HomeMy WebLinkAboutItem 06.kDate: 14 October 2014
Item No.
RESOLUTION ACCEPTING THE BID AND AWARDING THE CONTRACT FOR THE
SALE OF THE WATER TREATMENT FACILITY ABOVE GROUND FUELING SYSTEM
TO SOUTHVIEW DESIGN
Proposed Action
Staff recommends adoption of the following motion: Move to accept the bid and award the
contract for the sale of the Water Treatment Facility above ground fueling system to
Southview Design.
Passage of this motion allows the contractor to begin work to remove the fuel tanks, bulk fuel
fill point, and fuel pumps from the Water Treatment Facility.
Overview
The above ground fueling system at the Water Treatment Facility includes one divided 6,000
gallon and one 10,000 gallon fuel tank, a bulk fuel filling station, and gas pumps. The
contractor is responsible to removing the entire fuel system.
The City requested bids on two separate occasions. There were no bids received after the first
request due to the summer work load among those most likely to use this kind of fleet fuel
system. One bid was received following the second request. The request for bids was
advertised in the City's official newspaper as well as through the League of Minnesota Cities.
In addition, bid announcements were sent to twelve local contractors.
The single bid was received from Southview Design in the amount of $5,250.00. The City had
established a minimum bid of $5,000.00. Award of the contract is based on the highest
responsible bid. Staff recommends acceptance of the bid and award of the contract to
Southview Design.
Primary Issues to Consider
• Why are we selling this system? With the upgrade of the fuel dispensing system at the
Central Maintenance Facility, this duplicate system was no longer needed. Additionally,
the fuel dispensing system was obsolete and no longer supported with either software or
parts.
Supporting Information
• A copy of the contract is attached.
�..c•.a0 c.
Neil C. Normandin
Public Works Coordinator
Financial Impact: $5,250.00
Related Documents (CIP, ERP, etc.):
Notes:
Budgeted: No Source: Contractor
CITY OF LAKEVILLE
RESOLUTION NO:
RESOLUTION ACCEPTING THE BID AND AWARDING THE CONTRACT FOR THE
SALE OF THE WATER TREATMENT FACILITY FUEL SYSTEM TO
SOUTHVIEW DESIGN
WHEREAS, notices to bidders for the acceptance of sealed bids for the Sale of the Water
Treatment Facility Fuel System were officially published on 27 June and 12 September 2014, and
WHEREAS, sealed bids were opened at 11:00 a.m. on 3 October 2014, and
WHEREAS, the highest responsible bidder for the project was Southview Design, 1875
50'' Street East, Inver Grove Heights, Minnesota, with a bid of $5,250.00.
NOW, THEREFORE, BE IT RESOLVED, that the bid was accepted for the Sale of the
Water Treatment Facility Fuel System and the contract is awarded to Southview Design.
APPROVED AND ADOPTED this 20''' day of October 2014 by the City Council of the
City of Lakeville.
CITY OF LAKEVILLE
Matt Little, Mayor
ATTEST:
Charlene Friedges, City Clerk
CONTRACT
THIS AGREEMENT made this 20t' day of October 2014, by and between the CITY OF
LAKEVILLE, hereinafter referred to as the "City", and SOUTHVIEW DESIGN, hereinafter referred to
as the "Contractor".
THE CITY AND THE CONTRACTOR, FOR THE CONSIDERATION HEREINAFTER
STATED, AGREE AS FOLLOWS:
1. CONTRACT AND CONTRACT DOCUMENTS. The Contractor hereby covenants
and agrees to perform and execute all the provisions of the specifications for Sale of an Above Ground
Fueling System prepared and provided by the City. The Contractor further agrees to everything required
by this agreement and the contract documents.
a. The Contractor agrees to pay and the City agrees to receive and accept payment
in the sum of Five Thousand Two Hundred Fifty dollars ($5,250.00, - inclusive of sales
tax, in accordance with the price set forth on the bid form attached hereto.
b. Payment to the City will be made prior to the beginning of work.
