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CM-12-07-130Item Caption: D/1 -12,-01--13o RECEIVED JUL 112012 City Manager Approval Form Consider executing a Distributor Loyalty Agreement with Matera Paper Company, Inc. Approval Date: July 13, 2012 Department Name: General Services Project Manager: Chad McDowell Assigned Attorney: Item Summary: This distributor Loyalty Agreement hereby constitutes the four year contract in regards to the warranty of Kimberly Clark Toilet tissue, towel, and soap dispensers. All dispensers shall be provided to the City of Round Rock at no cost from Matera Paper Company, Inc. No. of Originals Submitted: 2 Project Name: Janitorial Supplies Cost: $0.00 Source of Funds: General Fund Source of Funds (if applicable): Select Source Fund Account Number: Finance Director Approval: Cheryl Delaney Date: 7/11/12 Department Director Approval: Date: "*Electronic signature by the Director is acceptable. Please only submit ONE approval form per item.'* CIP I I Budget N/A OK ✓0 ❑ N/A OK Purchasing Accounting El El N/A OK N/A OK ITEMS WILL NOT BE PLACED ON THE COUNCIL OR CM AGENDA W/OUT PRIOR FINANCE AND/OR LEGAL APPROVAL REV. 6/20/11 MATERA PAPER COMPANY, INC. 13500 Immanuel Road • Pflugerville TX 78660 (512) 836-7556 • (512) 835-7966 Fax www.materapaper.com Matera Paper Distributor Loyalty Agreement This Distributor Loyalty Agreement hereby constitutes the four year contract (4/1/12-3/31/2016) in regards to the warranty of Kimberly Clark Toilet Tissue, Towel, and Soap Dispensers. All dispensers shall be provided to the City of Round Rock at ZERO cost from Matera Paper Company, Inc. The clarification is as follows: Matera Paper shall guarantee delivery, installation, maintenance, and replacement parts. We guarantee firm pricing for all Kimberly Clark dispenser refills the first year with a max escalator clause of 7%. If there is an increase from the manufacturer after each contract year, the cap is 7%. We do require the City of Round Rock purchase said products through the dated terms of this agreement from Matera Paper Company, Inc. In the event the City of Round Rock decides to cancel or buy from another distributor during the four year contract period, Matera Paper will execute the right to be paid a prorated balance of the total invested value of the dispensers. The proration period is for 48 months at the total value of $2790.00. The City of Round Rock can choose another distributor without penalty if Matera fails to renew its BuyBoard contract. 51 each -KC -29745 Stainless Steel MOD NG Towel Dispenser -$30 each, $1530 total 96 each -KC -29740 Plastic MOD NG Towel Dispenser Black -$5.00 each, $480 total 156 each -KC -09606 Stainless Steel Toilet tissue Dispensers -$5.00 each, $780 total Dated: June 11, 2012 1 Signed: R o•es Lloyd, Branch Manager Signed: Jeff Wi Signed: Authorized Signature (filo-12-0i---130 Matera Paper Company. Inc. Matera Paper Company. Inc. City of Round Rock