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Resolution No. 2010-170RESOLUTION NO. 2010-170 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF VERNON AUTHORIZING THE ISSUANCE OF A REQUEST FOR PROPOSALS FOR THE MAINTENANCE, TESTING AND REPAIR OF UNDERGROUND AND ABOVEGROUND STORAGE TANKS, FUEL DISPENSERS AND RELATED FACILITIES WHEREAS, the City of Vernon is interested in obtaining proposals from qualified contractors to for the maintenance, testing and repair of underground and aboveground storage tanks, fuel dispensers and related facilities located at the Fire Stations and City Hall; and WHEREAS, the Director of Community Services & Water has requested the issuance of a request for proposals for the maintenance, testing and repair of underground and aboveground storage tanks, fuel dispensers and related facilities (the "RFP"). NOW, THEREFORE; BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF VERNON AS FOLLOWS: SECTION 1: The City Council of the City of Vernon hereby finds and determines that the recitals contained hereinabove are true and correct. SECTION 2: The City Council of the City of Vernon hereby directs the City Administrator, or his designee, to issue in accordance with Vernon City Code Section 2.29-2 the RFP, a copy of which is attached.hereto as Exhibit A, to one or more qualified contractors, and to report to the City Council on the proposals received with a recommendation for action. SECTION 3: The City Clerk of the City of Vernon shall certify to the passage, approval and adoption of this resolution, and the City Clerk of the City of Vernon shall cause this resolution and the City Clerk's certification to be entered in the File of Resolutions of the Council of this City. APPROVED AND ADOPTED this 15th day of November, 2010. ATT ST: WiT and G. Ya u hi, y Clerk Name: Hila.rio Gonzales Title: Mayor / R o- e - 2 - STATE OF CALIFORNIA ) ) ss COUNTY OF LOS ANGELES ) I, Willard G. Yamaguchi, City Clerk of the City of Vernon, do hereby certify that the foregoing Resolution, being Resolution No. 2010-170, was duly passed, approved and adopted by the City Council of the City of Vernon at a regular meeting of the City Council duly held on Monday, November 15, 2010, and thereafter was duly signed by the Mayor or Mayor Pro-Tem of the City of Vernon. Executed this 0 day of November, 2010, at Vernon, California. (SEAL) - 3 - ag4,11rl, City Clerk EXHIBIT A COMMUNITY SERVICES & WATER DEPARTMENT Samuel Kevin Wilson, Director of Community Services & Water 4305 Santa Fe Avenue, Vernon, California 90058 Telephone (323) 583-8811 Fax (323) 826-1435 REQUEST FOR PROPOSAL FOR THE MAINTENANCE, TESTING AND REPAIR OF UNDERGROUND AND ABOVEGROUND STORAGE TANKS, FUEL DISPENSERS, AND RELATED FACILITIES FOR THE CITY OF VERNON November 2010 INTENT The City of Vernon (City) is seeking a contractor to perform the maintenance, testing and repair of its underground and aboveground storage tanks, fuel dispensers, and related facilities. CONSULTING SERVICES AGREEMENT A sample of the City's Standard Professional Contractors Services Agreement and Insurance Requirements the successful Proposer will be required to enter into with the City is herein attached. Proposers are strongly advised to review all the terms and conditions of the sample Agreement. If the Proposer takes exception to any provision of the attached sample Agreement, the Proposer must specify each provision and give a detailed statement of why he takes exception to each such provision. The extent to which the Proposer takes exception to provisions in the City's Agreement will be considered and evaluated in the Agreement award. Submission of the proposing firm's standard agreement as a part of the proposal will not be accepted. E Iusivery Industfiar This Request for Proposal (RFP) describes the proposal format, preliminary scope of services, and the minimum information that must be included in the Proposal and in the selection process. Failure to submit the Proposal, in accordance with the procedures outlined in this RFP may be cause for disqualification, CONSULTANT QUALIFICATIONS The City proposes to retain a qualified Contractor to facilitate the maintenance, testing, and repair of underground and aboveground storage tanks, fuel dispensers, and related facilities. Only Contractors with demonstrated experience and training in the subject area will be considered. Minimum Contractor qualifications are listed below: • Trained in underground and aboveground storage tank maintenance, testing and repair. • Demonstrated experience in conducting underground and aboveground storage tank maintenance and repair. PROPOSED FORMAT The Proposal shall be concise, well organized and demonstrate the Contractor's qualifications and experience relating to the proposed work. The Proposal shall include, at minimum, the following information: 1) Contractor's Identification: Legal name of business, form of business (corporation, partnership, or other), location and address, telephone and fax numbers, e-mail address and -contact person. 2) Executive Summary: An executive summary of the Proposal identifying the entity/team being presented for consideration. The summary shall include a brief history of the organization, background information and relevant experience. 3) Experience: Previous experience in storage tank maintenance. 4) Key Staff: Provide a list of key staff that will be assigned to this work and their relevant qualifications. Include resumes of all, key personnel listed. Key personnel, as defined by the -City, shall not be removed from the project without prior written approval from the City. Only personnel with equal or better qualifications will be considered for substitution. 5) Statement of Understanding: A statement demonstrating understanding of the work shall be included with your proposal. 6) Approach and Scope of Work: Description of services to be provided and how the services and activities will be accomplished. The Preliminary Scope of Work that follows 2 this section is considered to be a general guideline; however, the Contractor shall develop and submit the final scope of work as part of the Proposal. 