HomeMy WebLinkAbout20- Public Works CITY OF SAN BERNARDINO - REQUEST FOR COIJNCIL4lIC'T W N A L
From: Randy Kuettle,Acting Director of Subject: Resolution of the Mayor and Common
Public Works Council of the City of San Bernardino
authorizing the execution of an agreement and
Dept: Public Works–Fleet Division issuance of an Annual Purchase Order in the
amount of $75,000, with three (3) one-year
Date: August 9, 2010 extensions at the City's option to Arata
Equipment Co. pursuant to Section 3.04.010-133
of the Municipal Code for the purchase of
specific Labrie refuse equipment parts and
supplies.
Meeting date: August 16,2010
Synopsis of Previous Council Action:
June 20,2005,per Resolution 2005-172–the Mayor and Common Council approved annual PO to Aram
Equipment Company with(3)renewal options.
April 17,2006,per Resolution 2006-108 -the Mayor and Common Council approved an increase of
$40,000 to an Arata annual PO.
April 16,2007,per Resolution 2007-121-the Mayor and common Council approved increase of$30,000
to an Arata annual PO.
Recommended motion:
Adopt Resolution.
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Sign
Contact person: Don Johnson, Fleet Manager Phone: 5220
Supporting data attached: Staff Report,Resolution,Agreement,and Attachment
Ward: ALL
FUNDING REQUIREMENTS: Amount: $75,000
Source: 635-400-5111-0000-0100
(Materials and Supplies)
Finance:
Council Notes: T5 C5 y o20/,o - -:2,PO
Agenda Item No. 20
0-!(e 210
CITY OF SAN BERNARDINO— REQUEST FOR COUNCIL ACTION
Staff Report
Subject:
Resolution of the Mayor and Common Council of the City of San Bernardino authorizing the
execution of an agreement and issuance of an Annual Purchase Order in the amount of$75,000,
with three (3) one-year extensions at the City's option to Arata Equipment Co. pursuant to
Section 3.04.010-133 of the Municipal Code for the purchase of specific Labrie refuse equipment
parts and supplies.
Background:
The Integrated Waste Management Division (IWM Division) has thirty-nine (39) Labrie
automated side loader refuse trucks in its fleet and has been using this brand since 2001. The
Labrie brand was chosen from extensive research and demonstrations and awarded through a
competitive bid. Fleet staff has found that standardization of vehicles is more cost effective,
fewer parts must be stocked and Mechanic training is specialized and more thorough. Arata
Equipment of San Carlos is the authorized dealership that furnishes specific Labrie equipment
parts and supplies for refuse fleets and is therefore considered a sole source supplier. An
assessment by Fleet staff found no local vendors authorized to supply Labrie parts and supplies.
During FY 05/06, a sole source Annual Purchase Order was issued to Arata Equipment for
$60,000. On April 17, 2006, the Mayor and Council approved an increase to the Annual
Purchase Order in the amount of$40,000 for a total of$100,000. On April 16, 2007, the Mayor
and Council approved an increase of$30,000 for a total not to exceed$130,000.
The Fleet Division is requesting a sole source Purchase Order to Arata Equipment Co. in the
amount of $75,000 beginning in FY 10/11 with three (3) one-year extensions at the City's
option. Should additional funds be needed, staff will return to Council to request an increase.
Attached for your review is a partial listing of parts and supplies purchased from Arata
Equipment during FY 09/10 (see attachment"1").
Financial Impact:
Funds for this Annual Purchase Order are contained in the Public Works, Fleet Division budget,
FY 10/11,Account No. 635-400-5111-0000-0100(Materials and Supplies) in the amount of
$75,000.
Recommendation:
Adopt Resolution.
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CITY OF SAN BERNARDINO
OFFICE OF THE PUBLIC SERVICES DIRECTOR
INTER-OFFICE MEMORANDUM
TO: Charles McNeeley, City Manager
FROM: Don Johnson, Public Works Fleet Division
DATE: July 27, 2010
SUBJECT: City Manager's Approval of Process — Purchases made pursuant to Section
3.04.010(B)(3) and Section 3.04.075 of the City's Municipal Code (Purchases
approved by the Mayor and Common Council and emergency purchases approved
by the City Manager). DDL Number 82.
COPIES: Randy Kuettle, Acting Director of Public Works
Arata Equipment Co. was selected as a Sole Source for the following reasons:
1. Arata Equipment Co. is the same vendor that has supplied (39) Labrie Automated refuse
trucks to the City of San Bernardino since 2001.
