HomeMy WebLinkAboutO-1992-1876
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ORDINANCE NO. 1876
AN ORDINANCE APPROVING AND AUTHORIZING A CONTRACT BETWEEN THE
CITY OF LA PORTE AND CHAMPION RECYCLING CORPORATION, FOR
RECYCLING CONCESSION: MAKING VARIOUS FINDINGS AND PROVISIONS
RELATING TO THE SUBJECT: FINDING COMPLIANCE WITH THE OPEN
MEETINGS LAW; AND PROVIDING AN EFFECTIVE DATE HEREOF.
BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF LA PORTE:
section 1. The City Council hereby approves and authorizes
the contract, agreement or other undertaking described in the
title of this ordinance, in substantially the form as shown in
the document which is attached hereto and incorporated herein by
this reference. The city Manager is hereby authorized to execute
such document and all related documents on behalf of the city of
La Porte. The City Secretary is hereby authorized to attest to
all such signatures and to affix the seal of the City to all such
documents.
section 2.
The City Council officially finds, determines,
recites and declares that a sufficient written notice of the
date, hour, place and subject of this meeting of the City Council
was posted at a place convenient to the public at the City Hall
of the City for the time required by law preceding this meeting,
as required by the Open Meetings Law, Article 6252-17, Texas
Revised civil Statutes Annotated; and that this meeting has been
open to the public as required by law at all times during which
this ordinance and the subject matter thereof has been discussed,
considered and formally acted upon. The City Council further
ratifies, approves and confirms such written notice and the
contents and posting thereof.
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ORDINANCE NO. 1876
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section 3. This Ordinance shall be effective from and after
its passage and approval, and it is so ordered.
PASSED AND APPROVED, this 14th day of December, 1992.
CITY OF LA PORTE
BY~~
No an . ~alone
Mayor
ATTEST:
c!!kita~
city Secretary
AP{SZ-uJdJ
Knox W. Askins
city Attorney
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THE STATE OF TEXAS
COUNTY OF HARRIS
CONTRACT
RECYCLING CONCESSION
CITY OF LA PORTE
THIS CONCESSION CONTRACT is made and entered into by and between
the City of La Porte, a Municipal Corporation of Harris County,
Texas, hereinafter called the "city", and Champion Recycling
Corporation, a Delaware Corporation which is qualified to do
business in the state of Texas with its principal offices at Two
Greenspoint Plaza, suite 800, 16825 Northchase Drive, Houston,
Texas 77060, hereinafter called the "Contractor".
WITNESSETH:
WHEREAS, the City desires to enter into an agreement to sell
recyclable materials collected through the City's Recycling
Program; and
WHEREAS, the Contractor has contracted with Champion International
Corporation, a New York corporation, to process and sell old paper
to be recycled at the deink facility under construction in Harris
County, at which it will convert post consumer waste paper for use
as recycled pulp; and
WHEREAS, the Contractor desired to purchase old newspapers and old
magazines from the City for resale to Champion.
NOW, THEREFOR, in consideration of the mutual promises herein
contained, the parties hereby agree as follows.
ARTICLE I
DEFINITIONS
1.0 Unless 'the context requires otherwise, the fOllowing terms and
phrases used in this Agreement shall have the meanings set forth
below.
1.1 "Collected PaDer" means Recyclable Newspapers and Recyclable
Magazines that are collected through the City's Recycling Program.
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1.2 "Outthrows" means all papers that are so manufactured or
treated or are in such a form as to be unsuitable for consumption
as the grade specified. Outthrows for Recyclable Newspapers
include, but are not limited to, magazines, cereal boxes, paper
bags, telephone directories, corrugated containers, envelopes or
other papers that normally would not be included in the newspaper.
Outthrows for Recyclable Magazines include, but are not limited to,
newspapers cereal boxes, paper bags, telephone directories,
corrugated containers, envelopes or other papers that normally
would not be included in magazines.
1.3 "Prohibited Materials" means any material that by its presence
in Recycled Paper makes the Recycled Paper unusable for the grade
specified. Prohibited Materials for Recyclable Newspapers and
Magazines include any non-paper items including, but not limited
to, metal, glass, plastics and wood. Wet papers are also a
Prohibited Material.
1.4 "Recvclable Magaz ines " means a grade of recyclable papers
composed of fresh, dry, clean, recently published magazines free of
strings, bags, newspapers, telephone directories and paper other
than magazines.
