19-0515_RINCON_Letter Agreement Jame es
, 11
32400 PASEO ADELANTO MEMBERS OF THE CITY COUNCIL
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SAN JUAN CAPISTRANO,CA 92675
(949)493-1171 110
(949)493-1053 FAX IAEDAPDAATEO TROY BOURNE
ESTABLISHED 1961 SERGIO FARIAS
www.sanjuancapistrano.org 1776 I BRIAN L.MARYOTT
• ((I • DEREK REEVE
MAY 15,2019 , JOHN TAYLOR
RINCON
114 RINCON COURT
SAN CLEMENTE,CA. 92672
Dear Ms. Mazzarella: -
Letter Agreement for Vehicle/Equipment Repair and Maintenance Services
This letter shall be our Agreement ("Letter Agreement")regarding the Vehicle/Equipment Repair
and Maintenance Services described below ("Services") to be provided by RINCON, A
CORPORATION ("Contractor") as an independent contractor to the City of San Juan Capistrano (the
"City") for the City's Vehicle/Equipment Repair and Maintenance Services ("Project").
Contractor is retained as independent contractor and is not an employee,of the City. City and
Contractor are sometimes referred to herein as "Party" or"Parties."
The Services to be provided include the following: Services to be provided are more particularly
described in the Scope of Services attached hereto as Exhibit "A" and are incorporated herein by
reference. The term of this Letter Agreement shall be from MAY 15, 2019 to MAY 15, 2021.
Services on the Project shall begin immediately and shall be completed within the term of this
Letter Agreement, unless extended by the City in writing.
Contractor shall perform all Services under this Letter Agreement in a skillful and competent
manner, consistent with the standards generally recognized as being employed by professionals in
the same discipline in the State of California, and consistent with all applicable laws. Contractor
represents that it, its employees and subcontractors have all licenses, permits, qualifications and
approvals of whatever nature that are legally required to perform the Services, including any
required business license, and that such licenses and approvals shall be maintained throughout the
term of this Letter Agreement.
Contractor has represented to the City that certain key personnel will perform and coordinate the
Services under this Letter Agreement. Should one or more of such personnel become unavailable,
Contractor may substitute other personnel of equal competence upon written approval of the City.
In the event that the City and Contractor cannot agree as to the substitution of key personnel, the
City shall be entitled to terminate this Letter Agreement for cause. The key personnel for
performance of this Letter Agreement are as follows: MS. LYNNE MAZZERALLE.
Compensation shall be based on the actual amount of time spent in adequately performing the
Services, and shall be billed at the hourly rate(s) of: Compensation shall be based on the actual
amount of time spend in adequately performing the Services and shall be billed at the hourly rate(s)
described in the Contractor's rate sheet, attached hereto as Exhibit"A" and incorporated herein by
61147.02100\24471675.4 1
San Juan Capistrano: Preserving the Past to Enhance the Future
aPrinted on 100%recycled paper
RINCON
MAY 15, 2019
Page 2 of 5
reference. The total compensation shall not exceed UNIT PRICES NOTED IN EXHIBIT "A"
AND NOT TO EXCEED THE AGGREGRATE AVAILABLE FUNDING AMOUNT IN THE
OPERATING AND CAPITAL IMPROVEMENT BUDGET and without written approval.of
City's Director of Public Works and Utilities. Contractor's invoices shall include a detailed
description of the Services performed. Invoices shall be submitted to the City on a monthly basis
as performance of the Services progresses. The City shall review and pay the approved charges
on such invoices in a timely manner.
