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HomeMy WebLinkAboutPR 20398: PURCHASE OF WASTEWATER TREATMENT PLANT CHEMICALS \. . , ,moi. • City of 01'4jti ur 7e.rus INTEROFFICE MEMORANDUM Date: August 22, 2018 To: The Honorable Mayor and City Council Through: Harvey Robinson, Interim City Manager From: Dr. Hani Tohme, P.E., Director of Utilities fr RE: P.R. 20398—Award of Contract for Sodium Bisulfite Introduction: Liquid Sodium Bisulfite is used to de-chlorinate our Wastewater Treatment Plant (WWTP) effluent. The intent of this Agenda Item is to seek City Council approval for P.R. No. 20398, awarding the contract for Liquid Sodium Bisulfite from Commercial Chemical Product, Inc. DBA Purify from Houston, Texas, with a projected budgetary impact of $120,600.00 from Utilities Account No. 410-1256-532.29-02, Treatment Chemicals. Estimated annual usage is twenty (20) 1,500 gallon bulk loads, and twenty (20) 3,000 gallon bulk loads; chemical will be delivered as needed. Background: Liquid Sodium Bisulfite is used to de-chlorinate our WWTP effluent. The EPA has determined that free chlorine, used as a disinfectant in our treatment process, is hazardous to certain aquatic life at the 0.11 mg/I concentration level. WWTP's of the size of City of Port Arthur's must therefore remove free chlorine from their effluent as a preventative measure. Estimated annual usage is twenty (20) 1,500 gallon bulk loads, and twenty (20) 3,000 gallon bulk loads. The term of the award is one (1) year, with option to renew for two (2) additional years. Three (3) vendors submitted bids,which were received on August 8, 2018. Budget Impact: This chemical is budgeted in the current operating budget. This bid reflects slight increases from the current contract prices awarded in 2015, but the change in overall cost is reflected by the higher usage amounts. This chemical will be charged to the Utilities Account No. 410-1256-532.29-02, Treatment Chemicals. Recommendation: It is recommended that City Council adopt Proposed Resolution No. 20398,awarding the contract for Liquid Sodium Bisulfite from Commercial Chemical Product, Inc. DBA Purify from Houston, Texas. "Remember,we are here to serve the Citizens of Port Arthur" P. R. No. 20398 08/28/18 bw Page 1 of 2 RESOLUTION NO. A RESOLUTION AUTHORIZING THE AWARD OF THE CONTRACT FOR THE PURCHASE OF LIQUID SODIUM BISULFITE FOR THE UTILITIES DEPARTMENT WITH COMMERCIAL CHEMICAL PRODUCT, INC. DBA PURIFY, OF HOUSTON, TEXAS, WITH A PROJECTED BUDGETARY IMPACT AMOUNT OF $120,600.00. FUNDS ARE AVAILABLE IN UTILITIES ACCOUNT NO. 410-1256-532.29-02, TREATMENT CHEMICALS. WHEREAS, the Utilities Department routinely utilizes Liquid Sodium Bisulfite to de- chlorinate the effluent water from the Port Acres, Sabine Pass, and Main Wastewater Treatment Plants; and, WHEREAS, pursuant to Purchasing Policy, bids were received for this chemical on August 8, 2018 (Bid Tabulation attached as Exhibit"A"); and, WHEREAS, the lowest responsible bidder was Commercial Chemical Product, Inc. DBA Purify, of Houston, Texas; and, WHEREAS,the chemical will be delivered on an"as needed"basis. NOW THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF PORT ARTHUR: THAT, the City Manager of the City of Port Arthur is hereby authorized and directed to execute, on behalf of the City of Port Arthur, a one (1) year contract, with the option to renew for two (2) additional one (1) year terms, between the City of Port Arthur and Commercial Chemical Product, Inc. DBA Purify, from Houston, Texas with a projected budgetary impact amount of $120,600.00 over the life of this one-year contract, in substantially the same form as attached as Exhibit"B"; and, THAT, the City can terminate this contract at its convenience with ten (10) days written notice; and, P. R. No. 20398 08/28/18 bw Page 2 of 2 THAT, funding for these chemicals is provided for in the Utility O&M budget Account Number 410-1256-532.29-02, Treatment Chemicals; and, THAT a copy of the caption of this resolution be spread upon the minutes of the City Council. READ, ADOPTED, AND APPROVED THIS day of , 2018 at a Regular Meeting of the City Council of the City of Port Arthur, Texas, by the following vote: Ayes: Mayor Councilmembers: Noes: Derrick Freeman, Mayor ATTEST: APPROVED FOR ADMINISTRATION: Sherri Bellard, City Secretary Harvey Robinson, Interim City Manager Dr. Hani Tohme, P.E.,Director of Utilities APPROVED AS TO FORM: Y d Valecia Tizeno ity Attorney P. R. No. 20398 08/28/18 bw Page 2 of 3 APPROVED AS TO AVAILABILITY OF FUNDS: ill% .1/),G1 Ani.