2006-193
ORDINANCE NO. 200b- Fl3
AN ORDINANCE ACCEPTING COMPETITIVE BIDS AND A WARDING A CONTRACT FOR
THE INSTALLATION OF MANHOLES FOR THE CITY OF DENTON
W ATER/W ASTEW A TER DEPARTMENT; PROVIDING FOR THE EXPENDITURE OF FUNDS
THEREFOR; AND PROVIDING FOR AN EFFECTIVE DATE (BID 3488-MONOLITHIC
POURED CONCRETE MANHOLE INSTALLATION AWARDED TO LOWEST RESPONSIBLE
BIDDER MEETING SPECIFICATIONS, LONE STAR MANHOLE AND STRUCTURES, LLC,
IN AN AMOUNT NOT TO EXCEED $60,000).
WHEREAS, the City has solicited, received and tabulated competitive bids for the purchase
of necessary materials, equipment, supplies or services in accordance with the procedures ofST A TE
law and City ordinances; and
WHEREAS, the City Manager or a designated employee has reviewed and recommended that
the herein described bids are the lowest responsible bids for the materials, equipment, supplies or
services as shown in the "Bid Proposals" submitted therefor; and
WHEREAS, the City Council has provided in the City Budget for the appropriation offunds
to be used for the purchase of the materials, equipment, supplies or services approved and accepted
herein; NOW, THEREFORE,
THE COUNCIL OF THE CITY OF DENTON HEREBY ORDAINS:
SECTION I. The numbered items in the following numbered bids for materials, equipment,
supplies, or services, shown in the "Bid Proposals" on file in the office ofthe City Purchasing Agent,
are hereby accepted and approved as being the .lowest responsible bids for such items:
BID
NUMBER
VENDOR
AMOUNT
3488
Lone Star Manhole and Structures, LLC
$60,000
SECTION 2. City Council finds the bids submitted by Harrison Structures, Inc. did not meet
specifications and are therefore rejected.
SECTION 3. By the acceptance and approval ofthe above numbered items ofthe submitted
bids, the City accepts the offer of the persons submitting the bids for such items and agrees to pur-
chase the materials, equipment, supplies or services in accordance with the terms, specifications,
standards, quantities and for the specified sums 'contained in the Bid Invitations, Bid Proposals, and
related documents. I
SECTION 4. Should the City and the winning bidder(s) wish to enter into a formal written
agreement as a result ofthe acceptance, approval, and awarding ofthe bids, the City Manager or his
designated representative is hereby authorized to execute a written contract in accordance with the
terms, conditions, specifications, standards, quantities and specified sums contained in the Bid
"
Proposal and related documents and to extend that contract as determined to be advantageous to the
City of Denton.
SECTION 5. By the acceptance and approval ofthe above enumerated bids, the City Council
hereby authorizes the expenditure of funds therefor in the amount and in accordance with the
approved bids.
SECTION 6. This ordinance shall become effective immediately upon its passage and
approval.
PASSED AND APPROVED this I tJii day of Q-aI~ ' 2006.
6;;:J}t!d.
ATTEST:
JENNIFER WALTERS, CITY SECRETARY
BY:
BY:
3-0RD-Bid 348
3
Exhibit A
BID #3488
DATE: 5/2/06
ANNUAL CONTRACT FOR INSTALLATION OF MONOLITHIC
POURED CONCRETE MANHOLES
No,
DESCRIPTION
Principle Place of Business:
Estimated combined quantity (4',5' & 6') is approximately
50 individual installations per year
4' Dia, Manhole 0-6' Depth
1A 4' Dla, Extra Verticle Ft.
1 B 4' Dia, Flat Top
2 5' Dia, Manhole 0-6' Depth
2A 5' Dia, Extra Verticle Ft.
28 5' Dia, Flat Top
3 6' Dia, Manhole 0-6' Depth
3A 6' Dia, Extra Verticle Ft.
