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CITY COUNCIL AGENDA ITEM NO. 10

Meeting Date: April 22, 2003

Subject/Title: Authorize the City Manager to enter into an agreement with Bay Area Vending Company to provide vending machine services at City parks and facilities.

Submitted by: Craig D. Bronzan, Director of Parks and Recreation
Ken De Silva, Park Services Manager

Approved by: John Stevenson, City Manager

RECOMMENDATION
Authorize the City Manager to enter into an agreement with Bay Area Vending Company to provide
vending machine services at City parks and facilities.

PREVIOUS ACTION
City Council approved the distribution of a Request for Proposals for vending machine services at the City Council meeting of November 26, 2002.

BACKGROUND
With the growth of Brentwood and the addition of many new parks and City facilities, we have continued to receive requests from citizens for the City to provide the opportunity to purchase beverages at our facilities. The Request for Proposals was distributed in December, with proposals due January 31, 2003. Staff walked through the sites with interested vendors in January. As of the deadline, two proposals were received. One proposal was from Coca-Cola Bottling Company and the other from Bay Area Vending Company. Staff is recommending the City Manager enter into an agreement with Bay Area Vending Company for several reasons. Bay Area Vending Company offers snack vending machines in addition to beverages and is also is a local business. They have also included in their proposal the operation of the concession stand and batting cages at Sunset Sports Complex. Staff has checked references for Bay Area Vending Company and have had positive feedback regarding their services.

FISCAL IMPACT
Income received as a result of this project will be deposited back into the respective facilities that the services are being provided.

Attachment:
Agreement
Proposal from Bay Area Vending Company
Supplemental Proposal/Information from Bay Area Vending Company

AGREEMENT FOR VENDING SERVICES

THIS AGREEMENT is made and entered into this 22nd day of April 2003 by and between the CITY OF BRENTWOOD, a municipal corporation (hereinafter referred to as the “City”), and BAY AREA VENDING COMPANY, whose address is 2407 Pinehurst Court, Discovery Bay, CA 94514 and telephone number is (925) 516-1263 (hereinafter referred to as the “Vendor”).

WITNESSETH:

A. Vendor is qualified to provide, and experienced in providing vending services and has offered his services for the purposes specified in this Agreement.

B. In the judgment of the City, it is necessary and advisable to employ the services of the Vendor for the purposes provided herein.

NOW THEREFORE, in consideration of mutual covenants, agreements and conditions contained herein, City and Vendor agree as follows:

1. Vendor’s Services. Vendor shall provide all work described in Exhibit “A” Proposal and Addendum attached hereto and incorporated herein by this reference.

2. Terms. Vendor shall begin work no later than 14 days after City Council approval of this agreement. Prior to beginning work, Vendor shall submit all necessary documents and permits to the City of Brentwood Parks and Recreation Department. Bay Area Vending Company will be required to obtain a City of Brentwood business license. The work as described Exhibit “A” shall be completed by April 2006. On the anniversary date of this signed contract, each year, the specific terms of this contract can be re-negotiated between the City and Vendor. For the Sunset Sports Complex site, however, operation of the batting cages and concession stands is for calendar year 2003 only. Concession and batting cages for the expansion/renovation of Sunset Sports Complex will go out to bid in 2004.

At a minimum, Vendor shall provide services as follows:
A. Vending Machine Placement, Maintenance, and Service at sites listed in Exhibit A year-round. Vendor will provide copy of service schedule by site location on a weekly basis to the Parks and Recreation Department.
B. Operation of the Batting Cages February through October, Monday through Friday from 4 p.m. until 9 p.m. and Saturdays and Sundays from 10 a.m. until 7 p.m., when a minimum of two fields are in use.
C. Operation of Snack Bar and Sunset Sports Complex February through October, Monday through Friday from 4 p.m. until 9 p.m. and Saturdays and Sundays from 10 a.m. until 7 p.m. when a minimum of two fields are in use.

If Vendor wishes to provide service for additional days or hours, Vendor shall provide a supplemental proposal to the City of Brentwood Parks and Recreation Department. Any other proposed change in hours shall be requested in writing by the Vendor for approval by the Director of Parks and Recreation.

In addition:

a. With the exception of Sunset Sports Complex, items may not be stored on-site. At Sunset Sports Complex, items for the batting cages and snack bar may be stored at Bay Area Vending Company’s own risk in the locked storage area.
b. Vendor is required to post hours of operation and is to ensure that Vendor service is available for the hours posted.
c. There are to be no product exclusions:
1. Patrons will be allowed to bring their own food and beverages.
2. Baseball teams or other permitted facility renters are allowed to provide concessions on-site with the proper permits, if applicable.
3. Vendor is allowed to provide concession services when other vendors are also on site.

3. Compensation. Vendor will compensate the City of Brentwood as follows:

a. 15% of the total volume sold from drink machines
b. 12% of total volume sold from snack machines and ice cream machines
c. 15% total volume sold at the Sunset Sports Complex Snack Bar
d. 20% of the total volume from the Batting Cages

Monthly payment must be submitted to the City no later than fifteen (15) days into the following month of services (e.g., a statement sheets for the month of April must be in to the City by the 15th day of May). Monthly statements are to be broken down by location.