- Vasq727:4'1___I---- , A, Director of Finance Clifton Williams, CPPB, Exhibit "A" (Bid Tabulation) ® ' CITY OF PORT ARTHUR TEXAS / Bid Tabulation urr mbar LIQUID SODIUM BISULFITE Bid Opening Date:August 8,2018 Name of Bidder Gasochem Commercial International, 'Chemical Product, PVS Chemical LLC Inc.DBA Purify Solutions,Inc. Description Unit Cost Unit Cost Unit Cost 1500-gallon load: $2.25/gal $1.34/gal $2.95/gal 3000-gallon load: $1.28/gal $1.34/gal $1.89/gal Location Houston,TX Houston,TX Detroit,Michigan Yolanda Scypion-Gocra'ea ix 8/14/18 Yolanda Scypion- oude:uts,Purchasing Assistant Date Exhibit "B" (Contract) P. R. No. 20398 08/28/18 bw PURCHASING CONTRACT AGREEMENT THIS AGREEMENT is made this the of , 2018, by and between an individual, firm partnership or corporation, COMMERCIAL CHEMICAL PRODUCT, INC. DBA PURIFY, hereinafter called "Vendor", and the City of Port Arthur, a municipal corporation organized under the laws of the State of Texas, hereinafter called the "Owner" or "City". WITNESSETH: That for and in consideration of the payments, terms, conditions and agreements set forth herein, Owner and Vendor agree as follows: 1. The term of this Contract shall be fore one (1) year from the date as stated on the Notice to Proceed, with an option to renew for two (2) additional one- year periods, unless sooner terminated under the provision hereof. The City can terminate this contract at its convenience which includes, but not limited to, funding not being available in any budget cycle with ten (10) days written notice. 2. The Vendor will provide Liquid Sodium Bisulfite, as delineated and submitted in their bid on August 8, 2018. 3. During the term of this Contract, the Vendor will furnish all of the materials and supplies, as stated in the advertised bid specifications, described as: Liquid Sodium Bisulfite 4. The Vendor agrees to deliver all materials on an as-needed basis during the term of this contract, for a bid price of$1.34/qal. for 1,500 gallon loads, and $1.34/qal for 3,000 gallon loads as shown in the Bid schedule. 5. The term "Contract Documents" means and includes the following: A. Agreement B. Specifications C. Notice to Proceed D. Bid 6. This Agreement shall be binding upon all parties hereto and their respective heirs, executors, administrators, successors, and assigns. IN WITNESS WHEREOF, the parties hereto have executed, or caused to be executed by their duly authorized officials, this Agreement in two (2) copies each of which shall be deemed an original on the date first above written. SIGNED AND AGREED to on the day of , 2018. COMMERCIAL CHEMICAL PRODUCT, INC. DBA PURIFY WITNESS: By: Print Name: Title: SIGNED AND AGREED to on the day of , 2018. ATTEST: CITY OF PORT ARTHUR: Sherri Bellard, City Secretary Harvey Robinson, City Secretary Interim City Manager \ i DERRICK FORD FREEMAN,MAYOR , HARVEY ROBINSON THOMAS J.KINLAW HI,MAYOR PRO TEM city of INTERIM CITY MANAGER 110 COUNCIL MEMBERS: , 1,\\ iJ SHERRI BELLARD,TRMC RAYMOND SCOTT,JR. ort rt h u—�'r CITY SECRETARY CAL J.JONES HAROLD DOUCET,SR. Texas VAL TIZENO CHARLOTTE MOSES CITY ATTORNEY KAPRINA FRANK JULY 20,2018 INVITATION TO BID LIQUID SODIUM BISULFITE FOR UTILITY OPERATIONS DEADLINE: Sealed Bid submittals must be received and time stamped by 3:00 p.m., Central Standard Time, Wednesday,August 8, 2018. (The clock located in the City Secretary's office will be the official time.) All bids received will be read aloud at 3:15 p.m. on Wednesday, August 8, 2018 in the City Council Chambers, City Hall, 5th Floor, Port Arthur,TX. You are invited to attend. MARK ENVELOPE: P18-087 DELIVERY ADDRESS: Please submit one (1) original and one (1)copy of your bid to: CITY OF PORT ARTHUR CITY OF PORT ARTHUR CITY SECRETARY or CITY SECRETARY P.O. BOX 1089 444 4TH STREET,4th Floor PORT ARTHUR,TEXAS 77641 PORT ARTHUR, TEXAS 77640 POINTS OF CONTACT: Questions concerning the Invitation to Bid or Scope of Work should be directed in writitt;. to: City of Port Arthur,TX Clifton Williams, Acting Purchasing Manager P.O. Box 1089 Port Arthur, TX 77641 clifton.williams@portarthurtx.gov Purchasing Division/Finance Department 1 Purchasing Manager,Clifton Williams,CPPB P.O.Box 10891444 4th Street' Port Arthur,Texas 776411 409.983.8160 1 Fax 409.983.8291 The enclosed Invitation to Bid (ITB) and accompanying General Instructions, Conditions and Specifications are for your convenience in submitting bids for the enclosed referenced services for the City of Port Arthur. Bids must be signed by a person having authority to bind the firm in a contract. Bids shall be placed in a sealed envelope, with the Vendor's name and address in the upper left-hand corner of the envelope. ALL BIDS MUST BE RECEIVED IN THE CITY SECRETARY'S OFFICE BEFORE OPENING DATE AND TIME. It is the sole responsibility of the firm to ensure that the sealed ITB submittal arrives at the above location by specified deadline regardless of delivery method chosen by the firm. Faxed or electronically transmitted ITB submittals will not be accepted. 6)4. 1f.