7) Cost of Services: The Cost of Services is to be included and shall indicate the proposed "not -to -exceed" cost for completing the tasks identified and presented by the Contractor in the Scope of Work. The fee schedule shall be enclosed in a separate envelope titled "fee schedule" and include man-hour estimates per task, .hourly -billing rates of personnel to be utilized_ on the project, and other associated costs. The total "not -to -exceed cost shall include the costs of all personnel, subconsultants, administration, overhead, meeting attendance, research, travel, postage, reproduction, and all other related costs, both direct and indirect, necessary to complete the work. UNDERGROUND AND ABOVEGROUND TANKS Leak Construction Year Detection Type Capacity/Gallons Fuel T e Material Installed Methods Veeder-Root Double Walled TLS-350R Underground 10,000 Diesel Fiberglass/Plastic 1998 Veeder-Root Double Walled TLS-35OR Underground 8,000 Unleaded Fiberglass/Plastic 1998 Veeder--Root Double Walled TLS-350R Under ound 8,000 Unleaded Fiberglass/Plastic 1998 Double Walled - Split Tank Visual/ Aboveground 2,000 Diesel Concrete Lined 2009 Aboveground Double Walled Split Tank Visual/ Aboveground 1,000 Unleaded Concrete Lined 2009 Aboveground Double Walled Veeder-Root Underground 1,000 Diesel Fiber lass/Plastic 1998 TLS-300 Double Walled Underground 1,000 Diesel Fiberglass/Plastic 1998 Leak Alert Double Walled Underground 1,000 Diesel I Fiberglass/Plastic 1998 Leak Alert 3 SCOPE OF WORK The Contractor shall provide services pursuant to a scope of work illustrated'below. The following Scope of Work illustrates typical duties that the Contractor will be tasked with: Maintain, test, and repair the underground and aboveground storage tanks located within the confines of the City Yard and City Fire Stations. • Remove, replace or repair leak detection systems, tank, piping systems, and related appurtenances as directed. • Conduct leak detection "system monitoring test on an annual basis. • Conduct spill -bucket leak test on an annual basis. • Conduct AQMD Rule No. 461 Vapor recovery test on an annual basis. • Conduct SB No. 989 secondary containment leak test every three -years. CONTRACTOR SELECTION: The selection of a firm to provide services will be based on demonstrated competence, professional qualifications, staffing and previous experience necessary for the satisfactory performance of the services required. Prior experience with providing similar services is highly desirable. The City of Vernon will evaluate the proposals, interview the best candidate consultants. and select the consultant. PROPOSAL SUBMITTAL The Proposal shall be submitted to Samuel Kevin Wilson, Director of Community Services, 4305 Santa Fe Avenue, Vernon -CA, 90058, no later than 2:00 p.m. on Tuesday, December 14, 2010. The consultant shall submit four (4)- copies of the subject proposal and fee schedule. The fee schedule shall be submitted in a separate sealed envelope. 4 BID SHEET ITEM No 1: Conduct leak detection "system monitoring test" on an annual basis. Total Cost: ITEM No. 2: Conduct spill -bucket leak test on an annual basis. Total Cost: ITEM No. 3: Conduct AQMD Rule No. 461 Vapor recovery test on an annual basis. Total Cost: ITEM No. 4: Conduct SB 989 secondary leak test every three -years. Total Cost: Provide a cost schedule for equipment and labor. 5 SERVICES AGREEMENT BETWEEN THE CITY OF VERNON AND [CONTRACTOR'S NAME] FOR [BRIEF DESCRIPTION OF SERVICES] COVER PAGE Contractor: [insert name of contractor] Responsible Principal of Contractor: [insert name, title] Notice Information - Contractor: [insert name of contractor] [insert insert street address] [insert city, state, zip code] Attention: [insert name, title] Phone: [insert phone number] Facsimile: [insert fax number] Notice Information - City: City of Vernon 4305 Santa Fe Avenue Vernon, CA 9005:8 Attention: Mark Whitworth, City Administrator Telephone: (323) 583-88.1.1 ext. 561 Facsimile: (323) 826-1408 Commencement Date: [insert commencement date] Termination Date: [insert termination date], unless extended pursuant to Section 1 Consideration: Total not to exceed $[insert amount] (includes all applicable sales tax); and more Particularly described in Exhibit B Records Retention Period [insert number of years contractor must retain records] 12720-0001\1297969v1.doc SERVICES AGREEMENT BETWEEN THE CITY OF VERNON AND [CONTRACTOR'S NAME] FOR 1BRIEF .DESCRIPTION OF SERVICES] THIS AGREEMENT is made and entered into as of , 2010 ("Effective Date"), by and between the City of Vernon, a California charter City and California municipal corporation ("City"), and [Contractor's Name], a [State incorporated in] corporation ("Contractor"). City and Contractor are collectively referred to herein as the "Parties." RECITALS A. City desires to have certain [brief description of services] services provided as more fully set forth in the Scope of Services, attached hereto and incorporated herein as -Exhibit A. B. Contractor represents it is qualified and capable of furnishing the labor, materials, and expertise necessary to perform such services in accordance with the terms and conditions set forth in this Agreement. NOW, THEREFORE, the Parties agree as follows: Section 1. Term and Time of Performance. (a)' This Agreement shall commence upon the Commencement Date listed on the Cover Page, and shall remain and continue in effect through the Termination Date listed on the Cover Page, unless sooner terminated pursuant to the provisions of this Agreement. City (b) In the event that City renews this Agreement, Contractor may submit a proposal to increase its rates no-laterthan thirty (30) days after receiving notice of City's intent to renew. Any increase in rates must be approved by City before such increase can take effect. If City fails to approve the proposed increase within thirty (30) days of receipt, Contractor