HomeMy WebLinkAboutContracts & Agreements_45-2010_CCv0001.pdf March 25, 2010
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MEMORANDUM
TO: N. Enrique Martinez, City Manager
FROM: Chris Diggs, Assistant t.'tilit' s Director
THROUGH:
`
THROUGH: Rosemary Hoerning, Municipal Utilities and Engineering Director
SUBJECT: Sewer Roach Control
Attached needing your signature is an agreement with National Environmental Solutions for
sewer roach control.
Because this work is maintenance related it is not considered a Public Project, the work is
governed by RAMC section 2.16.150. This section states informal bidding is required. Staff
received three bids for the project and., as can be seen on the bid analysis below, has selected the
low bidder for this project.
The City Attorney has reviewed the attached agreements.
` Vendor 1 Description Total I
p
National Environmental __ _ _�
Solutions $13.00 per manhole $16,250
Golden Bell Products $17.00_per manhole $21,250 i
Craig Sons $22.00 per manhole $27,000
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AGREEMENT FOR THE SEWER ROACH CONTROL
This agreement for sewer roach control at various locations throughout the City of Redlands'
sewer service area("Agreement") is made and entered into this 11-Y day of March, 2010 ("Effective
Date"), by and between the City of Redlands, a municipal corporation ("City"), and National
Environmental Solutions, LLC ("Contractor"). City and Contractor are sometimes individually referred
to herein as a "Party" and, together, as the "Parties."
In consideration of the mutual promises contained herein, City and Contractor agree as follows:
ARTICLE I - ENGAGEMENT OF CONTRACTOR
1.1 City hereby retains Contractor for sewer roach control at various locations throughout the City's
sewer service area ("Services").
1.2 Contractor and its subcontractors shall possess all appropriate State contractors* licenses required
for the work to be performed in connection with the Services., and shall not be debarred pursuant
to Labor Code sections 1777.1 and 1777.7.
ARTICLE 2 - RESPONSIBILITIES OF CONTRACTOR
2.1 The specific Services which Contractor shall perform are more particularly described in Exhibit
"A." which is attached hereto and incorporated herein by this reference (the '.Services").
2.2 Contractor shall comply with all applicable federal, state and local laws and regulations in the
performance of the Services Including, but not limited, to all applicable Labor Code and
prevailing wage laws and non-discrimination laws. including the Americans with Disabilities
Act. Pursuant to Labor Code section 1773.2, copies of the prevailing rates of per them wages as
determined by the Director of the California Department of Industrial Relations for each craft,
classification or type of worker needed to undertake the Services are on file at City's Municipal
Utilities and Engineering Department, located at the Civic Center, 35 Cajon Street, Suite 15A
(Mailing: P.O. Box 3005), Redlands, California 92373.
23 Contractor acknowledges that if it violates the Labor Code provisions relating to prevailing
wages that City may enforce such provisions by withholding payments to Contractor or its
subcontractors pursuant to Labor Code section 1771.6.
2.4 If Contractor executes an agreement with a Subcontractor to perform work on the Services,
Contractor shall comply with Labor Code sections 1.775 and 1777.7, and shall provide the
subcontractor with copies of the provisions of Labor Code sections 1771, 1775, 1776, 1777.5,
1813 and 1815. Contractor acknowledges that the statutory provisions establishing penalties for
failure to comply with state wage and hour laws and to pay prevailing wages may be enforced by
City pursuant to Labor Code sections 1775 and 1813.
2,5 Contractor and its subcontractors shall comply with the provisions of Labor Code section 1776
regarding payroll records maintenance, certifications. retention and inspection.
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2.6 Contractor acknowledges that eight (8) hours constitutes a legal day's work pursuantto Labor
Code section 1814.
2.7 Contractor shall comply with the provisions of Labor Code section 1777.5 as to apprenticeships,
and Labor Code sections 1771, 1775, 1776, 1777.5. 1813 and 1815.
2.8 Prior to and during any excavation, Contractor shall comply with Government Code section 4216
et seq.
2.9 Because this Agreement was exempt from competitive bidding, prior to commencement of any
Services, Contractor shall provide City with the information otherwise found in Public Contract
Code section 4104.
2.10 Pursuant to Public Contract Code section 71015(b), Contractor 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. section 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 this Agreement
ARTICLE 3 - PERIOD OF SERVICE
3.1 Contractor shall commence the Services upon City's delivery to Contractor of a written "Notice
to Proceed."