- Gi_241Ze,,ot.1- Clifton Williams, CPPB Purchasing Manager Page 2 of 16 INVITATION TO BID LIQUID SODIUM BISULFITE FOR UTILITY OPERATIONS (To be Completed ONLY IF YOU DO NOT BID) FAILURE TO RESPOND TO BID SOLICITATIONS FOR TWO (2) BID PERIODS MAY RESULT IN REMOVAL FROM THE VENDOR'S LIST. However, if you are removed you will be reinstated upon request. In the event you desire not to submit a bid, we would appreciate your response regarding the reason(s). Your assistance in completing and returning this form in an envelope marked with the enclosed bid would be appreciated. NO BID is submitted: this time only not this commodity/service only Yes No Does your company provide this product or services? Were the specifications clear? Were the specifications too restrictive? Does the City pay its bills on time? Do you desire to remain on the bid list for this product or service? Does your present work load permit additional work? Comments/Other Suggestions: Company Name: Person Completing Form: Telephone: Mailing Address: Email: City, State, Zip Code: Date: Page 3 of 16 SPECIFICATIONS FOR LIQUID SODIUM BISULFITE FOR THE CITY OF PORT ARTHUR UTILITY OPERATIONS General Information All chemicals specified herein shall conform to Standard 60 of the American National Standards Institute/National Sanitation Foundation (ANSI/NSF). Conformance with this Standard must be certified by an agency recognized by the Texas Department of Health. Bidders must submit such certification with their bid. Successful Bidder or Bidders shall provide to the Utility Operations Department a current Material Safety Data Sheet(MSDS) for any chemicals supplied per this specification. All bids are to be F.O.B. Port Arthur, Texas. The City of Port Arthur will not accept demurral charges or freight bills. Shippers shall notify City personnel prior to unloading any product. The contract shall be a one (1) year contract with the option to renew for two (2) additional one (1) year. No price increases will be allowed during life of the contract. Liquid Sodium Bisulfite Solution Technical grade purity, liquid sodium bisulfite (40% +/-2, by weight). Product will be 0.7% max. Sulfate, 25 ppm max. Iron (as Fe), 0.01% max. Insoluble and 1.33 specific gravity at 25°C. Freezing point to be -2°C and pH to be 3.5 to 4.5. Typical appearance to be a pale yellow liquid, sediment-free. Bid Quantities The amounts specified are estimated and are used as a basis for bidding only. Bid quantities were determined from past experience and laboratory testing, and do not obligate the City to purchase these amounts. A total of 54,000 gallons shipped in bulk loads as follows: (8) 1500 gallon loads (14) 3000 gallon loads Wastewater Plant chemical storage connections are made of PVC pipe with a 2" stainless steel female quick coupling. Static lift required of delivery truck is 12 feet maximum. All deliveries will be accepted between 7:30 am and 3:00 pm at the Main WWTP,6300 Procter Street and at the Port Acres WWTP,2901 W. Hwy. 365. Page 4 of 16 CITY OF PORT ARTHUR,TEXAS BID SHEET BID FOR: Liquid Sodium Bisulfite for Utility Operations C Y BID DUE DATE: August 8, 2018 DESCRIPTION UNIT PRICE 1500-gallon load: $ 1.34/gal 3000-gallon load: $ 1.34/gal Commercial Chemical Products. Inc. DBA Purify 1707 Townhurst Drive COMPANY NAME STREET ADDRESS SIGNATURE OF BIDDER P.O. BOX Alan Falik Houston TX 77043 PRINT OR TYPE NAME CITY STATE ZIP President/CEO 800-858-7665 TITLE AREA CODE TELEPHONE NO. bids@purifywt.com 800-909-3962 EMAIL FAX NO. Page 5 of 16 NON-COLLUSION AFFIDAVIT CITY OF PORT ARTHUR § § STATE OF TEXAS 5 By the signature below, the signatory for the bidder certifies that neither he nor the firm, corporation, partnership or institution represented by the signatory or anyone acting for the firm bidding this project has violated the antitrust laws of this State, codified at Section 15.01, et seq., Texas Business and Commerce Code, or the Federal antitrust laws, nor communicated directly or indirectly the bid made to any competitor or any other person engaged in the same line of business, nor has the signatory or anyone acting for the firm, corporation or institution submitting a bid committed any other act of collusion related to the development and submission of this bid proposal. Signature: ' 1 ‘ Printed Name: Alan Falik Title: President/CEO Company: Commercial Chemical Products, Inc. DBA Purify Date: 8/3/2018 fd SUBSCRIBED and sworn to before me the undersigned authority byf\b \F the 3 of,ki,ron behalf of said bidder. LORI WALLACE Notary Public i na�a ndforae State of Texas °g"'Vi _a: (�s.Notary Public,State of Texas �"y`�� r' t Comm.Expires 05-24-2022 Mycommission expires: �c \ '�:a -;;;1;:t.S. Notary ID 71625878 p Page 6 of 16 AFFIDAVIT All pages in Offeror's Responses containing statements, letters, etc., shall be signed by a duly authorized officer of the company whose signature is binding. The undersigned offers and agrees to one of the following: X I hereby certify that I do not have outstanding debts with the City of Port Arthur. I further agree to pay succeeding debts as they become due. I hereby certify that I do have outstanding debts with the City of Port Arthur and agree to pay said debts prior to execution of this agreement. I further agree to pay succeeding debts as they become due. I hereby certify that I do have outstanding debts with the City of Port Arthur and agree to enter into an agreement for the payment of said debts. I further agree to pay succeeding debts as they become due. Commercial Chemical Products, Inc. DBA Purify 8/3/2018 Firm Name Date i'2_,,di Authorized Signature Title Alan Falik 800-858-7665 Name(please print) Telephone bids@purifywt.com Email STATE: Texas COUNTY: Harris SUBSCRIBED AND SWORN to before me by the above named b.0\50...