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HomeMy WebLinkAboutItem 06.lDate: 8 .December 2014 Item No. APPROVAL OF A CONTRACT FOR THE REHABILITATION OF WELL NO. 17 WITH BERGERSON-CASWELL, INC. Proposed Action Staff recommends adoption of the following motion: Move to approve a contract with Bergerson-Caswell, Inc. for the rehabilitation of Well No. 17. Passage of this motion enables the removal of down hole equipment, its inspection, and reinstallation to ensure the proper functioning of the well. Overview Well rehabilitation is part of an ongoing preventive maintenance program to ensure the optimal functioning of production wells. Well 17 is a submersible well, meaning that the pump and motor are underwater in the well shaft. As a primary production well, it is scheduled for rehabilitation every 10 years. The well became operational in 2004, this will be its first rehabilitation. Rehabilitation of a well involves the removal and inspection of the pump and motor assembly and well shaft, the removal and inspection of the well casing, televising of the well, repair or replacement of any worn components, and the reinstallation of the components in the well. Three contractors returned proposals with Bergerson-Caswell, Inc. providing all specified services at the least cost. The amount shown for the rehabilitation represents the worst case removal of sand from the bottom of the well. Staff reviewed the contract and associated documents and recommends its approval. Primary Issues to Consider • Does the well need to be rehabilitated? Rehabilitation of the well is a reasonable preventive maintenance action to ensure that the well is functioning as designed. Without periodic rehabilitation, failure of the well at some point would lead to much higher costs for repair. Supporting Information • A copy of the contract for services and tabulation of proposals are attached Christopher J. Fletree Public Works Director Financial Impact: $51,450.00 Related Documents (CIP, ERP, etc.): Notes: Budgeted: Yes Source: 7610.6295 CONTRACT FOR SERVICES THIS AGREEMENT made this 15t1, day of December 2014, by and between the CITY OF LAKEVILLE, hereinafter referred to as the "City", and BERGERSON-CASWELL, INC., hereinafter referred to as the "Contractor". THE CITY AND THE CONTRACTOR, FOR THE CONSIDERATION HEREINAFTER STATED, AGREE AS FOLLOWS: 1. SCOPE OF SERVICES. The scope of services is detailed in the Contract Documents but generally consist of repair and replacement of equipment for the rehabilitation of Lakeville Well #17. The Contractor agrees to perform the services as detailed in the Contract Documents. 2. CONTRACT DOCUMENTS. The following documents shall be referred to as the "Contract Documents", all of which shall be taken together as a whole as the contract between the parties as if they were set verbatim and in full herein: A. This document entitled "Contract for Services". B. Well Rehabilitation Specifications. C. Contractor's Proposal If there is a conflict among the provisions of the Contract, the order in which they are listed above shall control in resolving any such conflicts with Contract Document "A" having the first priority and Contract Document "C" having the last priority. 3. OBLIGATIONS OF THE CONTRACTOR. The Contractor agrees that the work contemplated by the Contract shall be fully and satisfactorily completed in accordance with the terms of the Contract Documents. 4. PAYMENT. A. The City agrees to pay and the Contractor agrees to receive and accept payment in accordance with the prices quoted, which is inclusive of sales tax, as set forth in the completed Proposal Form. Payment to the Contractor shall be made based on work completed and submission and approval of an invoice. B. Payments to Subcontractor. 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 11/2 percent 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 $100.00 or more is $10.00. For an unpaid balance of less than $100.00, the Contractor shall pay the actual penalty due to the subcontractor. 5. 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. 6. 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. 7. GOVERNING LAW. The Contract shall be governed by the laws of the State of Minnesota. 8. 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 an 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 v C) Comprehensive Automobile: Liability - Personal Injury - $2,000,000.00 Property Damage - $2,000,000.00 All insurance policies (or riders) required by this Agreement shall be (i) taken out by the Provider 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 Provider as an insured party and to City as an additional insured, (iii) shall name Provider 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 in accordance with specifications approved by the insurance advisory for City, and (v) shall be evidenced by a Certificate of Insurance listing City as an additional insured which shall be filed with the city. Certificates of Insurance. that do not meet these requirements will not be accepted. Certificates of Insurance shall include the policy endorsement showing the City named as additional insured on a primary and non-contributory basis. 9. TERM. The term of this Contract shall begin at signing and end with the completion of the project. All work must be completed and the well returned to service no later than 31 May 2015. 10. 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. 11. SUPERVISION OF CONTRACTOR. The City's designated supervisor will be the Utilities Superintendent. The Utilities Superintendent, acting on the City's behalf, shall be responsible for providing communication and direction as to the provision of services by the Contractor under this Contract. The Utilities Superintendent's mailing address is: 20195 Holyoke Avenue, Lakeville, MN 55044. Telephone numbers are: (W) 952-985-2740; (C) 952- 367-7380. 12. 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 City shall have no further obligation under this Contract to pay any further compensation to Contractor except for compensation due and owing for services prior to Contractor's receipts of the written notice of termination. 13. 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. 14. 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: Bergerson-Caswell, Inc. 5115 Industrial Street Maple Plain, MN 55359 15. 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. 16. 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. 17. 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 ehch term and provision of this Contract shall be valid and be enforced to the fullest extent permitted by law. 18. DATA PRACTICES/RECORDS. A. 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. B. All books, records, documents, and accounting procedures and practices of the Contractor and its subcontractors, if any, relative to this Contract are subject to examination by the City. 19. WARRANTY. The Contractor shall be held responsible for any and all defects in workmanship, materials, and equipment which may develop in any part of the contracted service, and upon proper notification by the City shall immediately replace, without cost to the City, any such faulty part or parts and damage done by reason of the same in accordance with the bid specifications. 20. 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. 21. DISCRIMINATION. Contractor agrees to comply with Minnesota Statute 181.59 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. 22. WORK HOURS. The schedule of work shall be coordinated with the Utilities Superintendent. The Contractor shall provide the City a minimum of 24 hours' notice before commencing work on the well. 23. BACKGROUND CHECKS. The City must receive from the Contractor and each Contractor's employee 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. CITY OF LAKEVILLE BY: AND Matt Little, Mayor Charlene Friedges, City Clerk CONTRACTOR: Its STATE OF MINNESOTA ) ( ss. COUNTY OF ) 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. NOTARY PUBLIC STATE OF MINNESOTA ) ( ss. COUNTY OF ) The foregoing instrument was acknowledged before me this day of , 2014, by the of a corporation. NOTARY PUBLIC corporation, on behalf of the �Cev PROPOSAL TABULATION Rehabilitation of Well No. 17 Wednesday, 26 November 2014 City of Lakeville Public Works Department Contractor Tota I Pa rt 1 Part 2 Part 3 Proposal Tota I Ber erson-Caswell, Inc $ 8,000.00 $ 26,950.00 $ 16,500.00 $ 51,450.00 E.H. Renner & Sons, Inc. $ 10,600.00 $ 28,554.00 $ 16,000.00 $ 55,154.00 Mark J. Traut Wells, Inc $ 26,300.00 $ 51,750.00 $ 57,000.00 $ 135,050.00