1998-142-Authorizing The Execution Of An Agreement With Natural Fuels Corporation For The Construction Of Project 9921RESOLUTION 1998 - 142
RESOLUTION OF THE TOWN COUNCIL
OF THE TOWN OF LOS GATOS
AUTHORIZING THE EXECUTION OF AN AGREEMENT WITH
NATURAL FUELS CORPORATION
FOR THE CONSTRUCTION OF
PROJECT 9921 - COMPRESSED NATURAL GAS FUELING STATION
WHEREAS, bids were sought in conformance with State and Town law, and Natural
Fuel Corporation was determined as the lowest bidder for Project 9921 - Compressed Natural
Gas Fueling Station; and
WHEREAS, on July 6, 1998 Council adopted a resolution approving plans,
specifications, and established a $225,000 budget for Project 9921; and
WHEREAS, project budget 40OG9921 includes a 9% contingency; and
WHEREAS if contingency is not used for unforeseen issues during construction, staff
request to use unspent funds to upgrade fuels dispensing system as per alternate bid item; and
WHEREAS total cost of alternate bid item is $7,923.
THEREFORE, BE IT RESOLVED: by the Town Council of the Town of Los Gatos,
County of Santa Clara, State of California, that the Town Manager is authorized to enter into an
agreement with Natural Fuels Corporation for the construction of Project 9921 - Compressed
Natural Gas Fueling Station (attached) as Exhibit A.
PASSED AND ADOPTED at a regular meeting of the Town Council of the Town of Los
Gatos, California, held on the 8th day of September, 1998, by the following vote.
COUNCIL MEMBERS:
AYES: Joanne Benjamin, Steven Blanton, Jan Hutchins,
Mayor Linda Lubeck.
NAYS: None
ABSENT: Randy Attaway
ABSTAIN: None
SIGNED: MAYOR OF THE TOWN OF LOS GATOS
LOS GATOS, CALIFORNIA
ATTEST:
—fu e"
CLERK OF THE TOWN OF LOS G TOS
LOS GATOS, CALIFORNIA
Section 7
AGREEMENT
THIS IS AN AGREEMENT between the Town of Los Gatos (hereinafter referred to as
"Owner ") and Natural Fuels Corporation (hereinafter referred to as "Contractor ").
Owner and Contractor, for the consideration hereinafter named, agree as follows:
7 -01. SCOPE OF WORK
Contractor shall furnish all materials and perform all of the work for the construction
of PROJECT #9921 - SKID MOUNTED NATURAL GAS COMPRESSION
STATION in accordance with the Contract Documents.
7 -02. CONTRACT PRICE
As full compensation for furnishing all materials and for doing all the work
contemplated and embraced in this agreement, also for all loss or damage arising
out of the nature of the work aforesaid, or from the actions of the elements, or from
any unforeseen difficulties or obstructions which may arise or be encountered in
the prosecution of the work until its acceptance by Owner, and for all risks of every
description connected with the work, also for all expenses incurred by or in
consequence of the suspension or discontinuance of work, and for well and
faithfully completing the work, and the whole thereof, in the manner and according
to the Contract Documents, Owner shall pay Two Hundred and Six Thousand
Three Hundred Sixty Six dollars ($206,366.00), which shall supersede any other
amount specified in the contract documents.
7 -03. CONTRACT DOCUMENTS
All rights and obligations of Owner and Contractor are fully set forth and described
in the Contract Documents. All parts of the Contract Documents are intended to
be correlated so that any work called for in one part and not mentioned in the
other, or vice versa, is to be executed the same as if mentioned in all said
documents. The Contract Documents are defined in section 8 -01(a) of these
Specifications and are incorporated herein by reference the same as though set
out in full.
7 -04. BEGINNING OF WORK
Following the execution of this agreement and the approval of bonds and
insurance policies and certificates, Owner shall issue a notice to proceed with the
work. Commencing work or the entrance of equipment or materials on the site of
the work by Contractor before receipt of the notice to proceed is at the sole risk and
expense of Contractor, and the Contractor shall be fully liable for any damage or
injury sustained by Owner or third persons resulting therefrom.