2. Arata Equipment of San Carlos is the authorized dealership that furnishes specific Labrie
equipment parts and supplies for the Refuse fleet; therefore, it is considered a sole source
supplier.
3. An assessment by Fleet staff found no local vendors authorized to supply Labrie parts and
supplies.
A Request for Council entitled, "Resolution of the Mayor and Common Council of the City of
San Bernardino authorizing the execution of an agreement and issuance of an Annual Purchase
Order, with three (3) one-year extensions at the City's option to Arata Equipment Co. pursuant to
Section 3.04.010-B3 of the Municipal Code for the purchase of specific Labrie refuse equipment
parts and supplies." has been submitted and placed on the August 16, 2010 agenda calendar for
review and approval.
Don W. Johnson
Fleet Services Division Manager
1 A ved By:
es McNe ey
City Manager
�-f1e- 201b
RESOLUTION NO. COPY
1 RESOLUTION OF THE MAYOR AND COMMON COUNCIL OF THE CITY
�- 2 OF SAN BERNARDINO AUTHORIZING THE EXECUTION OF AN AGREEMENT
AND ISSUANCE OF AN ANNUAL PURCHASE ORDER IN THE AMOUNT OF
3 $75,000, WITH THREE (3) ONE-YEAR EXTENSIONS AT THE CITY'S OPTION TO
ARATA EQUIPMENT CO. PURSUANT TO SECTION 3.04.010-113 OF THE
4 MUNICIPAL CODE FOR THE PURCHASE OF SPECIFIC LABRIE REFUSE
EQUIPMENT PARTS AND SUPPLIES.
5
6 WHEREAS, Arata Equipment Co. is the authorized dealership that furnishes specific
7 Labrie equipment parts and supplies for refuse fleets and is therefore considered a sole source
8 supplier.
9 BE IT RESOLVED BY THE MAYOR AND COMMON COUNCIL OF THE
10 CITY OF SAN BERNARDINO AS FOLLOWS:
11 SECTION 1. The City Manager of the City of San Bernardino is hereby authorized to
12 execute on behalf of said City an Agreement between the City of San Bernardino and Arata
13 Equipment Co., a copy of which is attached hereto, marked Exhibit "A" and incorporated
14 herein by reference as fully as though set forth at length.
15
SECTION 2. This purchase is exempt from the formal contract procedures of Section
16
17 3.04.010 of the Municipal Code, pursuant to Section 3.04.010. B.3 of said Code "Purchases
18 approved by the Mayor and Common Council'.
19 SECTION 3. The Purchase Order shall reference this Resolution number and shall
20 read, "Arata Equipment Co. for specific Labrie refuse equipment parts and supplies" P.O. not
21 to exceed $75,000 and shall incorporate the terms and conditions of the Agreement.
22
SECTION 4. The authorization to execute the above referenced Agreement and
23
Purchase Order is rescinded if not issued within sixty (60) days of the passage of this
24
25 Resolution.
26 111
27 N l�
28
RESOLUTION OF THE MAYOR AND COMMON COUNCIL OF THE CITY
OF SAN BERNARDINO AUTHORIZING THE EXECUTION OF AN AGREEMENT
1 AND ISSUANCE OF AN ANNUAL PURCHASE ORDER IN THE AMOUNT OF
2 $75,000, WITH THREE (3) ONE-YEAR EXTENSIONS AT THE CITY'S OPTION TO
ARATA EQUIPMENT CO. PURSUANT TO SECTION 3.04.010-113 OF THE
3 MUNICIPAL CODE FOR THE PURCHASE OF SPECIFIC LABRIE REFUSE
EQUIPMENT PARTS AND SUPPLIES.
4
I HEREBY CERTIFY that the foregoing Resolution was duly adopted by the Mayor
5
6 and Common Council of the City of San Bernardino at a meeting thereof, held
7 on the day of 2010, by the following vote,to wit:
8 Council Members: AYES NAYS ABSTAIN ABSENT
9 MARQUEZ
10 DESJARDINS --
11
BRINKER
12
SHORETT ---
13
14 KELLEY — —
15 JOHNSON
16 MCCAMMACK
17
18 Rachel G. Clark, City Clerk
19 The foregoing resolution is hereby approved this day of
2010.