-I\ on this the 3rt� day of }\`` ,20 _. r""��. LORI WALLACE v`�, `�7)0CZ c� Y PSB �„=Notary Public,State of Texas Notary Public ?= Comm. Expires 05-24-2022 ,g;,,r, Notary ID 11625878 RETURN THIS AFFIDAVIT AS PART OF THE BID PROPOSAL Page 7 of 16 CONFLICT OF INTEREST QUESTIONNAIRE FORM CIQ For vendor doing business with local governmental entity This questionnaire reflects changes mado to the taw by H.B.23,84th Lag., Regular Session. OFFICEUSEONLY This questionnaire Is being filed In accordance with Chapter 178,Local Government Code,by a vendor who Date Raccivad has a business relatfcnshp as defined by Section 176.001(1-a)with a local governmental entity and the vendor moots requirements undor Section 176.008(a). By law this questionnaire must be filed with the records administrator of the local governmental entity not later than the 7th business day after the date the vendor becomes aware of facts that require the statement to be filed. See Section 178.006(a-1),Local Government Code. A vendor commits an offense if the vendor knowingly violates Section 176.008,Local Government Code.An offense under this section is a misdemeanor. 1 Name of vendor who has a business relationship with local governmental entity. Commercial Chemical Products, Inc. DBA Purify 2 Check this box if you are filing an update to a previously filed questionnaire.(The law requires that you file an updated completed questionnaire ve.h the appropriate filing authority not later than the 7th business day after the date on which you became aware that the originally filed questionnaire was Incomplete or Inaccurate.) 3 Name of local government officer about whom the information is being disclosed. N/A Name of Officer 4 Describe each employment or other business relationship with the local government officer,or a family member of the officer,as described by Section 176.003(a}{2)(A). Also describe any family relationship with the local government officer, Complete subparts A and B for each employment or business relationship described. Attach additional pages to this Form CIQ as necessary. A. Is the local government officer or a family member of the officer receiving or likely to receive taxable Income, other than Investment Income, from the vendor? n Yes I } No B. Is the vendor receiving or likely to receive taxable income,other than Investment income,from or at the direction of the local government officer or a family member of the officer AND the taxable Income is not received from the local governmental entity? nYes n No 5 Describe each employment or business relationship that the vendor named In Section 1 maintains with a corporation or other business entity with respect to which the local government officer serves as an officer or director,or holds an ownership interest of one percent or more. 6 riCheck this box If the vendor has given the local government officer or afamiy member of the officer one or more gifts as described in Section 176.0O3(a)(2)(8), excluding gifts described In Section 176.003(a-1). J—� 8/3/2018 'Ignature • vendor doing business with the governmental entity Date Form provided by Texas Ethics Commission www.ethics.state.tx.us Revisod 11/30/2015 Page 8 of 16 CONFLICT OF INTEREST QUESTIONNAIRE For vendor doing business with local governmental entity A complete copy of Chapter 176 of the Local Government Code may be found at http://www.statutes.legis.state.tx.us/ Docs/LG.rhtm/LG176.htm.For easy reference,below are some of the sections cited on this form. Local Government Code§176.001(1-a):"Business relationship"means a connection between two or more parties based on commercial activity of one of the parties. The term does not include a connection based on: (A) a transaction that is subject to rate or fee regulation by a federal,state.or local governmental entity or an agency of a federal,state,or local governmental entity; (B) a transaction conducted at a price and subject to terms available to the public;or (C) a purchase or lease of goods or services from a person that is chartered by a state or federal agency and that is subject to regular examination by,and reporting to,that agency. Local Government