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HomeMy WebLinkAboutPR 22957: FOR THE PURCHASE OF 560 95 GALLON GARBAGE CANS FROM OTTO ENVIRONMENTAL SERVICE City of _ . ort rthur www.PortArthurTx.gov INTEROFFICE MEMORANDUM Date: January 13, 2023 To: The Honorable Mayor and City Council Through: Ron Burton, City Manager From: Flozelle C. Roberts, E.I.T., M.Eng., M.B.A., Public Works Director RE: P.R. 22957—Authorizing the purchase of 560 95- gallon garbage cans from Otto Environmental Service Introduction: The intent of this agenda item is to authorize the City Manager to purchase 560 95-gallon garbage cans from Otto Environmental Systems North America, Inc. of Charlotte,North Carolina, under HGAC Contract No. RC01-21 for the Solid Waste Residential Garbage Division for the not-to- exceed amount of$35,937.97. Background: The Public Works Solid Waste — Residential Garbage Division issues and replaces stolen and damaged garbage cans to Port Arthur residents. The purchase of the residential garbage cans (toters) is needed to replenish inventory for the continued service to citizens and compliance with City ordinances and state and federal laws. Budget Impact: There will be a budgetary impact of $35,937.97 for this purchase from the Solid Waste — Residential Garbage Division's Minor - Equipment Account, account number 403-50-310- 5240-00-00-000. "Remember. we are here to serve the Citizens of Port Arthur" 444 4th Street X Port Arthur,Texas 77641-1089 X 409.983.8182 X FAX 409.983.8294 Recommendation: It is recommended that the City Council approves P.R. 22957 authorizing the City Manager to purchase 560 95-gallon garbage cans from Otto Environmental Systems North America, Inc. "Remember,we are here to serve the Citizens of Port Arthur" P.O.Box 1089 X Port Arthur,Texas 77641-1089 X 409.983.8101 X FAX 409.982.6743 P.R.22957 01/13/2023 FCR/LLJ Page 1 of 3 RESOLUTION NO. A RESOLUTION AUTHORIZING THE CITY MANAGER TO PURCHASE 560 GARBAGE CANS FROM OTTO ENVIRONMENTAL SYSTEMS NORTH AMERICA, INC. OF CHARLOTTE, NORTH CAROLINA, UNDER H-GAC CONTRACT NO. RC01-21, IN THE AMOUNT OF $35,937.97. FUNDING IS AVAILABLE IN THE FY23 PUBLIC WORKS SOLID WASTE RESIDENTIAL GARBAGE DIVISION — MINOR EQUIPMENT, ACCOUNT NUMBER 403-50-310-5240-00-00-000. WHEREAS,the Public Works Department Solid Waste Residential Garbage Division issues and replaces damaged and stolen garbage cans for residents throughout the year; and, WHEREAS,the purchase of residential garbage cans is needed to replenish inventory for the continued service to citizens and compliance with City ordinances; and, WHEREAS,Chapter 271 of the Texas Local Government Code allows a city,by resolution of its governing body, to participate in cooperative purchasing programs, such as H-GAC Buy Cooperative Purchasing Program, as an alternative to formal bid process; and, WHEREAS, pursuant to Resolution No. 11-196, the City of Port Arthur entered into an interlocal agreement for the cooperative purchasing with H-GAC; and, WHEREAS,Otto Environmental Systems North America,Inc.of Charlotte,North Carolina, is a participant of the H-GAC Cooperative Purchasing Program; and, WHEREAS, a copy of the contract pricing worksheet for the equipment is attached as Exhibit A; now,therefore, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF PORT ARTHUR: THAT, the facts and opinions in the preamble are true and correct; and, P. R.22957 01/13/2023 FCR/LLJ Page 2 of 3 THAT, the City Council hereby authorizes the City Manager to purchase 560 95-gallon garbage cans from Otto Environmental Systems North America, Inc. of Charlotte,North Carolina, through H-GAC Contract number RC01-21 for $35,937.97; and, THAT,funding is available in the FY23 Public Works Department Solid Waste Residential Garbage Division's Minor Equipment account,account number 403-50-310-5240-00-00-000;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 ,2023 AD, at a regular meeting of the City Council