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1993-173ORDINANCE NO 93 -123 AN ORDINANCE AUTHORIZING THE MAYOR TO EXECUTE AN INTERLOCAL AGREEMENT BETWEEN DENTON COUNTY AND THE CITY OF DENTON FOR THE PURCHASE OF FUEL THE COUNCIL OF THE CITY OF DENTON HEREBY ORDAINS SECTION I That the Mayor is hereby authorized to execute an interlocal agreement between Denton County and the City of Denton for the Purchase of Fuel, a copy of which is attached here to and incorporated by reference here in SECTION II That this ordinance shall become effective immediately upon its passage and approval PASSED AND APPROVED this the 4;2 day of 1993 ATTEST JENNIFER WALTERS, CITY SECRETARY BY AP ED A TO LEGAL FORM DE &A A DRAYOVITCH, CITY ATTORNEY BY &4- 1617 DCC DATE SEPTEMBER 21, 1993 CITY COUNCIL REPORT TO Mayor and Members of the City Council FROM Lloyd V Harrell, City Manager SUBJECT INTERLOCAL COOPERATIVEAGREEMENT BETWEEN DENTON COUNTY AND THE CITY OF DENTON FOR THE PURCHASE OF FUEL RECOMM4ENDATION We recommend the Interlocal Agreement allowing for Denton County to purchase fuel and utilize City of Denton fueling facilities be approved SUMMARY Almost a year ago representatives from Denton County and the City of Denton began discussing the possibility of Denton County utilizing our fueling facilities for their local fleet A series of meeting and exchange of documents has lead to consideration of this Interlocal agreement This agreement would allow Denton County to be treated like a "Department of the City" for fueling purposes They agree to pay a fixed markup of 15 per gallon over our actual cost and we in turn agree to furnish the fuel, facility, and vehicle records This agreement appears to be a win-win situation for both entities as well as the local tax payer Commissioner Court considered this agreement in regular session, Tuesday, September 14, 1993 and it appears they will approve the document at their action item agenda on September 21, 1993 With Council approval we intend to make every effort to have this agreement in place by October 1, 1993 BACKGROUND Interlocal Agreement Fleet Services Divisions, FISCAL IMPACT The 15 cent mark up will generate approximately $ 15,000 per year based upon Denton County fuel usage estimates of approximately 10,000 gallons per month Respectfu y subputt Lloyd V Harre Cl Manager roved Name Tom AhAaw:~:=,C P M Title Purchasing Agent STATE OF TEXAS COUNTY OF DENTON INTERLOCAL COOPERATION AGREEMENT This Agreement is made and entered by and between Denton, County, a political subdivision of the State of Texas, hereinafter referred to as "County" and the City of Denton, a home rule munici- pal corporation of Denton County, Texas, hereinafter referred to as "City" WHEREAS, COUNTY is a duly organized political subdivision of the State of Texas engaged in the administration of County Govern- ment and related services for the benefit of the citizens of Denton County, and WHEREAS, COUNTY, in providing these services to its citizens utilizes vehicles and requires a source of fuel for operation of its vehicles, and WHEREAS, CITY is the owner of certain facilities and equipment designed for the provision of vehicle fuel, and WHEREAS, COUNTY desires to utilized the CITY's fueling facili- ties and equipment, and WHEREAS, COUNTY and CITY mutually desire to be subject to the provisions of TEX GOVT CODE ANN ch 791, the Interlocal Coopera- tion Act and contract pursuant thereto, NOW THEREFORE, COUNTY and CITY, for the mutual consideration hereinafter stated, agree as follows A COVENANTS OF THE CITY 1 CITY shall provide COUNTY with access to its fuel facility located at 901 Texas Street, Denton, Texas, for the purpose of obtaining fuel for COUNTY's vehicles This access shall be provided 24 hours daily within a secure, lighted area upon the CITY's property 2 CITY shall provide COUNTY with fuel cards to access fueling facilities The initial number of fuel card issued shall be 93 cards The COUNTY will distribute fuel cards to authorized COUNTY personnel and billing records shall be maintained by the CITY for all fuel obtained by the COUNTY based upon the fuel utilized on each card 8 COVENANTS OF THE COUNTY 1 COUNTY agrees to pay to CITY the amount of One Thousand Seven Hundred Fifty and no/100 Dollars ($1,750 00) for the initial PAGE 1 number of fuel cards used to gain access to the CITY's fuel