may terminate the renewal by giving thirty (30) days written notice. Section 2. Performance. (a) Contractor shall perform the services and tasks described and set forth in the Scope of Services, -Exhibit A ("Services"). Additional services must be mutually agreed upon in writing signed by both Parties -.prior to performance of those additional services. (b) Contractor shall at all times faithfully, competently and to the best of its ability, experience, and talent, perform all Services under this Agreement in accordance with the standard of care and skill ordinarily exercised by members of the profession currently practicing in the same locality as the City under similar circumstances and in a manner reasonably satisfactory to City. Contractor shall at all times comply with the highest ethical standards when performing Services for the City. 12720-0001 \1297969v1.doc 2 (c) Contractor shall keep itself informed of all local, state, and federal ordinances, laws and,regulations which in any manner affect those employed by it or in any way affect the performance of its Services pursuant to this Agreement. Contractor shall at all times observe and comply with all such ordinances, laws and regulations. City, and its City Council members, officers, officials, employees, agents or volunteers shall not be liable at law or in equity occasioned by failure of Contractor to comply with this section. (d) Contractor will not be compensated for any work performed not specified in Exhibit A:unless City authorizes such work in advance and in writing thr a work order. ough the issuance of Section 3. Compensation. (a) . City agrees to compensate Contractor, and Contractor agrees to accept in full satisfaction for the services and any supplies or goods required by this Agreement, a sum not to exceed the Consideration set forth on the Cover Page and more particularly described in Exhibit B. The Consideration shall constitute reimbursement of Contractor's fee for the Services as well as for all actual and necessary expenditures reasonably incurred in the performance of this Agreement (including without limitation, all labor, materials, equipment, supplies, delivery, tax, assembly, and installation, as applicable). (b) There shall be no claims for additional compensation for reimbursable expenses and Contractor shall not be reimbursed for any additional expenses. Section 4. Me#hod_of Payment., City sha&l-pay.Contractor the§Considerationin accordance with the method .and schedule. of ,payment, set forth in :Exhlbit-B. Section 5. Responsible Principals. (a) Contractor's Responsible Principal set forth on the Cover Page shall be principally responsible for Contractor's obligations under this Agreement and shall. serve as principal liaison between City and Contractor. Designation of another Responsible Principal by Contractor shall not be made without prior written consent of City. (b) City's Responsible Principal shall be the City Administrator or his designee who. shall administer the terms of the Agreement on behalf of City. Section 6. Personnel (a) All persons performing Services shall have all the necessary technical expertise, permits, professional licenses, certificates, training, and other qualifications required by this Agreement or other applicable laws. Contractor. shall provide City with said permits, licenses, and certificates at the request of City. (b) Contractor represents that it has, or shall secure at its own expense, all personnel required to perform Contractor's Services under this Agreement. All personnel engaged in the work shall be qualified to perform such Services. Section 7. Permits and Licenses. Contractor shall obtain and maintain during the Agreement term all necessary licenses, permits and certificates required by law for the provision of services under this Agreement, including -a business license. 12720-0001 \1297969v1.doc 3 Section 8. Access. Contractor shall comply with all reasonable access and other restrictions that City may impose. No access to City property for performance of the Services shall be permitted prior to delivery to City of proof of insurance paid and maintained by Contractor. Section 9. Contractor's Duties and Representations. Contractor represents, covenants and agrees as follows: (a) There are no obligations, commitments, or impediments of anykind that will limit or prevent performance of the Services. (b) Contractor presently has no interest and shall not have any interest, direct or indirect, which would conflict in any manner with the performance of the Services contemplated by this Agreement. No person having any such interest shall be employed by or be associated with Contractor. (c) There is no -litigation pending against Contractor and Contractor is not the subject.of any criminal investigation or proceeding, and neither Contractor nor its personnel, to its actual knowledge, have been. convicted of a felony. Section 10. Independent Contractor. (a) Contractor is and shall at all times remain, as to City, a wholly independent contractor. The personnel performing the Services under this Agreement on behalf of Contractor shall at all times be under. Contractor's exclusive direction and control. ' Neither City nor any of its City Council members,=offioers,:,officials, employees, agents, or volunteers shall have control over the conduct of Contractor or any of Contractor's officers, employees, or agents except as set forth in this Agreement. Contractor shall not at any time or in any manner represent that it or any of its officers, employees, or agents are in any manner officers, officials, employees, agents, or volunteers of City: Contractor shall not incur=or have the power to incur any debt, obligation or liability' whatsoever against 0ty, or bind City in any manner. (b) No employee benefits shall --be available to Contractor or its officers, employees, or agents in connection with the performance of this Agreement. Except for Consideration paid to Contractor as provided in the Agreement, City shall not pay salaries, wages, or other compensation to -Contractor for performing services hereunder for the City. City shall not be liable for compensation or indemnification to Contractor or its officers, employees, or agents for injury or -sickness arising out of performing services -hereunder. (c) Contractor agrees to pay and be responsible for paying all Federal, State and local -.taxes for compensation received by Contractor from City while performing services. for City. Section 11. Termination. (a) Termination Right. City may, at any time, for any reason or for no reason, with or without cause, terminate this Agreement, by serving upon the Contractor at least five (5) calendar days prior written notice. Upon receipt of such notice, Contractor shall immediately cease all work under this Agreement, unless the notice provides otherwise. 