1.5 "Recvclable NewsDaDers" means a grade of recyclable papers
composed of fresh, dry, clean, recently published newspapers
containing no more than the normal amount of advertising inserts,
and free from strings, bags, magazines, telephone directories and
paper other than newspapers.
1.6 "Recyclina Proaram" means a program to collect certain kinds
of recyclable materials including Recyclable Newspapers and
Magazines. The Program includes the City's current drop-off
center, and any subsequent program implemented by the City,
including curbside collection. This Agreement shall remain binding
should the City contract its Recycling Program.
1.7 "Public Scale Price" means the price Contractor pays to the
public for Recyclable Newspapers and Recyclable Magazines delivered
to the designated processing center. The Public Scale Price may be
different at different processing centers at the same time.
ARTICLE II
DUTIES OF THE CITY
2.0 The City agrees to sell to the Contractor, at the prices set
forth in Article IV of this Agreement, all of the Recyclable
Newspapers and Recyclable Magazines ("Collected Paper") collected
through its 'Recycling Program.
2.1 The City shall transport, or cause to be transported, the
Collected Paper to the Contractor's Processing Center.
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ARTICLE III
DUTIES OF THE CONTRACTOR
3 . 0 The Contractor agrees to buy all Recyclable Newspaper and
Recyclable Magazines, at the prices set forth in Article IV,
collected through the City's Recycling Program.
3.1 The Contractor shall operate a processing center to receive
Collected P~per at one or more locations wi thin Harris County. The
centers shall be open from 8:00 a.m. until 6:00 p.m. Monday through
Friday.
a. Each center shall be equipped with a scale, a warehouse
for dry storage of Collected Paper, sufficient space for
sorting and quality control, baling equipment and other
facilities that are used or useful in connection with the
processing of Collected Paper.
b. Contractor shall provide all labor necessary to operate
the processing centers.
c. Contractor shall be responsible for all safety at each of
the processing centers and shall ensure that the
activities conducted at the processing centers are in
compliance with all applicable federal, state and local
laws, regulations, ordinances and codes.
3.2 The Contractor shall store, transport, sell and/or dispose of
the collected paper delivered by the City pursuant to this
Agreement in accordance with all applicable federal, state and
local laws and regulations.
ARTICLE IV
PAYMENT
4.0 Contractor shall weigh the truck loads received and issue a
weight receipt to the driver of the delivery vehicle. The weight
receipt shall show the gross weight of the load, the current
Outthrow Factor, and the net weight of Collected Paper.
4.1 Every quarter, or more frequently, Contractor shall sample the
truckloads of paper received and measure the Outthrows present in
the Collected Paper. Based upon this sample, Contractor shall
calculate an Outthrow Factor which represents the percentage of
each delivery, by weight, that is composed of Outthrows. The City
shall be notified and given the opportunity to have a
representative present to observe the process of sampling and
calculation of the Outthrow Factor. This Factor shall then be
applied to the gross weight of all loads recei ved during the
quarter to arrive at a net weight of Collected Paper.
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4.2 The City shall remove or cause to be removed and properly
disposed of, at no expense to the Contractor, the Outthrows and
Prohibited Materials that are removed from the truckloads of
material received at the processing center. The volume of such
Outthrows and Prohibited Materials shall not exceed the difference
between the gross weight and the net weight as determined by the
Outthrow Factor plus the amount of Prohibited Materials. The
frequency of such removal shall be sufficient to minimize the
quantity of Outthrows and Prohibited Materials at the processing
center.
4.3 Prohibited materials received at the processing center may be
disposed of at Contractor's discretion. The weight of prohibited
materials shall be deducted from the net weight before calculating
the payment~
4.4 within ten (10) days after the end of each month, the
Contractor shall submit a report to the City. The report will
state the gross and net weight of Recyclable Newspapers and
Magazines delivered to the processing center during the proceeding
month. During the term of this Agreement, the Contractor shall pay
to the City Twenty Dollars ($20.00) per ton of Recyclable
Newspapers and Twelve Dollars and fifty cents ($12.50) per ton of
Recyclable Magazines based on net weight after application of the
current out throw Factor and Prohibited Materials. Such payment
shall be made within fifteen (15) days after receipt of each
monthly report.
4.5 In the event that the average Public Scale Price in Harris
County is higher than the price the Contractor is required to pay
under this Agreement, the price payable by Contractor to the City
shall be adjusted to equal the average of the Public Scale Prices
in Harris County. Such adjustment shall be effective beginning
ninety (90) days after the date the average Public Scale Price
first exceed the price under this Agreement, and shall continue as
long as the average Public Scale Price is higher than the Contract
Price.
