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HomeMy WebLinkAboutContract 36561CITY SECRETARY' CONTRACT N4. The Local Government Purchasing Cooperative INTERLOCAL PARTICIPATION AGREEMENT This Interlocal Participation Agreement ("Agreement") is made and entered into by and between The Local Government Purchasing Cooperative ("Cooperative"), an administrative agency of cooperating local governments, acting on its own behalf and the behalf of all participating local governments, and the undersigned local government of the State of Texas ("Cooperative Member"). I. RECITALS WHEREAS, a local government entity is authorized by the Interlocal Cooperation Act, Chapter 791 of the Texas Government Code, to agree with other local government entities to form a purchasing cooperative; and WHEREAS, the Cooperative is further authorized as a local purchasing cooperative organization as set forth in Section 271.101, et seq., of the Texas Local Government Code; and WHEREAS, the purpose of this Agreement is to facilitate compliance with state procurement requirements, to identify qualified vendors of commodities, goods and services, to relieve the burdens of the governmental purchasing function, and to realize the various potential economies, including administrative cost savings, for Cooperative Members; NOW THEREFORE, in consideration of the mutual covenants, promises and obligations contained herein, the undersigned Cooperative Member and the Cooperative agree as follows. II. TERMS AND CONDITIONS 1. Adopt Organizational Interlocal Cooperation Agreement. The Cooperative Member by the execution or acceptance of this Agreement hereby adopts and approves the Organizational Interlocal Agreement dated January 26, 1998, which agreement is incorporated herein by reference (and is available from the Cooperative upon request). The Organizational Interlocal Agreement established the Cooperative as an administrative agency of its collective participants, and Cooperative Member agrees to become a participant or additional party to that Organizational Interlocal Agreement. 2. Term. The initial term of this Agreement shall commence on the date it is executed by both parties and shall automatically renew for successive one-year terms unless sooner terminated in accordance with the provisions of this Agreement. If the Cooperative Member is an existing Cooperative Member that joined the Cooperative by executing a participation agreement which authorized ` rr zn nt u ��in ; ahe Cooperative providing 60 days notice, then this Agreement will be deemed an AA�m�^, , e}�f�,l�]'�tice .;:::;� P As revised by the Cooperative Board of Ti�rstees on October I8, 2006. O 1-30-0 g P _' �, which will be effective on the 61' day that the Cooperative Member is sent notice of this document. In addition, this Agreement will continue to automatically renew for successive one-year terms on the anniversary date of the Cooperative Member's initial term (not the effective date of the Amendment by Notice), unless the Agreement is sooner terminated in accordance with the provisions herein. 3. Termination. (a) By the Cooperative Member. This Agreement maybe terminated by the Cooperative Member at any time by thirty (30) days prior written notice to the Cooperative, provided any amounts owed to the Cooperative and any vendor have been fully paid. (b) By the Cooperative. The Cooperative may terminate this Agreement by: (1) Giving ten (10) days notice by certified mail to the Cooperative Member if the Cooperative Member breaches this Agreement; or (2) Giving thirty (30) days notice by certified mail to the Cooperative Member with or without cause. (c) Termination Procedure. If the Cooperative Member terminates its participation under this Agreement or breaches this Agreement, or if the Cooperative terminates participation of the Cooperative Member, the Cooperative Member shall bear the full financial responsibility for all of its purchases made from vendors under or through this Agreement. The Cooperative may seek the whole amount due, if any, from the terminated Cooperative Member. In addition, the Cooperative Member agrees it will neither be entitled to a refund of any membership dues paid nor a distribution which may occur after the Cooperative Member terminates from the Cooperative. 4. Payments by Cooperative Member. (a) The Cooperative Member agrees to pay membership fees as maybe required by the Cooperative. The Cooperative will provide the Cooperative Member with 60 days prior written notice of any change in the membership fee before such fee becomes effective. Membership fees are payable by Cooperative Member upon receipt of an invoice from the Cooperative or its designee. A late charge amounting to the maximum interest allowed by law, but not less than the rate of interest under Section 2251.021, et seq., Texas Government Code, shall begin to accrue daily on the 31S` day following the due date and continue to accrue until the contribution and late charges are paid in full. The Cooperative reserves the right to collect all funds that are due to the Cooperative in the event of termination by Cooperative Member or breach of this Agreement by Cooperative Member. (b) In addition to membership fees, the Cooperative Member will make timely payments to the vendor for the goods, materials and services received in accordance with the terms and conditions of the bid invitation, instructions, and all other applicable procurement documents. Payment for goods, materials and services and inspections and acceptance of goods, materials and services ordered by the procuring Cooperative Member shall be the exclusive obligation of 2 As revised by the Cooperative Board of Trustees on October 18, 2006. the procuring Cooperative Member, and not the Cooperative. Furthermore, the Cooperative Member is solely responsible for negotiating and securing ancillary agreements from the vendor on such other terms and conditions, including provisions relating to insurance or bonding, that the Cooperative Member deems necessary or desirable under state or local law, local policy or rule, or within its business judgment. 