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CM-2016-1104 - 5/6/2016Good things come from A royals SySC0 PP PRESIDENT/EXECUTIVE V.P. : V. P. OPERATIONS: V. P. SALES: TRAILER LEASE AGREEMENT This Agreement made this 04 day of April , 2016 by and between Sysco Central Texas ("Lessor") and City of Round Rock ("Lessee"). _Emergency _Company Function _Grand Opening _X_Festival _Other Date to Deliver: Saturday, July 2nd, 2016 Time to Deliver: 11:00 AM Date to Pickup: Tuesday, July 5th, 2016 Time to Pickup: AM Total Days of Lease: 3 Truck Delivery Address: 3300 Palm Valley Blvd, Hwy 79, (Old Settlers Park at Palm Valley) Round Rock Sysco M.A. or Acct Exec. requesting loan: Carlos Reynaud M.A. contact #: 512-318-3078 Sysco DSM or Program Manager: Jared Senter Name of Account: City of Round Rock Address: 221 E Main St Round Rock, tx 78664 Emergency Phone #: If a Special Event, ESTIMATED SALES: Truck to be delivered: Loaded Yes Account #: 063230 Phone #: 512-255-3612 Credit Terms: 3 week Unloaded Any special loading instructions: Returns will be allowed. Approval Signature required by Sysco VP FROZEN: Yes No DRY: Yes No COOLER: x Yes No At no time will product be shipped or returned without the customers signature noting and acknowledging product received or returned. Sysco M.A.: I understand that I am responsible and accountable for our returns being inventoried prior to pick-up request being done. Signature: Date: Condition of any product returned subject to inspection upon return to warehouse before any credit will be issued: Product condition upon return: Warehouse Receiver: Date: Note: This Trailer Lease Agreement has been revised. All prior copies will not be submitted for Sysco trailer lease. Please discard all prior copies. W' =Lo -lkv { Revised 10/08/2014 CRITERIA (To be read and acknowledged by Lessee) 1. Truck or Trailer requested will need to run on diesel fuel. Trailer will be delivered to customer full of fuel, and trailer will be returned to Sysco full of fuel. During use of trailer customer will supply fuel for operation. If requested, Sysco will supply the name of an independent service company that can fuel and service the trailer while on loan. Customer is responsible for all fuel cost and service calls cost. If unit runs out of fuel, there will be a $250.00 service call charge to prime the fuel system; this will be billed to the customer. Please indicate below which option customer chooses. A. Yes, customer will need Sysco to arrange an independent service company to fuel and service the trailer while on loan. OR B. No, customer will take care of making fueling and service arrangements for the trailer while on loan. 2. Customer acknowledges they must secure trailer while in their possession. O3. There will be a minimum $75.00 delivery/$75.00 pick-up charge or a $1.50 per mile one-way charge, whichever is greater. 4. Rental fee for Sysco owned trailer $50.00 per day, $150.00 per weekend (Fri. p.m. -Sun p.m.) or $350.00 per week (Mon. a.m.-Sun. p.m.) charge. In the event a Sysco owned trailer is not available, a third party lease company will be used with applicable fees. 5. Equipment lease signed by owner or officer of company borrowing or renting truck or trailer. In consideration of the mutual covenants and promises contained in this Agreement, and other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, that parties hereto agree as follows: 1. Lease. Lessor leases to Lessee and Lessee hires from Lessor the trailer(s) identified on Exhibit A attached hereto for a term as indicated on Exhibit A and for the location indicated on Exhibit A (individually or collectively, the "Trailer"). 2. Rental/Other Fees or Charges. As rent for the Trailer, Lessee shall pay to Lessor the amount set forth on Exhibit A as well as any other fees or charges specified in Exhibit A. Whenever required, Lessee also shall pay to Lessor any sales, use, or similar tax, which at any time during the term of this Lease may be imposed on the letting herein provided. Unless otherwise set forth in Exhibit A, Lessee shall pay rental fees and other fees or charges within 30 days of receipt of an invoice from Lessor. 3. Delivery and Location. Lessor shall deliver the Trailer to the location specified on Exhibit A or to such other locations reasonably specified by Lessee in any manner as Lessor, in its sole discretion, may elect, and Lessee shall be solely responsible for and shall indemnify and hold Lessor harmless from any liability or expense including reasonable attorneys' fees, arising out of damage to any person or property due to the location of the Trailer. 