4. Changes. City may request, from time to time, changes in the scope of services to be provided by the Vendor. Any changes and related fees shall be mutually agreed upon between the City and Vendor and shall be subject of a written amendment to this Agreement.

5. Vendor’s Status. In performance of the obligations set forth in this Agreement, Vendor shall have the status of an independent contractor and Vendor shall not be considered to be an employee of the City for any purpose.

6. Termination at Convenience of City. The City may terminate this Agreement at any time by mailing a notice in writing to Vendor that the Agreement is terminated. Said Agreement shall then be deemed terminated and no further work shall be performed by Vendor. If the Agreement is so terminated, the Vendor shall only compensate the City for the percentage of days worked and in accordance with the compensation described in Section 3 herein at the time the notice of termination is received.

7. Non-Assignability. The Vendor shall not assign, sublet, or transfer this Agreement or any interest or obligation therein without the prior written consent of the City, and then only upon such terms and conditions as City may set forth in writing.

8. Indemnify and Hold Harmless. Vendor shall defend, indemnify, and hold harmless, the City and its’ officers and employees from and against all claims, losses, damage, injury, and liability for damages arising from errors, omissions, negligent or wrongful acts of the Vendor in the performance of his services under this Agreement, regardless of whether the City has reviewed and/or approved the work or services which has given rise to the claim, loss, damage, injury or liability for damages. This indemnification shall extend for a reasonable period of time after completion of the contract as well as during the period of actual performance of services under this Agreement. The City’s acceptance of the insurance certificates required under this Agreement does not relieve the Vendor from this obligation under this paragraph.

9. Insurance. During the term of this Agreement, Vendor shall maintain in full force and effect at his own cost and expense the following insurance coverages:

a. General Liability and Bodily Injury Insurance. A comprehensive, general liability insurance for not less than $1,000,000.00 combined limit for bodily injury and property damage and provide that the City, its officers, employees and agents are named additional insureds under the policy.

The policy shall state in writing either on the Certificate of Insurance or attached rider thereof that this insurance for work performed by Vendor, and that no other insurance effected by City or other named insured will be called on to cover a loss covered thereunder.

b. Certificate of Insurance. Vendor shall complete and file with the City prior to the City’s execution of this Agreement, and prior to engaging in any operation of activity set forth in this Agreement. Certificates of insurance evidencing the insurance coverage(s) set forth above and which shall provide in writing that no cancellation, major change in coverage, or expiration by the insurance company will be made during the term of this Agreement without thirty (30) days written notice to the City prior to the effective date of such cancellation or change in coverage.

c. Worker’s Compensation Insurance. Worker’s Compensation Insurance for all of the Vendor’s employees, all in strict compliance with State laws, and to protect the City from any and all claims thereunder.

10. Notices. All notices herein required shall be in writing and shall be sent by certified or registered mail, postage prepaid, addressed as follows:

TO CITY: City Clerk
City of Brentwood
150 City Park Way
Brentwood, CA 94513

TO VENDOR: E. G. “Bud” Kyle, Owner
Bay Area Vending Company
2407 Pinehurst Court
Discovery Bay, CA 94514

11. Conformance of Applicable Laws. Vendor shall comply with all applicable Federal, State, and Municipal laws, rules and ordinances. No discrimination shall be made by Vendor in the employment of persons to work under this contract because of race, color, national origin, ancestry, sex or religion of such person. Prior to the City’s execution of this Agreement and prior to the Vendor’s engaging in any operation or activity set forth in this Agreement, Vendor shall keep the business license in full force and effect during the term of this Agreement. Vendor must also comply with all Contra Costa County Health Dept. requirements. A copy of the Contra Costa County Health Dept. shall be provided to the City prior to beginning service. Any improvements required by the Contra Costa County Health Dept. to obtain such license shall be made by the Vendor at the expense of the Vendor.

12. Waiver. In the event that either the City or the Vendor shall at any time or times waive any breach of this Agreement by the other, such waiver shall not constitute a waiver or any other or succeeding breach of this Agreement, whether of the same or of any other covenant, condition or obligation.

13. Attorney’s Fees. The prevailing party in any action brought to enforce or construe the terms of this Agreement may recover from the other party its reasonable costs and attorney’s fees expended in connection with such an action.

14. Scope of Agreement. This writing constitutes the entire Agreement between the parties relative to vending machine, snack bar, and batting cage services and modification is evidenced by a written amendment signed by both parties to this Agreement.

IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be executed on the date and year first above written.

By: By:
John Stevenson, City Manager E. G. Bud Kyle
Bay Area Vending Company
Attest:

K aren Diaz, CMC
City Clerk

Approved as to form:

Dennis Beougher, City Attorney

Attachments:

Exhibit A: Proposal and Supplemental Proposal by Bay Area Vending Company

City Administration
City of Brentwood City Council
150 City Park Way
Brentwood, CA 94513
(925) 516-5440
Fax (925) 516-5441
E-mail allcouncil@brentwoodca.gov