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Home My WebLink AboutC03-360 Collett Enterprises C. tJ3 - 3> h O-b~ .. AGREEMENT BETWEEN EAGLE COUNTY AND COLLETT ENTERPRISES. INC. FOR EQUIPMENT LEASE This Lease Agreement (hereinafter referred to as the "Agreement"), is made and entered into this 16th day of December, 2003 by and between EAGLE COUNTY, Colorado, a body politic and corporate, acting by and through its Board of Commissioners (hereafter referred to as the "County") and COLLETT ENTERPRISES, INC., a Colorado corporation (hereinafter referred to as "Collett"). RECITALS WHEREAS, Collett is the owner of equipment which functions as an operating system for fuel pumps; and WHEREAS, the County desires to lease said equipment from Collett to operate the county's fuel pumps at the County's maintenance service center located in Gypsum and Eagle, Colorado. COVENANTS NOW, THEREFORE, in consideration of the recitals stated above and the mutual covenants and promises of the parties hereto, the receipt and sufficiency of which is hereby acknowledged, the County and Collett agree as follows: 1. Collett hereby leases to the County, and the County hereby leases from Collett the equipment (hereinafter referred to as the "Equipment") which is the subject of this Agreement, and being more particularly described in Exhibit A attached hereto and incorporated herein. 2. Location. The Equipment shall be located at the Eagle County Maintenance Facility, 712 Castle Drive, Eagle, Colorado and 3289 Cooley Mesa Road, Gypsum, Colorado (herein collectively referred to as the "Maintenance Facilities"). 3. Sole Supplier. The parties agree that as long as Collett is the sole supplier to County of all petroleum products, the County shall not be required to pay any rental fee or other payment for the use and service of the Equipment. The parties mutually agree that for purposes of this Agreement, petroleum products shall mean all diesel fuel and midgrade gasoline and oil lubricants (herein collectively referred to as "Petroleum Products"). 4. Purchase of Petroleum Products. Once the Equipment is installed and for the term of this Agreement, unless sooner terminated as provided for herein, the County shall purchase from Collett, bulk quantities of Petroleum Products at the per gallon prices as listed below and established at the time of the execution of this Agreement: Diesel Fuel: Midgrade Gasoline $1.165 cents per gallon $1.3642 cents per gallon These prices are the County's contract prices as of December 16,2003 and will be increased or decreased as the prices change. Prices are documented daily from pricing terminals and are subject to an audit by the County at its discretion. 5. Payment. Collett shall promptly bill the County for all Petroleum Products that are delivered to the Maintenance Facilities. The County reserves the right to require additional information from Collett substantiating any and all payment which is sought by Collett. Any payments made by the County shall not constitute a waiver by County of its rights to object to or seek relief from any errors, omissions or corrections in any invoice or billing to the County. Moreover, the County shall receive a discount equal to 1% of the amount billed by Collett if the County makes payment to Collett within eight (8) days of the receipt of any and all bills. 6. Maintenance & Response Time. Collett, its agents or representatives shall be solely responsible for ensuring that the Equipment remains operational during the term of this Agreement. Collett, its agents or representatives, shall provide all routine inspections and maintenance of the Equipment at no cost to the County. Moreover, Collett agrees that upon notice, either written or oral from the County, Collett, its agents or representatives shall respond within 24 hours of such notice of the problem to inspect and make any necessary repairs to the Equipment. Collett, by signing this Agreement, understands that maintenance response time is critical for the effective operation of the County's Maintenance Facilities. Therefore, if Collett, its agents or representatives fail to respond and repair Equipment within 24 hours of the County's notice, the County shall have the right to have the Equipment inspected and repaired by a third party. Collett agrees that it will pay for any and all costs incurred by the County for inspection and or repair of said Equipment by third party. 7. Indemnification. To the extent provided by law, Collett shall indemnify, defend and hold harmless the County, its Board of County Commissioners and all of its officers, agents and employees from any claim, loss, damage, cost, charge or expense arising out of any act, error, omission or negligent act by Collett, its agents or employees during the performance of the Agreement, except that neither Collett, its agents or its employees will be liable under this paragraph for any claim, loss, damage, cost, charge or expense arising out of any act, error omission or negligent act by the County or any of its officers, agents or employees during the performance of this Agreement. The parties agree that this clause shall not waive the benefits or provisions ofC.R.S. 24-10-106 or any similar provision oflaw. 