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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