20
21 Patrick J. Morris, Mayor
22 City of San Bernardino
23 A roved as to F rm:
24
25 es F. Penman, City Attorney
26
27
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I VENDOR SERVICE AGREEMENT
2 This Vendor Service Agreement is entered into this 16th day of August 2010, by and
3 between Arata Equipment Co. ("VENDOR") and the City of San Bernardino ("CITY" or "San
4 Bernardino').
5
WITNESSETH:
6
7 WHEREAS, the Mayor and Common Council has determined that it is advantageous
8 and in the best interest of the CITY to purchase specific Labrie refuse equipment parts and
9 supplies; and
10 WHEREAS, Arata Equipment Co. is the authorized dealership that furnishes specific
11 Labrie equipment parts and supplies for refuse fleets and is therefore considered a sole source
12
supplier; and
13
WHEREAS, this purchase is exempt from the formal contract procedures of Section
14
15 3.04.010 of the Municipal Code, pursuant to Section 3.04.010. B.3 of said Code "Purchases
16 approved by the Mayor and Common Council."
17 NOW,THEREFORE, the parties hereto agree as follows:
18 1. SCOPE OF SERVICES.
19 For the remuneration stipulated, San Bernardino hereby engages the services of
20
VENDOR to provide those products and services as set forth in this purchase agreement.
21
22 2. COMPENSATION AND EXPENSES.
23 a. For the services delineated above, the CITY, upon presentation of an invoice, shall
24 pay the VENDOR up to the amount of $75,000 for the purchase specific Labrie
25 refuse equipment parts and supplies. Pricing is cost plus 30% and is subject to the
26 current "stand alone parts program" listing at the time of purchase. Arata Equipment
27
Co. adjusts their prices annually in January.
28 Exhibit"A"
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1 b. No other expenditures made by VENDOR shall be reimbursed by CITY.
2 3. TERM; TERMINATION.
3 The term of this agreement shall be from August 16, 2010 through June 30, 2011, with
4 three (3) one-year extensions at the City's option. Option year one, if exercised, shall be
5 effective July 1, 2011 through June 30, 2012. Option year two, if exercised, shall be effective
6
July 1, 2012 through June 30, 2013. Option year three, if exercised, shall be effective July 1,
7
2013 through June 30, 2014.
8
9 This Agreement may be terminated at any time by thirty (30) days' written notice by
10 either party. The terms of this Agreement shall remain in force unless amended by written
11 agreement of the parties executed on or before the date of expiration of current term of the
12 agreement.
13 4. INDEMNITY.
14
Vendor agrees to and shall indemnify and hold the City, its elected officials, employees,
15
16 agents or representatives, free and harmless from all claims, actions, damages and liabilities of
17 any kind and nature arising from bodily injury, including death, or property damage, based or
18 asserted upon any or alleged act or omission of Vendor, its employees, agents, or
19 subcontractors, relating to or in any way connected with the accomplishment of the work or
20 performance of service under this Agreement, unless the bodily injury or property damage was
21
actually caused by the sole negligence of the City, its elected officials, employees, agents or
22
23 representatives. As part of the foregoing indemnity, Vendor agrees to protect and defend at its
24 own expense, including attorney's fees the City, its elected officials, employees, agents or
25 representatives from any and all legal actions based upon such actual or alleged acts or
26 omissions. Vendor hereby waives any and all rights to any types of express or implied
27 indemnity against the City, its elected officials, employees, agents or representatives, with
28 Exhibit"A"
2
1 respect to third party claims against the Vendor relating to or in any way connected with the
2 accomplishment of the work or performance of services under this Agreement.
3 5. INSURANCE.
4 While not restricting or limiting the foregoing, during the term of this Agreement,
5 VENDOR shall maintain in effect policies of comprehensive public, general and automobile
i 6 liability insurance, in the amount of $1,000,000.00 combined single limit, and statutory
7
worker's compensation coverage, and shall file copies of said policies with the CITY's Risk
8
9 Manager prior to undertaking any work under this Agreement. CITY shall be set forth as an
10 additional named insured in each policy of insurance provided hereunder. The Certificate of
11 Insurance furnished to the CITY shall require the insurer to notify CITY of any change or
12 termination in the policy. Insurer shall give CITY 30 days notice prior to enactment and any
13
change of termination of policy.
14
b. NON-DISCRIMINATION.
15
16 In the performance of this Agreement and in the hiring and recruitment of employees,
17 VENDOR shall not engage in, nor permit its officers, employees or agents to engage in,
18 discrimination in employment of persons because of their race, religion, color, national origin,
19 ancestry, age, mental or physical disability, medical conditions, marital status, sexual gender or
20 sexual orientation, or any other status protected by law.
