Item 1.8 - Award of Contract to Chaulk Mound Trout Farms; Lake Poway Trout StockingOF POIYrgY
City of Poway
COUNCIL AGENDA REPORT
APPROVED IN
APPROVED AS AMENDED O
(SEE MINUTES)
DENIED O
REMOVED O
CONTINUED
RESOLUTION NO.
DATE: October 21, 2014
TO: Honorable Mayor and Members of the City Council
FROM: Daniel Singer, City Manager
INITIATED BY: Robin Bettin, Director of Community Services
Belinda Romero, Community Services Manag
SUBJECT: Award of Lake Poway Trout Stocking Contract to haulk
Mound Trout Ranch, Inc.
Summary:
The City 'of Escondido conducted a competitive bid for trout resulting in an award of
contract to Chaulk Mound Trout Ranch, Inc., of Bridgeport, Nebraska on
October 1, 2014. Municipal Code Section 3.28.110 Cooperative Purchasing allows the
City of Poway to make purchases by contract when "any other public or municipal
corporation of the State... has made their purchase in a competitive manner." A
Standard Agreement for Services (rainbow trout and trout stocking) with Chaulk Mound
Trout Ranch, Inc., has been prepared. The cost is offset through the sale of fishing and
boating permits, which is estimated at $262,000 for FY 2014 -15.
Recommended Action:
It is recommended that the City Council award the contract for purchase of trout from
Chaulk Mound Trout Ranch, Inc., of Bridgeport, Nebraska, at a cost of $78,000, per
Municipal Code Section 3.28.110 for Cooperative Purchasing.
Background:
The Lake Poway Recreation Area is a master - planned facility owned and operated by
the City of Poway. It provides potable water to the citizens of Poway, and recreation
operations and programming, including trout season, are managed by the Community
Services Department.
Trout season is very popular, and attracts Poway residents and visitors from across the
region. It generally occurs during the months of November through May or when the
water temperature falls to the mid -60's. During this time, trout is generally stocked on a
bi- weekly basis. For FY 2014 -15, the total stock is valued at $78,000 for 21,000 pounds
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Award of Lake Poway Trout Stocking Contract to Chaulk Mound Trout Ranch, Inc.
October 21, 2014
Page 2
of trout. Revenue from fishing permits, and boat rentals for both fishing and recreational
purposes is projected to total $262,000.
Findings:
Municipal Code Section 3.28.110 Cooperative Purchasing allows the City of Poway to
make purchases by contract when "any other public or municipal corporation of the
State... has made their purchase in a competitive manner." The City of Escondido
conducted a competitive bid for trout resulting in an award of contract to Chaulk Mound
Trout Ranch, Inc., of Bridgeport, Nebraska on October 1, 2014.
The Standard Agreement for Services (Attachment A) shall be effective for three (3)
consecutive years to begin November 2014' through June 30, 2015; July 1, 2015
through June 2016; and July 1, 2016 through June 30, 2017; subject to City Council
appropriation of funds. The Agreement may also be renewed on a yearly basis for an
additional three (3) years with satisfactory approval from the City and City Council
appropriation of funds.
Fiscal Impact:
Sufficient funds were appropriated with the adoption of the FY 2014 -15 budget to cover
year one of the contract costs (0202- 4522A).
Environmental Review:
This item is not subject to California Environmental Quality Act (CEQA) review.
Public Notification:
None.
Attachments:
A. Standard Agreement for Services
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City of Poway
STANDARD AGREEMENT FOR SERVICES
This Agreement, entered into this 21st day of October 2014, by and between
the CITY OF POWAY (hereinafter referred to as "City ") and Chaulk Mound Trout
Ranch, Inc., Nebraska corporation (hereinafter referred to as "Contractor ").
RECITALS
WHEREAS, City desires to obtain the services of a private contractor to provide
rainbow trout and trout stocking services for the Lake Poway Recreation Area; and
WHEREAS, Contractor is a trout ranch, providing rainbow trout and trout
stocking services and has represented that Contractor possesses the necessary
qualifications to provide such services; and
WHEREAS, City has authorized the preparation of an agreement to retain the
services of Contractor as hereinafter set forth.