C. Contract documents consist of the following component parts:
This document entitled "Contract".
Sale of Above Ground Fueling System Specifications.
Contractor's Bid Form.
In the event of conflict between the provisions of these documents, the order in which
they are itemized above shall control resolving any such conflict.
d. The Contractor agrees to fully and satisfactorily complete the work contemplated
by this contract.
e. The City does hereby sell and convey to Contractor in an "AS -IS" condition and
with warranties only with respect to title and ownership the Above Ground Fueling
System.
2. INDEMNIFICATION.
a. The Contractor shall indemnify, defend and hold harmless the City and its
officials, agents, representatives, and employees from any loss, claim, liability and
expense (including reasonable attorney's fees and expenses of litigation) with respect to:
(a) Worker's Compensation benefits payable on account of injury or death to any
Contractor employee or to any employee of Contractor's subcontractors, where the injury
or death arises out of or is in any way related to the work performed or to be performed
under the Contract; (b) claims for personal injury, death, or property damage or loss
asserted by a Contractor or subcontractor or any of their officers, agents, representatives,
or employees where the injury, death, damage, or loss arises out of or is in any way
related to the work performed or to be performed under the Contract; and (c) claims for
personal injury, death, or property damage or loss as asserted by third -parties at the work
site, where the claim is based in the whole or in any part on, or is in any way related to,
any act or omission by Contractor, or Contractor's subcontractors, agents, employees or
delegates.
b. Contractor shall agree that the indemnities stated above shall be construed and
applied in favor of indemnification. To the extent permitted by law, the stated
indemnities shall apply regardless of any strict liability or negligence attributable to the
City and regardless of the extent to which the underlying harm is attributable to the
negligence or otherwise wrongful act or omission (including breach of contract) of
Contractor, its subcontractors, agents, employees or delegates. Contractor also agrees
that if applicable law limits or precludes any aspect of the stated indemnities, then the
indemnities will be considered limited only to the extent necessary to comply with that
applicable law. The stated indemnities continue until all applicable statutes of limitations
have run.
C. If a claim arises within the scope of the stated indemnity, the City may require
Contractor to furnish a written acceptance of tender of defense and indemnity from
Contractor's insurance company. Contractor will take the action required by City within
fifteen (15) days of receiving notice from City.
3. RIGHTS AND REMEDIES.
a. The duties and obligations imposed by the Contract Documents and the rights
and remedies available thereunder shall be in addition to and not a limitation of any
duties, obligations, rights and remedies otherwise imposed or available by law.
b. No action or failure to act by the City or the Contractor shall constitute a waiver
of any right or duty afforded by any of them under the Contract, nor shall any such action
or failure to act constitute an approval of or acquiescence in any breach thereunder,
except as may be specifically agreed in writing.
4. GOVERNING LAW. The contract shall be governed by the laws of the State of
Minnesota.
5. INSURANCE. Prior to commencing work on the Contract, the Contractor shall furnish
the City a certificate of insurance. The Contractor shall furnish and maintain during the project such
public liability and property damage insurance as shall protect Contractor and any subcontractors
performing work covered by the Contract from claims for damages by Workers Compensation Statute,
and from claims for property damages or personal injury which may arise from operations under this
Contract, whether such operations are by Contractor or by a subcontractor or anyone directly or indirectly
employed by either of them and the amounts of insurance shall be as follows:
a. Workers Compensation — as provided in the applicable law.
b. Comprehensive Public:
Liability — Personal Injury - $2,000,000.00
Property Damage - $2,000,000.00
C. Comprehensive Automobile:
Liability — Personal Injury - $2,000,000.00
Property Damage - $2,000,000.00
All insurance policies (or riders) required by this Contract shall be (i) taken out by Contractor and
maintained with responsible insurance companies organized under the laws of one of the states of the
United States and qualified to do business in the State of Minnesota, (ii) shall contain a provision that the
insurer shall not cancel or revise coverage thereunder without giving written notice to Contractor as an
insured party and to City as an additional insured at least thirty (30) days before cancellation or revision
becomes effective, (iii) shall name Contractor as an insured party and City as an additional insured with
respect to General Liability and Auto Liability policies on a primary and non-contributory basis; (iv)
shall be evidenced by a Certificate of Insurance listing City as an additional insured which shall be filed
with the City. Certificates of Insurance shall include the policy endorsement showing the City
named as additional insured on a primary and non-contributory basis.