12720-0001\1297969v1.doc 4 (b) In the event of termination or cancellation of this Agreement by City, due to no fault or failure of performance by Contractor, Contractor shall be paid based on the percentage of work satisfactorily performed at the time of termination. In no event shall Contractor be entitled to receive more than the amount that would be paid to Contractor for the full performance of the services required by this Agreement. Contractor shall have no other claim against City by reason of such termination, including any claim for compensation. (c) Actions Subsequent to Termination. In the event of termination of this Agreement, Contractor shall deliver all Confidential Information, as defined in Section 13 below, to City within thirty (30) days after the termination of this Agreement. Contractor shall also take all such other action as City reasonably requires and shall cooperate with City to effectuate an orderly and systematic termination of Contractor's duties and activities hereunder. (d) All of the terms and conditions in the: Agreement related to .payment, confidentiality, indemnification, dispute resolution and waiver shall survive termination of this Agreement. Section 12. Limitation of City's Liability. City's liability on any kind of claim for any loss or damage arising out of, in connection with, or resulting from this Agreement, shall in no case exceed the, amount that would be. paid to Contractor for the 'full performance of the services required by this Agreement. In no event shall City be liable for anticipated profits or for incidental, consequential or punitive damages. City shall not be liable for penalties of any description. Section 13. Confidential -Status! Disclosure -of Information. (a) Confidential Status; Disclosure of Information. All data, customer information„business practices, business methods, privileged information, trade secrets, financial statements, floor plans, designs, blueprints, maps, surveys, drawings; models, reports, correspondence, logs, documents, materials or other information developed or created by Contractor, received by Contractor, revealed to Contractor, or provided to Contractor for the performance of this Agreement("Confidential Information") are deemed confidential and shall not be disclosed by Contractor to any third party without City's prior written consent. City reserves all rights to Confidential Information. City shall grant consent if disclosure is legally required. All Confidential Information shall be returned to City, upon completion or termination of this Agreement. Contractor's covenant under this section shall survive the termination of this Agreement. City may disclose to third parties any Confidential Information at its sole discretion. (b) Contractor's obligation not to disclose any Confidential, Information shall not extend to information that: i. was in the possession of; or was rightfully known by, the Contractor without an obligation to maintain its confidentiality prior to receipt from City; this Agreement; ii. is or becomes generally known to the public without violation of iii. is obtained without an obligation of confidentiality by the Contractor in good faith from a third party having the right to disclose it without an obligation of confidentiality; or 12720-0001 \1297969v1.doc 5 iv. information which is required to be disclosed pursuant to any court order or directive having the force of law. (c) The provisions of this section shall survive the termination of this Agreement. Section 14. Technical Materials. ,City reserves all rights to any and all tools, dies, patterns, plates or other similar technical materials furnished or paid for by City, and Contractor shall use such materials in strict confidentiality and shall return the same o City at its request upon completion or termination of this Agreement. Contractor shall not copy or otherwise use any such materials for any purposes other than the completion of this Agreement. Contractor's covenant under this section .shall survive the termination of this Agreement. Section 15. Records'and Inspections. Contractor shall maintain full and accurate records with respect to all matters covered under this. Agreement for Records Retention Period. City shall have access, without charge, during normal business hours to such records, and the right to examine and audit the same and to make copies and transcripts therefrom, and to inspect all program data, documents, proceedings and activities. Section 16. Default. Contractor's failure to comply with the provisions of this Agreement shall constitute a default. In the event that Contractor is in default under the terms of this Agreement, City shall have no obligation or duty to continue compensating Contractor for any work performed after the date of default and can terminate this Agreement immediately by written notice to Contractor. Section 17. Indemnification. Contractor agrees to.defend, indemnify, protect and hold harmless City, its City Council members, officers, officials, employees, agents, and volunteers from and against any and all claims, suits, demands, actions, losses, damages, judgments, settlements, penalties, fines, deferisive-costs:or