8. Termination. The County may terminate this Agreement without cause upon sixty (60) days written notice to Collett. Termination shall be effective once the Notice oftermination is mailed. Upon termination of this Agreement, the County may, at its option, purchase the Equipment from Collett. The cost of the Equipment shall be based on the straight-line depreciation method. The parties agree that the original cost of the Equipment is $46,189.00 and the expected useful life of the Equipment is 15 years. Therefore, to determine the straight-line method for depreciating cost of the Equipment, the parties agree to divide the original cost of the 2 ... Equipment by its expected useful life. Notwithstanding, the parties agree that the cost of purchase by the County shall not exceed the $46,189.00. In the event of termination, the parties shall have their remedies at law as to any other rights and obligations between them, subject to the other terms and conditions of this Agreement. The parties further agree that if Collett is no longer the sole supplier of Petroleum Products to the County, the County shall be obligated to purchase the Equipment from Collett on the same terms and conditions as set forth in the foregoing paragraph. Payment of any outstanding balance due Collett for Petroleum Products delivered to the County prior to Collett no longer acting as the sole supplier shall be payable within thirty (30) days. 9. No Third Party Rie:hts. This Agreement shall not create any rights or benefits to parties other than the County and Collett. 10. Intee:rated Writine: and Enforceabilitv. This Agreement, with attachments, constitutes the entire agreement of the parties with respect to the subject matter hereof and supersedes all prior oral or written statements, understandings or correspondence, if any, with respect thereto. This Agreement may be amended from time to time by a written agreement duly authorized by all the parties to this Agreement. 11. Notices. Any notices given under this Agreement shall be sent to representatives listed below and are deemed to have been received if addressed to the contacts listed below: County: Mr. Brad Higgins Director of Road & Bridge Eagle County 590 Broadway Post Office Box 250 Eagle, CO 81631-850 970-328-3540 Collett: Fred Collett Collett Enterprises, Inc. P.O. Box 439 Gypsum, CO 80237 970-524-7777 12. Governine: Law. This Agreement shall be governed, construed, and interpreted by, through and under the laws of the State of Colorado. Venue is Eagle, Colorado. 3 . . .' . - . 13. Assie:nments. Collett shall not assign this Agreement without the County's consent. County agrees that it will not unreasonably withhold consent. However, County shall have the right to terminate or negotiate new terms with assignee. 14. Invalid or Unenforceable. If any portion of this Agreement shall be declared invalid or unenforceable, the remainder of the Agreement shall continue in full force and effect. IN WITNESS WHEREOF, the parties hereto have affixed their signatures thisACY",y of December, 2003. EAGLE COUNTY, STATE OF COLORADO BY AND THROUGH ITS BOARD OF COUNTY COMMISSIONERS BY.~~ Michael L. Ga agher Ch an COLLETT ENTERPRISES, INC. a Colorado c . - G:\WM\collett Equipment Lease 9-3-03.doc 4 Eaton Sales & Service, Inc. PETROLEUM EQUIPMENT TANKS iNSTALLATION (970) 245-0144 FAX: (970) 245--1143 July .25,2003 {. . '! . Collett Ent~ses P.O. Box 439 Gypsum, CO 111637 I I Ana,: Fred Collett IRE,: .EllgJO County Road & Bridge. Oasboy Quute: 767DL I . Ealon Sales &. Service is pleased to submit the following proposal fOf your consideration: E~UlPMENT . C".PSUM SITE I! GASSTBCNT 3: OASClORDR L; OASCARRDR 4 i GASJCTBOX :3! OASPMPCTL J i OASDATPTR I i OASPTRCBL 1; GAS)I40DCBL ]! GASPWR t I O.;\SSFTWRCNT 1: OASMOD I OASSfTWR I GASl!Wl'WRCNT I 4WR,ECBL Total For Abo'lc 525,760.00 Oasbuy Sito Controller III Gasbo)' Island Card Reader Oasboy CaT Wash Reader Oasboy RS422 Juncticm ~ . Oasboy 4 Hose Pump Convol Unjt Gasboy Dam Printer Oasboy Printer Cable Oasboy Modem Cable Gasboy Back Up Pewer Supply Oesboy AnnimJ SoftYIaTo COnt1"lCt Gasbay Dial III Modem Oasboy Windows FUel Software Oasboy Soihtare Maintenance Contrllct Roll Shielded 4 Wire Cable &;;^n'QII , ",(1 " Note: No cards Of card encoding equipment i5 included. Site to be op0raled as a cardlcss system.' LABOR TO INSTALL - GYPSUM SITE ES&S Labol' Per Diem Mileage Starl Up E.leatrieal Total For Above 59,080.00 " !:A'rON ~LES ~ saMCE. N:. PUB,j ofj, QlIOIrt 16?DL . . . EOUlPMENT . EAGLE SITE J I 1 GASISL PHNMOP SFTW Gasboy Islander II With Built In Pump COJlt'l'OJ Unit auUt In Phone Modem . Softw&reMaintcnance Contract Total For Above $1.492.00 LABOR TO INSTALL. EAGLE SITE ES&S Labor Per Diem Mileage ElecsrlQlI Total For Above $3.857.00 'NOte: Abovo CCJSts based on using e,ltisting data wiring &om building to island location. RECAP Equipment..oypSUJl1 Equipment-Eagle Labor To JnatalJ..OypSl.l1D . ~To InsIaJ.I:.BaaJe._ - . --=-. - . 525,760.0D 7.492.00 9,080.0D 3.857.00 -. I oral For Aboye 146.189.00 oJ - --,--_._--~---- ------.------.-.-..-.-.---.-