HomeMy WebLinkAboutPre-LegislationCity of Miami
Legislation
Resolution: R-13-0246
City Hall
3500 Pan American
Drive
Miami FL 33133
www.miamigov.com
File \ umber: 13-0E1654
Final Action Date: 6,D 2I113
A RESOLUTION OF THE MIAMI CITY COMMISSION, WITH ATTACHMENT(S),
AUTHORIZING THE CITY MANAGER TO EXECUTE A GOVERNMENT ACCOUNT
HOLDER APPLICATION AGREEMENT, IN SUBSTANTIALLY THE ATTACHED
FORM, WITH KROPP HOLDINGS, INC., TO PURCHASE FUEL FOR THE CITY OF
MIAMI'S HELICOPTER, AT THE DEPARTMENT OF DEFENSE. DEFENSE
LOGISTICS AGENCY'S CONTRACTUAL PRICE, WITH THE GROSS AMOUNT OF
PURCHASES SUBJECT TO A 2.95% FEE. IN AN ANNUAL AMOUNT NOT TO
EXCEED $40,000: ALLOCATING FUNDS FROM THE AVIATION UNIT'S BUDGET
OF THE DEPARTMENT OF POLICES GENERAL OPERATING BUDGET,
ACCOUNT CODE NO. 00001.191501.552010.0000.00000.
WHEREAS, pursuant to Resolution Numbers 06-0005 and 06-0210. adopted January 12. 2006
and April 6. 2006, respectively, the City Commission authorized the Department of Police to participate
in the Into -Plane Reimbursement "AIR" Card Program that allowed law enforcement agencies the use
of the AIR Card to buy fuel for aircraft at United States Military prices, from the Defense Logistics
Agency ("DLA"): and
WHEREAS. DLA has changed their business practices and now has a contract with a private
company for the purchase of fuel: and
WHEREAS, the City of Miami ("City") can continue to participate in the program by completing
the DLA Energy request form, which will be forwarded to Kropp Holdings. Inc. to verify that the City is
an eligible participant; and
WHEREAS, the Department of Police wishes to participate in the program in order to continue
to purchase aircraft fuel at DLA's discounted prices;
NOW, THEREFORE, BE IT RESOLVED BY THE COMMISSION OF THE CITY OF MIAMI,
FLORIDA:
Section 1. The recitals and findings contained in the Preamble to this Resolution are adopted
by reference and incorporated as fully set forth in this Section.
Section 2. The City Manager is authorized{1} to execute a Government Account Holder
Application Agreement, in substantially the attached form, with Kropp Holdings, Inc., to purchase fuel
for the City's helicopter, at the Department of Defense, DLA's contractual price, with the gross amount
of purchases subject to a 2.95% fee, in an annual amount not to exceed $40,000, with funds allocated
from the Aviation Unit's budget of the Department of Police's General Operating Budget, Account
Code No. 00001.191501.552010.0000.00000.
Section 3. This Resolution shall become effective immediately upon its adoption and signature
of the Mayor.{2}
On' of lliu ni
Page 1of2
Fife id: 13- El654 (l irsion: 2) Printed On: 9il1li2Ol3
File Number: 13-00654 Enactment \umber: P-13-02.16
Footnotes:
{1} The herein authorization is further subject to compliance with all requirements that may be
imposed by the City Attorney, including but not limited to those prescribed by applicable City
Charter and Code provisions.
{2} If the Mayor does not sign this Resolution, it shall become effective at the end of ten calendar
days from the date it was passed and adopted. If the Mayor vetoes this Resolution. it shall
become effective immediately upon override of the veto by the City Commission.
City £J .tiliurtri Page 2 of 2
File Id: 1.3-00654 (I ersion: 2) Printed Orr: 9, l ib20/3
"EXHIBIT 1"
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8650 College Boulevard 1 Overland Park, Kansas 66210 USA I www.KHine.com
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GOVERNMENT ACCOUNT HOLDER APPLICATION AGREEMENT
THIS AGREEMENT effective from 2013 and beyond is between Kropp Holdings, Inc, (KHI), a company registered
and existing under the laws of the state of Maryland, United States and the government entity as Listed on the registration form
(Account Holder).
Instant Acceptance at More Merchants Worldwide
Designed specifically for aviation fuel and aviation related products, KHI branded card program is accepted at designated Fixed
Base Operators (FBOs) or other service providers to pay for agreed upon fuel and all other authorized fuel related services.
Fuel, product and service availability is dependent upon the individual merchant.
Usage of the card by the Account Holder or authorized representative indicates acceptance of the terms and conditions
outlined, which may be amended in accordance with the terms hereof, and constitutes the entire Agreement. This includes the
retention or use of the card by the Account Holder or anyone under its control. The Account Holder agrees to be responsible for
unauthorized use of the card prior to the Account Holder notifying KHI. Transactions which occur prior to the time of the card
being reported as Lost or stolen will continue to be processed by KHI and are the responsibility of the Account Holder.
