941-4643 Please visit our Website at: www.zumar.com