of the City of Port Arthur, Texas, by the following vote: AYES: Mayor: Councilmembers: • NOES: Thurman Bill Bartie, Mayor ATTEST: Sherri Bellard, City Secretary P.R.22957 01/13/2023 FCR/LLJ Page 3 of 3 APPROVED AS TO FORM: Valecia R. Tizeno, Esq., City Attorney APPROVED FOR ADMINISTRATION: Ronald Burton, City Manager (--- -? ^. Robe , MEng, MBA, Director of Public Works / ill Li j66-i, i to Clifton Williams, Jr., CPPB, Purchasing Manager /-- 1 `XcA--. (I 0 cikA_A-------) Kandy Danie irector of Finance EXHIBIT A Duramax Holdings LLC DBA Otto Environmental Systems 12700 General Drive 01r0 Charlotte, NC 28273 Quote: 20335 Page: 1/4 Glen White City of Port Arthur 201 H.O. Mills Blvd Port Arthur TX 77640 Dear Glen, Thank you for allowing Otto Environmental Systems North America, Inc. the opportunity to present this quotation to City of Port Arthur. Please let me know if you have any questions, and thank you for your interest. Proposal Valid: December 28, 2022- February 27, 2023 Line 'Product 7Description Quantity Net Price Net Value 20 9786565- 95 Gal Mil Trash Cart 560 Each 59.75 USD/1 Each 33,460.00 USD FIO00000HH- PORTARTTX(SK) PORTARTTXT01 List Price 59.75 USD/1 Each 33,460.00 USD Freight 2,477.97 USD 2,477.97 USD Cart Style:95 Gal Mil 10-Stack/Metal Bar/Bib/One Handle Cart Base Color:65-Forest Green Lid Color:65-Forest Green Wheel:WHLIM10- 10"WHEEL X.844 INJCT MLD Total Item Net Value 33,460.00 USD Freight 2,477.97 USD Total 35,937.97 USD Payment Terms: 30 days net Incoterms: FOB Destination Prepaid (Dom), Port Arthur, TX All Credit Card transactions are subject to a 2.5% processing fee. PO# HGAC RC01-21 800.795.OTTO(6886) www.otto-usa.com Otto Environmental Systems North America, Inc. 12700 General Drive, Charlotte, NC 28273 O1TO Quote: 20335 Page: 2/4 Orders containing premium colors may or may not include extended lead times. Sincerely, Brian Buerkett Brian.Buerkett@otto-usa.com 800.795.OTTO(6886) www.otto-usa.com Otto orders are assumed to ship when ready unless prior arrangements have been made via your Otto contact. In the absence of prior arrangements, storage fees may accrue and be invoiced for any items held more than 30 days from the date of completion of your order. Terms &Conditions for Quoted Freight The quoted freight rate is for reference only and may change if shipping variables change before shipment. In the event of a change, the adjusted freight rate will be communicated ahead of shipment. Fuel surcharges are subject to market fluctuation and actual surcharges invoiced by the carrier will be invoiced to the customer. Quoted freight rates are based upon shipment of your order during regular shipment days (Monday - Friday). Should after hours,weekend, or holiday shipment be needed, additional fees will apply, and the corresponding freight rate will be communicated ahead of shipment. Should you require weekend shipping, these freight rates will be quoted separately, as they are normally higher in cost than shipments during the regular workweek (Monday - Friday). Quoted freight rates assume shipping of your order 48 hours from the time of order completion. Customer will be charged for shipment premiums requested by a customer before the minimum 48-hour notice. Should a delivery address change before the shipment of your order, an adjusted freight rate will be communicated ahead of shipment. Should a delivery address change after the shipment of your order, a re-consignment fee will be charged once all updated charges are known by the carrier. Detention Fees - If customer holds up driver at destination and carrier charges Otto detention fees (typically after 2 hours), customer will be invoiced the actual charge along with an administration fee. TERMS AND CONDITIONS OF SALE TERMS AND CONDITIONS OF SALE Descriptions,representations and other information concerning Products contained in NOTICE:THE OFFER,ORDER ACKNOWLEDGEMENT,ORDER Otto's catalogs,advertisements or