HomeMy WebLinkAboutContract 37796-A2 AMENDMENT N0.2 CITY SECRETARY
NO. �119b'1 a
TO
CONTRACT FOR THE PROVISION OF PARTS,SUPPLIES,
STAFFING AND MANAGEMENT FOR THE CITY OF FORT WORTH
THIS AMENDMENT NO. 2 is attached to and made a part of the Contract for the Provision of Parts, Supplies,
Staffing and Management for the City of Fort Worth (the "Contract") dated October 15, 2008, by and between the City of
Fort Worth, a home-rule municipal corporation in Tarrant County, Texas, acting herein and through Karen L.
Montgomery, its duly authorized Assistant City Manager, hereinafter called "City", and AutoZone Texas L.P., a
Delaware limited partnership, hereinafter called "AutoZone" or "Contractor." All capitalized terms not defined herein
shall have the meanings ascribed to them in the Contract.
The parties hereby agree to extend the term of the Contract by exercising the first of three (3) renewal options
provided by Section 4 of the Contract on the following terms:
1. The initial term of the Contract began October 15, 2008 and is due to expire on October 14, 2010. Section 4 of
the Contract authorizes the parties to renew the Contract for up to three (3) successive one (1) year terms. The
parties mutually desire to continue performance under the Contract.
2. The term of the Contract shall be and is hereby extended and renewed for six (6)calendar months, beginning on
October 15, 2010 and ending April 14, 2011; provided that during the term of this renewal, the Contract may be
terminated by either party at the end of any calendar month upon at least ninety (90) days' written notice to the
other party. Thereafter,the Contract may be renewed for up to four(4)successive forty (40) day terms by mutual
written agreement of the parties. If agreed to in writing, the renewal terms shall begin and end as follows: April
15, 2011 through May 24, 2011 (lst renewal); May 25, 2011 through July 3, 2011 (2°d renewal); July 4, 2011
through August 12, 2011 (3rd renewal); and, August 13, 2011 through September 21, 2011 (0 renewal). With
respect to these renewals, the City will act through a duly authorized Assistant City Manager and AutoZone will
act through two(2)duly elected officers.
3. After exhaustion of the four forty-day renewal terms, the Contract may be renewed for up to two (2) remaining
successive one (1) year terms by mutual written agreement of the parties if(i) the City Council so approves and
sufficient funds have been appropriated and(ii)AutoZone's management agrees.
4. As of[Date], Contractor's required staffing level, as defined in Subsections 5.E and 9.A, is reduced from twenty-
five (25) to sixteen (16) with a proportionate reduction in the Parts Distribution Center Management Fee.
Contractor shall provide one(1)parts project manager and fifteen(15)parts personnel.
5. The Parts Distribution Centers Management Fee as set forth in Section 5.E. of the Contract for this first renewal
term shall be in the amount of$37,440 per calendar month. The prior annualized fee of$702,000 per year is
stricken from the Contract and no longer applicable. The indexed price increase provisions of Section 5.E.
remain unchanged as stated. For this first renewal term, the parties agree that there will be no indexed price
increase of the Parts Distribution Centers Management Fee. During the forty-day renewal terms, the Parts
Distribution Centers Management Fee shall continue at the same rate, being$37,440 per month or$49,236.16 per
forty-day period, unless otherwise agreed to by the parties in writing, and shall be invoiced in such increments as
may be mutually agreed to by the parties in writing.
6. The Parts Distribution Centers Management Fee shall accrue and be payable only in monthly installments as
invoiced under Section 51 of the Contract during the initial six-month term of this renewal. During the terms of
the forty-day renewal options (if exercised), the Parts Distribution Centers Manag(ment Fee shall accrue and be
payable only in forty-day increments. If the Contract is terminated prior to Sept ff)WALIT, tfie C! shall
not be liable for any portion of the Parts Distribution Centers Management Fe G to any p riods
following the termination.
FT. WRTH9 TX
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7. The City intends to issue a request for proposals for parts, supplies, staffing and management d e erm of
this Amendment or renewals hereunder. The City covenants and agrees to include in that request for proposals a
Pagel of 2 I
mandatory, non-negotiable stipulation that all submissions must include a commitment from the contractor to
purchase inventory from AutoZone held by AutoZone at City facilities up to a maximum amount of$200,000.
The purchase price to be paid for the inventory by the successful contractor to AutoZone shall be AutoZone's
book value or actual cost of such inventory, whichever is less,plus two percent(2%).
This Amendment No. 2 shall take precedence in the event any terms or conditions of the Contract or Amendment No. 1
conflict herewith. Except as provided herein, all other terms and conditions of the Contract and Amendment No. 1 shall
remain in full force and effect and are hereby ratified and confirmed.
IN WITNESS WHEREOF,the parties have caused this Amendment to be duly executed to become effective as
of the 15"'day of October, 2010.
CITY OF FORT WORTH,TEXAS AUTOZONE,TEXAS,L.P.
By: AZ Texas Operations,LLC,its general partner
By: AutoZone Stores,Inc.,its sole member
A�� y 7 1 .1,4,4
Karen L.Montgomery
Assistant City Man By: l
Date Signed: 1 6a r O Name: n
Title:
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Marty Hendrix d"M0 00 me: I` z I rZu iIT
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Assistant City Attorney
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Date
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