Code+;176.003(a)(2)(A)and(B): (a) A local government officer shall file a conflicts disclosure statement with respect to a vendor if: (2) the vendor: (A) has an employment or other business relationship with the local government officer or a family member of the officer that results in the officer or family member receiving taxable income, other than investment income, that exceeds$2,500 during the 12-month period preceding the date that the officer becomes aware that (i) a contract between the local governmental entity and vendor has been executed; a (ii) the local governmental entity is considering entering into a contract with the vendor: (B) has given to the local government officer or a family member of the officer one or more gifts that have an aggregate value of more than$100 in the 12-month period preceding the date the officer becomes aware that: (i) a contract between the local governmental entity and vendor has been executed:or (ii) the local governmental entity is considering entering into a contract with the vendor. Local Government Code§176.006(a)and(a-1) (a) A vendor shall file a completed conflict of interest questionnaire if the vendor has a business relationship with a local governmental entity and: (1) has an employment or other business relationship with a local government officer of that local governmental entity,or a family member of the officer,described by Section 176.003(a)(2)(A); (2) has given a local government officer of that local governmental entity,or a family member of the officer,one or more gifts with the aggregate value specified by Section 176.003(a)(2)(B),excluding any gift described by Section 176.003(a-1):or (3) has a family relationship with a local government officer of that local governmental entity. (a-1) The completed conflict of interest questionnaire must be filed with the appropriate records administrator not later than the seventh business day atter the later of: (1) the date that the vendor: (A) begins discussions or negotiations to enter into a contract with the local governmental entity;or (B) submits to the local governmental entity an application,response to a request for proposals or bids, correspondence, or another writing related to a potential contract with the local governmental entity;or (2) the date the vendor becomes aware: (A) of an employment or other business relationship with a local government officer,or a family member of the officer,described by Subsection(a); (B) that the vendor has given one or more gifts described by Subsection(a);or (C) of a family relationship with a local government officer. Form provided by Texas Ethics Commission www.ethics.state tx.us Revised 11/30;2015 Page 9 of 16 SB 252 CHAPTER 2252 CERTIFICATION Alan Falik ,the undersigned an representative of Commercial Chemical Products, Inc. DBA Purify (Company or Business Name) being an adult over the age of eighteen (18) years of age, pursuant to Texas Government Code, Chapter 2252, Section 2252.152 and Section 2252.153,certify that the company named above is not listed on the website of the Comptroller of the State of Texas concerning the listing of companies that are identified under Section 806.051, Section 807.051 or Section 2253.153. 1 further certify that should the above-named company enter into a contract that is on said listing of companies on the website of the Comptroller of the State of Texas which do business with Iran, Sudan or any Foreign Terrorist Organization, I will immediately notify the City of Port Arthur Purchasing Department. Alan Falik Name of Company Representative (Print) çv 1' ,1 V i Signature of Company Representative 8/3/2018 Date Page 10 of 16 House Bill 89 Verification I, Alan Falik (Person name), the undersigned representative (hereafter referred to as "Representative") of Commercial Chemical Products, Inc. DBA Purify (company or business name, hereafter referred to as "Business Entity"), being an adult over the age of eighteen (18) years of age, after being duly sworn by the undersigned notary, do hereby depose and affirm the following: 1. That Representative is authorized to execute this verification on behalf of Business Entity; 2. That Business Entity does not boycott Israel and will not boycott Israel during the term of any contract that will be entered into between Business Entity and the City of Port Arthur; and 3. That Representative understands that the term "boycott Israel" is defined by Texas Government Code Section 2270.001 to mean refusing to deal with, terminating business activities with, or otherwise taking any action that is intended to penalize, inflict economic harm on, or limit commercial relations specifically with Israel, or with a person or entity doing business in Israel or in an Israeli-controlled territory, but does not include an action made for ordinary business purposes. 