7 -05. TIME OF COMPLETION Exhibit A
As full compensation for furnishing all materials and for doing all the work
contemplated and embraced in this agreement, also for all loss or damage arising
out of the nature of the work aforesaid, or from the actions of the elements, or from
any unforeseen difficulties or obstructions which may arise or be encountered in
the prosecution of the work until its acceptance by Owner, and for all risks of every
description connected with the work, also for all expenses incurred by or in
consequence of the suspension or discontinuance of work, and for well and
faithfully completing the work, and the whole thereof, in the manner and according
to the Contract Documents, Owner shall pay Two Hundred and Six Thousand
Three Hundred Sixty Six dollars ($206,366.00), which shall supersede any other
amount specified in the contract documents.
7 -03. CONTRACT DOCUMENTS
All rights and obligations of Owner and Contractor are fully set forth and described
in the Contract Documents. All parts of the Contract Documents are intended to
be correlated so that any work called for in one part and not mentioned in the
other, or vice versa, is to be executed the same as if mentioned in all said
documents. The Contract Documents are defined in section 8 -01(a) of these
Specifications and are incorporated herein by reference the same as though set
out in full.
7 -04. BEGINNING OF WORK
Following the execution of this agreement and the approval of bonds and
insurance policies and certificates, Owner shall issue a notice to proceed with the
work. Commencing work or the entrance of equipment or materials on the site of
the work by Contractor before receipt of the notice to proceed is at the sole risk
and expense of Contractor, and the Contractor shall be fully liable for any damage
or injury sustained by Owner or third persons resulting therefrom.
7 -05. TIME OF COMPLETION
The work called for herein shall be fully completed within the time limit set forth in
the Special Conditions.
7 -06. CORRECTION OF WORK AFTER ACCEPTANCE AND FINAL
PAYMENT BY TOWN
Contractor shall remedy any defects due to faulty materials and /or workmanship
and pay for any damages to other work and /or existing facilities resulting therefrom
which shall appear within a period of two years from the date of recording of the
Notice of Completion.
7 -07. LIQUIDATED DAMAGES
The undersigned has reviewed and is thoroughly familiar with the appropriate
sections of the Contract and Section 8 -06(c) of these Specifications pertaining to
liquidated damages.
The work called for herein shall be fully completed within the time limit set forth in
the Special Conditions.
7 -06. CORRECTION OF WORK AFTER ACCEPTANCE AND FINAL
PAYMENT BY TOWN
Contractor shall remedy any defects due to faulty materials and /or workmanship
and pay for any damages to other work and /or existing facilities resulting therefrom
which shall appear within a period of two years from the date of recording of the
Notice of Completion.
7 -07. LIQUIDATED DAMAGES
The undersigned has reviewed and is thoroughly familiar with the appropriate
sections of the Contract and Section 8 -06(c) of these Specifications pertaining to
liquidated damages.
IN WITNESS WHEREOF, the parties hereto have executed this Agreement as of the
day of , 1g .
TOWN OF LOS GATOS
By
Town Manager
CONTRACTOR
By
Title
Business Address
Contractor's License Number
APPROVED AS TO FORM:
ORRY P. KORB
Town Attorney
ATTEST:
MARIAN COSGROVE
Town Clerk, Town of Los Gatos
IN WITNESS WHEREOF, the parties hereto have executed this Agreement as of the
day of , 1 g .
TOWN OF LOS GATOS
By
Town Manager
CONTRACTOR
By
Title
Business Address
Contractor's License Number
APPROVED AS TO FORM:
ORRY P. KORB
Town Attorney
ATTEST:
MARIAN COSGROVE
Town Clerk, Town of Los Gatos
NATURAL,
CORPORATE PROFILE
Natural Fuels was incorporated in March, 1990 and is owned by Public
Service Company of Colorado and Colorado Interstate Gas Company (a
subsidiary of the Coastal Corporation). Natural Fuels Corporation (NFC)
was formed to further the natural gas market by promoting the use of
Natural Gas Vehicles (NGVs). The mission of NFC is to extend its current
position as the nation's premier alternative fuel company while continuing
to capitalize on operational leadership to provide the industry with market
development expertise, proprietary equipment and technical knowledge.
NFC will continue long -term market commitment including financial
resources, regulatory /legislative participation and research & development.