38 6' Dia, Flat Top
SHIPMENT
VENDOR
lone Star
Manhole &
Structures, llC
Garland, TX
$800,00
$90,00
$125,00
$1,260.00
$125,00
$195,00
$2,085,00
$195,00
$330,00
1-2 days
CONTRACT AGREEMENT
STATE OF TEXAS
S COUNTY OF DENTON S
THIS AGREEMENT, made and entered into this 19th day of Julv A.D., 2006, by and
between Citv of Denton of the County of Denton and State of Texas,
acting through Howard Martin thereunto duly authorized so to do, hereinafter termed
"OWNER," and
Lone Star Manholes and Structures. LLC
3607 Broadwav Blvd" Ste. 4
Garland. TX 75043
of the City of Garland County of Dallas
termed "CONTRACTOR."
and State of Texas
hereinafter
WITNESSETH: That for and in consideration of the payments and agreements hereinafter
mentioned, to be made and performed by OWNER, and under the conditions expressed in the bonds
attached hereto, CONTRACTOR hereby agrees with OWNER to commence and complete performance
of the work specified below:
Bid #3488 - Lone Star Manholes and Structures. LLC
in the amount not to exceed $60.000 and all extra work in connection therewith, under the terms as
stated in the General Conditions of the agreement; and at his (or their) own proper cost and expense to
furnish all materials, supplies, machinery, equipment, tools, superintendence, labor, insurance, and other
accessories and services necessary to complete the work specified above, in accordance with the
conditions and prices stated in the Proposal and the Performance and Payment Bonds, attached hereto,
and in accordance with all the General Conditions of the Agreement, the Special Conditions, the Notice
to Bidders (Advertisement for Bids), and Instructions to Bidders, as referenced herein and on file in the
office of the Purchasing Agent, and in accordance with all local, state and federal laws; and plans,
which includes all maps, plats, blueprints, and other drawings and printed or written explanatory matter
thereof, and the Specifications therefore, as prepared by:
Citv of Denton Waste Water Department
all of which are referenced herein and made a part hereof and collectively evidence and constitute the
entire contract.
CA-l
'.
Independent Status
It is mutually understood and agreed by and between City and Contractor that Contractor is an
independent contractor and shall not be deemed to be or considered an employee of the City of Denton,
Texas, for the purposes of income tax, withholding, social security taxes, vacation or sick leave benefits,
worker's compensation, or any other City employee benefit. City shall not have supervision and control
of Contractor or any employee of Contractor, and it is expressly understood that Contractor shall
perform the services hereunder according to the attached specifications at the general direction of the
City Manager of the City of Denton, Texas, or his designee under this agreement.
Indemnification
Contractor covenants and agrees to and does hereby indemnify, hold harmless and defend, at its
own expense, Owner, its officers, servants and employees, from and against any and all claims or suits
for property loss or damage and/or personal injury, including death, to any and all persons, of
whatsoever kind or character, whether real or asserted, arising out of the Work and services to be
performed hereunder by Contractor, its officers, agents, employees, subcontractors, licensees orinvitees,
whether or not caused, in whole or in part, by the alleged negligence of the officers, servants,
employees, ofthe Owner. Contractor likewise covenants and agrees to, and does hereby, indemnify and
hold harmless Owner during the performance of any of the terms and conditions of this Contract,
whether arising out of in whole or in part, any and all alleged acts or omissions of officers, servants, or
employees of Owner. The provisions of this paragraph are solely for the benefit of the parties hereto
and not intended to create or grant any rights, contractual or otherwise, to any other person or entity.
Choice of Law and Venue
This agreement shall be governed by the law of the State of Texas and venue for its construction
and enforcement shall lie in the courts of Denton County, Texas.
The CONTRACTOR hereby agrees to commence work on or after the date established for the
start of work as set forth in written notice to commence work and complete all work within the time
stated in the Proposal, subject to such extensions of time as are provided by the General and Special
Conditions.
The OWNER agrees to pay the CONTRACTOR in current funds the price or prices shown in
the Proposal, which forms a part of this contract, such payments to be subject to the General and Special
Conditions of the Contract.
CA-2
IN WITNESS WHEREOF, the parties of these presents have executed this agreement in the year
and day first above written.