6. TERM. The Contract shall be in effect from the date of execution to completion of the
project as provided in the specifications, unless sooner terminated as hereinafter provided.
7. SUPPLIES, EQUIPMENT, AND INCIDENTALS. The City and Contractor agree that
the Contractor shall furnish any and all supplies, equipment, and incidentals necessary for Contractor's
performance of this Contract.
8. TERMINATION WITHOUT CAUSE BY CITY. The City reserves the right to
terminate. Contractor at will immediately without cause at any time within the term of this Contract. In the
event of such termination, the City shall provide Contractor written notice of termination and upon receipt
of same, Contractor shall immediately cease and desist Contractor's provision of services under this
Contract and have no further obligation under this Contract. The City shall refund to the Contractor the
sale price except for compensation due and owing to the City for administrative processing and the
percentage of equipment removed prior to Contractor's termination.
9. INDEPENDENT CONTRACTOR. City and Contractor agree that Contractor, while
engaged in carrying out and complying with the terms and conditions of this Contract and the provision of
services thereunder, shall be considered at all times an independent contractor and not an officer,
employee, or agent of the City. City and Contractor further agree that Contractor shall not at any time or
in any manner represent that Contractor or any of the Contractor's Agents or employees are in any
manner agents or employees of the City. City and Contractor further agree that Contractor shall be
exclusively responsible under this Contract for Contractor's own FICA payment, workers compensation
payments, unemployment compensation payments, withholding amounts, and/or self-employment taxes
or other taxes if any such payments, amounts, or taxes are required to be paid by law or regulations.
10. WRITTEN NOTICE OR OTHER CORRESPONDENCE. Any written notice or
other correspondence to be provided by or between the City and the Contractor in accordance with this
Contract shall be hand delivered or mailed by registered or certified mail to the following address:
CITY: City of Lakeville
20195 Holyoke Avenue
Lakeville, MN 55044
CONTRACTOR: Southview Design
1875 50th Street East
Inver Grove Heights, MN 55077
12. WAIVER OF DEFAULT. Any waiver by City of a default under the provisions of this
Contract by Contractor shall not operate or be construed as a waiver of a subsequent default by the
Contractor. No waiver shall be valid unless in writing and signed by the Mayor and the City
Administrator on behalf of the City.
13. NO ASSIGNMENT OR SUBCONTRACTING. The City and Contractor agree that the
services to be rendered by the Contractor under this Contract are unique and personal. Accordingly, the
Contractor may not assign or subcontract out any of the Contractor's rights or any of the Contractor's
duties or obligations under this Contract.
14. INVALIDITY OF PROVISIONS. If any term or provision of this Contract or any
application hereof to any person or circumstances, shall to any extent be invalid or unenforceable, the
remainder of this Contract or the application of such term or provision to persons or circumstances other
than those as to which it is held invalid or unenforceable shall not be effected hereby and each term and
provision of this Contract shall be valid and be enforced to the fullest extent permitted by law.
15. ENTIRE AGREEMENT. This instrument herein contains the entire and only agreement
between the parties and no oral statement or representation or prior written matter not contained in this
instrument shall have any force and effect. This Contract shall not be modified in any way except by
writing executed by both parties.
