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Signed Contract_Hawkins Inc. for Eagle Point Water Plant Sodium HypochloriteCity of Dubuque City Council Meeting Consent Items # 17. Copyrighted September 20, 2021 ITEM TITLE: Signed Contract(s) SUMMARY: Vendor Service Agreement with Hawkins I nc. for the Eagle Point Water Plant Sodium Hypochlorite; Seventh Amendment to Facility Management Agreement with Platinum Hospitality Group, LLC. SUGGESTED Suggested Disposition: Receive and File DISPOSITION: ATTACHMENTS: Description Type Hawkins Inc. for the Eagle Point Water Plant Sodium Supporting Documentation Hypochlorite Platinum Hospitality Group, LLC Facility Management Supporting Documentation Agreement Platinum Hospitality Group, LLC Facility Management Supporting Documentation Agreement THE CITY OF Dubuque DUB TE ericaCi� Masterpiece on the Mississippi '007.2012. 701 TO: Michael C. Van Milligen, City Manager FROM: Christopher Lester, Water Department Manager SUBJECT: Annual Eagle Point Water Plant Sodium Hypochlorite Bid Award DATE: September 7, 2021 INTRODUCTION The purpose of this memorandum is to recommend the City award the Sodium Hypochlorite contract (drinking water disinfection) to Hawkins Inc. of Roseville, Minnesota. BACKGROUND The City of Dubuque's Public Water Supply Operation Permit requires the city to apply and maintain a disinfectant residual in the distribution system. The City achieves this with the addition of sodium hypochlorite in liquid form. The City purchases sodium hypochlorite from vendors that are able to produce the product meeting the strict standards of NSF/ANSI 60. NSF is the National Science Foundation. NSF develops public health standards and certification programs that help protect food including drinking water. DISCUSSION The City prepared bid documents for supplying and delivering sodium hypochlorite to the Eagle Point Water Plant on August 12, 2021. The City received two complete bid packets. The lowest bidder was Hawkins Inc of Roseville, Minnesota. A bid summary is. Company Hawkins Inc Rowell Chemical Corporation Loads < 4,200 gals Loads > 4,200 gals $ 1.20/gal $ 1.05/gal $ 1.70/gal $ 1.62/gal After review of the bids including confirmation of insurance, delivery methods, and verification of the product meeting NSF standards, the recommendation is to enter into an agreement with Hawkins Inc. BUDGETIMPACT Using a three-year actual expense period (FY19 $34,661; FY20 $30,744; and FY21 $27,529), the average 12-month expense is $30,978. In FY2021, the price per gallon increased to $1.05 per gallon. The current bid from Hawkins is $1.05 per gallon for full loads. Based on delivery of full loads (typical loads are 4,500 gallons), the 12-month expense is estimated to be $37,800. which is $10,271 above FY2021 actual expenses, or $6,822 above the three- year average. The terms of the contract will be written as stated in the bid documents, that the City can extend the contract beyond FY20, should a price increase and contract terms continue to be mutually agreeable. ACTION REQUESTED I am requesting approval to proceed with awarding the bid and the City enter into a contract with Hawkins Inc of Roseville, Minnesota. cc: Jenny Larson, Budget Director Tony Breitbach, Purchasing Coordinator THE CITY OF DUB E Masterpiece on the Mississippi CITY OF DUBUQUE, IOWA SHORT FORM VENDOR SERVICE AGREEMENT City of Dubuque Water Department Eagle Point Water Plant 1902 Hawthorne Street Dubuque, IA 52001 (563) 589-4291 THIS VENDOR SERVICE AGREEMENT (the Contract), between the City of Dubuque, Iowa (City), by its City Manager, through authority conferred upon the City Manager by its City Council and HAWKINS INC. (Vendor) of the City of (Vendor Name) 2381 ROSEGATE. ROSEVILLE, MN 55113 TITLE: EAGLE POINT WATER PLANT SODIUM HYPOCHLORITE For and in consideration of the mutual covenants herein contained, the parties hereto agree as follows: VENDOR AGREES: 1. To furnish all material and equipment and to perform all labor necessary for (the Work The supply delivery, and testing of SODIUM HYPOCHLORITE to the City of Dubuque EAGLE POINT WATER PLANT The work described above shall be completed at the following location(s): EAGLE POINT WATER PLANT The Work shall be completed in strict accordance with the terms as described in this Contract; in strict accordance with the requirements of the laws of the State of Iowa and ordinances of the City of Dubuque, and in accordance with the Request for Bid (RFB) Documents which provisions and documents are each and all hereby referred to and made a part of this Contract just as much as if the detailed statements thereof were repeated herein. Page 1 of 9 2. Contract Documents shall mean and include the following: This Contract; all ordinances and resolutions heretofore adopted by the City Council having to do with this Work; the Vendor's Proposal; and any, Specifications and General Requirements as adopted by the City Council for the Work which are listed in the Special Conditions section of this Contract. 