Contractor is aware of the requirements of California Labor Code Section 1720, et seq., and 1770,
et seq., as well as California Code of Regulations, Title 8, Section 16000, et seq., ("Prevailing
Wage Laws"), which require the payment of prevailing wage rates and the performance of other
requirements on "public works" and "maintenance" projects. IF,AS APPLICABLE,the Services are
being performed as part of an applicable "public works" or "maintenance" project, as defined by
the Prevailing Wage Laws, and IF, AS APPLICABLE the total compensation is $1,000 or more,
Contractor agrees to fully comply with such Prevailing Wage Laws. City shall provide Contractor
with a copy of the prevailing rates of per diem wages in effect at the commencement of this Letter
Agreement upon request. Contractor shall make copies of the prevailing rates of per diem wages
for each craft,classification or type of worker needed to execute the Services available to interested
parties upon request, and shall post copies at the Contractor's principal place of business and at
the project site. Contractor shall defend, indemnify and hold the City, its officials, officers,
employees and agents free and harmless from any claim or liability arising out of any failure or
alleged failure to comply with the Prevailing Wage Laws. It shall be mandatory upon the
Contractor and all subcontractors to comply with all California Labor Code provisions, which
include but are not limited to prevailing wages (Labor.Code Sections 1771, 1774 and 1775),
employment of apprentices (Labor Code Section 1777.5), certified payroll records (Labor Code
Sections 1771.4 and 1776), hours of labor (Labor Code Sections 1813 and 1815) and debarment
of contractors and subcontractors (Labor Code Sections 1777.1). The requirement to submit
certified payroll records directly to the Labor Commissioner under Labor Code section 1771.4
shall not apply to work performed on a public works project that is exempt pursuant to the small
project exemption specified in Labor Code Section 1771.4.
IF, AS APPLICABLE, the Services are being performed as part of an applicable "public works" or
"maintenance" project, then pursuant to Labor Code Sections 1725.5 and 1771.1, the Contractor
and all subcontractors performing such Services must be registered with the Department of
Industrial Relations. Contractor shall maintain registration for the duration of the Project and
require the same of any subcontractors, as applicable. Notwithstanding the foregoing, the
contractor registration requirements mandated by Labor Code Sections 1725.5 and 1771.1 shall
not apply to work performed on a public works project that is exempt pursuant to the small project
exemption specified in Labor Code Sections 1725.5 and 1771.1.
This Project may also be subject to compliance monitoring and enforcement by the Department of
Industrial Relations. It shall be Contractor'ssole responsibility to comply with all applicable
registration and labor compliance requirements. Any stop orders issued by the Department of
Industrial Relations against Contractor or any subcontractor that affect Contractor's performance
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MAY 15, 2019.
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of services, including any delay, shall be Contractor's sole responsibility. Any delay arising out
of or resulting from such stop orders shall be considered Contractor caused delay and shall not be
compensable by the City. Contractor shall defend, indemnify and hold the City, its officials,.
officers, employees and agents free and harmless from any claim or liability arising out of stop
orders issued by the Department of Industrial Relations against Contractor or any subcontractor..
Contractor shall provide proof of: A. Commercial General Liability Insurance, of at least
$1,000,000 per occurrence/$2,000,000 aggregate for bodily injury, personal injury and property
damage, at least as broad as,Insurance Services Office Commercial General Liability most recent
Occurrence Form CG 00 01; B. Automobile Liability Insurance for bodily injury and property
damage including coverage for owned, non-owned and hired vehicles, of at least $1,000,000 per
occurrence for bodily injury and property damage, at least as broad as most recent Insurance
Services Office Form Number CA 00 01 covering-automobile liability, Code 1 (any auto); C.
Workers' Compensation in compliance with applicable statutory requirements and Employer's
Liability Coverage of at least $1,000,000 per occurrence; and D. Contractors providing
-professional services shall provide Professional Liability (Errors and Omissions) Insurance of at
least $1,000,000. Insurance carriers shall be licensed to do business in California and maintain an
agent for process within the state. Such insurance carrier shall have not less than an "A-:VII"
rating according to the latest Best Key Rating unless otherwise approved by the City. The City,
its officials, officers, employees, agents and authorized volunteers shall be named as Additional
Insureds on Contractor's policies of Commercial General Liability and Automobile Liability
insurance and such coverage provided to the City as an Additional Insured shall apply on a primary
and non-contributory basis. Waiver of subrogation endorsements in favor of the City shall be
provided on Contractor's policies of Commercial General Liability, Automobile Liability'and
Workers' Compensation/Employer's Liability insurance.
The City may terminate this Letter Agreement at any time with or without cause. If the City finds
it necessary to terminate this Letter Agreement without cause before Project completion,
Contractor shall be entitled to be paid in full for those"Services adequately completed prior to the
notification of termination. Contractor may terminate this Letter Agreement only upon 30 calendar
days' written notice to the City only in the event of City's failure to perform-in accordance with
the terms of this Letter Agreement through no fault of Contractor.
