HomeMy WebLinkAbout41-Public Services
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CITY OF SAN BERNARDINO - REQUEST FOR COUNCIL ACTION
From: Ken Fischer, Director
Dept: Public Services
Date July 24, 2007
Synopsis of Previous Council Action
Recommended Motion:
Adopt resolution
Subject: Resolution authorizing the
execution of an agreement and
issuance of an annual purchase order
with two single year renewal options to
HREM Inc. for the manufacture and
repair of hydraulic cylinders and
supplies to be utilized by the Public
Services Department Fleet Division.
Meeting Date: August 20, 2007
Contact person Don Johnson, Fleet Manager
Phone: 5220
Supporting data attached: Staff Report,
Resolution, Agreement.
FUNDING REQUIREMENTS:
Council Notes:
Ward: All
Amount: $37,000
Source: 635-341-5173
Outside Vehicle
Maintenance
Finance:
f/U/07
Agenda Item No. ~
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CITY OF SAN BERNARDINO - REQUEST FOR COUNCIL ACTION
Staff Report
Subject:
Resolution authorizing the execution of an agreement and issuance of an annual purchase
order with two single year renewal options to HREM Inc. for the manufacture and repair of
hydraulic cylinders and supplies to be utilized by the Public Services Department Fleet
Division.
Background:
Notices inviting bids for the FY07/08 annual purchase order for the manufacture and repair
of hydraulic cylinders and supplies were sent to seven (7) vendors, to the San Bernardino
Area Chamber of Commerce, advertised in The Sun newspaper and on the City Web site.
One (1) response was received. Bidders were required to bid on various sizes and
applications of hydraulic cylinders for both manufacture and repair. All refuse trucks,
backhoes, aerial lifts, and specialized equipment are equipped with numerous high-
pressured hydraulic cylinders and fittings. The lowest qualified bid to RFQ 07-036 was
submitted by HREM Inc., located in Colton, CA.
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 $37,000.00
Recommendation:
Adopt resolution
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RESOLUTION NO.
RESOLUTION AUTHORIZING THE EXECUTION OF AN AGREEMENT AND
ISSUANCE OF AN ANNUAL PURCHASE ORDER WITH TWO SINGLE YEAR
RENEWAL OPTIONS, TO HREM INC. FOR THE MANUFACTURE AND REPAIR OF
HYDRAULIC CYLINDERS AND SUPPLIES TO BE UTILIZED BY THE PUBLIC
SERVICES DEPARTMENT FLEET DIVISION.
BE IT RESOLVED BY THE MAYOR AND COMMON COUNCIL OF THE CITY
OF SAN BERNARDINO AS FOLLOWS:
SECTION 1. 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 HREM Inc., 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 HREM Inc. is qualified and able to furnish manufacture and
repair services of hydraulic cylinders and supplies for the Public Services Fleet
Division and was the lowest responsive bidder to RFQ 07-036. Pursuant to this
determination, the Purchasing Manager is hereby authorized to issue an Annual
Purchase Order to HREM Inc. for manufacture and repair services and supplies in an
amount not to exceed $37,000 for Fiscal Year 2007/2008 as a result of Bid No. F-07-
036. The Purchase Order shall reference this Resolution No. 2007-
and shall
read, "HREM Inc. for manufacture and repair of hydraulic cylinders, P.O. No.
, not to exceed $37,000.00", and shall incorporate the terms and conditions
of the Agreement.
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August 16. 2007
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RESOLUTION AUTHORIZING THE EXECUTION OF AN AGREEMENT AND
ISSUANCE OF AN ANNUAL PURCHASE ORDER WITH TWO SINGLE YEAR
RENEWAL OPTIONS, TO HREM INC. FOR THE MANUFACTURE AND REPAIR OF
HYDRAULIC CYLINDERS AND SUPPLIES TO BE UTILIZED BY THE PUBLIC
SERVICES DEPARTMENT FLEET DIVISION.
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SECTION 3. 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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RESOLUTION AUTHORIZING THE EXECUTION OF AN AGREEMENT AND
ISSUANCE OF AN ANNUAL PURCHASE ORDER WITH TWO SINGLE YEAR
RENEWAL OPTIONS, TO HREM INC. FOR THE MANUFACTURE AND REPAIR OF
HYDRAULIC CYLINDERS AND SUPPLIES TO BE UTILIZED BY THE PUBLIC
SERVICES DEPARTMENT FLEET DIVISION.
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
KELLEY
JOHNSON
MCCAMMACK
Rachel G. Clark, City Clerk
The foregoing resolution is
,2007.
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 HREM 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 contract for manufacture and repair services of hydraulic
cylinders and supplies to be utilized by the Public Services Department Fleet Division; and
WHEREAS, the City of San Bernardino did solicit and receive quotes from available
vendors for manufacture and repair services of hydraulic cylinders and supplies.
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 $37,000.00 for manufacture and repair
services of hydraulic cylinders and supplies to be utilized by the Public Services
Department Fleet Division.
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 claims, 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 performances 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:
HREM Inc.
1465 Miller Drive.
Colton, CA 92324
Telephone: (909) 872-1195
Attn: Tony Cuevas
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
EXHIBIT "A"
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of VENDOR's obligation to perform all other obligations to be performed by VENDOR
hereunder for the term ofthis Agreement.
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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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
,2007
CITY OF SAN BERNARDINO
By:
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 HREM 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 contract for manufacture and repair services of hydraulic
cylinders and supplies to be utilized by the Public Services Department Fleet Division; and
WHEREAS, the City of San Bernardino did solicit and receive quotes from available
vendors for manufacture and repair services of hydraulic cylinders and supplies.
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 $37,000.00 for manufacture and repair
services of hydraulic cylinders and supplies to be utilized by the Public Services
Department Fleet Division.
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 claims, 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 performances 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.
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:
HREM Inc.
1465 Miller Drive.
Colton, CA 92324
Telephone: (909) 872-1195
Attn: Tony Cuevas
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
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of VENDOR's obligation to perform all other obligations to be performed by VENDOR
hereunder for the term of this Agreement.
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:
Dated
,2007
VENDOR.
By:
Its:
,2007
CITY OF SAN BERNARDINO
By:
Fred Wilson, City Manager
Approved as to Form:
}--,I---
F. Penman, City Attorney