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HomeMy WebLinkAboutContract 25763 r CITY SECRETARY '`0NTRACT 'N0. STATE OF TEXAS § KNOW ALL MEN" BY THESE PRESENTS: COUNTY OF TARRANT § WHEREAS, the City of Fort*Worth, a municipal corporation situated in Tarrant and Denton Counties,Texas, acting by and through Mike groomer, its duly authorized Assistant City Manager, hereinafter called "CITY" and-Oscar Renda Contracting, Inc., acting herein by and through Oscar Renda, its duly authorized President, hereinafter called "CONTRACTOR", made and entered into City Secretary Contract No. 20283 (the Contract) which was authorized by the City Council by M&C C-14255R on April 5, 1994 and amended by City Secretary Contract No. 22657 which was authorized by City Council M&C C-15980 on April 19, 19970 WHEREAS, the Contract involves processing services for the following project: Village Creek Wastewater Treatment Plant Long-Term Solids Dewatering,Processing and Disposal Sewer Project No. PS46-070460300020 WHEREAS, it has become necessary to amend said Contract to extend the term of the Contract,revising the method of unit price adjustment and making other miscellaneous changes as detailed below. NOW THEREFORE, City and Contractor, acting herein by and through their duly authorized representatives, enter into the following agreement,which amends the Contract: 1. Under the terms of Special Conditions Item D-61 - Option to Renew Contract, the contract is hereby renewed for a second term of five (5)years. In addition,the City of Fort Worth,at its sole option, has the right to renew the Contract for two (2) additional five (5) year terms beyond the second term, provided, that funding for any year of this amendment shall be in accord with the original terms of City Secretary Contract 20283. 2. The total cost of the project shall be computed as follows for the second term of the contract: Pay Item No. 1 For receiving an average of approximately 116.693 tons per day of dry solids and operating all necessary equipment for dewatering all solids received and furnishing and applying chemicals or other approved materials and/or processes to achieve acceptable Class A pathogen and vector attraction reduction levels, and for transporting and beneficially using on land, for 365 calendar days per year for five years, complete for 1 I ""';FICIAL RKOW 0 ` C-P AMY l One Hundred Twenty-Eight Dollars and Seventy-Nine Cents ($128.79 per - - dry ton. $128.79 x 212,955 dry tons � $27,427,762.35 or Twenty-Seven Million Four Hundred Twenty-Seven Thousand Seven Hundred Sixty-Two Dollars and Thirty-Five Cents. Pa Item No. 2 CPI Adjustment(As er Item D-60 of this amendment to the Contract) y J P Add $2,465,323.65 Total Cost Summary Pat Item No. 1 $279427,762.35 Pay Item No. 2 2 465 323.65 Total Project $2998939086.00 The remainder of the P a y items shown on Pages B-2 and B-3 (Proposal) as shown on the pages attached to City Secretary Contract No. 22657 are expressly deleted. 3. The following changes are made to the Specifications: A. Section 13001, Paragraph 1.2.A. The end of the first sentence shall be changed to the : followin g "average of approximately 233,386 dry pounds (116.693 dry tons).of solids per day throughout the remainder of the contract." B. Section 13001, Paragraph 1.2.C. The "Daily Average" shall change from "100 dry tons per day"to "115.693 dry tons per day." C. Section 13002, Paragraph 3.1.A. Paragraph 3.1.A. shall be changed to read as follows : All solids will be rocessed to a minimum of Class A pathogen and vector attraction P reduction levels. Contractor shall furnis" h all equipment and apply. all chemicals necessary o attain the minimum level stated above. No solids shall be disposed of ary without meetin g the minimum level based on continued historic level of Village Creek Wastewater Treatment Plant operations as in the original agreement.. D. Section D Special Conditions, Item D-60, Unit Price Adjustment shall be changed to read as follows: The unit p rices which may be charged by the Contractor for the first and subsequent ears o the second term hereof shall be adjusted upward or downward to reflect changes y �' f in the cost o. operations,erations, as reflected by fluctuations in the Consumer Price Index for 2 M C.