ATTEST:
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City of Denton
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TITLE
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CITY OF DENTON
INSURANCE REQUIREMENTS FOR CONTRACTORS
Bidder's attention is directed to the insurance requirements below. It is highly
recommended that bidders confer with their respective insurance carriers or brokers to
determine in advance of Bid submission the availability of insurance certificates and
endorsements as prescribed and provided herein. If an apparent low bidder fails to
comply strictly with the insurance requirements, that bidder may be disqualified from
award of the contract. Upon bid award, all insurance requirements shall become
contractual obligations, which the successful bidder shall have a duty to maintain
throughout the course of this contract.
STANDARD PROVISIONS:
Without limiting any of the other obligations or liabilities of the Contractor, the Contractor shall
provide and maintain until the contracted work has been completed and accepted by the City
of Denton, Owner, the minimum insurance coverage as indicated hereinafter.
As soon as practicable after notification of bid award, Contractor shall file with the Purchasing
Department satisfactory certificates of insurance, containing the bid number and title of the
project. Contractor may, upon written request to the Purchasing Department, ask for
clarification of any insurance requirements at any time; however, Contractors are strongly
advised to make such requests prior to bid opening, since the insurance requirements may
not be modified or waived after bid opening unless a written exception has been submitted
with the bid. Contractor shall not commence any work or deliver any material until he or
she receives notification that the contract has been accepted, approved, and signed by
the City of Denton.
All insurance policies proposed or obtained in satisfaction of these requirements shall comply
with the following general specifications, and shall be maintained in compliance with these
general specifications throughout the duration of the Contract, or longer, if so noted:
. Each policy shall be issued by a company authorized to do business in the State of
Texas with an A.M. Best Company rating of at least A.
. Any deductibles or self-insured retentions shall be declared in the bid proposal. If
requested by the City, the insurer shall reduce or eliminate such deductibles or
self-insured retentions with respect to the City, its officials, agents, employees and
volunteers; or, the contractor shall procure a bond guaranteeing payment of losses and
related investigations, claim administration and defense expenses.
. Liability policies shall be endorsed to provide the following:
. Name as additional insured the City of Denton, its Officials, Agents, Employees
and volunteers.
. That such insurance is primary to any other insurance available to the additional
insured with respect to claims covered under the policy and that this insurance
applies separately to each insured against whom claim is made or suit is
brought. The inclusion of more than one insured shall not operate to increase
the insurer's limit of liability.
. All policies shall be endorsed to read:
"SAID POLICY SHALL NOT BE CANCELLED, NONRENEWED OR MA TERIALL Y
CHANGE WITHOUT 30 DAYS ADVANCED WRITTEN NOTICE BEING GIVEN TO
THE OWNER (CITY) EXCEPT WHEN THE POLICY IS BEING CANCELLED FOR
NONPAYMENT OF PREMIUM IN WHICH CASE 10 DAYS ADVANCE WRITTEN
NOTICE IS REQUIRED".
. Should any of the required insurance be provided under a claims-made form, Contractor
shall maintain such coverage continuously throughout the term of this contract and,
without lapse, for a period of three years beyond the contract expiration, such that
occurrences arising during the contract term which give rise to claims made after
expiration of the contract shall be covered.
. Should any of the required insurance be provided under a form of coverage that
includes a general annual aggregate limit providing for claims investigation or legal
defense costs to be included in the general annual aggregate limit, the Contractor shall
either double the occurrence limits or obtain Owners and Contractors Protective
Liability Insurance.
. Should any required insurance lapse during the contract term, requests for payments
originating after such lapse shall not be processed until the City receives satisfactory
evidence of reinstated coverage as required by this contract, effective as of the lapse
date. If insurance is not reinstated, City may, at its sole option, terminate this
agreement effective on the date of the lapse.
SPECIFIC ADDITIONAL INSURANCE REQUIREMENTS:
All insurance policies proposed or obtained in satisfaction of this Contract shall additionally comply
with the following marked specifications, and shall be maintained in compliance with these
additional specifications throughout the duration of the Contract, or longer, if so noted:
[X] A. General Liability Insurance:
General Liability insurance with combined single limits of not less than ~500.000 shall
be provided and maintained by the Contractor. The policy shall be written on an
occurrence basis either in a single policy or in a combination of underlying and
umbrella or excess policies.
If the Commercial General Liability form (ISO Form CG 0001 current edition) is used:
. Coverage A shall include premises, operations, products, and completed
operations, independent contractors, contractual liability covering this contract
and broad form property damage coverage.
