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Resolution No. 4741 1 2 3 4 S 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 . . RESOLUTION NO. 4741 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF VERNON ACCEPTING THE BID OF. U.S.A. PETROCHEM CORPORATION FOR THE PURCHASE OF 9100 BARRELS.O~ DIESEL FUEL NO. 4 (200 SSU)DESULFURIZED DISTILLATE (-114~ SULFUR) . TO REPLENISH THE TANK LOCATED AT THE VERNON DIESEL PLANT IN ACCORDANCE; WITH PURCHASING DEPARTMENT QUOTATION NO. 1146 OF THE CITYOFVE~ON AND APPROVING THE EXECUTION OF SAID CONTRACT WHEREAS, Purchasing. Dep.a;rtment Quotation No. l"146 of the' City of Vernon was approved by the City Council of the City of Vexnon, pursuant to Resolution NO. 4736, arid sealed bids were opened on June. 17, 1980; and W.HEREAS, said bids were referred to Frank Muril-lo, the Purchasing Agent, who has repoted to the City Council under 'the date of June 26, 1980, recommending that ,the contract for the purchase Of 9100 barrels of diesel fuel No. 4 (200 SSP) d(a.... sulfurized distillate (-1/4% sulfUr)' to replenish the tank located at the Vernon Diesel Plant be executed with U.S.A. Fetrochem Corporation on. the basis of their bid.in the $,.mt of Thirty-One Dollars and Seventy Cents ($31.70}per barrel for a.total price of Two Hundred Eighty--EightThousand Four Hundred Seventy Dollars and No Cents ($288,470.00), plus a,pplicable local and state t;axes, being the lowestresponsibJ.;e'bidme~ing, thecontt:aqt.*~.qui;.e7 ments. 'v NOW, THER,EFOR,E, BE IT RESOLVED BY THE CITY"C6UNCIL OF THE; CITY QF VERNON AS FOLLOWS: SECTION 1: The City Council of the City of Vernon does herehy.awara. Purcha,sing Department Quotation No. 1146, in accordance with th~ recommendation of Frank Murillo, the purchasin Agent, and authorizes the Mayor to execute said contract on 1 2 3 4 5 6 7 8 9 10 11 , 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 , .. . " behalf of the City. SECTION 2: All other bids are rejected and the City Treasurer is hereby directed to return to unsuccessful bidders any cashier or certified checks deposited with said bids upon the receipt of an executed contract from U.~.A. Petrochem Corporation, accompanied by all required bonds and certificates.' SECTION 3.: The City Clerk of the City of Vernon shall certify to the passage of this Resolution thereupOn and thereaft the same shall be in full force and effect. APPROVED AND ADOPTED this 1st day of July, 1980. c .,.;J" ~ eON IS \ -2- .... 1 STATE OF CALIFORNIA 2 COUNTY OF LOS ANGELES SSe 3 4 I, BRUCE V. MALKENHORST, City Clerk of the City of 5 VernQn, do hereby certify that the foregoing Resolution, being 6 Resolution No. 4741 , was duly adopted by the City Council 7 of the City of Vernon, and was approved by the Mayor of said 8 City at a regular meeting of the City Council held on Tuesday, 9 10 11 12 13 14 15 (SEAL) July 1 , 198Q. 6~ BRUCE V. ~mLKENHORST, .. 16 17 18 19 20 21 22 23 24 25 26 27 28 -3- -0 1 2 3 4 S 6 7 8 9 10 11 12 13 14 IS 16 17 18 19 20 .,'. 21. 