'iy___ f1k ', SIGNATURE OF REPRESENTATIVE rCiL SUBSCRIBED AND SWORN TO BEFORE ME, the undersigned authority, on thisJday of A09� , 20R . Notary Public • A'§, LORI WALLACE Al-'§ z: -, Notary Public,State of Texas P Comm. Expires 05-24-2022 %; o.;:+ Notary ID 11625878 Page 11 of 16 GENERAL INFORMATION: NOTE: It is extremely important that the Vendor, Bidder, and/or Contractor furnish the City of Port Arthur the required information specified in Bid or Proposal Specifications listed in this Bid Package. All bids meeting the intent of this request for bid will be considered for award. BIDDERS TAKING EXCEPTION TO THE SPECIFICATIONS, OR OFFERING SUBSTITUTIONS, SHALL STATE THESE EXCEPTIONS BY ATTACHMENT AS PART OF THE BID. The absence of such a list shall indicate that the bidder has not taken exceptions and the City shall hold the bidder responsible to perform in strict accordance with the specifications of the invitation. The City reserves the right to accept any and all or none of the exception(s)/substitutions(s)deemed to be in the best interest of the City of Port Arthur. ALTERING BIDS: Bids cannot be altered or amended after submission deadline. Any interlineations, alteration, or erasure made before opening time must be initialed by the signer of the bid, guaranteeing authenticity. BID AWARD: The City of Port Arthur will review all bids for responsiveness and compliance with these specifications. The award shall be made to the responsive, responsible bidder who submits the best value bid. The City reserves the right to: 1. Reject any and all bids and to make no award if it deems such action to be in its best interest. 2. Award bids on the lump sum or unit price basis, whichever is in the best interest of the City. 3. Reject any or all bids and to waive informalities or defects in bids or to accept such bids as it shall deem to be in the best interests of the City. 4. Award bids to bidders whose principal place of business is in the City of Port Arthur and whose bid is within 5%of the lowest bid price, as provided by Section 271.905 of the Texas Government Code. TERMINOLOGY: "Bid" vs. "Proposal"--For the purpose of this ITB, the terms "Bid" and Proposal" shall be equivalent. Bidders are cautioned to read the information contained in this ITB carefully and to submit a complete response to all requirements and questions as directed. CONFLICT OF INTEREST: No public official shall have interest in this contract, in accordance with Vernon's Texas Code Annotated, Local Government Code Title 5, Subtitle C, Chapter 171. ETHICS: The bidder shall not offer or accept gifts or anything of value nor enter into any business arrangement with any employee, official or agent of the City of Port Arthur. MINIMUM STANDARDS FOR RESPONSIBLE PROSPECTIVE BIDDERS: A prospective bidder must affirmatively demonstrate bidder's responsibility. A prospective bidder must meet the following requirements: 1. Be able to comply with the required or proposed delivery schedule. 2. Have a satisfactory record of performance. 3. Have a satisfactory record of integrity and ethics. 4. Be otherwise qualified and eligible to receive an award. 5. Be engaged in a full time business and can assume liabilities for any performance or warranty service required. 6. The City Council shall not award a contract to a company that is in arrears in its obligations to the City. 7. No payments shall be made to any person of public monies under any contract by the City with such person until such person has paid all obligations and debts Page 12 of 16 owed to the City,or has made satisfactory arrangements to pay the same. ADDENDA: Any interpretations, corrections or changes to the ITB and Specifications will be made by addenda. Sole issuing authority of addenda shall be vested in the City of Port Arthur Purchasing Manager. The City assumes no responsibility for the bidder's failure to obtain and/or properly submit any addendum. Failure to acknowledge and submit any addendum may be cause for the bid to be rejected. It is the vendor's responsibility to check for any addendums that might have been issued before bid closing date and time. PORT ARTHUR PRINCIPAL PLACE OF BUSINESS: Any bona fide business that claims the City of Port Arthur as its principal place of business must have an official business address (office location and office personnel) in Port Arthur, the principal storage place or facility for the equipment shall be in Port Arthur and/or the place of domicile for the principal business owner(s) shall be in Port Arthur or such other definition or interpretation as is provided by state law. Contractors outside the City of Port Arthur are allowed to bid. PRICES: The bidder should show in the proposal both the unit price and total amount, where required, of each item listed. In the event of error or discrepancy in the mathematics, the unit price shall prevail. PURCHASE ORDER: A purchase order(s) shall be