DATE:
TO:
FROM:
CONTACT:
SUBJECT:
Summary:
AG EN DA REPORT Cityof Poway
November 15, 2022
Honorable Mayor and Members of the City Council
Audrey Denham, Director of Community Services.541)
Karen Tansey, Management Analyst �
(858) 668-4584 or [email protected]
CITY COUNCIL
Award of Contract for the Lake Poway Recreation Area Live Rainbow Trout Stock; Bid No. 23-004
The current contract to stock live rainbow trout in Lake Poway ended in June 2022. On September 21, 2022, the City opened a competitive Request for Bids (RFB). One bid was received, and with the current budget of $92,000, Wrights Rainbows LLC from Thatcher, Idaho is deemed the lowest responsible bidder. The term of this contract is two (2) years with the option to renew annually for three additional years.
Recommended Action:
It is recommended the City Council award the contract for the Lake Poway Recreation Area Live Rainbow Trout Stock to Wrights Rainbows LLC, the lowest responsible bidder, in the amount of $92,000 and authorize the City Manager to execute the contract and all related documents.
Discussion:
The Lake Poway Recreation Area is a master-planned facility owned and operated by the City of Poway.
It provides potable water to the residents of Poway. Recreation operations and programming, including trout season, are managed by the Community Services Department.
The City of Poway's dam and reservoir project was funded through grants with the State of California Department of Water Resources under the Davis Grunsky Act. Davis Grunsky established the minimum operational guidelines required by the State for Lake Poway. These guidelines included an establishment plan, recreational plan, and the establishment of general fishery requirements.
While the grant requirements expire December 31, 2022, the City plans to continue to maintain both warm water game fish and trout. Trout season generally runs from early December through April or when the water temperature is suitable for live trout. Historically, trout are typically stocked on a bi weekly basis. Trout season at Lake Poway is very popular and attracts Poway residents and visitors 1 of 9
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across the region.
Revenue from fishing permits and boat rentals offsets the trout stock expenditure. The Lake's point of-sale system allows staff to report on data during particular time ranges and on specific types of purchases. All fishing permits sold during certain months are attributed to trout season and all boats categorized and sold as multi-hour fishing boats are also attributed to trout season during this same time period. Without taking into consideration operational costs, the FY 21-22 gross revenue that can be directly attributed to trout season was $109,659 (fishing permits $51,901; boating permits $57,758).
The City entered into the current contract with Chaulk Mound Trout Ranch on June 21, 2017, to provide rainbow trout and trout stocking services for the Lake Poway Recreation Area. In 2020, Chaulk Mound informe'd the City they were closing their business due partly to COVID-19, and would not re-open.
The City contacted local lakes to obtain the names of trout farms that were delivering to the area.
Wrights Rainbows delivered trout to Lake Jennings and had available trout to deliver to the City of Poway under the same delivery schedule as Lake Jennings. Wrights Rainbows completed the final three years of the contract that ended in June 2022 with a price per pound of $4.75.
On September 21, 2022, the City opened a competitive RFB. The FY 22-23 operating budget for live trout stock is $92,014. An RFB was issued requesting the maximum pounds of trout for a not-to exceed price of $92,000. The RFB was mailed out to six trout farms, posted on the City's website through E-bidboard, and advertised in the Poway News Chieftain. One farm immediately responded that they did not have enough trout to bid the job. Another farm was no longer in business.
On October 25, one bid was received and opened from Wrights Rainbows. The bid was complete and deemed the lowest responsible bid at $4.95 per pound for a total of 18,586 pounds. The contract (Attachment A) has a term of two (2) years with the option to renew annually for three additional years.
Environmental Review:
Tb_is item is not subject to California Environmental Quality Act (CEQA) review.
Fiscal Impact:
Sufficient funds are available in account 202020-45110 for the award of this contract.
Public Notification:
This RFB was published in the Poway News Chieftain on Thursday, October 6 and 13, 2022.
Attachments:
A. City of Poway Form of Contract Sale and Purchase of Good and Materials Reviewed/Approved By:
W�,K�
Assistant City Manager
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Reviewed By:
Alan Fenstermacher
City Attorney City Manager
November 15, 2022, Item #15
CITY OF POWAY
FORM OF CONTRACT
SALE AND PURCHASE OF GOODS AND MATERIALS
This Contract, entered into this 15th day of November, 2022, by and between the CITY OF POWAY, a general law city and municipal corporation (the "City"), and Wright's Rainbo ws, LLC, �n Idaho limited liability company, (the "Seller'').