NOW, THEREFORE, IT IS MUTUALLY AGREED THAT CITY DOES HEREBY
RETAIN CONTRACTOR ON THE FOLLOWING TERMS AND CONDITIONS:
1. Scope of Services.
Contractor shall provide services as described in Exhibit "A" S(th.e Special
Provisions ") and Exhibit "B" attached hereto and made a part hereof.
2. Compensation and Reimbursement.
City shall compensate and reimburse Contractor as provided in Exhibit "A"
(the Special Provisions ") and Exhibit "B" attached hereto and made a part hereof.
3. Term of Agreement.
The term of this Agreement shall be as described on Exhibit "A" (the
Special Provisions ") and Exhibit "B" attached hereto and made a part hereof.
4. Termination.
This Agreement may be terminated with or without cause by City.
Termination without cause shall be effective only upon. 60 -day written notice to
Contractor. During said 60 -day period Contractor shall perform all contract services in
accordance with this Agreement. This Agreement may be terminated by City for cause
in the event of a material breach of this Agreement, misrepresentation by Contractor in
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connection with the formation of this Agreement or the performance of services, or the
failure to perform services as directed by City. Termination for cause shall be effected
by delivery of written notice of termination to Contractor. Such termination shall be
effective upon delivery of said notice.
5. No Assignments.
Neither any part nor all of this Agreement may be assigned or
subcontracted, except as otherwise specifically provided herein, or to which City, in its
sole discretion, consents to in advance thereof in writing. Any assignment or
subcontracting in violation of this provision shall be void.
6. Maintenance of Records.
Contractor shall maintain all books, documents, papers, employee time
sheets, accounting records, and other evidence pertaining to costs incurred and shall
make such materials available at its office at all reasonable times during the contract
period and for three (3) years from the date of final payment under this Agreement, for
inspection by City and copies thereof shall be furnished, if requested.
7. Independent Contractor.
At all times during the term of this Agreement, Contractor shall be an
independent contractor and shall not be an employee of the City of Poway. City shall
have the right to control Contractor only insofar as the results of Contractor's services
rendered pursuant to this Agreement; however, City shall not have the right to control
the means by which Contractor accomplishes such services.
8. Licenses, Permits, Etc.
Contractor represents and declares to City that it has all licenses, permits,
qualifications, and approvals of whatever nature that are legally required to practice its
profession. Contractor represents and warrants to City that Contractor shall, at its sole
cost and expense, keep in effect at all times during the term of this Agreement, any
license, permit, or approval which is legally required for Contractor to practice its
profession.
9. Contractor's Insurance.
Contractor shall provide insurance as set forth in Exhibit "A" (the Special
Provisions ") and Exhibit "B" attached hereto and made a part hereof.
10.
(a)
Contractor's
elected and
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Indemnification.
For Claims (as defined herein) other than those alleged to arise from
negligent performance of professional services, City and its respective
appointed boards, officials, officers, agents, employees and volunteers
2 October 21, 2014 Item # 1.8
(individually and collectively, "Indemnitees ") shall have no liability to Contractor or any
other person for, and Contractor shall indemnify, protect and hold harmless Indemnitees
from and against, any and all liabilities, claims, actions, causes of action, proceedings,
suits, damages, judgments, liens, levies, costs and expenses, including reasonable
attorneys' fees and disbursements (collectively "Claims "), which Indemnitees may suffer
or incur or to which Indemnitees may become subject by reason of or arising out of any
injury to or death of any person(s), damage to property, loss of use of property,
economic loss or otherwise occurring as a result of Contractor's negligent performance
under this Agreement, or by the negligent or willful acts or omissions of Contractor, its
agents, officers, directors, sub - Contractors or employees.
(b) For Claims alleged to arise from Contractor's negligent performance of
professional services, Indemnitees shall have no liability to Contractor or any other
person for, and Contractor shall indemnify and hold harmless Indemnitees from and
against, any and all Claims that Indemnitees may suffer or incur or to which
Indemnitees may become subject by reason of or arising out of any injury to or death of
any person(s), damage to property, loss of use of property, economic loss or otherwise
to the extent occurring as a result of Contractor's negligent performance of any
professional services under this Agreement, or by the negligent or willful acts or
omissions of Contractor, its agents, officers, directors, sub - Contractors or employees,
committed in performing any of professional services under this Agreement. For Claims
alleged to arise from Contractor's professional services, Contractor's defense obligation
to Indemnitees shall include only the reimbursement of reasonable defense costs and
attorneys' fees to the extent caused by Contractor's negligence.