5. Payments by Vendors. The parties agree that the Cooperative will require payment from vendors which are selected to provide goods, materials or services to Cooperative Members. Such payment (hereafter "Vendor Fees") may be up to two percent (2%) of the purchase price paid by Cooperative Members or a flat fee amount that may be set from time to time by the Cooperative Board of Trustees. Cooperative Member agrees that these Vendor Fees fairly compensate the Cooperative for the services and functions performed under this Agreement and that these Vendor Fees enable the Cooperative to pay the administrative, endorsement, licensing, marketing, and other expenses involved in successfully operating a statewide program of electronic commerce for the Cooperative Members. Further, Cooperative Member affirmatively disclaims any rights to such Vendor Fees, acknowledging all such fees are the property of the Cooperative. Similarly, in no event shall a Cooperative Member be responsible for payment of Vendor Fees. 6. Distribution. From time to time, and at the sole discretion of the Cooperative Board of Trustees, the Cooperative may issue a distribution to Cooperative Members under a plan developed by the Cooperative Board of Trustees. Cooperative Member acknowledges that a distribution is never guaranteed and will depend on the overall financial condition of the Cooperative at the time of the distribution and the purchases made by the Cooperative Member, 7. Administration. The Cooperative may enter into contracts with others, including non-profit associations, for the administration, operation and sponsorship of the purchasing program provided by this Agreement. The Cooperative will provide reports, at least annually, to the Cooperative Member electronically or by mail. Cooperative Member will report purchase orders generated under this Agreement to the Cooperative or its designee, in accordance with instructions of the Cooperative. 8. BuyBoardOO. Cooperative Member will have anon -exclusive license to use the BuyBoard electronic purchasing application during the term of this Agreement. Cooperative Member acknowledges and agrees that the BuyBoard electronic application and trade name are owned by the Texas Association of School Boards, Inc. and that neither the Cooperative nor the Cooperative Member has any proprietary rights in the BuyBoard electronic application or trade name. Cooperative Member will not attempt to resell, rent, or otherwise distribute any part of the BuyBoard to any other party; nor will it attempt to modify the BuyBoard programs on the server or acquire the programming code. Cooperative Member may not attempt to modify, adapt, translate, distribute, reverse engineer, decompile, or disassemble any component of the application. Cooperative Member will use the BuyBoard in accordance with instructions from the Cooperative (or its designee) and will discontinue use upon termination of participation in the Cooperative. Cooperative Member will maintain equipment, software and conduct testing to operate the BuyBoard system at its own expense. 3 As revised by tlae Cooperative Board of Trustees on October I8, 2006. III. GENERAL PROVISIONS 1. Amendment by Notice. The Board may amend this Agreement, provided that prior written notice is sent to the Cooperative Member at least 60 days prior to the effective date of any change described in such amendment and provided that the Cooperative Member does not terminate its participation in the Cooperative before the expiration of said 60 days. 2. Authorization to Participate and Compliance with Local Policies. Each Cooperative Member represents and warrants that its governing body has duly authorized its participation in the Cooperative and that the Cooperative Member will comply with all state and local laws and policies pertaining to purchasing of goods and services through its membership in the Cooperative. 3. Bylaws. The Cooperative Member agrees to abide by the Bylaws of the Cooperative, as they may be amended, and any and all written policies and procedures established by the Cooperative. 4. Cooperation and Access. The Cooperative Member agrees that it will cooperate in compliance with any reasonable requests for information and/or records made by the Cooperative. The Cooperative reserves the right to audit the relevant records of any Cooperative Member. Any breach of this provision shall be considered material and shall make the Agreement subject to termination on ten (10) days written notice to the Cooperative Member. 5. Coordinator. The Cooperative Member agrees to appoint a program coordinator who shall have express authority to represent and bind the Cooperative Member, and the Cooperative will not be required to contact any other individual regarding program matters. Any notice to or any agreements with the coordinator shall be binding upon the Cooperative Member. The Cooperative Member reserves the right to change the coordinator as needed by giving written notice to the Cooperative. Such notice is not effective until actually received by the Cooperative. 