-KIRRY Urban Wage Earners and Clerical Workers (All Items unadjusted), as published by the U.S. Department of Labor, Bureau of Labor Statistics. At the beginning of the first month of the first year of the second term of the contract the fees shall be increased or decreased for the ensuing 12-month period in a percentage amount equal to 100 percent of the net percentage change of the All Items Index (U.S. City Average). The percentage change for the first year of the second term of the Contract is to be computed as the difference between the index value for the first fidl month prior to the beginning of the fifth year of the initial term of the Contract and the index value for the first month prior to the commencement of the second term of the contract divided by the index value for the firstfull month prior to the beginning of the fifth year of the initial term of the Contract. As of the last month of the first year of the Contract and every twelve months thereafter (the "Rate Modification Date') the fees shall be increased or decreased for the ensuing twelve-month period in a percentage amount equal to 100 percent of the net percentage change of the All Items Index (U.S. City Average). All percentage changes are to be computed as the difference between the index value for the first full month prior to the commencement of the Contract and the index value for the Rate Modification Date divided by the index value for the first full month prior to the commencement of the Contract. As soon as possible after a Rate Modification Date, Contractor shall send to City a copy of the Summary Data from the Consumer Price Index News Release for the month prior to the commencement of the contract available from the U.S Department of Labor, Bureau of Labor Statistics and a comparative statement setting out the All Items Index: (i) the index value on the firstfull month prior to the commencement of the Contract; (ii) the index value on the Rate Modification Date preceding the date of each statement; (iii) the net percentage change; (iv) the composite percentage change equal to 100 percent of the net percentage change in the All Items Index (U.S. City.Average); and(v) the increase or decrease in the unit prices which may be charged by the Contractor. On the next billing date after the receipt and approval of comparative statement, the City shall pay to the Contractor or the Contractor shall credit to the City, as the case may be, a lump sum equal to any increase or decrease applicable to that portion of the current period which has elapsed and, thereafter, the unit prices charged by the Contractor shall be modified to reflect any change until a different comparative statement is received and approved by the City. Adjustments to unit prices will only be made in units of hundredths of a dollar;fractions of a cent will not be considered in making adjustments. The adjustments shall be limited to three and one-half percent (3-1/2%) per year over the most recently prevailing unit prices, not to exceed fifteen percent 0 S%) of the initial unit price over the five-year term of the contract. The Contractor hereby agrees to accept payments adjusted in this manner as full compensation for services rendered VKMAI L kITO'KA& Imay The City may, upon reasonable notice to Contractor, examine the books and records of Contractor that relate to the calculations offees of Contractor. 4. The M/WBE Goal for the second five (5) year term of the Contract shall be set at 28% 5. It is expressly agreed that the City must approve, in writing, any disposal method other than land application or beneficial reuse of bisolids on the Earthsoil Products Wood Recycling Facility. For any alternative method other than the above,the City and Contractor shall negotiate a revised unit price for the disposal of biosolids if the alternative method involves a significant amount of biosolids. If the City and the Contractor are unable to agree on a revised unit price for the biosolids to be disposed of in an alternative method, the alternative method shall not be approved. For the purposes of this agreement "a significant amount" is defined as 5% of the average monthly production based on the previous twelve (12) -month average. 6. The Contractor, at his expense, shall perform various maintenance tasks in the Sludge Only Landfill needed to maintain the overall facility function and capability of said facility, including: A. Dredge existing storm water and effluent ponds to original plan grade. B. Clear remaining waterways and isolated areas of secondary growth. C. Re-grade southwest levee area. D. Clean out and grade southern creek along levee. E. Repave access roads and upgrade site drainage problem areas. F. Fill and re-seed wash areas in existing levees. 7. Bonds and Insurance: The bond and insurance requirements contained in Addendum 2, page 3, Item 2-2 and reference General conditions, paragraph C3-3.7 of the Contract Documents shall remain in force with the exception that the amount of the payment and performance bonds shall be increased to five million dollars ($5,000,000) for each year of the contract extension. 