expenses, including without limitation, interest, attorneys' fees and expert witness fees, or liability of any kind or nature arising out of or attributable to the acts or omissions of Contractor, or Contractor's officers, employees, or agents which in any way arise out of, result from, or are in any way related to the performance or non- performance of this Agreement, excepting only liability arising out of the sole negligence or willful misconduct of City, its City Council members, officers, officials, employees, agents, or volunteers. THE PROVISIONS OF THIS SECTION SHALL NOT TERMINATE OR EXPIRE, SHALL SURVIVE THE EXPIRATION OR EARLIER TERMINATION OF THIS AGREEMENT AND SHALL BE GIVEN THE BROADEST POSSIBLE INTERPRETATION. The obligations in this section are in addition to Contractor's duty to provide insurance and shall not be limited by any limitation on the amount or type of insurance coverage carried by Contractor. Section 18. insurance. (a) Contractor shall at all times during the term of this Agreement carry, maintain, and keep in full force and effect, a policy or policies of Comprehensive General Liability Insurance, with minimum limits of Two Million Dollars ($2,000,000) for each occurrence, combined single limit, against any personal injury, death, loss or damage resulting from the wrongful or negligent acts by Contractor or Contractor's officers, employees, or agents. 12720=0001\1297969v1.doe 6 Q) The insurance provided by Contractor shall be primary to any coverage available to City, and.any insurance or self-insurance maintained by City, its City Council members, officers, officials, employees, agents, or volunteers shall be excess of Contractor's insurance and shall not contribute with it. The policies of insurance required by this Agreement shall include provisions for waiver of subrogation. Contractor he waives all rights of subrogation against City, its City Council members, officers, officials, employees, agents, and volunteers. (k) Any deductibles or self -insured retentions must be declared to and approved by City. At the -option of City, Contractor shall either reduce or eliminate the deductibles or self -insured retentions with respect to City, .or Contractor shall procure a bond guaranteeing payment of losses and expenses. Section 19. Certification. In accordance with the provisions of Section 3700 of the Labor Code, Contractor shall secure the payment of compensation to Contractor's employees. By executing this Agreement, Contractor certifies;the following: Contractor is aware of the provisions of Section 3700 of the Labor Code which require every employer to be insured . against liability for workers' compensation or to undertake self-insurance in accordance with the provisions of that code, and Contractor will comply with such provisions before commencing the performance of the work of this Agreement. - Section 20. Standard Specifications. The work done pursuant to this Agreement shall be done,in accordance with the provisions of the most .current edition of "Standard Specifications for Public Works Construction" (commonly known as "the Green Book") including Supplements, prepared and promulgated by the Southern California Chapter of the American Public Works Association and the Associated General. Contractors of California, which specifications are hereinafter referred to as the "Standard Specifications." The provisions of these Standard Specifications shall apply to the work performed under this Agreement, unless different standards are specified in Exhibit or agreed to in' writing by the City. Section 21.. Compliance with Laws. Contractor shall keep itself informed of and . comply with all Applicable Laws, including without limitation, the Fair Labor Standards Act, the Occupational Safety and Health Act and all those Applicable Laws relating in any way to employment practices and protection of the environment. Contractor shall not discriminate against any employee or any applicant for employment for reasons of race, color, creed, religion, sex,. sexual preference, age or national origin. For purposes of this section, "Applicable Laws"_ shall mean any and all laws, regulations, rules, orders, directives, judgments, decrees, permits,. approvals or other applicable requirements of any governmental entity or agency .having jurisdiction that are applicable to any aspect of this Agreement that are in force on the Effective Date and as they may .be enacted, issued or amended during the term of this Agreement. Section 22. Enforcement of Wage and Hour Laws. Eight hours labor constitutes a legal day's work. The Contractor, or subcontractor, if any, shall forfeit twenty-five dollars ($25) for each worker employed in the execution of this Agreement by the respective Contractor or subcontractor for each calendar day during which the worker is required or permitted to work more than 8 hours. in any one calendar day and 40 hours in any one calendar week in violation of the provisions of Sections 1810 through 1815.of the California Labor Code as a penalty paid to the City; provided, however, work performed by employees of contractors in excess of 8 hours per day, and 40 hours during any one week, shall be permitted upon compensation for all hours worked in excess of 8 hours per day at not less than 11/2 times the basic rate of pay. 12720-0001\1297969v1.doc 8 (b) Contractor shall at all times during the term of this Agreement carry, maintain, and keep in full force and effect, a policy or policies. of Comprehensive Vehicle Liability insurance covering personal injury and property damage, with minimum limits of One Million Dollars ($1,000,000) per occurrence, combined single limit, covering any vehicle utilized by Contractor or Contractor's officers, employees, or agents in performing. the services required by this Agreement. (c) Contractor agrees to maintain in force at all times during the. performance of work under this Agreement workers compensation insurance.as required by law. (d) Contractor shall at all times