6. Current Revenue. The Cooperative Member hereby warrants that all payments, contributions, fees, and disbursements required of it hereunder shall be made from current revenues budgeted and available to the Cooperative Member. 7. Defense and Prosecution of Claims. The Cooperative Member authorizes the Cooperative to regulate the commencement, defense, intervention, or participation in a judicial, administrative, or other governmental proceeding or in an arbitration, mediation, or any other form of alternative dispute resolution, or other appearances of the Cooperative in any litigation, claim or dispute which arises from the services provided by the Cooperative on behalf of its members, collectively or individually. Neither this provision nor any other provision in this Agreement will create a legal duty for the Cooperative to provide a defense or prosecute a claim; rather, the Cooperative may exercise this right in its sole discretion and to the extent permitted or authorized by law. The Cooperative Member shall reasonably cooperate and supply any information necessary or helpful in such prosecution or defense. Subject to specific revocation, the Cooperative Member hereby designates the Cooperative to act as a class representative on its behalf in matters arising out of this Agreement. 8. Governance. The Board of Trustees (Board) will govern the Cooperative in accordance with the Bylaws. 4 As revised by the Cooperative Board of Tratstees on October 18, 2006. 9. Jurisdiction/ Venue, This Agreement shall be governed by and construed in accordance with the laws of the State of Texas and venue for all disputes arising under this Agreement shall lie in Travis County, Texas. 10. Legal Authority. The Cooperative Member represents and warrants to the Cooperative the following: a) It meets the definition of "Local Government" or "State Agency" under the Interlocal Cooperation Act ("Act"), Chapter 791 of the Texas Government Code. b) The functions and services to be performed under the Agreement will be limited to "Administrative Functions" as defined in the Act, which includes purchasing. c) It possesses the legal authority to enter into this Agreement and can allow this Agreement to automatically renew without subsequent action of its governing body. d) Purchases made under this Agreement will satisfy all procedural procurement requirements that the Cooperative Member must meet under all applicable local policy, regulation, or state law. e) All requirements —local or state —for a third party to approve, record or authorize the Agreement have been met. 11. Disclaimer. THE COOPERATNE, ITS ENDORSERS (TEXAS ASSOCIATION OF SCHOOL BOARDS, INC., TEXAS ASSOCIATION OF COUNTIES, AND TEXAS MUNICIPAL LEAGUE) AND SERVICING CONTRACTOR (TEXAS ASSOCIATION OF SCHOOL BOARDS, INC.) DO NOT WARRANT THAT THE OPERATION OR USE OF COOPERATIVE SERVICES WILL BE UNINTERRUPTED OR ERROR FREE, THE COOPERATIVE, ITS ENDORSERS AND SERVICING CONTRACTORS, HEREBY DISCLAIM ANY AND ALL WARRANTIES, EXPRESS OR IMPLIED, IN REGARD TO ANY INFORMATION, PRODUCT OR SERVICE FURNISHED UNDER THIS AGREEMENT, INCLUDING WITHOUT LIMITATION, ANY AND ALL IMPLIED WARRANTIES OF MERCHANTABILITY OR FITNESS FOR A PARTICULAR PURPOSE. 12. Limitation of Liability. Without waiver of the disclaimer or other limitation of liability in this Agreement, the parties agree that: (a) Neither party waives any immunity from liability afforded under law; (b) In regard to any lawsuit or formal adjudication arising out of or relating to this Agreement, neither party shall be liable to the other under any circumstance for special, incidental, consequential, or exemplary damages; (c) The maximum amount of damages recoverable will be limited to the amount of fees which the Cooperative received as a direct result of the Cooperative Member's membership fee and purchase activity, within 24 months of when the lawsuit or action was filed; and (d) In the event of a lawsuit or formal adjudication the prevailing party will be entitled to recover reasonable attorney's fees pursuant to Section 271.159 of the Texas Local Government Code. Without waiver of the disclaimer or other limitation of liability in this Agreement, the parties further agree to limit the liability of the Cooperative's servicing contractor, endorsers and sponsors (including, but not limited to, the Texas Association of School Boards, Inc., Texas Association of Counties, Texas Municipal League, and educational service centers) up to the maximum amount each received from or 5 As revised by the Cooperative Board of Trustees on October I8, 2006. through the Cooperative, as a direct result of the undersigned Cooperative Member's membership fee and purchase activity, within 24 months of the filing of any lawsuit or action. 13. Limitation %J Rights. Except as otherwise expressly provided in this Agreement, nothing in this Agreement, is intended to confer upon any person, other than the parties hereto, any benefits, rights, or remedies under or by reason of this Agreement. 14. Merger/Entirety. This Agreement, together with the Cooperative's Bylaws and Organizational Interlocal Agreement, represents the complete understanding of the Cooperative and Cooperative Member. To the extent there exists any conflict between the terms of this Agreement and that of prior agreements, the terms of this Agreement shall control and take precedence over all prior participation agreements. 