To the fullest extent permitted by law, Contractor shall defend (with counsel of City's choosing),
indemnify and hold the City, its officials, officers, employees, volunteers, and agents free and
harmless from any and all claims, demands, causes of action, costs, expenses, liability, loss,
damage or injury of any kind, in law or equity, to property or persons, including wrongful death,
in any manner arising out of, pertaining to, or incident to any acts, errors or omissions, or willful
misconduct of Contractor, its officials, officers, employees, subcontractors, contractors or agents-
in connection with the performance of the Contractor's services, the Project or this Letter
Agreement, including without limitation the payment of all damages, expert witness fees and
attorney's fees and other related costs and expenses. Contractor's obligation to indemnify shall
not be restricted to insurance proceeds, if any, received by Contractor, the City, its officials,
officers, employees, agents, or volunteers.
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MAY 15, 2019
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If Contractor's obligation to defend, indemnify, and/or hold harmless arises out of Contractor's
performance of"design professional" services (as that term is defined under Civil Code section
2782.8), then, and only to the extent required by Civil Code section 2782.8, which is fully
incorporated herein, Contractor's indemnification obligation shall be limited to claims that arise
out of,pertain to, or relate to the negligence,recklessness, or willful misconduct of the Contractor,
and, upon Contractor obtaining a final adjudication by a court of competent jurisdiction,
Contractor's liability for such claim,including the cost to defend, shall not exceed the Contractor's
proportionate percentage of fault.
Contractor shall keep itself fully informed of and in compliance with all local, state and federal
laws,rules and regulations in any manner affecting the performance of the Project or the Services,
including all Cal/OSHA requirements; all emissions limits and permitting requirements imposed
by the California Air Resources Board (CARB) or other governmental agencies; .and all water
quality laws, rules and regulations of the Environmental Protection Agency, the State Water
Resources Control Board and the City.
By executing this Letter Agreement,-Contractor verifies that it fully complies with all requirements
and restrictions of state and federal law respecting the employment of undocumented aliens,
including,but not limited to,the Immigration Reform and Control Act of 1986,as may be amended
from time to time. Contractor shall maintain'records of its compliance, including its verification
of each employee, and shall make them available,to the. City or its representatives for inspection
and copy at any time during normal business hours. The City shall not be responsible for any costs
or expenses related to Contractor's compliance with the requirements. To.the same extent and
under the same conditions as Contractor, Contractor shall require all of its subcontractors, sub-
, subcontractors and consultants performing any work relating to the Project or this Letter
Agreement to make the same verifications and comply with all requirements and restrictions
provided herein. Contractor's failure to comply or any material misrepresentations or omissions
relating thereto shall be grounds for terminating this Letter Agreement for cause.
By its signature'hereunder, Contractor certifies that it is aware of the provisions of Section 3700
of the California Labor Code which require every employer to be insured against liability for
Workers' Compensation or to.undertake self-insurance in accordance with the provisions of that
Code, and agrees to comply with, such provisions before commencing the performance of the
Services. Finally, Contractor represents that it is an'equal opportunity employer and it shall-not
discriminate against any subcontractor, employee or applicant for employment in violation of state
or federal law. As provided for in the indemnity obligations of this Letter Agreement, Contractor
shall indemnify City against any alleged violations of this paragraph, including,but not limited to,
any fines or penalties imposed by any governmental agency.
This Letter Agreement shall be interpreted iri'accordance with the laws of the State of California.,
If any action is brought to interpret or enforce any term of this Letter Agreement, the action shall
be brought in a state or federal court situated in Orange County, State of California. In addition to
any and all contract requirements pertaining to notices of and.requests for'compensation or
payment for extra work,disputed work,claims and/or changed conditions,Contractor must comply
with the claim procedures set forth in Government Code sections 900 et seq. prior to filing any
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from bringing and maintaining a valid lawsuit against the City.
Contractor shall not assign,sublet,or transfer this Letter Agreement or any rights under or interest
in this Letter Agreement without the written consent of the City, which may be withheld for any •
reason. This Letter Agreement may not be modified or altered except in writing signed by both
parties. Except to the extent expressly provided for in the termination paragraph, there are no
intended third party beneficiaries of any right or obligation of the Parties.
This is an integrated Letter Agreement representing the entire understanding of the parties as to
those matters contained herein,and supersedes and cancels any prior oral or written understanding
or representations with respect to matters covered hereunder. Since the Parties or their agents have
participated fully in the preparation of this Letter Agreement, the language of this Letter
Agreement shall be consulted simply, according to its(fair meaning, and not strictly for or against
any Party. The captions of the various paragraphs are for convenience and ease of reference only,
and do not define, limit,augment,or describe the scope,content or intent of this Letter Agreement.