22 2) 24 2S 26 27 28 , AGREEMENT PORTHE PURCHASE OF 9100 ..' l,3AR1tELS o.F DIESEL FUEL NO. 4 (200 SSU) OESULFURIZED DISTILLATE ("'1/4% SULFUR) .J ,. THIS AGlmEMENT is made, entered into and exeOti.ted in trip1icateanc;1,.to be performed in .the City of Verl'lon, County of Los Angeles, Stacleaf California, as of the 23 day of JULY . 1980. ." IrJ BY.AND ..' BETWEEN CIT~ OF VERNON, a Munici;;pa1 Corporation (hereinafter referred to as "CITY" AND .; U. S .A. 'PETROCHEM C01U>ORATION '(hereinafter .refe.rr~d, to as "l'ETRocH'EM n 1 RECITALS ;.... WHEREAS, the City: Council of the CITY has' approved Purchasing Department Quotation No.. 1146_for the pur- chase of a.pproximate1y'9100 barrels of diesel fuel; and WHEREAS, PETROCHEM nas sublllitted.th~ loW~st. f::esI;?.onsible ., ,,'~~'..": . i b~din resP9nsetoPurchasingpe~ftment Quo~atipnJNQ:,.,,).:t4<6~_ NOW" THEREFQRE, IN CONSIDERATION OF THE MUTUAL PROMISES, COVENANTS AND CONDITTONS CONTAINEDuEMIN, TltE PARTIES ~ERETO; AGREE AS FOLLOWS SEC'l'ION 1: That PETR()CHEM hereby agrees to supply to the CITY approximately 9100 barrels of diesel fuel No., 4 (200 SSU desu1furized distillate (...1/4% sulfur) in accordance with *'--.~.t 1 2 3 4 S 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22' 23 24 2S 26 27 28 ~ Purchasing Department Quotation No. 1146, the original of which is attached hereto as Exhibit IIAn and incorporated herein by this reference as though fully set forth at length. SECTION 2: The CITY hereby agrees to pay to PE'l'ROCHEM the sum of Thirty-One Dollars and Seventy Cents ($31.70) per barrel for a total of Two Hundred Eighty-Eight Thousand Four Hundred Seventy Dollars and No Cents ($288,470.00) plus appli.... cab1.elocal and state taxes for the 9100 barrels of. diesel fuel in accordance with pu.rchasing Department Quotation No. 1146. SECTION 3: PETROCHEM agrees to deli.ver said'diesel fuel within ninety (90) days of the date the CITY orders said diesel fuel in aC90rdance with said Purchasing Department Quotation NO. 1.146. IN WITNESS WHEREOF the parties hereby have executed '. this Agreement, or caused it to be executed as of the day, month, and year first above written. ATTESJ7'..... .~. BY 1044~ Bruce V. Malkenhorst, City Clerk . "CITY" APPROVED AS TO FORM: BY ~i~~;J:~ Attorney ~R9CH~ < BY . Iv. ;:) StepheffW.Stockstill Manager, Fuels Marketing -2-. ) . ... "l .. .- REQUEST FOR QUOTATIONS NOT A PURCHASE ORDER DI~ECT ALL INQUIRIES TO CITY PU~CHAS'NG AGENT TELEPHONE ~l. !: TO CITY OF VERNON, CALIFORNIA NEW PHONE.i'lO: PURCHASING DEPARTMENT (213) 583-8811 CITY HALL 4305 Santo Fe Ave. - Vernon, California 90053 REC'O BY CITY b' I)-ere OPENEO C.....