2 4. Trailer Use A. Trained to Use. Lessee warrants that it and its agents have been trained in the operation of the Trailer's refrigeration system, if so equipped. Lessee shall ensure that its duly authorized agent or representative is present at the time of the delivery of the Trailer. Upon delivery of the Trailer by Lessor, Lessee shall be deemed to have accepted the Trailer unless Lessee through its authorized agent or representative rightly rejects the Trailer at the time of delivery as being defective, unsafe or inconsistent with specifications agreed upon between Lessor and Lessee. LESSOR MAKES NO WARRANTIES, EXPRESS OR IMPLIED, OF ANY KIND CONCERNING THE TRAILER, INCLUDING NO IMPLIED WARRANTY OF MERCHANTABILITY AND NO IMPLIED WARRANTY OF FITNESS FOR ANY PARTICULAR PURPOSE. B. Impermissible Uses. Lessee shall operate the Trailer in compliance with all federal, state and local laws and in a reasonable and safe manner. Lessee shall not use or permit the Trailer to be used for any illegal purpose or for the transportation or storage of any material deemed extra hazardous by reason of being (i) explosive, (ii) inflammable or (iii) hazardous waste or a hazardous substance or some other regulated category of waste as defined by application law, ordinance, rule or regulation. Lessee shall indemnify and hold Lessor harmless from and against all damages and expenses, including reasonable attorney's fees, sustained by Lessor as a result of any such impermissible use. C. Damage to Goods: Title. Lessor shall not be responsible for loss or damage to any goods or other property in the Trailer at the time of delivery or placed or carried in the Trailer after delivery to Lessee, arising from any cause whatsoever. Lessee acknowledges that title to any product located in the Trailer shall transfer to Lessee upon delivery of the Trailer to Lessee. Lessor may, in its sole discretion and without any obligation to do so, accept the return of "saleable" product. Lessor shall not be responsible for any product nonconformity as to quantity, quality or price, unless noted on the original delivery receipt at the time of delivery of the Trailer to Lessee. 5. Maintenance. A. Repairs. Lessee shall bear all expenses of maintaining the leased Trailer in good operating condition and shall be responsible for the cost of repairs and replacement of the Trailer's parts or equipment, including, but not limited to, ramps, bulkheads, wheels, tires, doors, flooring, interior and exterior panels, and refrigeration unit, if damaged in any respect during the term of this Lease. Lessee is expressly forbidden to repair or attempt to repair the Trailer without the Lessor's prior consent. In the event the Trailer requires any repairs or replacement, Lessee shall give immediate notice to Lessor which shall have the option, but not the obligation, to perform the repairs or replacement itself, the cost of which Lessee immediately shall reimburse Lessor, or to require Lessee to cause any repairs to be made as Lessor otherwise shall direct. B. Refueling. Lessee is responsible for contacting Lessor to arrange for filling of fuel after depletion of the fuel tank's supplied contents. Lessor will arrange for a third party to refuel the Trailer, and Lessee will be responsible for reimbursing Lessor for the full amount charged by the third party for such refueling. Lessee will not refuel the Trailer or arrange for the refueling of the Trailer by a third party. Lessor shall not give Lessee any credit for unused fuel. 3 C. Training/Maintenance. Lessee acknowledges that it has been trained in the operation of the Trailer's refrigeration system (if so equipped). Lessee's maintenance obligations will include monitoring the fuel gauge 2-3 times daily, maintaining recommended fuel levels, maintaining the refrigeration unit, lubricant levels, tire inflation levels, brakes and lighting. D. Permits. Lessee shall be responsible, at its sole cost and expense, for maintaining during the term of this Agreement, all permits, registrations or licenses ("the Permits") which are required by the state, district, municipality or agency where the Trailer is located, used and/or operated by Lessee. 6. Indemnification. Lessee hereby agrees to indemnify, defend and hold Lessor, its subsidiaries, affiliates, divisions and/or agents, servants, employees, officers, directors, and assigns (and any third party to whom any of the foregoing may owe a similar obligation pursuant to contract, lease agreement or operation of law), hereinafter collectively referred to as "Indemnitee", harmless from any suits, claims, losses, damages or expenses, including reasonable attorneys' fees and expenses, which any Indemnitee may suffer, sustain or incur as a result of or in connection with the operation, use, maintenance or possession by Lessee of the Trailer. 7. Release. In consideration for the use of the Trailer by Lessee, Lessee does hereby release, discharge and acquit Lessor from any and all claims, actions, causes of action, demands, liabilities, damages, costs and expenses whatsoever which Lessee now has or may hereafter have on account of Lessee's operation, possession, maintenance and/or use of the Trailer. 8. Holding Over. Any holding over by the Lessee at the expiration of the term of the lease hereof shall, in the absence of any agreement to the contrary, create a tenancy from day-to-day, with rent payable on a pro -rated basis at 5:00 EST each day at the principal address of Lessor, and all other terms and conditions hereof shall remain in effect. 