,
Contractor warrants that the individual who has signed this Letter Agreement has the legal power,
right and authority to make this Letter Agreement and bind the Contractor hereto. If you 'agree
with the terms of this Letter Agreement, please indicate by signing and dating where indicated
below.
CITY OF SAN JUAN CAPISTRANO RINCO INC, •
Approved By: :// :•'
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CityMa ager . ( 74A-Cr
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Exhibit A , ,
• May6,2019 .
City of San Juan Capistrano ,
Rod Hamilton
32400 Paseo.Adelanto , •
San Juan Capistrano, CA 92675 _ - ;
Ref:Service Agreement,
/ �
Dear Mr. Hamilton, •
Rincon Truck Center is a full-service diesel repair shop with dealer/warranty association with Cummins,
Caterpillar,Spartan,Onan, Hug, Huss,Allison,Tiffin and John Deere. Rincon also performs
repairs/services on Ford 6.0&7.3 liter diesel engines,diesel particulate filters;welding, hydraulic system - ,
' repairs,air conditioning,transmission,differential, suspension, alignment/spin balance, brakes;trailer
repairs, electrical system,smoke opacity and annual BIT inspections(copy of inspection report '
/ attached). We can repair in Our shop or at your location Monday-Friday 7:00am -5:00pm.
Sample of Services: '
, Labor Per Hour$153.00 ,
•Mobile Services
Per mile for road calls$1.70 -
Smoke Opacity-at our shop' I
Smoke Opacity-at your.location ,
Tire Mount/Dismount-Per Tire (at shop only)
Tire Repair(at shop only) ,
Tire Disposal I ,
2 Axle Heavy Duty Alignment
3 Axle Heavy Duty Alignment ' \
Light Duty_Alignment •
Balance 2 Front Tires •
Additional Axle-Align Single Axle' '
Center steering Wheel , _
Oil and filter change • • - ;
Oil/filter,fluids, lube and adjustments
BIT Inspection-Inspect Only
BIT Inspection-Lube&Adjustments
Lube
Automatic Transmission Service
Heavy Duty Transmission Service �.
Surface Flywheel •
Clutch Adjustment ' -
• Brake Adjustment •
Manual Transmission-Drain and Refill ' '_ ,
Differential, Drain and Refill
Turn Rotor or Drums •
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Our parts department carries a complete line of Cummins, Caterpilla /U|iant
Meritor, Spicer, Bendix, Baldwin, FUSO,tires for any application and many more:all that can be '
delivered next day orven same day in many cases. TheParts Department has the facility to custom
make any size or length of hose or battery cable that your equipment may require. In addition, if you
need special assistance for a part,one of our many sales specialists is more than happytoassistyou.
. '
San Juan Capistrano received parts pricing at Municipality/City Pricing.
We look forward to serving the City of San Juan Capistrano and feel free to contact any Rincon employee
or myself.
Sincerely, - '
?pC41Pv `�—
. .
Lynne Mazzarella
Warranty/Emission '
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Rincon Truck Center, Inc.