3. All materials used by the Vendor on this Work shall be of the quality required by the Contract Documents and shall be put in place in accordance with the Contract Documents. 4. The Vendor shall remove any materials rejected by the City Manager as defective or improper, or any of said work condemned as unsuitable or defective, and the same shall be replaced or done anew to the satisfaction of the City Manager at the cost and expense of the Vendor. 5. The Vendor has read and understands the Contract Documents and has examined and understands the Work description described in Section 1 of this Agreement and any attached Special Conditions herein referred to and agrees not to plead misunderstanding or deception because of estimates of quantity, character, location or other conditions surrounding the same. 6. The term of the contract shall be September 13, 2021 through September 13, 2022. The contract may be extended by written mutual agreement by the City and the vendor. No price escalation will be allowed during the initial term of the contract. If it is mutually decided to renew beyond the initial period and the vendor requests a price increase, the vendor shall provide sufficient written certification and documentation to substantiate the request. Any price increase will be at the sole discretion of the City. 7. INDEMNIFICATION FROM THIRD PARTY CLAIMS. To the fullest extent permitted by law, Vendor shall defend, indemnify and hold harmless City, its officers and employees, from and against all claims, damages, losses and expenses claimed by third parties, but not including any claims, damages, losses or expenses of the parties to this Contract, including but not limited to attorneys' fees, arising out of or resulting from performance of this Contract, provided that such claim, damages, loss or expense is attributable to bodily injury, sickness, disease or death, or injury to or destruction of property, including loss of use resulting therefrom, but only to the extent caused in whole or in part by negligent acts or omissions of Vendor, or anyone directly or indirectly employed by Vendor or anyone for whose acts Vendor may be liable, regardless of whether or not such claim, damage, loss or expense is caused in part by a party indemnified hereunder. 8. Unless otherwise specified in the Contract Documents, prior to the commencement of any work on this Work and at all times during the performance of this Contract, the Vendor shall provide evidence of insurance which meets the requirements of the City's Insurance Schedule attached to this Contract and listed in the Special Conditions section. 9. The City of Dubuque in accordance with Title VI of the Civil Rights Act of 1964, 78 Stat. 252, 42 U.S.C. 2000d-2000d-4 and Title 49, Code of Federal Regulations, Department of Transportation, Subtitle A, Office of the Secretary, Part 21, Nondiscrimination in Federally assisted programs of the Department of Transportation issued pursuant to such Act, hereby notifies all bidders that it Page 2 of 9 will affirmatively insure that in any contract entered into pursuant to this advertisement, minority business enterprises will be afforded full opportunity to submit bids in response to this invitation and will not be discriminated against on the grounds of race, color, national origin, sex, age, or disability in consideration for an award. THE CITY AGREES: Upon the agreed to work performed under this Contract, and the acceptance of the work by the City Manager, the City agrees to pay the Vendor as stipulated in the contract documents for complete performance of this Contract, at the prices stated in the Vendor's Proposal in these Contract Documents. The work as stated in the Contract Documents is approximate only, and the actual payment shall be