during the term of this Agreement carry, maintain, and keep in full force and effect, a policy or policies of Excess Liability Insurance, with minimum limits of Two Million Dollars ($2,000,000) for each occurrence, combined single limit. Each Excess Liability Insurance. policy shall provide policy coverage and terms at least as broad as those required of the primarylinsurance and shall provide that such °Excess Liability Insurance policy will drop down and assume the underlying insurer's obligations and provide coverage in the event the underlying insurer becomes insolvent. (e) Contractor shall require each of its sub -consultants or sub -contractors to maintain insurance coverage that meets all of the requirements of this Agreement. (f) The policy or policies required by this Agreement shall be issued -by an insurer admitted in the State of- California and with a -rating of at least a B+; VI in'the latest edition of Best's Insurance Guide. (g) Contractor agrees that if it does not keep the aforesaid insurance in full force and effect -City may either immediately terminate this Agreement or, if insurance is available at a reasonable cost, City may take out the necessary insurance and pay, at -Contractor's expense, the premium thereon. (h) At all times during the term of,this Agreement, Contractor shall maintain on file with the Risk Manager, a certificate or certificates of insurance, satisfactory to the City Attorney and Risk Manager, along with a copy of the policy declarations page for each policy showing that the aforesaid policies are in effect in the required amounts. Upon request by City, Contractor shall cause its insurers to issue certified copies of the insurance policies evidencing that the coverage and policy endorsements required under this Agreement are fnaintained in force. Contractor shall, prior to commencement of work under this Agreement, file with the Risk Manager, such certificate or certificates and a copy of the policy declarations page for each policy. The policies of insurance required by this Agreement shall contain an endorsement naming the City, its -officers, officials, employees, agents, and volunteers as additional insureds. All of the policies required under this Agreement shall contain an endorsement providing that the policies cannot be canceled or reduced -except on thirty (30) days prior written notice to City, and specifically stating that the coverage contained in the policies affords insurance pursuant to the terms and. conditions as set forth in this Agreement. (i) All of the=policies off-insur-ance required -by this Agreement shall contain (1) an endorsement naming the City, its City Council members, officers, officials, employees, agents, and volunteers as additional insureds, (2) 'an endorsement providing that the policies cannot be canceled or reduced except with thirty (30) days prior written notice to City, and (3) an endorsement, specifically stating that the coverage contained in the policies affords insurance pursuant to the terms and conditions as set forth in this Agreement. 12720-0001\1297969vl.doc 7 Section 23. Materials and Workmanship. City shall have the right to inspect any material used. Material furnished shall be new, complete, ready -for -use and of the latest model, shall not have been used in demonstration or other services and shall have all the usual equipment as shown by its manufacturer's current specifications and catalogs, unless otherwise specified. Equipment, supplies or services that fail to comply with the Agreement requirements regarding design, material or workmanship may be rejected at the option of City. Any materials rejected shall be removed from City premises at the Contractor's sole expense. Section 24. Licenses and Permits. Except as provided herein below, Contractor shall obtain and pay for all permits and licenses required by federal, state or local law, rule or regulation. Costs for obtaining City permits required under this Agreement will be waived. All requirements for obtaining permits (including City permits) remain in effect and are not waived; only the costs of City permits are waived. Section 25. Assignment of Unfair Business Practices. Contractor and its subcontractor offers and agrees to assign to City all rights, title, and interest in and to all causes of action it may have under Section 4 of the Clayton Act (15 U.S.C. Seca 15) or under the Cartwright Act (Chapter 2 (commencing with Section 16700) of Part 2 of Division 7 of the Business and ,Professions Code), arising from purchases of goods, services, or materials pursuant to the public works contract or the subcontract. This assignment shall be made and become effective at the time City tenders'final payment to Contractor, without further acknowledgment by the parties. Section 26. Assignment and Subcontracting. Contractor shall not assign or attempt to assign any portion of this Agreement, or subcontract any required performance hereunder, without the prior written approval of City. Any assignment or subcontract made in violation of this section, is invalid and void. In the event City grants written approval to Contractor to subcontract work under this Agreement, Contractor is prohibited from using a subcontractor who is ineligible to perform work on a public works project pursuant to Section 1777.1 or 1777.7 of the Labor Code. Section 27. . Arbitration and Venue. Any dispute, claim or controversy arising out of or relating to this Agreement or the breach, termination, enforcement, interpretation or validity thereof, including.the determination of the scope or applicability of this Agreement to arbitrate, shall be determined by arbitration in Los Angeles, California, before three arbitrators. The arbitration shall be administered by JAMS pursuant to its Streamlined Arbitration Rules and Procedures. All decisions of the arbitrators shall be inwriting, and the arbitrators shall provide written reasons for their decision. The arbitration decision shall be final and binding on the Parties. Judgment