. Coverage B shall include personal injury.
. Coverage C, medical payments, is not required.
If the Comprehensive General Liability form (ISO Form GL 0002 Current Edition
and ISO Form GL 0404) is used, it shall include at least:
. Bodily injury and Property Damage Liability for premises, operations, products
and completed operations, independent contractors and property damage
resulting from explosion, collapse or underground (XCU) exposures.
. Broad form contractual liability (preferably by endorsement) covering this
contract. personal injury liability and broad form property damage liability.
[X] Automobile Liability Insurance:
Contractor shall provide Commercial Automobile Liability insurance with Combined Single
Limits (CSL) of not less than $300,000 either in a single policy or in a combination of basic
and umbrella or excess policies. The policy will include bodily injury and property damage
liability arising out of the operation, maintenance and use of all automobiles and mobile
equipment used in conjunction with this contract.
Satisfaction of the above requirement shall be in the form of a policy endorsement for:
. any auto, or
. all owned, hired and non-owned autos.
[X] Workers Compensation Insurance
Contractor shall purchase and maintain Worker's Compensation insurance which, in
addition to meeting the minimum statutory requirements for issuance of such insurance,
has Employer's Liability limits of at least $100,000 for each accident, $100,000 per each
employee, and a $500,000 policy limit for occupational disease. The City need not be
named as an "Additional Insured" but the insurer shall agree to waive all rights of
subrogation against the City, its officials, agents, employees and volunteers for any work
performed for the City by the Named Insured. For building or construction projects, the
Contractor shall comply with the provisions of Attachment 1 in accordance with 9406.096 of
the Texas Labor Code and rule 28TAC 110.110 of the Texas Worker's Compensation
Commission (TWCC).
[ ] Owner's and Contractor's Protective Liability Insurance
The Contractor shall obtain, pay for and maintain at all times during the prosecution of the
work under this contract, an Owner's and Contractor's Protective Liability insurance policy
naming the City as insured for property damage and bodily injury which may arise in the
prosecution of the work or Contractor's operations under this contract. Coverage shall be
on an"occurrence" basis, and the policy shall be issued by the same insurance company
that carries the Contractor's liability insurance. Policy limits will be at least $
combined bodily injury and property damage per occurrence with a $
aggregate.
[ ] Fire Damage Legal Liability Insurance
Coverage is required if Broad form General Liability is not provided or is unavailable to the
contractor or if a contractor leases or rents a portion of a City building. Limits of not less
than each occurrence are required.
[ ] Professional Liability Insurance
Professional liability insurance with limits not less than $ per claim with respect
to negligent acts, errors or omissions in connection with professional services is required
under this Agreement.
[] Builders' Risk Insurance
Builders' Risk Insurance, on an All-Risk form for 100% of the completed value shall be
provided. Such policy shall include as "Named Insured" the City of Denton and all
subcontractors as their interests may appear.
[ ] Commercial Crime
Provides coverage for the theft or disappearance of cash or checks, robbery inside/outside
the premises, burglary of the premises, and employee fidelity. The employee fidelity
portion of this coverage should be written on a "blanket" basis to cover all employees,
including new hires. This type insurance should be required if the contractor has access to
City funds. Limits of not less than $ each occurrence are required.
[ ] Additional Insurance
Other insurance may be required on an individual basis for extra hazardous contracts and
specific service agreements. If such additional insurance is required for a specific contract,
that requirement will be described in the "Specific Conditions" of the contract specifications.
ATTACHMENT 1
[Xl Worker's Compensation Coverage for Building or Construction Projects for
Governmental Entities
A. Definitions:
Certificate of coverage ("certificate")-A copy of a certificate of insurance, a certificate of
authority to self-insure issued by the commission, or a coverage agreement (TWCC-
81, TWCC-82, TWCC-83, or TWCC-84), showing statutory workers' compensation
insurance coverage for the person's or entity's employees providing services on a
project, for the duration of the project.
Duration of the project - includes the time from the beginning of the work on the project
until the contractor's/person's work on the project has been completed and accepted
by the governmental entity.