other promotion materials or statements or ACCEPTANCE,OR SALE OF ANY PRODUCTS DESCRIBED ON THE FRONT representations made by Otto sales representatives or distributors shall not be binding SIDE OF THIS DOCUMENT IS SUBJECT TO AND CONDITIONED UPON upon Otto. ACCEPTANCE OF THE TERMS CONTAINED IN THIS INSTRUMENT.ANY In no case shall Otto be liable for any special,incidental or consequential damages ADDITIONAL OR DIFFERENT TERMS PROPOSED BY PURCHASER ARE based upon breach of contract,negligence,strict liability,tort or any other legal theory, OBJECTED TO BY AND WILL NOT BE BINDING UPON OTTO even if Otto is notified of the possibility of such damages.In all cases,Otto's maximum ENVIRONMENTAL SYSTEMS NORTH AMERICA,LLC OR OCM SOLUTIONS, liability arising out of or relating to these Terms and Conditions and any Purchase LLC(AS THE CASE MAYOTTO" UNLESS SPECIFICALLY ASSENTED Order,regardless of the legal theory,shall not exceed the contract price actually paid BE)("OTTO") by Purchaser in respect of the Products supplied by Otto to which such liability relates. TO IN WRITING BY OTTO.UNLESS EXPLICITLY OBJECTED TO BY Otto shall not be liable for any loss,damage,detention or delay due directly or PURCHASER IN WRITING RECEIVED BY OTTO WITHIN FIVE(5)BUSINESS indirectly to causes beyond its reasonable control,such as acts of God,acts of DAYS,THESE TERMS AND CONDITIONS OF SALE SHALL APPLY TO THIS Purchaser,acts of civil or military authority,fires,strikes,floods,epidemics,war,riot, OFFER,ORDER OF ACKNOWLEDGEMENT,ORDER ACCEPTANCE,OR delays in transportation,government restrictions or embargoes,or difficulties in SALE,WHETHER OR NOT THEY APPLIED TO A PRIOR PURCHASE BY obtaining necessary labor,materials,manufacturing facilities or transportation due to PURCHASER.AS USED IN THESE TERMS AND CONDITIONS OF SALE, such causes. "PRODUCTS"MEANS THOSE PRODUCTS SET FORTH ON THE FRONT SIDE 9.INDEMNIFICATION.Purchaser will defend,indemnify and hold harmless Otto OF THIS DOCUMENT. against all claims,losses,liabilities,damages and expenses on account of any damage 1.ACCEPTANCE.All orders received by Otto are subject to final acceptance to property or injury or death of persons caused by or arising out of or relating to or confirmation by Otto and no terms or orders are binding upon Otto until so Purchaser's(and/or any of Purchaser's employee's,agent's,affiliate's and customer's) accepted. distribution,storage,handling,use,or disposal of Products or caused by or arising out 2.DELIVERIES.Unless otherwise specified by Otto in writing,all deliveries of:(i)any breach of contract by Purchaser;(ii)any tortious acts or omissions of are F.O.B.Otto's place of business(UCC Terms).All deliveries shall be made via Purchaser(and/or any of Purchaser's employees,agents,affiliates and customers);or common carrier or some other reasonable means chosen by Otto.All risk of loss to (iii)any willful misconduct or any violation by Purchaser(and/or by any of Purchaser's Products sold shall pass to Purchaser upon delivery by Otto of such Products to a employees,agents,affiliates and customers)of any applicable law,rule or regulation. common carrier.Title to the Products shall remain with Otto until Purchaser pays the 10.SECURITY AGREEMENT.Purchaser hereby grants to Otto a continuing purchase price in full to Otto.Delivery is conditional on the timely receipt by Otto of purchase money security interest in all Products sold and/or delivered to it and to the documents necessary for the completion of the order,any down payment,and proceeds thereof.Purchaser shall execute and deliver any financing statements and Purchaser's compliance with these terms and conditions.Delivery schedules represent other documents that Otto may reasonably require for the perfection of Otto's security Otto estimates only,and partial deliveries are permissible.Otto will use reasonable interest,and Purchaser hereby authorizes Otto to do all other acts reasonably