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HomeMy WebLinkAbout02-23-2021 Council Handouts Oak Park Heights Request for Council Action Meeting Date: February 23rd, 2021 Time Required: 1 min. Agenda Item Title: Approve JPA for Fuel Contract 2021 Agenda Placement: Consent Originating Department/Requestor: Police Chief, Steve Hansen Requester's Signature Action Requested: JPA for Fuel Contract 2021 review and approval Background/Justification: Attached is the Joint Powers Agreement with Washington County for the police department to continue to purchase fuel under the MN contract prices and utilizing the Washington County Sheriff's office pumps. This year's bid price will be $1.68 per gallon. With the contract we lock in the price for the entire year. We do not have the option of using the contract price when it is lower and then not when the pump price is lower. The commitment is an averaged expected yearlong price speculated on the ups and downs seen at the pump. We commit to 750 gallons per month usage in which we use this as a minimum averaged out over the last several years history participating in the state fuel contract. This was verbally presented to Administrator Johnson and Finance Director Caruso who both recommended entering into the contract. Approval of the contract in the past has provided savings in the years since participation in the program began. It would be reasonably expected to again save money given the average ups and downs during a normal year to again save the city money over commercial yearly pay at the pump prices. DocuSign Envelope ID:C13708B1-062B-49C5-83F2-C3884BE666B1 #13949 SHERIFF'S OFFICE JOINT POWERS AGREEMENT BETWEEN THE WASHINGTON COUNTY SHERIFF'S OFFICE AND THE CITY OF OAK PARK HEIGHTS POLICE DEPARTMENT THIS AGREEMENT is made by and between political subdivisions organized and existing under the Constitution and laws of the State of Minnesota. Washington County a political subdivision by and through its Sheriff's Office (hereinafter "Provider") and the City of Oak Park Heights Minnesota, a municipal corporation, by and through its City Police Department (hereinafter referred to as the "City") are the parties to this agreement. WHEREAS, Minnesota Statutes Section 471.59 provides that two or more governmental units may by Agreement jointly exercise any power common to the contracting parties. WHEREAS, the Provider has entered into a Minnesota State Fuel contract February 01, 2021 through January 31, 2022 - Mansfield contract 151943— Fuel Program: Fixed Price and Spot Price Program for Supplying and Distributing Diesel and Gasoline Products to Program Participants in the Metropolitan Area, whereby the Provider has agreed to purchase through a cooperative purchasing agreement, a total of 177,200 gallons -87 octane gasoline from February 1, 2021 through January 31, 2022. Specifically, 13,200 gallons per month for the months of, February, March, November, December, and January 2022, 14,000 gallons in the month of October and 16,200 gallons per month for the months of April, May, June, July, August, and September. WHEREAS, the Provider provides law enforcement services including but not limited to the patrol and rescue operations that utilizes squad cars, SUVs, boats, hovercrafts, snowmobiles, ATVs and assorted gasoline run equipment pursuant to the police powers and law enforcement authority granted under the laws of the State of Minnesota as a law enforcement agency. WHEREAS, the City is in need of procuring 750 gallons of gasoline each month to operate its squad cars and SUVs to provide law enforcement services pursuant to the police powers and law enforcement authority granted under the laws of the State of Minnesota as a law enforcement agency. WHEREAS, at the request of the City, the Provider is willing to provide gasoline to the extent as identified in this Agreement to the City to assist the City with law enforcement services. NOW THEREFORE, pursuant to the authority contained in Minnesota Statute Section 471.59. commonly known as the Joint Powers Act which authorizes two or more governmental units to jointly exercise any power common to them and /or Minnesota Statutes Sections 626.76 and in consideration of the mutual covenant herein contain and the benefits that each party hereto shall derive hereby the Provider and City agree to the following terms and conditions: DocuSign Envelope ID:C13708B1-062B-49C5-83F2-C3884BE666B1 CITY'S RESPONSIBILITIES 1. When needed for the City's daily operation of squad cars and SUVs, the City may have access to the Provider's gasoline pumps located at the LEC 15015 62nd Street, Stillwater MN. 2. The City's access to Providers gasoline pumps shall be through electronic access issued to each squad and officer that is employed by the City. 3. Any City law enforcement officer acting under this agreement is considered to be acting in the ordinary course of his or her employment with the City. 4. Any City law enforcement officer acting under this agreement shall continue to be covered by his or her employment agency for the purpose of worker's compensation, unemployment insurance, disability and any other employee benefits and for civil liability purposes. 