21
7. INDEPENDENT CONTRACTOR.
22
23 VENDOR shall perform work tasks provided by this Agreement, but for all intents and
24 purposes VENDOR shall be an independent contractor and not an agent or employee of the
25 CITY. VENDOR shall secure, at its expense, and be responsible for any and all payment of
26 Income Tax, Social Security, State Disability Insurance Compensation, Unemployment
® 27 Compensation, and other payroll deductions for VENDOR and its officers, agents, and
28 Exhibit"A"
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1 employees, and all business licenses. if any are required, in connection with the services to be
2 performed hereunder.
3 8. BUSINESS REGISTRATION CERTIFICATE AND OTHER REQUIREMENTS.
4 VENDOR warrants that it possesses or shall obtain, and maintain a business registration
5 certificate pursuant to Chapter 5 of the Municipal Code, and any other licenses, permits,
6
qualifications, insurance and approval of whatever nature that are legally required of VENDOR
7
8 to practice its business or profession.
9 NOTICES.
10 Any notices to be given pursuant to this Agreement shall be deposited with the United
11 States Postal Service, postage prepaid and addressed as follows:
12 TO THE CITY: Public Services Director
13 300 North"D" Street
San Bernardino, CA 92418
14 Telephone: (909) 384-5140
15 TO THE VENDOR: Arata Equipment Co.
16 1160 Industrial Rd. #12
San Carlos, Ca 94070
17 Telephone: (650) 508-1010
Contact: Danny Arata
18
9. ATTORNEYS' FEES.
19
20 In the event that litigation is brought by any party in connection with this Agreement,
21 the prevailing party shall be entitled to recover from the opposing party all costs and expenses,
22 including reasonable attorneys' fees, incurred by the prevailing party in the exercise of any of
23 its rights or remedies hereunder or the enforcement of any of the terns, conditions or
24
provisions hereof. The costs, salary and expenses of the City Attorney and members of his
25
office in enforcing this Agreement on behalf of the CITY shall be considered as "attorneys'
26
27 fees" for the purposes of this paragraph.
28 Exhibit "A"
4
1 10. ASSIGNMENT.
2 VENDOR shall not voluntarily or by operation of law assign, transfer, sublet or
3 encumber all or any part of the VENDOR's interest in this Agreement without CITY's prior
4 written consent. Any attempted assignment, transfer, subletting or encumbrance shall be void
5 and shall constitute a breach of this Agreement and cause for the termination of this
6
Agreement. Regardless of CITY's consent, no subletting or assignment shall release VENDOR
7
8 of VENDOR's obligation to perform all other obligations to be performed by VENDOR
9 hereunder for the term of this Agreement.
10 11. VENUE.
11 The parties hereto agree that all actions or proceedings arising in connection with this
12 Agreement shall be tried and litigated either in the State courts located in the County of San
13
Bernardino, State of California or the U.S. District Court for the Central District of California,
14
Riverside Division. The aforementioned choice of venue is intended by the parties to be
15
16 mandatory and not permissive in nature.
17 12. GOVERNING LAW.
18 This Agreement shall be governed by the laws of the State of California.
19 13. SUCCESSORS AND ASSIGNS.
20 This Agreement shall be binding on and inure to the benefit of the parties to this Agreement
21
and their respective heirs, representatives, successors, and assigns.
22
23 14. HEADINGS.
24 The subject headings of the sections of this Agreement are included for the purposes of
25 convenience only and shall not affect the construction or the interpretation of any of its
26 provisions.
27
28 Exhibit "A"
5
1 15. SEVERABILITY.
2 If any provision of this Agreement is determined by a court of competent jurisdiction to
3 be invalid or unenforceable for any reason, such determination shall not affect the validity or
4 enforceability of the remaining terms and provisions hereof or of the offending provision in any
5 other circumstance, and the remaining provisions of this Agreement shall remain in full force
6
and effect.
7
8 16. ENTIRE AGREEMENT; MODIFICATION.
9 This Agreement constitutes the entire agreement and the understanding between the
10
parties, and supersedes any prior agreements and understandings relating to the subject manner
11
12 of this Agreement. This Agreement may be modified or amended only by a written instrument
13 executed by all parties to this Agreement.
14 HI
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28 Exhibit"A"
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1 VENDOR SERVICE AGREEMENT
ARATA EQUIPMENT CO.
2
3 IN WITNESS THEREOF, the parties hereto have executed this Agreement on the day and
4 date set forth below.
5
6 Dated: 2010 ARATA EQUIPMENT CO.
7 By:
8
9 Dated _ 2010 CITY OF SAN BERNARDINO
10
By:
11 Charles E. McNeely, City Manager
12 Approved as to Form:
13
By:
14 James F. Penman, City Attorney
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28 Exhibit"A"
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