9. Condition of Trailer. Lessee agrees to return the Trailer to Lessor in the same condition as delivered to Lessee, ordinary wear and tear excepted. It will be presumed, unless indicated in writing to the contrary, that the Trailer is in good repair and operating condition at the time of delivery to Lessee. Lessee further agrees to cause the Trailer, at its sole cost and expense, to be repaired and returned to good operating condition and repair (or alternatively reimburse Lessor for the cost thereof) in the event of any damage to or breakdown of any Trailer during its use by Lessee. 10. Insurance. Lessee shall maintain such insurance in such amounts as described below as will protect Lessor and Lessee from any damages arising as a result of Lessee's use, operation, maintenance or possession of the Trailer. Lessee shall furnish a certificate acceptable to Lessor that Lessee has in effect workmen's compensation insurance coverage in the statutory amount, automobile liability insurance (any auto) in the amount of at least one million dollars ($1,000,000), premises liability and commercial general liability insurance coverage providing such coverage in a liability amount of at least one million dollars ($1,000,000) per occurrence and two million dollars ($2,000,000.00) in aggregate, excess liability or umbrella insurance in at least the amount of three million dollars ($3,000,000) and physical damage to tractor/trailer/ equipment in the amount of actual cash value with no deductible for collision and one thousand dollar deductible for other than collision. Such insurance shall include a waiver of subrogation and a requirement of thirty (30) days notice of cancellation, non -renewal or reduction of coverage or limits. The automobile, excess liability/umbrella, premises liability and commercial general liability coverages shall name Lessor as an additional insured on a Form CG20-26. M 11. Notice. Any notice, request, demand or other communication, document or instrument which may be required or permitted to be furnished by one of the parties hereto to the other hereunder, shall be deemed sufficiently furnished or served if in writing and (i) delivered in person, or (ii) mailed (by first class mail, registered or certified and postage prepaid), or (iii) telexed or telefaxed, to the party entitled thereto, addressed as follows or such other address as the party entitled thereto may have prior thereto specified by notice given as contemplated in the paragraph 11: If to Lessee: City of Round Rock 12. Binding Effect. This Agreement shall be binding upon and inure to the benefit of the parties hereto, their successors, legal representatives, and assigns. Lessee may not assign, pledge, or otherwise encumber this lease or any interest therein or sublet the Trailer without Lessor's written consent, nor shall Lessee encumber or otherwise suffer any lien to be placed against the Trailer, or abandon or conceal the Trailer. 13. Entire Agreement. This Agreement represents the entire agreement between parties. This Agreement shall not be modified or amended except by an agreement in writing signed by the parties. Signatures on following page 301 W. Bagdad, suite 250 Round Rock, TX 78664 Ate: Randy Gordon Phone: 512 341 3340 Fax: 512 218 5548 If to Lessor: Sysco Central TX 1260 Schwab Road New Braunfels, tx 78132 Ate: Jared Senter Phone: 512-627-9587 Fax: 12. Binding Effect. This Agreement shall be binding upon and inure to the benefit of the parties hereto, their successors, legal representatives, and assigns. Lessee may not assign, pledge, or otherwise encumber this lease or any interest therein or sublet the Trailer without Lessor's written consent, nor shall Lessee encumber or otherwise suffer any lien to be placed against the Trailer, or abandon or conceal the Trailer. 13. Entire Agreement. This Agreement represents the entire agreement between parties. This Agreement shall not be modified or amended except by an agreement in writing signed by the parties. Signatures on following page IN WITNESS WHEREOF, the parties have caused these presents to be executed the day and year first above written. LESSOR: SYSCO II-ra Jared Senter� TITLE: S M LESSEE: �' 4�Lesse�e'sNam�eHere)� n BY: L �y.••�.�-Q�.•�c�'V'� CO 'l Uc TITLE:.SS'}' • L A� eY.. EXHIBIT A TRAILER IDENTIFICATION: Model/Make: Identification No.: RENTAL AMOUNT: OTHER FEES OR CHARGES: PAYMENT DUE DATE(S): TERM OF THE LEASE: From: To: LESSEE LOCATION of TRAILER: Old Settlers Park @ Palm Valley, 3300 Palm Valley Blvd. Round Rock TX 78664 [Street address] [City, state zip] VA s City of Round Rock r t y' ROUND ROCK TEXAS Agenda Item Summary Agenda Number: Title: Consider authorizing a Trailer Lease Agreement with Sysco for rental of a refrigerated trailer to hold watermelons at 4th of July celebration. Type: City Manager Item Governing Body: City Manager Approval Agenda Date: 5/6/2016 Dept Director: Rick Atkins, Director Cost: $150.00 Indexes: General Fund Attachments: CMAF, Trailer Rental for 4th of July, 2016.pdf, Backup Trailer Rental for 4th of July 2016.pdf Department: Parks and Recreation Department Text of Legislative File CM -2016-1104 This is for the use of a refrigerated trailer owned by Sysco for the temporary storage of watermelons for the 4th of July celebration at Old Settlers Park at Palm Valley. Staff recommends approval of this item. City of Round Rock Page 1 Printed on 51512016