1. Sale and Purchase.
Seller will sell, transfer and deliver to City, and City will accept and purchase from Seller at the location identified in Section 4, below, and in accordance with the Bid Schedule, attached hereto as Exhibit "A" and made part hereof, all of the goods, materials and other items in such quantities as City may require, of such specified sizes, quality and types, classifications, and minimum order for each shipment, as defined by the Department of Community Services, and as are identified in the Bid Schedule.
2. Price.
Seller agrees to invoice the goods and services, as it may apply, sold at the prices identified in Bid Sheet.
3. Payment.
The City shall make payment within 30 days of receipt of invoice after delivery of live rainbow trout. Payment shall be considered as having been made upon the date such payment is deposited in the U.S. Mail, first-class postage pre-paid and addressed to Seller.
4. Delivery.
Delivery shall be to the City of Poway Lake Poway Recreation Area at 14644 Lake Poway Road, Poway, CA 92064, on the dates and time agreed upon between the Hatchery Manager and the City's representative.
5. Supply and Output Capability of Seller.
If Seller is unable for any reason to supply City's requirements, Seller shall immediately notify City and provide its best estimate of the date of delivery/time and nature of stock, as it may apply. City may, at its sole and exclusive option, notify Seller in writing of City's decision to terminate the order without liability to the Seller. If the inability to supply City with its needs is not due to the negligence or faults of Seller, and Seller has notified City in writing as soon as Seller discovers the circumstances necessitating a revised delivery date, the termination of the order shall not entitle City to any damages.
6. Claims.
The shipment will be FOB Poway, CA at the address set forth in Section 4, above, with all delivery charges and claims for enroute -damage the responsibility of the Seller. 3 of9 ATTACHMENT A
November 15, 2022, Item #15
Evident damage to any fish will be indicated by a notation, which will, with the exception of concealed damages, be made by the carrier's agent on the delivery receipt before the receipt is signed for acceptance. The notation must clearly specify the extent of damage. Concealed damage must be reported to the carrier within 15 days of delivery.
7. Assignment and Delegation; Successors.
Neither Seller nor City shall assign any rights or delegate any obligations to the Contract without express written approval and acceptance of the other party. Any such assignment or delegation without express written approval and acceptance shall be null and void.
All terms, conditions and provisions of this bid proposal shall inure to and bind each of the parties hereto, and each of their successors in interest, executors, and administrators.
8. Indemnification.
Seller agrees to indemnify, defend by an attorney of the City's own choice, and save harmless, the City, and its elected and appointed officers, agents and employees (the "lndemnitees") against any and all liabilities, claims, actions, causes of action, proceedings, suits, damages, judgments, liens, levies, costs and expenses of whatever nature, including reasonable attorneys' fees and disbursements (collectively "Claims"), which lndemnitees may suffer or incur or to which lndemnitees 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 or allegedly caused by the City's use of the product and installation services sold by seller to City, provided that City has not altered or tampered with such product in any way and has used such product in accordance with Seller's or manufacturer's instructions and warnings.
If any action or proceeding is brought against lndemnitees by reason of any of the matters against which Applicant has agreed to indemnify lndemnitees as provided above, Applicant, upon notice from City, shall defend lndemnitees at Applicant's expense by counsel acceptable to City, such acceptance not to be unreasonably withheld. lndemnitees need not have first paid for any of the matters to which lndemnitees are entitled to indemnification in order to be so indemnified. The insurance required to be maintained by Applicant under Section 2, item 13 shall ensure Applicant's obligations under this section, but the limits of such insurance shall not limit the liability of Applicant hereunder. The provisions of this section shall survive the expiration or earlier termination of this Agreement.
The provisions of this section do not apply to Claims occurring as a result of this City's sole negligence or willful acts or omissions.
The parties agree to cooperate fully in the resolution of any claims for such liability, loss or damage.