facility In the event any additional cards are required, the COUNTY agrees to pay CITY the sum of Five and no/100 Dollars ($5 00) per additional card 2 COUNTY agrees to pay for all fuel provided pursuant to this Agreement on a per gallon basis at a rate calculated as follows Actual per gallon cost of fuel as purchased by the City plus fifteen cents ($0 15) per gallon 3 County agrees upon receipt of monthly statement to remit any funds owed for fuel usage within thirty (30) days from the date of said statement II CITY and COUNTY agree that CITY makes no warranty of any kind, express or implied, regarding quality of the fuel or the facilities provided pursuant to this Agreement COUNTY assumes all risk and liability resulting from the use of the fuel or facilities covered by this Agreement III Except as provided in the paragraph above, CITY agrees to and accepts full responsibility for the acts, negligence, and/or omis- sions of all the CITY's employees, and agents, CITY's subcontrac- tors, and/or contract laborers doing work under a contact or agree- ment with CITY in performance of this Agreement with said COUNTY COUNTY agrees to and accepts full responsibility for the acts, negligence, and/or omissions of all of the COUNTY's employees, and agents, COUNTY's subcontractors, and/or contract laborers doing work under an agreement or contract with COUNTY in performance of this agreement with CITY It is further agreed that if a claim or liability shall arise from the joint or concurring negligence of both parties hereto, it shall be borne by them comparatively in accordance with the laws of the State of Texas This paragraph shall not be construed as a waiver by either party of any defense available to it under the laws of the State of Texas It is understood that it is not the intention of the parties hereto to create liability for the benefit of third parties, but that this agreement shall be for the benefit of the parties hereto IV The term of this Agreement shall be for a period of one year commencing as of October 1, 1993 and ending September 30, 1994 Thereafter, this Agreement shall be renewed for successive additional one (1) year terms commencing on September 1 of each year if the COUNTY and CITY agree in writing on or before the first PAGE 2 day of September to the successive term and the amount of consider- ation to be paid hereunder for each successive term Either party may terminate this Agreement at any time upon thirty (30) days written notice to the other V Any notice or other written instrument required or permitted to be delivered under the terms of this Agreement shall be deemed to have been delivered, whether actually received or not, when de- posited in the United States mail, postage prepaid, registered or certified, return receipt requested, addressed to the parties, as the case may be, at the following addresses COUNTY Denton County, Texas Attn County Judge Denton County Courthouse Denton, Texas 76201 CITY City of Denton Attn City Manager 215 E McKinney Denton, Texas 76201 VI This Agreement represents the entire and integrated agreement between COUNTY and CITY and supersedes all prior negotiations, representations, and/or agreements, either written or oral This Agreement may be amended only by written instrument signed by both COUNTY and CITY VII This Agreement and any of its terms or provisions, as well as the rights and duties of the parties hereto, shall be governed by the laws of the State of Texas VIII In the event that any portion of this Agreement shall be found to be contrary to law, it is the intent of the parties hereto that the remaining portions shall remain valid and in full force and effect to the extent possible IX The undersigned officer and/or agents of the parties hereto are the properly authorized officials and have the necessary authority to execute this Agreement on behalf of the parties hereto, and each party hereby certifies to the other that any necessary resolutions extending said authority have been duly passed and are now in full force and effect PAGE 3 EXECUTED in duplicate originals this the c2l day of e d , 1993 DENTON COUNTY By AT T z n Y ^ Deputy, County Clerk APPROVED AS TO LEGA By A Attorney for Denton Cou y CITY OF DENTON By A=40,41 Bob Castleberry, Mayo ATTEST By Cit -ml ecret APP OVED AS TO LEGAL FORM B At o ey or the City f D E \WPDDCS\K\FUEL K PAGE 4