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CITY OF SAN BERNARDINO - REQUEST FOR COUNCIL ACTION
From: Ken Fischer, Director
Dept: Public Services
Date July 25, 2007
Subject: Resolution authorizing the
execution of an agreement and
issuance of an annual purchase order
with two single year renewal options,
pursuant to Section 3.04.010-B3 of the
Municipal Code, to McCray Enterprises
of San Bernardino for medium and
heavy duty equipment and truck repair,
including purchase of various related
parts.
Synopsis of Previous Council Action
Meeting Date: August 20, 2007
Reso 2001-2
Reso 2004-221
Reso 2007-122
January 8,2001
July 6, 2004
April 16,2007
Annual PO with (2) year renewal options
Annual PO with (2) year renewal options
Increase Annual PO $32,000
Recommended Motion:
Adopt resolution.
AR-
Contact person: Don Johnson, Fleet Manager
Supporting data attached: Staff report,
Resolution, Agreement.
FUNDING REQUIREMENTS:
Council Notes:
Phone: 5220
Ward: All
Amount:
$75,000
$75,000
635-341-5173
Outside Vehicle
Maintenance
Source:
Finance:
Agenda Item No. !iJJ
S/UJ/07-
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CITY OF SAN BERNARDINO - REQUEST FOR COUNCIL ACTION
Staff Report
Subject:
A Resolution authorizing the execution of an agreement and issuance of an annual
purchase order with two single year renewal options pursuant to Section 3.04.010-B3 of the
Municipal Code, 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 200412005. On April 16, 2007 the Mayor and
Common Council approved Resolution #2007-122 authorizing an increase of $32,000 to the
annual purchase order. The Public Services Department, Fleet Division staff is requesting
the execution of an annual purchase order for FY 200712008 to McCray Enterprises as a
selected source.
McCray Enterprises is an independent heavy equipment repair facility that has provided
outstanding support to the Fleet Division for over ten (10) years. Services provided have
been of quality workmanship, cost effective, and timely. McCray Enterprises is located in
San Bernardino and provides top priority of equipment return.
Financial Impact:
Funds for this annual purchase order are contained in the Public Services Department, Fleet.
Division Fiscal Year 2007/2008 Budget, Account No. 635-341-5173 Outside Vehicle
Maintenance in the amount of $75,000.00
Recommendation:
Adopt resolution
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RESOLUTION NO.
A RESOLUTION AUTHORIZING THE EXECUTION OF AN AGREEMENT
AND ISSUANCE OF AN ANNUAL PURCHASE ORDER WITH TWO SINGLE YEAR
RENEWAL OPTIONS, PURSUANT TO SECTION 3.04.010-B3 OF THE MUNICIPAL
CODE, TO MCCRAY ENTERPRISES OF SAN BERNARDINO FOR MEDIUM AND
HEAVY DUTY EQUIPMENT AND TRUCK REPAIR, INCLUDING PURCHASE OF
VARIOUS RELATED PARTS.
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
Bernardino and McCray Enterprises, a copy of which is attached hereto, marked
Exhibit "A" and incorporated herein by reference as fully as though set forth at length.
SECTION 2. That 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".
SECTION 3. That McCray Enterprises provides medium and heavy-duty
equipment and truck repair, including purchase of various related parts.
Pursuant to this determination, the Purchasing Manager is hereby authorized to issue
an annual purchase order to McCray Enterprises for a total amount not to exceed
$75,000.00.
SECTION 4. That the Purchase Order shall reference this Resolution No.
2007- and shall read, "Medium and heavy-duty equipment and truck repair,
including purchase of various related parts, P.O. No.
not to exceed
$75,000.00" and shall incorporate the terms and conditions of the Agreement.
August 16, 2007
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A RESOLUTION AUTHORIZING THE EXECUTION OF AN AGREEMENT
AND ISSUANCE OF AN ANNUAL PURCHASE ORDER WITH TWO SINGLE YEAR
RENEWAL OPTIONS, PURSUANT TO SECTION 3.04.010-B3 OF THE MUNICIPAL
CODE, TO MCCRAY ENTERPRISES OF SAN BERNARDINO FOR MEDIUM AND
HEAVY DUTY EQUIPMENT AND TRUCK REPAIR, INCLUDING PURCHASE OF
VARIOUS RELATED PARTS.
SECTION 5. The authorization to execute the above-referenced Agreement
is rescinded if it is not executed within sixty (60) days of the passage of this
resolution.
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August 16, 2007
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A RESOLUTION AUTHORIZING THE EXECUTION OF AN AGREEMENT
AND ISSUANCE OF AN ANNUAL PURCHASE ORDER WITH TWO SINGLE YEAR
RENEWAL OPTIONS, PURSUANT TO SECTION 3.04.010-B3 OF THE MUNICIPAL
CODE, TO MCCRAY ENTERPRISES OF SAN BERNARDINO FOR MEDIUM AND
HEAVY DUTY EQUIPMENT AND TRUCK REPAIR, INCLUDING PURCHASE OF
VARIOUS RELATED PARTS.
I HEREBY CERTIFY that the foregoing Resolution was duly adopted by the
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
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26 J mes F. Penman, City Attorney
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KELLEY
JOHNSON
MCCAMMACK
Rachel G. Clark, City Clerk
The foregoing resolution
,2007.
is hereby approved this
day of
Patrick J. Morris, Mayor
City of San Bernardino
August 16, 2007
,
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VENDOR SERVICE AGREEMENT
This Vendor Service Agreement is entered into this 20th day of August
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 receive quotes from available
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 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 total amount of $75,000.00 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 with two single year
renewals at the City's option.
EXHIBIT "A"
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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 arising from the performance of 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
EXHIBIT "A"
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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 licenses, 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.
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EXHIBIT "A"
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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:
McCray Enterprises
24268 5th Street
San Bernardino, CA 92410
Telephone: (909) 381-1964
Attn: Rick McCray
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 connection with that litigation 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.
EXHIBIT "A"
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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
convemence 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.
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EXHIBIT "A"
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IN WITNESS THEREOF, the parties hereto have executed this Agreement on the day
and date set forth below.
Dated:
,2007
VENDOR.
By:
Its:
Dated
. CITY OF SAN BERNARDINO
By:
,2007
Fred Wilson, City Manager
Approved as to Form:
EXHIBIT "A"
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VENDOR SERVICE AGREEMENT
This Vendor Service Agreement is entered into this 20th day of August
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 ofthe 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 receive quotes from available
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 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 total amount of $75,000.00 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 with two single year
renewals at the City's option.
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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 arising from the performance of 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
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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 licenses, 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.
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9.
NOTICES.
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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
Attn: Rick McCray
ATTORNEYS' FEES
In the event that litigation is brought by any party in connection with this Agreement,
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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 connection with that litigation shall be considered as "attorneys' fees" for the purposes
ofthis 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.
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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.
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IN WITNESS THEREOF, the parties hereto have executed this Agreement on the day
and date set forth below.
Dated:
,2007
VENDOR.
By:
Its:
Dated
,2007
CITY OF SAN BERNARDINO
By:
Fred Wilson, City Manager
Approved as to Form:
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