generated by the City of Port Arthur to the successful bidder. The purchase order number must appear on all itemized invoices. INVOICES: All invoices shall be mailed directly to the City of Port Arthur, Attn.: Utility Operations Department, P.O. Box 1089, Port Arthur,Texas 77641. PAYMENT: Payment will be made upon receipt of the original invoice and the acceptance of the goods or services by the City of Port Arthur, in accordance with the State of Texas Prompt Payment Act, Article 601 f V.T.C.S. The City's standard payment terms are net 30, i.e. payment is due 30 days from the date of the invoice. SALES TAX: The City of Port Arthur is exempt by law from payment of Texas Sales Tax and Federal Excise Tax; therefore the proposal shall not include Sales Tax. VENUE: This agreement will be governed and construed according to the laws of the State of Texas. This agreement is performable in Port Arthur,Texas,Jefferson County. COMPLIANCE WITH LAWS: The Contractor shall comply with all applicable laws, ordinances, rules, orders, regulations and codes of the federal, state and local governments relating to performance of work herein. INTEREST OF MEMBERS OF CITY: No member of the governing body of the City, and no other officer, employee or agent of the City who exercises any functions or responsibilities in connection with the planning and carrying out of the program, shall have any personal financial interest, direct or indirect, in this Contract; and, the Contractor shall take appropriate steps to assure compliance. DELINQUENT PAYMENTS DUE CITY: The City of Port Arthur Code of Ordinances prohibits the City from granting any license, privilege or paying money to any-one owing delinquent taxes, paving assessments or any money to the City until such debts are paid or until satisfactory arrangements for payment has been made. Bidders must complete and sign the AFFIDAVIT included as part of this ITB. QUANTITIES: Quantities shown are estimated, based on projected use. It is specifically understood and agreed that these quantities are approximate and any additional quantities will be paid for at the quoted price. It is further understood that the contractor shall not have any claim against the City of Port Arthur for quantities less than the estimated amount. Page 13 of 16 SHIPPING INFORMATION: All bids are to be F.O.B., City of Port Arthur, Port Arthur,TX 77640 INCORPORATION OF PROVISIONS REQUIRED BY LAW: Each provision and clause required by law to be inserted into the Contract shall be deemed to be enacted herein and the Contract shall be read and enforced as though each were included herein. If, through mistake or otherwise, any such provision is not inserted or is not correctly inserted the Contract shall be amended to make such insertion on application by either party. CONTRACTOR'S OBLIGATIONS: The Contractor shall and will, in good workmanlike manner,perform all work and furnish all supplies and materials, machinery, equipment, facilities and means, except as herein otherwise expressly specified, necessary or proper to perform and complete all the work required by this Contract, in accordance with the provisions of this Contract and said specifications. The apparent silence of these specifications as to any detail or to the apparent omission from it of a detailed description concerning any point shall be regarded as meaning that only the best commercial practices are to prevail. While the purpose of the specifications is to indicate minimum requirements in the way of capability, performance, construction, and other details, its use is not intended to deprive the City of Port Arthur the option of selecting goods which may be considered more suitable for the purpose involved. In the event of conflicts between the written bid proposal and information obtained verbally, the vendor is specifically advised that the written bid proposal will prevail in the determination of the successful bidder. Under the Title VI of the Civil Rights Act of 1964, no person shall, on the grounds of race, color, or national origin, be excluded from participation in, be denied the benefits of, or be subjected to discrimination under any program or activity receiving Federal financial assistance. TERMINATION FOR CAUSE: If, through any cause, the Contractor shall fail to fulfill in a timely and proper manner his obligations under this contract, or if the Contractor shall violate any of the covenants, agreements or stipulations of this contract, the City shall thereupon have the right to terminate this contract by giving written notice to the Contractor of such termination and specifying the effective date thereof, at least fifteen (15) days before the effective date of such termination. Notwithstanding the above, the Contractor shall not be relieved of liability to the City for damages sustained by the City by virtue of any breach of the contract