made for the actual work completed, measured, and invoiced. PRICE PER GALLON OF SODIUM HYPOCHLORITE $ 1.05* *SEE SPECIAL CONDITIONS $ 1.20/gallon for 2800-3500 gal CITY OF DUBUQUE, IOWA By: ichael C. Van illigen City Manager VENDOR: 9/9/2021 HAWKINS INC. Date Company Name By: Signat&e Tracy Lewis Printed Name Bid Coordinator Title VENDOR ACKNOWLEDGEMENT OF ATTACHED SPECIAL CONDITIONS: By:� Signcture Tracy Lewis Printed Name Title Bid Coordinator 9/3/21 Date 9/3/21 Date Page 3 of 9 I�T�Ci71 � � � � TiZ��ll�iTiT%R1CTi���iYll . � � lR�lilF�U���i 1.ATTACHED BID SUBMITTAL FORM DATED 8-31-2021 CONFIRMING SHORT LOAD PRICING OF $01.20/GAL 2. INSURANCE SCHEDULE G Page 4 of 9 REV. 07/18 August 31, 2021 QUOTATION FOR CITY OF DUBUQUE EAGLE POINT WATER PLANT ITEM: VERTEX CSS-12, Sodium Hypochlorite Solution; CONTRACT PERIOD: One year from date of award; ESTIMATED VOLUME: 45,000 gallons annually; MINIMUM QUANTITY: 2,800 gallons per delivery; UNIT PRICE: $1,05/ gallon, 4,400+ gallons delivered; $1,20/gallon, 2,800 — 3,500 gallons delivered; PRICE PROTECTION: Firm for contract period; Hawkins, Inc. 2381 Rosegate Roseville, MN 55113 Phone: (612) 331.010 fax: (612) 331.5304 DEMURRAGE: One and one half (1%) hours free unloading; over one and one half (1%) hours billed at $70,00/hour in quarter hour increments; HOLIDAYS/SU N DAYS: N/A; FUELSURCHARGE: Waived; TAXES: Will be charged unless exemption certificate furnished; TERMS: Net 30 days from the date of invoice; LEAD TIME: 4 days normal; sooner in emergencies; SHIPPING MODE: Hawkins tankers; SSHE PROVISIONS: MSDS and Specification Sheets enclosed. Additional safety, security, health and environmental instructions are available without charge SPECIAL CONDITION NO. 2 INSURANCE SCHEDULE G - SPECIMEN Vendor shall furnish a signed certificate of insurance to the City of Dubuque, Iowa for the coverage required in Exhibit I prior to the contract commencement. Each certificate shall be prepared on the most current ACORD form approved by the Iowa Insurance Division or an equivalent. Each certificate shall include a statement under Description of Operations "Emulsion Polymer Contract 2. All policies of insurance required hereunder shall be with an insurer authorized to do business in Iowa and all insurers shall have a rating of A or better in the current A.M. Best's Rating Guide. 3. Each certificate shall be furnished to the Finance Department of the City of Dubuque. 4. The vendor shall be required to carry the minimum coverage/limits, or greater if required by law or other legal agreement, in Exhibit I. Failure to provide the required minimum coverage shall not be deemed a waiver of such requirements by the City of Dubuque. 5. Failure to obtain or maintain the required insurance shall be considered a material breach of this agreement. 6. All required endorsements shall be attached to certificate. 7. Whenever a specific ISO form is referenced the current edition of the form must be used unless an equivalent form is approved by the Finance Director. The vendor must identify or list in writing all deviations and exclusions from the ISO form. 8. If vendor's limits of liability are higher than the required minimum limits then the vendor's limits shall be this agreement's required limits. 9. Vendor shall require all subcontractors and sub -subcontractors to obtain and maintain during the performance of work insurance for the coverages described in this Insurance Schedule and shall obtain certificates of insurance from all such subcontractors and sub -subcontractors. Vendor agrees that it shall be liable for the failure of a subcontractor and sub -subcontractor to obtain and maintain such coverage. The City may request a copy of such certificates from the Vendor. Page 6 of 9 EXHIBIT I A) COMMERCIAL GENERAL LIABILITY General Aggregate Limit $2,000,000 Products -Completed Operations Aggregate Limit $1,000,000 Personal and Advertising Injury Limit $1,000,000 Each Occurrence $1,000,000 Fire Damage Limit (any one occurrence) $50,000 Medical Payments $5,000 1) Coverage shall be written on an occurrence, not claims made, form. The general liability coverage shall be written in accord with ISO form CG0001 or business owners form BP0002. All deviations from the standard ISO commercial general liability form CG 0001, or Business owners form BP 0002, shall be clearly identified. 2) Include ISO endorsement form CG 25 04 "Designated Location(s) General Aggregate Limit." 