3.2 Contractor shall complete the Services within sixty(60)calendar days from and after the date of the
City's issuance to Contractor of the Notice to Proceed.
ARTICLE 4 - PAYMENT AND NOTICE
4.1 City shall pay Contractor the sum of Sixteen Thousand Two Hundred Fifty dollars ($16,2150.00)
as complete compensation for the Services.
4.2 Payments by City to Contractor shall be made within thirty (30) days after City's receipt and
approval of Contractors invoice, by warrant payable to Contractor.
4.3 All notices shall be made in writing and shall be given by personal delivery or by mail. Notices
sent by mail shall be addressed as follows:
City of Redlands: Contractor:
Chris Diggs Garvin R. Gallifant
Municipal Utilities and Engineering Department General Manager
City of Redlands
35 Cajon Street National Environmental Solutions, LLC
P.O. Box 3005 Post Off ice Box 1]77
Redlands, CA 92373 Peoria, AZ 85380-1177
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When so addressed, such notices shall be deemed given upon deposit in the United States mail.
in all other instances, notices, bills and Payments shall be deemed given at the time of actual
delivery. Changes may he made in the names and addresses of the person to whom notices are to
be given by giving notice pursuant to this section 4.3.
4.4 Pursuant to Public Contract Code section 22300, Contractor has the option to deposit securities
with an Escrow Agent as a substitute for any monies withheld by City to ensure Contractor's
performance pursuant to Public Contract Code section 22300.
ARTICLE 5 -INSURANCE AND INDEMNIFIC
5.1 Contractor's Insurance to be Primau. All insurance required by this Agreement shall be
primary with respect to City and non I
maintained by Contractor throughout Contractor's performance of the Services, and shall be
by City. -contributing to any insurance or self-insurance maintained
5.2 —Workers' Compensation and Employer's Liability
A. Contractor shall secure and maintain Workers' Compensation and Employer's Liability
insurance for its employees throughout the performance of the Services pursuant to Labor
Code sections 3700 and 1860, in an amount which meets statutory requirements, with an
insurance carrier acceptable to City. The insurance policy shall include a provision
prohibiting the policy's cancellation except upon thirty (30) days prior written notice to
City. Contractor shall execute and deliver to City a Worker's Compensation Insurance
Certification in the form attached hereto as Exhibit "B" prior to commencement of the
Services.
B. Contractor expressly waives all rights to subrogation against City and its elected officials,
officers and employees for losses arising from work performed by Contractor on the
Services by expressly waiving Contractor's immunity for injuries to Contractor's
employees. Contractor agrees that the obligation to indemnify, defend and hold harmless
provided for in this Agreement extends to any claim brought by, or on behalf of, any
employee of Contractor.
5.3 Hold Harmless and Indemnification, Contractor shall indemnify, hold harmless and defend City
and its elected officials, employees and agents from and against any and all claims, losses and
liability, including attorneys, fees, arising from injury or death to persons or damage to property
occasioned by any negligent or intentionally wrongful act or omission of Contractor, and its
officers,employees and agents, in performing the Services.
5.4 Assignment. Contractor is expressly prohibited from assigning any of the work associated with
the Services without the express prior written consent of City. In the event of agreement by the
Parties to assign a portion of the Services. Contractor shall add the assignee as an additional
insured to its insurance policies and provide City with the insurance endorsements prior to any
work being performed by the assignee. Assignment does not include printing or other customary
reimbursable expenses that may be provided for in this Agreement.
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5.5 Comprehensive General Liability Ins__ _urance Contractor shall secure and maintain in force
throughout the duration of the Services comprehensive general liability insurance, with carriers
acceptable to City, with minimum coverage of One Million Dollars ($1,000,000) per occurrence
and Two Million Dollars ($2,000,000) aggregate for public liability,
personal injury. City shall be named as an additional insured and the insurance policyeshall
include a provision prohibiting modification of coverage limits or cancellation of the policy
except upon thirty (30) days prior written notice to City. A certificate of insurance and
endorsements shall be delivered to City prior to commencement of the Services.