9. Seller's Insurance.
The City shall be named as an additional insured with the bidder. Refer to the Insurance Code of the State of California. Evidence shall be furnished that the requirements of said code are met. Unless specified otherwise, the minimum requirements are as follows:
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November 15, 2022, Item #15
• Comprehensive General Liability: $1,000,000 Bodily Injury & Property Damage combined each occurrence and $2,000,000 aggregate;
• Automobile Liability, including owned, hired, and non-owned vehicles: $1,000,000 Combined Single Limit coverage;
• Workers' Compensation insurance: Per the statutory amount. • Endorsements: Endorsements shall be obtained so that each policy contains the following three provisions:
o Additional Insured. (Not required for Workers' Compens ation.) The City must be named as an "Additional Insured" on the policy. The Additional Insured Endorsement is generally a separate endorsement form and rarely is it acceptable to name the City as "Additional Insured" only on the face of the Insurance Certificate. A Blanket Endorsement form authorized by the Insurance Carrier is acceptable. The preferred language for the Endorsement form is: "City of Poway and its elected and appointed boards, officers, agents, and employees are additional insured's with respect to this subject property and contract with City. 11 o Notice. "Said policy shall not terminate, nor shall it be canceled until thirty (30) days after written notice is given to City.
11 o 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."
The failure of bidder to provide City with insurance meeting all requirements of this Contract within 15 calendar days after the Award of Bid shall constitute a material breach of the Contract, entitling City to terminate the Contract.
All bonds and all insurance shall meet the following standards. The issuing company:
a. Shall be an "admitted surety" or an insurance company listed by the State Insurance Commissioner; and
b. Shall have a rating in the latest Best's Rating Guide of "A-" or better and Class VI or better; or be "treasury listed" for the size of risk to be undertaken.
In the event that the company does not satisfy subsection (b) above, the City Attorney or City Manager may only approve such company if the small size of the insurance or surety obligation or other risk factor justify approval, and satisfactory evidence is produced by the company that its financial responsibility and performance capability are sufficient to insure or secure adequately the risk obligation. (See City Council Resolution 90-082.)
10. Integration.
The terms of this Contract are intended by the parties to be the final expression of our agreement with respect to such terms and also as a complete and exclusive statement of such terms. Any documents prepared and issued by City in preparation for and preliminary to the award and execution of a Purchase Order are expressly made a part of this Bid. 5 of9
November 15, 2022, Item #15
However, in the event of any conflict between the written expressions of such prior documents and the written expressions of this document, the terms and interpretations given to the provisions of this writing shall prevail. No agreement, representation, or promise made by either party hereto, or by or to an employee, officer, agent or representative of either party, shall be of any effect unless it is in writing and executed by the party to be bound thereby.
11. Applicable Law.
The order shall be governed by the laws of the State of California. Any legal action brought to enforce the terms and conditions of this Agreement shall be filed in a court of competent jurisdiction with San Diego County. Seller hereby waives any right to remove any action from San Diego County as is otherwise provided in California Code of Civil Procedure Section 394. In the event any legal action is taken by either party to this Agreement, the prevailing party shall be entitled to recover reasonable attorney fees and court costs from the other party.
IN WITNESS WHEREOF, the parties hereto have caused this order to be executed by their respective authorized representatives.
SELLER: ____________ _
Company Name
BY: -------------------
Signature of Seller's Authorized Represent ative
PRINT NAME: ---------------
CITY OF POWAY:
BY: -------------------
Chris Hazeltine, City Manager
Date: ------------------
ATTEST:
BY: Date: ----------------- -----------
Carrie Gallagher, CMC, City Clerk
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November 15, 2022, Item #15
Approved as to form:
BY: ----------------
Alan Fenstermacher,- City Attorney
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Date: 9/19/22 ----------
November 15, 2022, Item #15
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Quantit�
�I C?ilP
Exhibit A
!<!<TQ J3f; SUB!V!!TTJ:;D WITH ijXfSO.lJTE.Q CONTRACP;o; S.XH!B!T A�1
BID SCH�OlJI...I; f9r O!TY OF POWAY
L.AK!; POWAY R�CR�AT!QN AR�A
l-!VP RA!Nl3.QW TROUT STOCK
l3,� N9, 23,,Q04
UNIT Oescriptign UN!T PRICl:
Lb, L,,ive Rainbow Trout $ t;/-.q0
TOTAl/;1r
$82!000
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TOTAL. AMQUNl Qf. l31P !N Fl§WR!;S; :=aN=ot=t=o=e=xc=-e=e==d =$==92=,o=o=o======= TOTAl-e AMOUNT OF �ll:l IN WOROSl. Ninety .. two thousand _DOLLARS �nd no C�NT$
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November 15, 2022, Item #15
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