- l J- &,0 BY n. t"'~l..lG(1...."41,.lT QUOTATION NO. DATE MAILED fi-~-RO LJ. S _ Petroch~ 1633 26th Street Santa Monica, Ca. 90406 Attention: Steve Stocksti 11 Please qvote .herean the lowest net price yov con Furnish the articles or services specified, below. Qvote on each itemsep<lrately. Bidder may qualify qvotations as "011 or none" by stating so on body of form. City re~erves the right to accept or reject quotations received on ony or all items. In order to maintai~ their nome on City's Bidder File, Vendor shovld return this form whether 0 price is qvoted or not. QUANTITY 9,100 barrels elivered and orrected o 60" F OESCRIPTION NET UNIT PRICE TOTAL Purchase of Diesel Fuel No. #4 per following City of Vernon specifications: $31.70 Per BB Ex Tax No. #4 Distillate - :Viscosity :Gravi ty, SP (gravity, 00 API) :Carbon Residue :Ash :Sul phur (max.) :Nitrogen :Sediment & Water (BS & W) Desulphurized 200-250 SSU @ . 89 - . 92 (25" -27.50) rO.2% 0.02% -0.25% -0.3% <0.1% vol ume 1000 F Payment TE: ms: Net 10 days from rpcei t of invoice. .. Supplier to furnish: Pour point and test report on shipment. De1.ivery: 90 day period allowed for delivery date. Quantities and delivery interVals will be specified by the City of Vernon. Bid to include delivery to: Vernon Diesel Plant, 2715 E. 50th Street, Vernon, Cali forn i a Full payment will be made upon delivery of total order. BIDS ARE TO BE MARKED ON FRONT OF ENVELOPE - BID #1146 IF INSUFFICIENT SPACE PROVIDED ABOVE FOR PROPOSA... ATTACH RIDER OR SUPPLEMENT. CASH DISCOUNTS QUOTED FOR PERIODS OF LESS THAN 30 DAYS WILL NOT BE CONSIDERED WHEN ORDER IS, AWARDED. BIDS RECEIVED IN Rf1S'70NSE TO THI' REQUEST FOR QUOTATlQN8'dLL BE?OPf)'JtD..!.N CITY PURCHASING AGENT'S OFFICE ON THEJ...!DAY OF .lJnp 19 AT . ll....fJ.m. NOT E: Quote pri ces exclusi ve of Soles Tax and Exci se Taxes. A. Indicate Soles Tax in this space 5...__......____......____....__....__...__..__.B. Indicate Excise Tax in this space S .................._....................__ C. Above quotations subject to Cash Discount of........___......................%. F.O.B. .'OeJJ.~ere.d...Ve~nQn.....C.Q.ljf............................... D. To be delivered to CITY OF' VERNON a; .........?lJ.~.J.....~O.t.b..~.tr~~t,...V.eX'JJ.Qn~..CI:\.......................................................... We (I) agree to fvrnish above in .......................1R..... days from receipt of purchase order at prices specified. FO R ........ ..~?~$W~H~~1..~.QBp.Rrr~... u......... ...... ..m.m..... OATE._.......6Il.3/BO.. 1 )': :1,_;11 If. SIGN HERE.~._~.. ~....u............ Stephpn H. Stockstill. ~1(lnaqer Fuels ~1arketinq "" { .. u,,~ ~Drp. A Subsidiary of USA Petroleum Corp. 1633-26thStreet. P.O. Box 1839/ Santa Mon/ca. Cal/f. 90406/ (213) 829-4383/ Telex 652332 USA PETROSNM July 23, 1980 Ci ty of Vernon 4305 Santa Fe Avenue Vernon, CA 90058 Attention Frank Murillo Purcha'sing Agent Gentlemen: Attached are specifications on Low Sulfer Gas Oil and original copy of our Agreement. Looking forward to a long lasting business relationship. Sincerely, M CO PORATION ~~ S ephen W. Stockstill Manager, Fuels Marketing SWS:ca .- ~ . ~ . c' A ... ..!frlJr::h!!!m ff33.28thStr'Ht. PoO.Box "3' I S.ntd'MiU. ClIff. '0406 I (2'3J '2'-43'3 I r..ZeS23;ZUSAPETAOSMI ~., 01 1"'f"9"'" .,..- Coop ...- ;- TYPICAL SPECIFICATIONS LOW SULFUR GAS OIL API GRAVITY 24-25 VISCOSITY SSF@ 122 28-30 SUS@ 100 250-300 POUR 70 SULFUR .25 Max NITROGEN .20% FLASH 200 HEAlING VALUE 6MM BTU + ANILINE POINT 165 - 175 degrees