(c) The foregoing obligations of Contractor shall not apply to the extent that
the Claims arise from the sole negligence or willful misconduct of City or its elected and
appointed boards, officials, officers, agents, employees and volunteers.
(d) In any and all Claims against City by any employees of the Contractor,
anyone directly or indirectly employed by it or anyone for whose acts it may be liable,
the indemnification obligation under this Section 15 shall not be limited in any way by
any limitation on the amount or type of damages, compensation or benefits payable by
or for the Contractor under worker's compensation acts, disability benefit acts ,or other
employee benefit acts.
11. Contractor Not an Agent.
Except as City may specify in writing, Contractor shall have no authority,
expressed or implied, to act on behalf of City in any capacity whatsoever as an agent.
Contractor shall have no authority, expressed or implied, pursuant to this Agreement to
bind City to any obligation whatsoever.
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12. Personnel.
Contractor shall assign qualified and certified personnel to perform
requested services. The City shall have the right to review and disapprove personnel
for assignment to Poway projects.
City shall have the unrestricted right to order the removal of any person(s)
assigned by Contractor by giving oral or written notice to Contractor to such effect.
Contractor's personnel shall at all times comply with City's drug and
alcohol policies then in effect.
13. Notices.
Notices shall be given as described on Exhibit "A" (the Special
Provisions ") and Exhibit "B" attached hereto and made a part hereof.
14. Dispute Resolution.
In the event of a dispute between City and Contractor concerning the
terms of this Agreement or its performance, the parties agree to initially submit such
dispute to voluntary mediation before a mutually acceptable mediator prior to arbitration
or litigation. In the event that the subject of such action is compensation claimed by
Contractor in the event of termination, Contractor's damages shall be limited to
compensation for the 60 -day period for which Contractor would have been entitled to
receive compensation if terminated without cause. In the event of arbitration, each
party shall bear its own attorneys' fees and costs incurred. Any action to enforce or
interpret the terms or conditions of this Agreement shall be brought in the Superior
Court in San Diego County, Central Division. Contractor hereby waives. any right to
remove any such action from San Diego County as is otherwise permitted by California
Code of Civil Procedure section 394.
15. Gender.
Whether referred to in the masculine, feminine, or as "it," "Contractor'
shall mean the individual or corporate Contractor and any and all employees of
Contractor providing services hereunder.
16. Counterparts.
This Agreement (and any amendments) may be executed in multiple
counterparts, each of which shall be deemed an original, but all of which, together, shall
constitute one and the same instrument. Documents delivered by telephonic facsimile
transmission shall be valid and binding.
6 of 13 4 October 21, 2014 Item # 1.8
17. Entire Agreement.
This Agreement shall constitute the entire understanding between
Contractor and City relating to the terms and conditions of the services to be performed
by Contractor. No agreements, representations or promises made by either party,
whether oral or in writing, shall be of any force or effect unless it is in writing and
executed by the party to be bound thereby.
18. Pension Reform Act of 2013
At all times during the term of the Agreement with the City, no officer,
director, shareholder, member, partner, employee, or contractor, providing services to
the City, will be a "retired annuitant," under the City's retirement system, ineligible for
temporary employment under section 7522.56 of the California Government Code,
which was added as a part of the Pension Reform Act of 2013. For the purposes of this
statement a "retired annuitant" is a person retired from the California Public Employees'
Retirement System ( "CalPERS "). Any retired annuitant proposed to provide work on
behalf of the City must be eligible for appointment under the Pension Reform Act of
2013, and any other applicable laws, without any adverse financial impact to the City.
(Remainder of page intentionally left blank)
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7 of 13 October 21, 2014 Item # 1.8
IN WITNESS WHEREOF, the parties hereto have duly executed this Agreement
on the date first above written.