efforts to meet delivery schedules.Otto will not be liable for any delay in the necessary for the establishment,perfection,preservation,and enforcement of its performance of orders of contracts,or in the delivery or shipment of Products or for any security interest.Purchaser shall maintain adequate insurance against casualty,loss, damages suffered by Purchaser by reason of such delay.Delivery is subject to fire,or theft of the Products for so long as the security interest is in effect. Purchaser maintaining credit satisfactory to Otto.Otto may suspend or delay 11.LIMITATIONS.Any action by Purchaser under or relating to this Agreement performance or delivery at any time pending receipt of assurances,including full or or the Products sold must be commenced within one(1)year after such cause of action partial prepayment or payment of any outstanding amounts owed,adequate to Otto in has accrued. its discretion of Purchaser's ability to pay.Failure to provide such assurances shall 12.GOVERNING LAW;JURISDICTION.This Agreement,and any and all claims entitle Otto to cancel this contract without further liability or obligation to Purchaser. arising out of or related to this Agreement or any of the proposals,negotiations, 3.RECEIVING DELAYS.If for any reason Purchaser fails to accept delivery of any communications or understandings regarding this Agreement shall be governed by and of the Products on the date set forth in the delivery schedules,or if Otto is unable to construed in accordance with the laws of the State of North Carolina("North deliver the Products on such date because Purchaser has not provided appropriate Carolina")applicable to contracts made entirely within and wholly performed in North instructions,documents,licenses or authorizations:(i)risk of loss to the Products shall Carolina,without regard to its choice of law provisions.Any claim,action,suit or pass to Purchaser and(ii)Otto,at its option,may store or arrange for a third party to other proceeding initiated under or in connection with these Terms and Conditions or store the Products until Purchaser picks them up,whereupon Purchaser shall be liable any Purchase Order may be asserted,brought,prosecuted and maintained only in any for all related costs and expenses(including,without limitation,storage and insurance). federal or state court in the State of North Carolina having jurisdiction over the subject 4.PRICES.Unless otherwise specified by Otto on the front side of this matter thereof,and the parties hereby waive any and all right to object to the laying of document,prices are quoted F.O.B.Otto's place of business(UCC Terms).Prices venue in any such court and to any right to claim that any such court maybe an are subject to change by Otto without notice to Purchaser,and those prices set forth inconvenient forum.The parties agree that the United Nations Convention on on the front side of this document will apply to the order.Prices do not include sales, Contracts for the International Sale of Goods shall not apply to this Agreement. use,excise,privilege,or any similar tax levied by any government,and Purchaser shall 13.CUMULATIVE REMEDIES;WAIVER.Except where specifically stated to the pay any such applicable tax.Upon the request of Otto,Purchaser shall provide Otto a contrary,all remedies available to the parties for breach of this Agreement under this tax exemption certificate acceptable to the appropriate taxing authorities. Agreement,at law or in equity,are cumulative and maybe exercised concurrently or 5.TERMS OF PAYMENT.Unless otherwise specified by Otto on the front side separately,and the exercise of any one remedy shall not be deemed an election of of this document,the purchase price shall be due in full by Purchaser thirty(30)days such remedy to the exclusion of other remedies.No waiver by either party to this of tender of delivery of the Products.Extension of credit,if any,may be changed or Agreement of any