on the award may be entered in any court having jurisdiction pursuant to this Agreement. This clause shall not preclude Parties from seeking provisional remedies in aid of arbitration from a court having jurisdiction pursuant to this Agreement. The exclusive jurisdiction and venue under this Agreement shall be the Superior Court of California, Los Angeles County. Section 28.. Attornevs'Fees. In the event a dispute, claim or litigation arises regarding this Agreement, the prevailing party shall be entitled to reimbursement for reasonable attorneys fees and actual costs, which may be set by the arbitrators or the court in the same action or in a separate action brought for that purpose, in addition to any other relief which is obtained. Section 29. Governing Law. This Agreement shall be interpreted and enforced according to, and the Parties rights and obligations governed by, the domestic law of the State of California, without regard to its laws regarding choice of applicable law. 12720-0001 \1297969v 1.doc 9 Section 30. Entire Agreement and Modifications. This Agreement, including attachments incorporated herein by reference, represents the entire integrated agreement and understanding between the Parties, and supersedes all prior or contemporaneous negotiations, representations, agreements, understandings and statements, written or oral. This Agreement may only be modified by writing signed by both Parties. Section 31. Waiver. The waiver by either party of a breach or default by the other party shall not be deemed a waiver of any different or later breach whether of the same or other covenantor condition; nor shall any delay or omission by either party to exercise any right it may have hereunder operate as a_ waiver of any breach or default of such a right. The failure of either party to this Agreement to exercise any of its rights_ under this Agreement does not constitute a breach thereof and shall not be deemed to be a waiver of such rights or a waiver of any subsequent,. breach. No waiver, benefit, privilege, or service voluntarily given or performed by a party shall give the other party any contractual rights by custom, estoppel, or otherwise. Section 32. Force Maieure. Neither party shall be considered in default of any of its obligations under this Agreement when a failure of performance shall be due to an uncontrollable force. The term "uncontrollable force" shall mean flood, earthquake, storm, fire, lightning, epidemic, war, riot, civil disturbance or disobedience, federal, state; or municipal action, statute, ordinance, or regulation, embargoes of the United States Government or any other government, which by exercise of due diligence such party could not reasonably have been expected to avoid and by exercise of due .diligence has been unable to overcome. Either party rendered unable to fulfill any of its obligations under this Agreement by reason of an uncontrollable force shall give written notice within five (5) business days of such fact to the other party and shall exercise due diligence to remove such inability with all reasonable dispatch. Section 33. City Not Obligated to Third Parties. City shall not be obligated or liable under this Agreement to any party other than Contractor. City shall timely notify Contractor•of the receipt of any third -party claim relating to this Agreement. City shall be entitled to recover its reasonable costs incurred in providing the notification required by section. Section 34. Notices. All notices, approvals, consents and other communications between the Parties shall be in writing, and shall be sent by certified mail (return receipt requested) or other delivery service which provides evidence of delivery, using the address set forth on the Cover Page under "Notice Information - City" or "Notice Information - vendor," as appropriate, or at such other address as may be furnished by either party io-the other in writing. Mailed notices will be deemed communicated as of the day of receipt. Section 35. Cover Page and Exhibits. The Cover -Page and all documents referenced as exhibits in this Agreement are hereby incorporated in this Agreement. In the event of any material discrepancy between the express provisions of this Agreement and -the provisions of any document incorporated herein by reference, the provisions of this Agreement shall prevail. Section 36. Headings. Headings used in this Agreement are for convenience and ease of.reference only and shall not affect the interpretation of the Agreement. Section 37. Survival of Terms. All of the terms and conditions in this Agreement related to payment, confidentiality, indemnification, dispute resolution and waiver shall survive termination of this Agreement. 12720-0001\1297969v1.doc 10 s Section 38. Severability. Whenever possible, each provision of this Agreement shall be interpreted in such a manner as to be valid under applicable law. If any provision of this Agreement is determined by a court of competent jurisdiction to be invalid, void or unenforceable, the remaining provisions shall nevertheless continue in full force and effect, and shall in no way be affected, impaired or invalidated. Section 39. Authority to Execute This Agreement. The person or persons executing this Agreement on behalf of Contractor warrants and. represents that he or she has the authority to execute this Agreement on behalf of Contractor and has the authority to bind Contractor to the performance of its obligations under this Agreement. [Signatures Begin on Next Page]. 12720-0001 \1297969v 1.doc 11 IN WITNESS WHEREOF, the Parties have signed this Agreement as of the date stated in the introductory clause. City of Vernon, a California charter City [CONTRACTOR'S NAME], a [State and California municipal corporation incorporated in] corporation By: By HILARIO GONZALES N Mayor Name - Title: ATTEST: WILLARD G. YAMAGUCHI, City Clerk APPROVED AS TO FORM: LAURENCE S. WIENER, City Attorney By: Name: Title: 12720-0001 \1297969v l .doc 12 .s EXHIBIT "A" SAMPLE WORK ORDER This Work Order No. - to the Agreement dated _ 2010 (the n t "Agreement) by and betweehe City of Vernon, a California charter City and California municipal corporation ("City"), and Lensaro, Inc.;,a California corporation ("Contractor') is entered into this — day of 20 1. Work Order Commencement Date: 2. Performance Deadline: Contractor shall complete the services required under this Work Order by 3. Services. Contractor shall perform the following services: A. [ ]. B.' ]. 