by the Contractor, and the City may withhold any payments to the Contractor for the purpose of set-off until such time as the exact amount of damages due the City from the Contractor is determined. TERMINATION FOR CONVENIENCE: The City may terminate this contract at any time giving at least thirty (30) days notice in writing to the Contractor. If the Contract is terminated by the City as provided herein, the Contractor will be paid for the service that it has performed up to the termination date. If this contract is terminated due to fault of the Contractor,the previous paragraph hereof relative to termination shall apply. RELEASES AND RECEIPTS: The City of Port Arthur before making payments may require the Contractor to furnish releases or receipts for any or all persons performing work and supplying material or service to the Contractor, or any sub-contractors for work under this contract, if this is deemed necessary to protect its interests. CARE OF WORK: The Contractor shall be responsible for all damages to person or property that occurs as a result of his fault or negligence in connection with the work performed until completion and final acceptance by the City. Page 14 of 16 SUB-CONTRACTS: The Contractor shall not execute an agreement with any sub-contractor or permit any sub-contractor to perform any work included in this Contract until he has received from the City of Port Arthur written approval of such agreement. INSURANCE: All insurance must be written by an insurer licensed to conduct business in the State of Texas, unless otherwise permitted by Owner. The Contractor shall, at his own expense, purchase, maintain and keep in force insurance that will protect against injury and/or damages which may arise out of or result from operations under this contract, whether the operations be by himself or by any subcontractor or by anyone directly or indirectly employed by any of them, or by anyone for whose acts any of them may be liable, of the following types and limits 1. Standard Worker's Compensation Insurance: 2. Commercial General Liability occurrence type insurance City of Port Arthur, its officers, agents, and employees must be named as an additional insured): a. Bodily injury$500,000 single limit per occurrence or$500,000 each person/$500,000 per occurrence for contracts of$100,000 or less; or Bodily injury$1,000,000 single limit per occurrence or$500,000 each person/$1,000,000 per occurrence for contracts in excess of$100,000; and, b. Property Damage $100,000 per occurrence regardless of contract amount; and, c. Minimum aggregate policy year limit of$1,000,000 for contracts of $100,000 or less; or, Minimum aggregate policy year limit of$2,000,000 for contracts in excess of$100,000. 3. Commercial Automobile Liability Insurance (Including owned, non-owned and hired vehicles coverage's). a. Minimum combined single limit of$500,000 per occurrence, for bodily injury and property damage. b. If individual limits are provided, minimum limits are $300,000 per person, $500,000 per occurrence for bodily injury and $100,000 per occurrence for property damage. Contractor shall cause Contractor's insurance company or insurance agent to fill in all information required (including names of insurance agency, contractor and insurance companies, and policy numbers, effective dates and expiration dates) and to date and sign and do all other things necessary to complete and make into valid certificates of insurance and pertaining to the above listed items, and before commencing any of the work and within the time otherwise specified, Contractor shall file completed certificates of insurance with the Owner. None of the provisions in said certificate of insurance should be altered or modified in any respect except as herein expressly authorized. Said CERTIFICATE OF INSURANCE Form should contain a provision that coverage afforded under the policies will not be altered, modified or canceled unless at least fifteen (15) days prior written notice has been given to the City of Port Arthur. Contractor shall also file with the City of Port Arthur valid CERTIFICATE OF INSURANCE on like form from or for all Subcontractors and showing the Subcontractor(s) as the Insured. Said completed CERTIFICATE OF INSURANCE Form (s) shall in any event be filed with the City of Port Arthur not more than ten (10)days after execution of this Contract. Page 15 of 16 NOTICE TO PROCEED: Notice to Proceed shall be issued within ten (10) days of the execution of the Contract by OWNER. Should there be any reasons why Notice to Proceed cannot be issued within such period, the time may be extended by mutual agreement between OWNER and CONTRACTOR. CELL PHONE OR PAGER: The Contractor must have a working cell phone or pager available Monday through Friday from 8:00 a.m. to 5:00 p.m. so that the City will be able to contact the contractor. Page 16 of 16