16. DISCRIMINATION. Contractor agrees to comply with Minnesota Statute that states:
Subsection A. That, in the hiring of common or skilled labor for the performance of any work
under any contract, or any subcontract, no contractor, material supplier or vendor, shall, by reason
of race, creed, or color, discriminate against the person or persons who are citizens of the United
States or resident aliens who are qualified and available to perform the work to which the
employment relates;
Subsection B. That no contractor, material supplier, or vendor, shall, in any manner, discriminate
against, or intimidate, or prevent the employment of any person or persons identified in clause (1)
of this section, or on being hired, prevent, or conspire to prevent the person or persons from the
performance of work under any contract on account of race, creed, or color;
Subsection C. That a violation of this section is a misdemeanor; and
Subsection D. That this contract may be canceled or terminated by the state, county, city, town,
school board, or any other person authorized to grant the contracts for employment, and all
money due, or to become due under the contract, may be forfeited for a second or any subsequent
violation of the terms or conditions of this contract.
17. WORK HOURS. Work for the removal of the fueling system shall start no earlier than
7:30 a.m. and be completed before 4:30 p.m. each day.
18. BACKGROUND CHECKS. The City must receive from the Contractor and each of the
Contractor's employees written authorization permitting the City of Lakeville Police Department to
perform a criminal history background check and further authorize the Police Department to release the
information obtained to the Lakeville City Council, City Administrator and other appropriate employees.
The City reserves the right to deny access to City facilities to those Contractors or Contractor's employees
that it deems inappropriate.
19. MISCELLANEOUS.
a. Data Practices/Records.
(1) All data created, collected, received, maintained or disseminated for any
purpose in the course of this Contract is governed by the Minnesota Government
Data Practices Act, Minn. Stat. Ch. 13, any other applicable state statute, or any
state rules adopted to implement the act, as well as federal regulations on data
privacy.
(2) All books, records, documents and accounting procedures and practices
to the Vendor relative to this Contract are subject to examination by the City.
b. Patented devices, materials and processes. If the Contract requires, or the
Contractor desires, the use of any design, device, material or process covered by letters,
patent or copyright, trademark or trade name, the Contractor shall provide for such use by
suitable legal agreement with the patentee or owner and a copy of said agreement shall be
filed with the City. If no such agreement is made or filed as noted, the Contractor shall
indemnify and hold harmless the City from any and all claims for infringement by reason
of the use of any such patented designed, device, material or process, or any trademark or
trade name or copyright in connection with the Project agreed to be performed under the
Contract, and shall indemnify and defend the City for any costs, liability, expenses and
attorney's fees that result from any such infringement.
C. Prompt Payment to Subcontractors. Pursuant to Minn. Stat. §471.25, Subd. 4a,
the Contractor must pay any subcontractor within ten (10) days of the Contractor's
receipt of payment from the City for undisputed services provided by the subcontractor.
The Contractor must pay interest of one and one-half percent (1 %2%) per month or any
part of a month to the Subcontractor on any undisputed amount not paid on time to the
subcontractor. The minimum monthly interest penalty payment for an unpaid balance of
One Hundred Dollars ($100.00) or more is Ten Dollars ($10.00). For an unpaid balance
of less than One Hundred Dollars ($100.00), the Contractor shall pay the actual penalty
due to the subcontractor.
CITY OF LAKEVILLE
BY:
Matt Little, Mayor
AND:
Charlene Friedges, City Clerk
CONTRACTOR: SOUTHVIEW DESIGN
BY:
IT'S:
STATE OF MINNESOTA )
( ss.
COUNTY OF DAKOTA )
The foregoing instrument was acknowledged before me this _...........,__, day of 2014,
by Matt Little and by Charlene Friedges, respectively the Mayor and the City Clerk of the City of
Lakeville, a Minnesota municipal corporation, on behalf of the corporation and pursuant to the authority
granted by its City Council.
STATE OF MINNESOTA
COUNTY OF
by
NOTARY PUBLIC
( ss.
The foregoing instrument was acknowledged before me this day of , 2014,
the of
a
corporation, on behalf of the corporation.
NOTARY PUBLIC