breach of any provision of this Agreement shall be deemed a withdrawn by Otto at any time.invoices not paid by their due date will be subject course of conduct or a waiver of a subsequent breach of that or any other provision. to carrying charges.Carrying charges shall accrue and be added to the unpaid balance 14.ENTIRE AGREEMENT.Otto and Purchaser acknowledge that these Terms in the amount of one and one-half percent(1-1/2%)per month of any overdue unpaid and Conditions of Sale together with Otto's invoice,constitute the entire agreement balance,or the maximum rate permitted by law,whichever is less.Purchaser shall between Otto and Purchaser with regard to the sale or transfer of the Products sold reimburse Otto for the costs of collection,including,without limitation,reasonable and supersede all prior oral or written statements of any kind made by the parties attorneys'fees,of any overdue amount owed by Purchaser to Otto,and such collection or their representative.These Terms and Conditions of Sale may not be amended, costs shall also be subject to the carrying charges.Purchaser may not hold back or set modified,or supplemented except by written agreement executed by Otto and off any amounts owed to Otto in satisfaction of any claims asserted by Purchaser against Purchaser. Otto. 15.SEVERABILFFY.If any portion of this Purchase Order is found by a court 6.RETURNED GOODS AND CLAIMS.Within ten(10)business days of of competent jurisdiction to be invalid or unenforceable,this Purchase Order shall be delivery to Purchaser,Purchaser must give written notice to Otto of any claim by construed in all respects as if the invalid or unenforceable portion had been omitted Purchaser based upon the condition,quantity,or grade of the Products sold or of any and all other portions are fully enforceable. claimed nonconformity with the Purchaser's specifications,and the notice must 16.ACCOUNT CREDITS.In the event that the Purchaser is entitled to a credit indicate the basis of the claim in detail.Purchaser's failure to comply with this because of a warranty claim or a price adjustment,Otto will honor the credit for a Paragraph shall constitute irrevocable acceptance by Purchaser of the Products delivered period of six(6)months from the date of the credit invoice.Any credits claimed after and shall bind Purchaser to pay to Otto the full price of such Products. six(6)months will be deemed expired.Additionally,Otto will not provide cash for 7.CANCELLATION/CHANGES.Purchaser may not cancel or change an order any claim for credit,but will only allow credits to be redeemed for product. once placed with and accepted by Otto except with the prior written consent of AFFIRMATIVE ACTION.This contractor and subcontractor shall abide by the Otto and upon terms that will indemnify Otto against any loss.Otto may correct requirements of 41 CFR§60-1.4(a),60-300.5(a),and 60-7415(a).These regulations mathematical or clerical errors. prohibit discrimination against qualified individuals based on their status as protected 8.WARRANTY.OTTO IS SELLING TO PURCHASER THE PRODUCTS AND veterans or individuals with disabilities,and prohibit discrimination against all PURCHASER ACCEPTS THE PRODUCTS"AS IS,"AND OTTO EXPRESSLY individuals based on their race,color,religion,sex,sexual orientation,gender identity DISCLAIMS ALL WARRANTIES,EXPRESS OR IMPLIED,ARISING FROM or national origin.Moreover,these regulations require that covered prime contractors COURSE OF DEALING OR USAGE OF TRADE,OR STATUTORY,INCLUDING and subcontractors take affirmative action to employ and advance in employment BUT NOT LIMITED TO THE IMPLIED CONDITIONS AND WARRANTIES OF individuals without regard to race,color,religion,sex,sexual orientation,gender MERCHANTABILITY,QUALITY,FITNESS FOR A PARTICULAR PURPOSE, identity,national origin,protected veteran status or disability. CORRESPONDENCE WITH DESCRIPTION OR QUALITY,TITLE,QUIET POSSESSION AND NON-INFRINGEMENT.