5. No City law enforcement officer acting under this agreement may be considered for liability purposes as an employee of Provider or agent of Provider, for his or her actions regardless of the supervision or control over the officer's actions. PROVIDER'S RESPONSIBILITIES 1. The Provider will purchase a total of up to 177,200 gallons - 87 octane gasoline from February 1, 2021 through January 31, 2022. Specifically, up to 13,200 gallons per month for the months of, February, March, November, December, and January 2022, 14,000 gallons in October and 16,200 gallons per month for the months of April, May, June, July, August, and September. 2. Provider agrees that it will make available the amount of gasoline deemed necessary by the City for the City's law enforcement usage at its pumps located at the LEC located at 15015 62nd Street, Stillwater MN. 3. The Provider will notify the City if there is any interruption in availability of gasoline at the LEC pumps as reasonably soon as the Provider becomes aware and for what duration of time. During any time of interruption the City is responsible to find and pay for its own gasoline until such time that the availability of gasoline is restored at the pumps located at the LEC. 4. The cost of gasoline to the City will be at the Provider's rate of$1.6895 per gallon plus any applicable taxes and fees unless the total monthly gasoline usage is more than the Provider's purchased monthly amount of gasoline as stated in paragraph 1 of this section. DocuSign Envelope ID:C13708B1-062B-49C5-83F2-C3884BE666B1 5. If the total monthly usage of gasoline is greater than the Provider's purchased monthly amount and the Provider obtains additional gasoline at a rate higher than $1.6895 per gallon, the City will be responsible for reimbursing the Provider at the higher rate charged to the Provider per gallon up to the amount of gasoline used by the City. TERM OF AGREEMENT The term of this agreement shall be from February 01, 2021 through January 31, 2022, the date of the signature of the parties notwithstanding, unless earlier terminated as provided herein. PAYMENT The City shall pay the Provider within 30 days of being invoiced for the City's gasoline usage. INDEPENDENT CONTRACTOR It will be agreed that nothing within the contract is intended or should be construed in any manner as creating or establishing the relationship of co-partners between the parties or as constituting the City as the agent, representative, or employee of the Provider for any purpose or in any manner whatsoever. ASSIGNMENT The City shall not assign any services contemplated under this agreement. INDEMNIFICATION The City agrees it will defend, indemnify and hold harmless the Provider, its officers and employees against any and all liability, loss, costs, damages, and expenses which the Provider, its officers, or employees may hereafter sustain, incur, or be required to pay arising out of the negligent or willful acts or omissions of the City in the performance of this agreement. INSURANCE REQUIREMENTS The City agrees that in order to protect itself, as well as the Provider, under the indemnity provisions set forth above, it will at all times during the term of this Agreement, keep in force the following insurance protection in the limits specified: 1. Maintain membership and participation in the Minnesota League of Cities Trust or Commercial General liability Insurance with contractual liability coverage in the amount of the City's and Provider's tort liability limits set forth in Minnesota Statute Section 466.04 and as amended from time to time. 2. Automobile coverage in the amount of the City's and Provider's tort liability limits set forth in Minnesota Statute Section 466.04 and as amended from time to time. 3. Worker's Compensation in statutory amount. DocuSign Envelope ID:C13708B1-062B-49C5-83F2-C3884BE666B1 Prior to the effective date of this Agreement, the City will furnish the Provider, with certificates of insurance as proof of insurance. This provision shall be set as a condition subsequent; failure to abide by this provision shall be deemed a substantial breach of contract. Any policy obtained and maintained under this clause shall provide that it shall not be cancelled, materially changed, or not renewed without thirty days notice thereof to the Provider. DATA PRACTICES All data collected, created, received, maintained, or disseminated for any purposes by the activities of the contractor, because of this agreement, is governed by the Minnesota Government Data Practices Act, Minnesota Statutes Chapter 13, as amended, the Minnesota Rules implementing such Act now in force or as adopted, as well as federal regulations on data privacy. For purposes of the Data Practices Act each party shall remain the sole and exclusive responsible authority as defined by law for all data collected, created, received, maintained or disseminated by that party. TERMINATION Provider or City may cancel this Agreement with or without cause at any time upon giving a 30 days written notice to the Washington County Sheriff or designee or the Oak Park Heights City Police Chief, City Administrator or designee. WASHINGTON COUNTY Oak Park Heights BY: DATE: BY: DATE: County Board Chair BY: DATE: County Administrator BY: DATE: Sheriff Approved to as form: /s/Brent Wartner Asst. County Attorney