114 FUncon Ct
• San Clemente,CA 92672 ' -
Phone: (949)492-3520 / •
Attachment: BIT Form
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BIT PROGRAM TRUCIC/TRACTOR/TRAILER INSPECTION AND MAINTENANCE RECORD NEXT
INSPECTION
RINCON TRUCKCENTER , 90 nay REPORT
COMPANYCOMPANY DATE NO. _ _
OR UNIT LICENSE '
LESSOR/CONTRACTOR _____e_., _ _ .._ _ _ ..____.._._.. NO, • NO. �___�_ .____
VEHICLE SERIAL ODOMETER
MAKE MODEL_....____.____._._____ YEAR_ NO, __.___.. READING
Indicate completion of the report: Item is ok or not applicable(,i):work is completed,done(4')i type of work completed notes: (A)Adjust,(0 or 0)Oil or Grease,
(lR)Replace or Rebuild.(T)Test,(SR)See Remarks. 'inspection of these items required by 34505.5 CVC
';;eC DOW: nacres TRUCK AND/OR TRACTOR ®Duan; NOTES.ITEM TRAILERS) i
M ' ,'INTERIOR AND EXTERIOR ,; :38. Lights-stop,tail,turn-reflectors
.M 1. Are extinguisher and reflectors-secured--marked - _ 39. Air leaks-brake system *
al 2. Horn defrosters,gauges and speedometer `40. Air leaks-dumbsystem -
3. Mirrors and sur►arts _..._ I41. Cracks in body and sub frame
• III • 4. Windshield wipers-window cracks,condition 42. Brakes•-adjustment-drums-near cam over *
. ; 5. Check all lights-turn signals-reflectors,mud flaps 43, Springs-U bolts-torque arm *
IIIal � 6. Check electrical wiring-condition and protection 44, Drawbar-hitch and safety cable-check strand wear
7. Check batteries-water terminals and cable pull Fifth wheel on bailer *
8Warninr devices air oil and temperature vacuum * 1111,1 46. Tires wheel-nuts and studs *
-• ENGINE AND-ELECTRIC r , -`• w NM 47, Fifth wheel on l;Jin wear-safety lock e
... 9. •Radiator and water hoses-condition-lleaks _.,_ 48, Emergency relay valves,tank mounting
..- 10. Belts--comorossor(s),fan and water puma , _ . 49. Tarps
IIII.. 11. Air lines-leaks,condition and rrotection * 1 50. Electrical connections-lead wire
Ell12. Fuel tanks-lines-pump,condition and.rotection 51._ Air lines bets een Trailers,gladhands,robbers e13. Manifold and flan.ebaskets-muffler and condition f 52 Niud flaps,fenders
14. En ine mounts,oii and fuel leaks I ,1„;, , .,.,
ADDITIONAL ITEMS
111 15, Clutch adjustment and freed t ,
NM16- Throttle and linkage,air filter r I •
17. Generator/alternator,starter,brushes and worn. Tire Positions and Tread Depth
-IIIIIIII-, ,':'.....C:.'..:: 13RAICES ...,:,..,%:. t ,,,,„::.4,,:� Enter amount for tread depth
18. Tractor protection valve-breakaway testI * 1 1 2 2
19. Brakes-lininneg,dnims,and adjustment-
1
___
ar cam over,pedal ht.-hyd, i 3 4 3 4 5 6 6
20. Hoses,and tubing condition- * j
protection,liyd.,brake reservoir level 7 8 7 8 9 10 9 10
21. Air leaks and 1-minute brake application test,vacuum loss * 111 MN
5
22. Air rovernor ad'ustment-minimum 85 maximum 130 11 12 11 12 1314 13 14
23. Identify neat er I'air tank-gain-fest check valve *
24. All larks secure,drains operable,drain tanks *
25, Check tires wheels nUts and studs. d Position
_ cracked,secure and inflation,head 0 Flat
I 26, Parking brake--condition and adjustment e
0
. (27, Emergency stop ing system--labeled,operable Low Air Pressure
28. Release after loss of service air-test anti skid lam * ri Marginal Tread
! 29. Check steeringgear and mounting-free
..
�
lash * Loose Lug Nuts
30. Steering arms.draggjinks and do rod ends .. t.::i Cracks or Cuts
• 31, Fifth wheel condition and mounting M •M..-._.,_._•
32. Springs,shackles and U-bolts--toraue arms e 0 Grease Leaks 'e. ._._......___
33. Check frame,cross members,cracks,etc. . 0 Other Damage
34. Drive shaft and universal joints • - _._..._._..__._. __....._._... ..........._.._...._........_.......__.__.__
35, Transmission,differentia]-mountinand seals _ Added Fluids Amount
36. Wheel seals leaks,hydraulic brake system leaks * El Engine Oil Qt.
37- Clean under carnia a -
ADaOTIxG1NAL ITEIC;S G Coolant Gal,._.__._.
- • �_
' -.........._......�..-.._...____.__.__.� ._-.-... __- ❑Auto Trans. Qt.
_...._ ___ i D Hydraulic Gal.
ti.
i L i{ Other . _ __I
required) i
REMARKS(use reverse side if re
q )..__.._...._..._._...._._---._____ .._..._.._..�_._ ! Work Completed by: Date:
IInspected by: - ._ Date:
I_ _ ( Total Time: Hours, Minutes j
MAINTAIN A TWO YEAR'S ACCUMULATION OF INSPECTION.MAINTENANCE,AND LUBRICATION RECORDS Pg.8 4018309