CITY OF POWAY CONTRACTOR
Daniel Singer, City Manager
Dated:
ATTEST:
Sheila R. Cobian, CMC, City Clerk
APPROVED AS TO FORM:
Morgan L. Foley, City Attorney
in
Dated:
Ronald G. Bright, President
8 of 13 6 October 21, 2014 Item # 1.8
"SPECIAL PROVISIONS"
EXHIBIT "A"
A. Scope of Services.
Contractor agrees to perform contract services as required by City.
Contractor shall provide the necessary qualified personnel to perform the services. In
performance of the services, Contractor shall provide specifically those services as
detailed in the Chaulk Mound Trout Ranch, Inc., quote, dated October 3, 2014, which is
included in this document as Exhibit "B ".
B. Compensation and Reimbursement.
City shall pay Contractor a fee in accordance with the Fee Proposals
submitted with the proposal dated October 3, 2014, which is included in this document
as Exhibit "B ". Total fee shall be no greater than the unit prices contained in the
Primary Agency Contract. The total fee for said services in each of the first three (3)
years is not to exceed $78,000. If Contractor accepts the renewal option, the renewal
option increase will not exceed 5% of the unit price per each year. Contractor's fee
shall include and Contractor shall be responsible for the payment of all federal, state,
and local taxes of any kind which are attributable to the compensation received.
C. Term of Agreement.
This Agreement shall be effective from the period for three (3) consecutive
years to begin in November. 2014 through June 30, 2015; July 1, 2015 through June
2016; and July 1, 2016 through June 30, 2017; with the option to renew on a yearly
basis for an additional three (3) years with satisfactory approval from the City and,
unless sooner terminated by City as provided in the section of this Agreement entitled
"Termination." Upon expiration or termination of this Agreement, Contractor shall return
to City any and all equipment, documents or materials and all copies made thereof
which Contractor received from City or produced for City for the purposes. of this
Agreement.
D. Contractor's Insurance.
1. Coverages:
Contractor shall obtain and maintain during the life of this
Agreement all of the following insurance coverages:
(a) Comprehensive General Liability, including premises -
operations, products /completed, broad form property damage, and blanket contractual
9 of 13 7 October 21, 2014 Item # 1.8
liability with the following coverages: General Liability $1,000,000 Bodily Injury . and
Property Damage combined each occurrence and $2,000,000 aggregate.
(b) Automobile Liability, including owned, hired, and non -owned
vehicles: $1,000,000 combined single limit.
(c) Contractor shall obtain and maintain, during the life of the
Agreement, a policy of Professional Errors and Omissions Liability Insurance with policy
limits of not less than $1,000,000 combined single limits, per claim and annual
aggregate.
(d) Workers' Compensation insurance in statutory amount. All
of the endorsements which are required above shall be obtained for the policy of
Workers' Compensation insurance.
2. Endorsements:
Endorsements shall be obtained so that each policy contains the
following three provisions:
(a) Additional Insured. (Not required for Professional Errors and
Omissions Liability Insurance or Workers' Compensation.)
"City of Poway and its elected and appointed boards, officers,
agents, and employees are additional insureds with respect to this subject project and
contract with City."
(b) Notice.
"Said policy shall not terminate, nor shall it be canceled, until thirty
(30) days after written notice is given to City."
(c) Primary Coverage.
"The policy provides primary coverage to City and its elected and
appointed boards, officers, agents, and employees. It is not secondary or in any way
subordinate to any other insurance or coverage maintained by City."
3. Insurance Certificates:
Contractor shall provide City certificates of insurance showing the
insurance coverages described in the paragraphs above, in a form and content
approved by City, prior to beginning work under this Agreement.
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E. Notices.
All notices, billings and payments hereunder shall be in writing and sent to
the following addresses:
To City: City of Poway
13325 Civic Center Drive
P.O. Box 789
Poway, CA 92074
To Contractor: Ronald G. Bright
Chaulk Mound Trout Ranch, Inc.
2211 Road 73
Bridgeport, NE 69336
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Chaulk Mound Trout Ranch
Ron Bright EXHIBIT- -B
2211 Road 73
Bridgeport, NE 69336
Office: 308-262-2973
City of Poway
Greg Sundberg
PO Box 789
Poway., CA 92074
Greg:
Here is our quote to the City of Poway for the 2014 — 2015 Trout Season..