Persons providing services on the project ("subcontractor" in 9406.096) - includes all
persons or entities performing all or part of the services the contractor has undertaken
to perform on the project, regardless of whether that person contracted directly with the
contractor and regardless of whether that person has employees. This includes,
without limitation, independent contractors, subcontractors, leasing companies, motor
carriers, owner-operators, employees of any such entity, or employees of any entity
which furnishes persons to provide services on the project. "Services" include, without
limitation, providing, hauling, or delivering equipment or materials, or providing labor,
transportation, or other service related to a project. "Services" does not include
activities unrelated to the project, such as food/beverage vendors, office supply
deliveries, and delivery of portable toilets.
B. The contractor shall provide coverage, based on proper reporting of classification
codes and payroll amounts and filing of any overage agreements, which meets the
statutory requirements of Texas Labor Code, Section 401.011 (44) for all employees of
the Contractor providing services on the project, for the duration of the project.
C. The Contractor must provide a certificate of coverage to the governmental entity prior
to being awarded the contract.
D. If the coverage period shown on the contractor's current certificate of coverage ends
during the duration of the project, the contractor must, prior to the end of the coverage
period, file a new certificate of coverage with the governmental entity showing that
coverage has been extended.
E. The contractor shall obtain from each person providing services on a project, and
provide to the governmental entity:
1. a certificate of coverage, prior to that person beginning work on the project, so
the governmental entity will have on file certificates of coverage showing
coverage for all persons providing services on the project; and
2. no later than seven days after receipt by the contractor, a new certificate of
coverage showing extension of coverage, if the coverage period shown on the
current certificate of coverage ends during the duration of the project.
F. The contractor shall retain all required certificates of coverage for the duration of the
project and for one year thereafter.
G. The contractor shall notify the governmental entity in writing by certified mail or
personal delivery, within 10 days after the contractor knew or should have known, of
any change that materially affects the provision of coverage of any person providing
services on the project.
H. The contractor shall post on each project site a notice, in the text, form and manner
prescribed by the Texas Workers' Compensation Commission, informing all persons
providing services on the project that they are required to be covered, and stating how
a person may verify coverage and report lack of coverage.
I. The contractor shall contractually require each person with whom it contracts to
provide services on a project, to:
1. provide coverage, based on proper reporting of classification codes and payroll
amounts and filing of any coverage agreements, which meets the statutory
requirements of Texas Labor Code, Section 401.011 (44) for all of its employees
providing services on the project, for the duration of the project;
2. provide to the contractor, prior to that person beginning work on the project, a
certificate of coverage showing that coverage is being provided for all employees of
the person providing services on the project, for the duration of the project;
3. provide the contractor, prior to the end of the coverage period, a new certificate of
coverage showing extension of coverage, if the coverage period shown on the
current certificate of coverage ends during the duration of the project;
4. obtain from each other person with whom it contracts, and provide to the contractor:
a. a certificate of coverage, prior to the other person beginning work on the project;
and
b. a new certificate of coverage showing extension of coverage, prior to the end of
the coverage period, if the coverage period shown on the current certificate of
coverage ends during the duration of the project;
5. retain all required certificates of coverage on file for the duration of the project and
for one year thereafter;
6. notify the governmental entity in writing by certified mail or personal delivery, within
10 days after the person knew or should have known, of any change that materially
affects the provision of coverage of any person providing services on the project;
and
7. contractually require each person with whom it contracts, to perform as required by
paragraphs (1) - (7), with the certificates of coverage to be provided to the person
for whom they are providing services.
J. By signing this contract or providing or causing to be provided a certificate of coverage,
the contractor is representing to the governmental entity that all employees of the
contractor who will provide services on the project will be covered by workers'
compensation coverage for the duration of the project, that the coverage will be based
on proper reporting of classification codes and payroll amounts, and that all coverage
agreements will be filed with the appropriate insurance carrier or, in the case of a self-
insured, with the commission's Division of Self-Insurance Regulation. Providing false
or misleading information may subject the contractor to administrative penalties,
criminal penalties, civil penalties, or other civil actions.
K. The contractor's failure to comply with any of these provisions is a breach of contract
by the contractor which entitles the governmental entity to declare the contract void if
the contractor does not remedy the breach within ten days after receipt of notice of
breach from the governmental entity.