4. Compensation. As full compensation for the services rendered pursuant to this Work Order, the City shall pay Contractor $ for the services. 5. General Terms. Defined terms used herein and not otherwise defined shall have the meanings given them in the Agreement, The terms and conditions of the Agreement shall apply to this Work Order and are hereby incorporated into this Work Order, unless otherwise stated herein. Any purchase order issued pursuant to or in relation to this Work Order shall be subject to, and shall not supersede, the terms and conditions of either the Agreement or this Work Order. In the event of a conflict, the terms of the Agreement shall control over the terms of this Work Order. This Work Order may only be amended in a writing signed by both parties. IN WITNESS WHEREOF, the parties have signed this Agreement as of the date stated in the introductory clause. City of Vernon By: ..,_.._...............,...................._... y Sarnuel Kevin Wilson Director of Community Services Name: Title: By Name: Title: 12 EXHIBIT B FLAT FEE [Example (Delete and replace with actual terms):] [Contractor shall be paid $[insert flat amount] to perform all Services described 'in Exhibit A.] [Contractor shall invoice City [FREQUENCY] for Services provided under this Agreement.] [Example (Delete and replace with actual terms):] 12720-0001 \1 297969vl .doc 14 CITY CLERK'S OFFICE INTEROFFICE MEMORANDUM DATE: November 17, 2010 TO: S. Kevin Wilson, Director of Community Services & Water FROM: Willard Yamaguchi, City Clerk RE: Resolution No. 2010-170 — A Resolution of the City Council of the City of Vernon Authorizing the Issuance of a Request for Proposals for the Maintenance, Testing and Repair of Underground and Aboveground Storage Tanks, Fuel Dispensers and Related Facilities Transmitted herewith is a copy of Resolution No. 2010-170 referenced above, which was approved by City Council on November 15, 2010. Thank you. WY:dj Attachment c Resolution No. 2010-170 RECEIVE OCT 2 7 2010 CITY CLERK'S OFFICE STAFF REPORT COMMUNITY SERVICES & WATER DEPARTMENT DATE: October 19, 2010 TO: Honorable Mayor and City Council FROM: Samuel Kevin Wilson,'Director of Community Services & Water RE: Permission to Seek Request for Proposals — For The Maintenance, Testing and Repair of Underground and Aboveground Storage Tanks, Fuel Dispensers, and Related Facilities The Community Services and Water Department (Department) is requesting permission to seek Request for Proposals (RFP) from qualified contractors for The Maintenance, Testing and Repair of Underground and Aboveground Storage Tanks, Fuel Dispensers, and Related Facilities. The fuel tanks are located at City Fire Stations and City Hall and range in size from 1,000 to 10,000 gallons in capacity. The subject testing protocol is regulated by the Air Quality Management District (AQMD). The testing methodology must be performed by a trained professional with vast technical knowledge in fuel dispensing equipment. The results of these tests must submitted to the AQMD for review. Failure to perform the subject testing in accordance with AQMD standards could potentially result in the issuance of — a Notice of Violation and related penalties. Moreover, the City currently uses three different contractors to facilitate the required testing. It is in the City's best interest to select one contractor in order to improve the logistical functionality of the process. It is important that the City go out to bid in order to gain a fair market perspective in terms of current price schedules. The attached RFP has been reviewed and approved for submittal by the City Attorney's office. It is my recommendation that the City Council grant the Department permission to issue RFP's to qualified contractors for The Maintenance, Testing and Repair of Underground and Aboveground Storage Tanks, Fuel Dispensers, and Related Facilities at the next City Council meeting. Thank you. SKW/sr Enclosures OF VPA,� RECEIVE u� u� OCT 2 7 2010 iLI`, ae �V£LY 1N�V� CITY CLERK'S OFFICE COMMUNITY SERVICES & WATER DEPARTMENT OFFICE MEMORANDUM TO:, Mark Whitworth, City Administrator FROM: Samuel Kevin Wilson, Director of Community. Services and Water DATE: October 19, 2010 , SUBJECT: Permission to Seek Request for Proposals — For The Maintenance of Testing and Repair of Underground and Aboveground Storage Tanks, Fuel Dispensers and Related facilities The Community Services and Water Department (Department) is requesting permission to seek Request for Proposals (RFP) from qualified contractors for The Maintenance, Testing and Repair of Underground and Aboveground Storage Tanks, Fuel Dispensers, and Related Facilities. The testing protocol is regulated by the Air Quality Management District (AQMD). The results of these tests must submitted to the AQMD for review. Failure to perform the testing in accordance with AQMD standards could potentially result in the issuance of a Notice of Violation and related penalties. Moreover, the Department currently uses three different contractors to facilitate the required testing. It is in the City's best interest to select one contractor in order to improve the logistical functionality of the process. The RFP for has been reviewed and approved for submittal by the City Attomey's office. A Staff Report is herein attached recommending that the City Council grant approval at next City Council meeting to issue the RFP's to qualified contractors. Thank you. SKW/sr Enclosures F.\Scott\Scottwly Docu nts\RFP Underground & Aboveground Tanks\RFP Fuel Tanks.doc