Oct. 3, 2014
Quantity
Description
of item
Price per unit
Approx.
Arun u#1
Price
20,800 pounds
Nebraska
Tailwalkers
$3.75 pound
$78,000-00
Genetic Strain: Kainloop TriploidRainbow Trout
Size: 80% 1.5 — 3 lb. average, 15% 3 — 5 lb.
average and 5% 5 lbs,-,or,Eeater, (Trophies)
See "Attachment to- Quote" page with further
details.
FOB Destination Grand total
$78,000-00
Delivery dates
To be
determined
Please feel free to contact me if you have any questions.
Sincerely,
Ron Bright
Owner
12 of 13 October 21, 2014 Item # 1.8
City of Poway ATTACHMENT TO QUOTE
Greg Sundberg
October 3, 2014
Page 2
As with our previous quotes - The live rainbow trout will be prime selected stock, free of disease and all
deformities, and will I meet the standards that:are set forth in the Fish and Game Code of the State, of
California for use within the State. Grading of the fish shall he achieved by the Box, Grading Method or
other similar methods.
Fish Weight,and.certificate
The weight of the fish purchased/delivered shall be as follows:
5% at 5 pounds or larger
15% at 3-5 pounds
80% at 1.5-3 pounds
Loads shall be weighed into the delivery unit under the direct supervision of the weightmaster or
deputy weight master certified by the State of,'Clalif6rhia. The City reserves the right to inspect and
observelthe weighing offish -joad I's into the delivery vehicles.
Load Sizej Planting s c hedule and Vehicles
Load,:sizes shall bebetween, 1,500' and, 1,00,0 poun ' ds,,.,per.'d,eJivery and will be-re0ired.up,to, 12 times per
year during the season. The total amount of fish ben,g.d,elivered will be approximately 21 -,000,-pounds,
taking into, the consideration . of the ,City's-.bt.idget:constraints. Load sizes .and ,specified schedules are
mandatory. The schedule mill be,approximately Nov&nber through May and dependent on water
temperature. ,
. Ekac plant dat'es will be negdtiat6dhotween the Hatchery Manager and the City's
representative.
The fish delivery vehicles must be maintained in,gpod,working., conditions so as to facilitate on-time
viable .fish d . eliveryperthe schedule. Failure tomeet thescheduled deliveries due to inoperative vehicles.
may result in termination of the agreement.
Terms and Certificate of Insurance
Paymentat the,prices agreed upon will be per every delivery. The amount ,of$3.75 per pound shall be
firm for three (3) consecutive years to beglhln November 2014 , through june 3 1 0, 2015, - July 1, 2415
through June, 2016, and july 1, 2016throughjune. 30, 2017 with the:,option,to,'reneW on a yearly basis for
an-additional three (3) years with satisfactory I ',approy4l ft9m.,the : City. The,,,rehe.wal option, increase will
not exceed 56/o of the unit price per each year.
Security Reqqfr, I enients
' ' . 11 : City
At the time, of the'dielivery-, to the Lake POW.ApkecteationAf d,.�,t-he-,hatthet*�PIant-rriti,st call the Ci
Ran gprat f 85 81 967 -1354 with the drivers,-name. 'atthe tune ,6f delivery, :the :d'river trust show a valid
provide t-hi�.,it,efn-,may,be.�.(-.Iuse'fOr-rejection of the delivery.
d'river's license. Failure to pj�dv
Complying with the Spefifit-atl,ions.-aiftd�-,"�'L.i.Ab.!,I.itY,�"Iiisur.anc,e
, t the bid specifications,
After the award of contract; shall Chaulk"Mbund Ttout,Ranch ,`_faffto,,comply wih
the City has justcause to. obtain live stock from another hatchery and any. additional: posts shall be
reimbursed to the City by Chaulk Mound Trout Ranch.
A valid certification of insurance must be provided during the full duration of the contract htract in,cluding the
additional three (3) year options as per the insurance requirements of the City.
of 13 October 21, 2014 Item # 1.8