5.6 Business Auto Liability Insurance Contractor shall secure and maintain in force throughout the
duration of the Services business automobile liability coverage, with minimum limits of On
Million.Dollars($1,000,000) per occurrence, combined single limit for bodily injury liability and
property damage liability. This coverage shall include all Contractor owned vehicles used on the
Services, hired and non-owned vehicles, and employee non-ownership vehicles. City shall be
named as an additional insured and the insurance policy shall Include a provision prohibiting
modification of coverage limits or cancellation of the policy except upon thirty (30) days prior
written notice to City. A certificate of insurance and endorsements shall be delivered to City
prior to commencement of the Services.
5.7 Liquidated Damages The failure of Contractor to complete the work within the time allowed will
result in damages being sustained by City. Such damages are,and will continue to be, impracticable
and extremely difficult to determine. Contractor shall pay to City, or have withheld from monies
due it, the sum of $500 for each consecutive calendar day in excess of the specified time for
completion of the Services. Execution of this Agreement shall constitute agreement by City and
Contractor that $500 per day is the estimated damage to City caused by the failure of Contractor to
complete the Services within the allowed time. Such sum represents liquidated damages and shall
not be construed as a penalty, and may be deducted from payments due the Contractor if such delay
occurs.
ARTICLE 6 -GENERAL CONSIDERATIONS
6.1 In the event any action is commenced to enforce or interpret any of the terms or conditions of
this Agreement the prevailing Darty shall, in addition to any costs and other relief, be entitled to
recover its reasonable attorneys' fees, including fees for the use of in-house counsel by a Party.
6.2 All documents, records, drawings, electronic data Biles and data base, photographic prints and
negatives, designs and specifications, cost estimates, and other Services documents developed by
Contractor for the Services shall become the property of City and shall be delivered to City upon
completion of the Services..
6.3 Contractor is, for all purposes under this Agreement, an independent contractor with respect to
the Services and not an employee of City. All personnel employed by Contractor to perform the
Services are for its account only, and in no event shall Contractor or any personnel retained by it
be deemed to have been employed by City or engaged by City for the account of; or on behalf of,
City. Nothing in this Agreement shall be considered to create the relationship of employer and
employee between the Parties.
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6.4 Unless earlier terminated as provided for below, this Agreement shall terminate upon com
and acceptance of the Services by City. p pletion
6.5 City may terminate this Agreement for any reason, at any time at its sole discretion, upon five (5)
calendar days prior written notice to Contractor.
6.6 Upon receipt of a termination notice, Contractor shall (1) protmptly discontinue all work
associated with the Services and (2) deliver or otherwise make available to City, copies of any
data, design calculations, drawings, specifications, reports, estimates, summaries, and such other
information and materials as may have been accumulated by Contractor in performing the
Services. Contractor shall be compensated on a pro-rata basis for any work completed up until
notice of termination.
6.7 This Agreement, including the exhibits incorporated by reference, represents the entire
agreement and understanding between the Parties as to the matters contained herein and any
prior negotiations, proposals and agreements relating to the subject matter hereof are superseded
by this Agreement. Any amendment to this Agreement shall be in writing and approved by City
and Contractor.
6.8 This Agreement shall be governed by and construed in accordance with the laws of the State of
California.
6.9 Claims by Contractor in the amount of Three Hundred Seventy-Five Thousand Dollars ($375,000)
or less shall be made by Contractor and processed by City, pursuant to the provisions of Part 3,
Chapter 1, Article 1.5 of the Public Contract Code (commencing with section 20100. All claims
shall be in writing and include the documents necessary to substantiate the claim.
6.10 If any provision or of this Agreement is held to be void or unenforceable under any law or
regulation, it shall be deemed stricken, and all remaining provisions shall continue to
binding upon City and Contractor. be valid and
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IN WITNESS WHEREOF, duly authorized representatives of the Parties have signed in confirmation of
this Agreement.
CITY OF RED ANDS ATTEST:
By _.
N. E q inez
City Clerk
4:�Z.Z
Ci anager
National Environmental Solutions, LLC
B Date /�j 17Jj
eGarvi R. allif tnera Manage
LORI A. IZYK �}
NOTARY PUBLIC ARIZONA
IVLC
MARICOPA COUNTY
My Comm.Exp.:Mey t.2012
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EXHIBIT A
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NATIONAL ENVIRONMENTAL SOLUTIONS
LLC
PO Box 1177- Peoria,AZ 85380-1177 - Office 602-222-8555 or 800-244-3880 Fax 623-594-7831 or
800-458-0698
January 7, 2010
Attention: Becky Schwartz
PO Box 3005 N Redlands, CA 92373
909-798-7506 Ext 2/2 Fax 909-798-7522
Dear Becky, Sewer Roach Control Program for the City of Redlands
National Environmental Solutions to provide all labor, material, and supplies required to coat, with
an insecticide/latex coating approved for sanitary sewer manholes and clean outs every-other year.