8. All other provisions of the Contract, which are not expressly amended herein, shall remain in full force and effect. -kDY 4 IN TESTIMONY WHEREOF, the City of Fort Worth has caused this instrument to be signed in quintuplet in its name and on behalf, by its Assistant City Manager and attested by its City Secretary, with the Corporate Seal affixed, and the Contractor also has properly executed this instrument in quadruplet copies each of which is deemed an original. EXECUTED in the City of Fort Worth,this 16'k day of 20004P • City f F rt Wo Oscar R a ontract' , Inc. By: By: Mike Groom S e Bowm Assistant City Manager ice Presid nt Approved as to Form: Attest: cN Assi t City Attorney ss,r n Corporate Secretary Attest: City Secretary Contract Authorization C"SEC,Imff 5 170 KHRINI a v r City of Fort Worth, Texas Sri a� and ounce( om�»un�cAtion� � C C DATE REFERENCE NUMBER LOG NAME PAGE 1/25/00 CA 7834 60810 1 of 3 SUBJECT EXERCISE THE FIVE YEAR RENEWAL OPTION TO THE SOLIDS DEWATERING, PROCESSING AND DISPOSAL CONTRACT WITH OSCAR RENDA CONTRACTING, INC. FOR THE VILLAGE CREEK WASTEWATER TREATMENT PLANT; ADJUSTMENT OF CPI CALCULATION; AND EXTENSION OF CONTRACT BY TWO ADDITIONAL FIVE-YEAR OPTION PERIODS RECOMMENDATION: It is recommended that the City Council: 1. Authorize the City Manager to execute afive-year renewal to the Solids Dewatering, Processing and Disposal contract with Oscar Renda Contracting, Inc. City Secretary Contract (No. 20283), with adjusted quantities to reflect actual daily solids production and an amended annual CPI calculation; and 2. Add two additional five-year renewal options to the term of the contract, such options being at the City's sole discretion. DISCUSSION: On April 5, 1994 (M&C C-14255R), the City Council authorized execution of a Solids Dewatering Processing and Disposal contract with Oscar Renda Contracting, Inc./Agronomic Management Group, Inc. (ORCIAMG) at the Village Creek Wastewater Treatment Plant. During the initial term of the contract, the contractor operated without. interruption and in full regulatory compliance. In addition to the contractor's satisfactory performance, the cost of dewatering, processing and disposal is among the lowest in the nation, according to a recently completed nation-wide survey of biosolids management practices.. In five years, the contractor has beneficially reused over 192,000 Dry Tons of biosolids by land application on area farm and ranch lands, averaging 114.64 Dry Tons per day of beneficial use of biosolids. The program continues to expand in Tarrant County and eleven surrounding counties. More than 55,000 acres of land are registered and noticed through the state (TNRCC)for the program. As a result, staff recommends renewal of the Long-Term Solids Dewatering, Processing and Disposal contract with ORC/AMG with the following terms: 1) A five-year agreement at the current cost of $128.79/Dry Ton, plus an annual CPI adjustment; 2) An amended annual CPI calculation, from the composite of 40% of the net percentage change of the All Items Index (U.S. City Average) plus 1.0% of the net percentage change of the Gasoline Index, to 100% of the net percentage change of the All Items Index (U.S. City Average). This revised adjustment formula will more truly reflect cost adjustments that will keep up with inflation. The City will be protected from sharp increases since the current yearly and total contract caps on.price increases (3.5% and 15%, respectively) will not be changed by the proposed com utation method; and City of Fort Worth, Texas a a� and ounc�l a�»�»un*cAtian� C C DATE REFERENCE NUMBER LOG NAME PAGE 1/25/00 C-17834 60810 3 of 3 . SUBJECT - EXERCISE THE FIVE YEAR RENEWAL OPTION TO THE SOLIDS DEWATERING, PROCESSING .AND DISPOSAL CONTRACT WITH OSCAR RENDA CONTRACTING, INC. FOR THE VILLAGE CREEK WASTEWATER TREATMENT PLANT; ADJUSTMENT OF CPI CALCULATION; AND EXTENSION OF CONTRACT BY TWO ADDITIONAL FIVE-YEAR OPTION PERIODS FISCAL INFORMATION/CERTIFICATION: The Finance Director certifies that funds are available in the current operating budget, as appropriated, of the Water and Sewer Fund. MG:j Submitted for City Manager's FUND ACCOUNT CENTER AMOUNT CITY SECRETARY Office by: (to) N"OVED Mike Groomer 6140 CITY COUNCIL. Originadnt Department Heads Dale Fisxler 8207 (from) JAN 2S 2000 PE45 539120 0705002 $2,837,396.00 Additional Information Contact: '` `" �i Cih S6cr��1 of the City of Fort�lorth+T°� Dale Fisseler 8207