ARTICLE V
TERM
5.0 The term of this Agreement shall commence on January 1,.1~93
and shall continue for a period of three (3) years, expl.rl.ng
December 31, 1996. The initial term of this Agreement may be
extended for an additional three (3) years, upon the mutual
agreement of the Contractor and the City. within six (6) months
prior to the expiration of this Agreement, the parties shall meet
to renegotiate the Contract Prices; provided that such prices shall
not change by more than 50% from the current prices.
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5.1 In the event that the Contractor fails to pay the amounts
required under this agreement, or in the event the Contractor fails
to perform any of its other obligations contained herein, anq if
the Contractor has not corrected such failure within thirty (30)
days after receiving notice of such failure for the City, then the
City may terminate this Agreement thirty (3) days after giving the
Contractor written notice of termination.
5.2 In the event that the City fails to perform any of its
obligations contained herein, and fails to correct such failure
within thirty (30) days after receipt of written notice from the
Contractor, then Contractor may terminate this Agreement thirty
(30) days after giving the city written notice of termination.
ARTICLE VI
FORCE MAJEURE
6.1 In the event that the performance by either party of its
obligations and undertakings hereunder shall be prevented,
interrupted or delayed by acts of God, war, riot, or civil
commotion, compliance with any law, regulation or order of any
governmental body or instrumentality thereof, fire flood, breakdown
of equipment, inability to obtain materials, transportation or
energy, strikes or other labor disputes, unusually severe weather
or any similar event beyond its reasonable control, then
performance by such party shall be excused for such period of
time, provided such party gives notice to the other party and uses
its due diligence to resume performance at the earliest possible
time.
ARTICLE VII
MISCELLANEOUS
6.0 The Contractor will indemnify and save harmless the City, its
officers, agents, servants and employees from and against any and
all suits, actions, legal proceedings, claims, demands, damages,
costs, expenses and attorney's fees incident to any work done in
the performance of this Contract, including damages, penalties or
claims arising from the disposal of any waste by the contractor, or
arising out of the willful or negligent act or omission of the
Contractor, its officers, agents, servants and employees. However,
the Contractor shall not be liable for any suits, actions, legal
proceedings, claims, demands, damages, costs, expenses and
attorney's fees arising out of the willful or negligent acts of the
City, its officers, agents, servants and employees.
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6.1 All written notices shall be served by registered or certified
mail to the parties, return receipt requested, as follows:
CITY
Director of Public Works
City of La Porte
P.O. Box 1115
La Porte, Texas 77572
CONTRACTOR
Champion Recycling Corporation
Two Greenspoint Plaza, suite 800
16825 Northchase Drive
Houston, Texas 77060
In addition, a copy of any notice of default given by the City to
the Contractor shall be sent to the office of the General Council,
Champion International Corporation, One Champion Plaza, Stamford,
Connecticut 06921.
6. 2 This Agreement shall be construed according to the laws of the
state of Texas applicable to contracts made and performed in Texas.
6.3 This Agreement constitutes the entire agreement between the
parties hereto with respect to the subject matter hereof and
supersedes all prior and contemporaneous agreements and
understandings, oral or written, with respect to such transactions.
This Agreement may not be changed except pursuant to a written
amendment signed by all parties hereto.
6.4 This Agreement shall be binding upon the heirs, executors,
administrators, successors and assigns of the parties including,
without limitation, those arising from merger, consolidation, sale
of assets or otherwise.
6.5 The failure of any party to insist upon strict performance of
any provision of the Agreement, or to take advantage of any of its
rights, or to enforce any of the conditions herein shall not
operate as a continuing waiver of such provisions, rights or
conditions and shall not prevent such party from insisting upon
such provisions, taking advantage of such rights and enforcing such
conditions in the future.
6.6 In the event that any portion of this Agreement is found
invalid or unenforceable, the invalid or unenforceable portion
shall not affect the validity or enforceability of any other
portion of the Contract Documents.
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IN WITNESS WHEREOF, the parties have executed this contract in
multiple co~~erparts, each of which shall be deemed an original,
this the I~ day of December, 1992.
THE CITY OF LA PORTE
CHAMPION RECYCLING CORPORATION
BY: QJ~ T. l\9~
Robert T. Herrera
City Manager
By:4dfJ I~
Michael L. Sullivan ~
President
ATTEST: ~~
,Cher<ie Black
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Knox W. Askins
City Attorney
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