15. Notice. Any written notice to the Cooperative shall be made by first class mail, postage prepaid, and delivered to the BuyBoard Administrator, Texas Association of School Boards, Inc., P.O. Box 400, Austin, Texas 78767-0400. Notices to Cooperative Member may be made by first class mail, postage prepaid, and delivered to the Cooperative Member's Coordinator or chief executive officer (e.g., superintendent, city manager, county judge or mayor). 16. Severability. If any portion of this Agreement shall be declared illegal or held unenforceable for any reason, the remaining portions shall continue in full force and effect. 17. Signatures/Counterparts. The failure of a party to provide an original, manually executed signature to the other party will not affect the validity, enforceability or binding effect of this Agreement because either party may rely upon a facsimile signature as if it were an original. Furthermore, this Agreement may be executed in several separate counterparts, each of which shall be an original and all of which shall constitute one and the same instrument. 18. Warranty. By the execution and delivery of this Agreement, the undersigned individuals warrant that they have been duly authorized by all requisite administrative action required to enter into and perform the terms of this Agreement. IN WITNESS WHEREOF, the parties, acting through their duly authorized representatives, accept this Agreement. 6 As revised by the Cooperative Board of Trustees on October 18, 2006. TO BE COMPLETED BY THE COOPERATIVE: The LOCAL GOVERN1vIENT PURCHASING COOPERATIVE, as acting on behalf of all other Cooperative Members Date: AL' TO BE COMPLETED BY COOPERATIVE MEMBER: [Signature required unless accepted as an Amendment by Notice as described in the Agreement.] By: City of Fort Worth Texas (Name of Local Government) Karen L. Montgomery V Assistant City Manager/Chief Financial Officer/' Approved as to,P'or�n and Attest: Assistant City Secretary Coordinator for the Cooperative Member is: John 7. �JacicZDale Name 1000 Throckmorton Street Mailing Address Fort Worth Texas 76102 City/State/Zip Code Telephone: 817-392- 8357 Fax: 817-392-8440 Email: jack.dale(a)fortworth og v.org 7 As revised by the Cooperative Board of Trustees on October 18, 2006. Date: r/ �67�I(T Date: Date: Page 1 of 2 City of Fortel�/orth, Texas Mayor and Council Communication COUNCIL ACTION: Approved on 1/15/2008 .,� r _ -� z ..--. �� ,_� DATE: Tuesday, January 15, 2008 LOG NAME: 13P07-0130 REFERENCE NO.: **P-10710 SUBJECT: Authorize Cooperative Purchasing Agreements for Goods and Services Between the City of Fort Worth, Local Governments and Local Cooperative Organizations Authorized by the Texas Local Government Code RECOMMENDATION: It is recommended that the City Council authorize the City Manager to execute Cooperative Purchasing Agreements for goods and services between the City of Fort Worth, local governments and local cooperative purchasing organizations authorized by the Texas Local Government Code. DISCUSSION: The Purchasing Division will use this authorization to contract with local governments and local cooperative organizations to obtain goods or services. The use of these contracts allows the City of Fort Worth to take advantage of lower prices without the cost of competitive bidding by obtaining access to existing competitively procured contracts with entities such as Tarrant County, Houston -Galveston Area Council, Texas Association of School Boards' Local Government Purchasing Cooperative and U.S. Communities. This authorization will allow other local governments such as Tarrant County, the City of Arlington and the City of Grand Prairie to participate in contracts awarded by the City of Fort Worth that may result in the addition of other entities' quantities at the next bidding opportunity. Increasing the volume of goods and services bid increases the possibility of lower prices to the City through greater economies of scale. Either of the contract participants may terminate the agreement with written notice to the other party. Section 271.102(a) of the Texas Local Government Code allows local governments to participate in cooperative purchasing programs. Section 271.102(c) of the Code provides that a local government purchasing goods or services under a cooperative purchasing program satisfies any state law requiring that the local government seek competitive bids for purchase of the goods or services. The contracts for goods and services have been competitively bid to increase and simplify the purchasing power of local governments across the State of Texas. The Law Department recommends that the Purchasing Division review these agreements periodically. The last M&C regarding execution of agreements with these cooperatives was approved on March 27, 2001 (M&C C-18510). Going forward these agreements will be reviewed every five years. Approval of this Mayor and Council Communication will not commit the City to spend any funds. Purchases exceeding the administrative procurement threshold provided in the City Code of Ordinances will be presented to Council for authorization as required. FISCAL INFORMATION/CERTIFICATION: The Finance Director certifies that the execution of these cooperative purchasing agreements will have no material effect on City funds. http://www.cfwnet.org/council�acket/Reports/mc�rint.asp 1/15/2008 Page 2 of 2 BQN\07-0130\KDK TO Fund/AccountlCenters Submitted for City Manager's Office bv: Originating Department Head: Additional Information Contact: FROM FundJA�ccountlCenters Karen Montgomery (6222) Lena Ellis (8517) Jack Dale (8357) http://www. cfwnet.org/council�acket/Reports/mc�rint.asp 1/15/2008