3) Include endorsement indicating that coverage is primary and non-contributory. 4) Include Preservation of Governmental Immunities Endorsement (Sample attached). 5) Include additional insured endorsement for: The City of Dubuque, including all its elected and appointed officials, all its employees and volunteers, all its boards, commissions and/or authorities and their board members, employees and volunteers. Use ISO form CG 20 10 (Ongoing operations) or its equivalent. 6) Policy shall include Waiver of Right to Recover from Others endorsement. 7) If vendor utilizes Trikkes or Segways in the conduct of business, include an endorsement reflecting that these vehicles are not excluded from Commercial General Liability coverage. B) WORKERS' COMPENSATION & EMPLOYERS LIABILITY Statutory benefits covering all employees injured on the job by accident or disease as prescribed by Iowa Code Chapter 85 as amended. Coverage A Statutory —State of Iowa Coverage B Employers Liability Each Accident $100,000 Each Employee -Disease $100,000 Policy Limit -Disease $500,000 Policy shall include Waiver of Right to Recover from Other endorsement. Nonelection of Workers' Compensation or Employers' Liability Coverage under Iowa Code sec. 87.22 yes form attached Page 7 of 9 C) ENVIRONMENTAL IMPAIRMENT LIABILITY OR POLLUTION LIABILITY Coverage required: _X—yes no Pollution liability coverage shall be required if the lessee, contracting party, or permittee has any pollution exposure for abatement of hazardous or contaminated materials including, but not limited to, petroleum products, the removal of lead, asbestos, or PCBs. Pollution product and completed operations coverage shall also be covered. Each Occurrence $2,000,000 Policy Aggregate $4,000,000 1) Policy to include job site and transportation coverage. 2) Include additional insured for: The City of Dubuque, including all its elected and appointed officials, all its employees and volunteers, all its boards, commissions and/or authorities and their board members, employees and volunteers. Use ISO form CG 20 10. (Ongoing operations) as stated in A(6) above or its equivalent. 3) Include Preservation of Governmental Immunities Endorsement. 4) Provide evidence of coverage for 5 years after completion of project. D) PROFESSIONAL LIABILITY $1,000,000 Coverage required: yes _X no Provide evidence of coverage for 5 years after completion of project. E) CYBER LIABILITY$1,000,000 Coverage required: yes X_no Coverage for First and Third -Party liability including but not limited to lost data and restoration, loss of income and cyber breach of information. F) UMBRELLA/EXCESS $1,000,000 X yes no Umbrella/excess liability coverage must be at least following form with the underlying policies included herein. PRESERVATION OF GOVERNMENTAL IMMUNITIES ENDORSEMENT Page 8 of 9 Nonwaiver of Governmental Immunity. The insurer expressly agrees and states that the purchase of this policy and the including of the City of Dubuque, Iowa as an Additional Insured does not waive any of the defenses of governmental immunity available to the City of Dubuque, Iowa under Code of Iowa Section 670.4 as it is now exists and as it may be amended from time to time. Claims Coverage. The insurer further agrees that this policy of insurance shall cover only those claims not subject to the defense of governmental immunity under the Code of Iowa Section 670.4 as it now exists and as it may be amended from time to time. Those claims not subject to Code of Iowa Section 670.4 shall be covered by the terms and conditions of this insurance policy. Assertion of Government Immunity. The City of Dubuque, Iowa shall be responsible for asserting any defense of governmental immunity and may do so at any time and shall do so upon the timely written request of the insurer. 4. Non -Denial of Coverage. The insurer shall not deny coverage under this policy and the insurer shall not deny any of the rights and benefits accruing to the City of Dubuque, Iowa under this policy for reasons of governmental immunity unless and until a court of competent jurisdiction has ruled in favor of the defense(s) of governmental immunity asserted by the City of Dubuque, Iowa. No Other Change in Policy.The above preservation of governmental immunities shall not otherwise change or alter the coverage available under the policy. SPECIMEN Page 9 of 9