SCooe of Work
• NESwill apply an approved product for sewer roach control application in sanitary manholes.
• NESwill treat to a maximum depth of eight (8) feet.
• NESwill apply product according to manufacturer's instructions per EPA label.
• NESwill mark each manhole cover with an identifying color after being treated.
• NESshall provide proper supervision at the job site during all phases of work.
• NESwill coordinate the work, taking place in alleys, yards, parking lots and streets.
• NES guarantees the application for Two (2) full years from the date of treatment. If more than
25 live roaches are found in a manhole during the warranty period, the manhole must be re-
inspected within 7(seven) days. If more than 25 roaches are again reported in the manhole it will
then be retreated by NES at no additional charge or obligation to Customer. NESwill provide re-
treatment within fourteen (14) business days after notification.
• HES will report number of manholes and clean outs treated in each quarter section when
submitting billing invoices (Weekly billings based on work completed). NES will indicate in writing
on each quarter section map the number of; manholes and clean outs treated, quantity of product
with the percentage, applicators name with the date of completion. This will serve as the record of
application for the necessary Agencies and warranty information.
• Customer will supply quarter section maps indicating exact locations of manholes and clean-outs
or pre-mark manholes to be treated ahead of NES`crew.
• Customer will make accessible all designated manholes and clean outs to be coated. If not
accessible NESwill notify Customer. If Customer chooses, NESwill expose and treat. This will incur
additional charges.
• Customer will provide inspection and assistance where necessary.
• Customer will provide backup on major roadways.
B-1
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• No more than 90 calendar days will elapse between date of notice to proceed and beginning of the
applications. A reasonable time of extension, for unfavorable weather, will be mutually agreed upon
by Customer and National Environmental Solutions
Requirements may be added or deleted from the above Scope of Work. However, eh
agreed upon, in writing, by both parties prior to commencement of work. changes must be
Pricing Schedule for the NES
TWO-YEAR ROACH CONTROL pROGR4M
for the CITY OF REDLANDS, CALIFORNIA
$15.00 PER MANHOLE LESS THAN 1000*
$13.00 PER MANHOLE 1000+
$13.00 PER CLEAN-OUT
1250 units X $13.00 = $16,250.00
*Minimum per treatment visit is 500. Pricing is based on single visit treatments.
This proposal, signed, will serve as an annual renewable contract agreed upon in writing
by both parties. This proposal will be valid through fiscal year 2010 & 2011, and any
agreed upon extensions.
If you have any questions feel free to contact our office at our toll free phone number 1-877-725-6616.
Below you will find a location to sign this Scope of Work. This will serve as a contract between
National Environmental Solutions and the above mentioned Customer.
Customer representative
X DATE_/
Printed name Title
National Environmental Solutions X DATE� �
Printed name —Title—
Sincerely,
itleSincerely,
Gavin R. Galiifant J GM
Toll free cell number 877-725-6616
B-Z
EXHIBIT "B"
WORKERS' COMPENSATION INSURANCE CERTIFICATION
Services: Sewer roach control at various locations throughout the City of Redlands' sewer
service area.
Every employer except the state, shall secure the payment of compensation in one or more of the
following ways:
(a) By being insured against liability to pay compensation in one or more insurer duly
authorized to write compensation insurance in this State.
(b) By securing from the Director of Industrial Relations, a certificate of consent to self-
insure, either as an individual employer or as one employer in a group of employers,
which may be given upon furnishing proof satisfactory to the Director of Industrial
Relations of ability to self-insure and to pay any compensation that may become due to
his or her employees.
am aware of the provisions of Section 3700 of the Labor Code which requires every employer to be
insured against liability for Workers* Compensation or to undertake self-insurance in accordance with
the provisions of that Code, and I will comply with such provisions before commencing the performance
of the work of this Agreement. (Labor Code §186 1).
National Environmental Solutions, LLC Date: -0
Bv• A
Gar * R. G ifant, Ge era anager Contractor's License No.
B-3