Natural Fuels is firmly backed by Colorado's largest utility along with a
major gas pipeline company. Both parent companies are dedicated to
natural gas market development. Being owned by these two major
companies gives NFC the stability to provide constant and consistent
support.
Natural Fuels Corporation has 50 employees dedicated to customer
satisfaction. A 24 -hour hot line with technicians available to answer
support questions demonstrates a strong commitment to the industry.
NFC's station packages are completely manufactured at the corporate
facility in Denver, CO. All controls are manufactured in house for greater
quality assurance, as well as greater. compatibility. This gives Natural
Fuels the advantage when it comes to system integration. All fuel station
packages have to pass a rigorous full load test procedure before they are
shipped to the customer. NFC is concerned with all aspects of using
Compressed Natural Gas (CNG) as a vehicular fuel. From the natural gas
pipeline to the vehicle combustion system, NFC has the-experience to
value engineer a complete fuel station package. Natural Fuels not only
designs and builds fuel station equipment but sells and promotes vehicles
using CNG as a motor fuel. NFC state -of- the -art conversion center has
converted over 2,000 vehicles to CNG. This vast experience has given
Natural Fuels Corporation the ability to fully understand the CNG fueling
process.
Natural Fuels is the owner /operator of 40 natural gas fueling stations
throughout the state of Colorado, Wyoming, and Nebraska. NFC has
partnered with Total Petroleum to provide public natural gas fueling at 12
TOTAL retail stations. NFC has provided Compressed Natural Gas (CNG)
fuel and vehicle experience to a variety of bus operators over the last 4
Attachment 2
NATURAL FUELS CORPORATIONT,M
5855 STAPLETON DRIVE NORTH DENVER, COLORADO 802163312 303.322.1600 FAX 303.322.4644
years. This involvement has been through programs with the Denver
Regional Transportation District (RTD) and a variety of shuttle bus
operators at Denver's Stapleton International Airport. In 1993 the bus
experience was dramatically increased as a major program was undertaken
at the new Denver International Airport (DIA). This station operation
experience has given NFC the added advantage in the retailing market.
Besides the 12 TOTAL stations, Natural Fuels runs an additional 19 public
retail stations which operate 24 hours a day, 7 days a week. NFC has the
sole responsibility for the operation and maintenance for all these stations
which qualifies the experience necessary to develop maintenance and
operation guidelines. Experience has had a major impact on the way NFC
designs fuel stations to withstand the demands of a retail station. Natural
Fuels' stations are designed to provide the maximum performance while
minimizing the maintenance costs.
Natural Fuels Corporation is concerned with the total cost involved in the
operation of a CNG fueling station. This has led NFC to build its own
system components. Natural Fuels patented its own retail dispenser
cabinet on Dec. 21, 1993. With a full line of dispenser models consisting of
the fleet cabinet style, Schlumberger retail and the NFC retail dispenser, all
manufacturing is done at the corporate facility. NFC sells equipment both
domestically and internationally. One of the fleet cabinet dispensers is
currently operating at an Amoco retail station in Cairo, Egypt. In
conjunction with the dispensers, NFC manufactures all control panels and
gas handling panels. Each panel is fully tested to ensure the best quality.
Natural Fuels Corporation is a licensed Original Equipment Manufacturer
(OEM) for Ingersoll -Rand and Ariel natural gas compressors. Natural Fuels
completely packages the compressors with all necessary equipment and
controls to provide a fully integrated station package. This complete
fabrication allows NFC to fully test the entire package. For maximum
station on -line time, each component must be fully compatible. When a
station is fully tested and integrated, the installation and startup time of the
station is decreased. With the elimination of component compatibility
problems, station operation is greatly simplified. This leads to lower capital
and operational costs.
Each system component is manufactured to the highest standard in the
industry. All Ariel packaging meets American Petroleum Institute API 11P
Specification for Packaged Reciprocating Compressors for Oil and Gas
Production Services as well as the American Society of Mechanical
Engineers ASME 831.3 Chemical Plant and Petroleum Refinery Piping
specifications. Packaging also conforms to the National Fire Protection
Association NFPA 52 Standard for Compressed Natural Gas (CNG)
Vehicular Fuel Systems and the National Electric Code (NEC). Natural
Fuels also follows our own set of stringent standards. These standards