In the event of Account Holder breach or default under the terms of this Agreement, the Account Holder acknowledges and
agrees, KHI may invoke any and all rights and remedies available to it allowable under applicable law. The Account Holder shall
also be liable to KHI for all costs and expenses incurred by KHI in connection therewith, including late charges and reasonable
attorney fees. TheAccount Holder agrees to notify the KHI Support Team immediately when any card number cr web account
login and passwords in their possession are either lost or transferred to another person or entity.
ACCOUNT HOLDER AGREES TOITHAT.
1. Notify KHI immediately at 1-866-308-3811 if card, account numbers, or web access has been compromised. The cards
are property of KHI and shall be returned to KHI at any time upon request.
2, Notify KHI immediately when there are any disputes regarding tax issues or exemption thereof between the deliverer
of fuel or services and the Account Holder. KHI records the issue and forwards information to the merchant for review
and potential resolution. KHI is not a party to these issues and has no legal authority to resolve disputes between the
Account Holder and merchant.
3. Notify KHI immediately when there are any disputes regarding fuel, non -fuel, ancillary service, or other fees between
the supplier of product / service (originator of handling or any other related charges) and the Account Holder. KHI
records the issue and forwards information to the merchant far review and potential resolution. KHI is not a party to
these issues and has no legal authority to resolve disputes between the Account Holder and merchant.
4. Disclose and inform KHI of any specific government forms, terms or conditions that are applicable in doing business
with the Account Holder. Provide forms or other additional materials needed for KHI, as a vendor, to complete.
5. It shall be liable for all amounts charged to Account Holder including without limitation, ail purchases, fees, taxes, late
charges, and other charges or amounts due and owing to KHI by Account Holder.
6. All communications between KHI and Account Holder, including but not limited to telephone calls and e-mails, may be
monitored for quality control and to insure compliance with all applicable laws and regulations.
6/1W /5-0-7r
Kropp Holdings, Inc. Account Holder Appllcatton Agreement
Page, 1 version 1.0 04/13
B650 College Boulevord I Overland Park, Kansas 66210 USA I www.KHinc.com
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GOVERNMENT ACCOUNT HOLDER APPLICATION AGREEMENT (CONTINUED)
PAYMENT TERMS
Government Credit Terms — Net 30 Days
-.__Your-billing-cycle-wilt-be-weekly-or-as otherwise agreed and-your-payment-is-due-in-full-within-30-days-of-the billing invoice dafe.
In consideration for the services provided by KH1 hereunder and only with respect to contract purchases made by Account
Holder at Defense Logistics Agency into -plane fueling contracted locations, Account Holder shall pay to KHI an administration
fee equal to 2,95% of the gross amount of all purchases made at such locations. Invoices outstanding more than 30 days
are considered delinquent. In addition, if your account becomes delinquent, KHI may charge 18% per annum (compounded
monthly) or the maximum amount allowed by law, whichever is less. KHI may require immediate and full payment of all
outstanding amounts, as well as the closure of your KHI card account. In addition, KHI is entitled to offset any amounts it may
owe you against any claims it has against you.
Payment for aviation fuels, related services, fees, and of ail other charges due to KHI shall be made in full (without any
abatement, deduction, set-off or counter claim whatsoever) in cleared funds in U.S. Dollars or other agreed upon currency and
the payment shall be due on the stated due date as appearing on the invoice billing statement and shall be made by means
of EFT (ACH), bank wire, or check. Details regarding account, routing numbers or addresses for EFT (ACH), bank wires, or
overnight express of checks are included en the billing invoice statement. Each of Account Holder and KHI shall be responsible
for their own charges related to method of payment.
If method of payment is by check, delivery shall be by express mail and each check shall reference the invoice number, Account
Holder's name and be made payable to Kropp Holdings, Inc. if due date is a non -business day and banks are closed, the
payment is due the first business day before the due date.
If your Bank/Payment Office fails to honor payment to KHI, you agree to pay KHI's returned funds fee of $50,00.
APPLICABLE LAW
This Agreement shall be governed by, interpreted and construed in accordance with the laws of the State of Texas as governed
by the state court system of Texas, United States. Any disputes in connection with this Agreement or the Terms of Sale shall be
resolved in accordance with the laws of the state of Texas, United States.
I certify that I am authorized to enter and bind the above company into this Agreement, to be executed on the day and year first
written above.
MISCELLANEOUS
Neither the Account Holder nor KHI shall be liable to the other party under this KHI Government Account HolderAgreement and
all related documents for any indirect or consequential loss or damage (including foss of profits, business, anticipated savings,
revenue or goodwill) suffered by the other party whether such loss is caused by that parry's breach of its contractual obligation
or by any tortuous act or omission (including negligence) or any other way.
Please note that KHI furnishes only access to the card network and its billing and payment program. We neither sell nor warrant
the services or goods obtained from the fueling or aviation merchants. As such, you agree to indemnify and hold KHI, its
directors, officers, employees, agents, subsidiaries and affiliates, harmless from and against all claims, demands, proceedings,
damages and liabilities for loss of or damage to any property whatsoever or for injury to any persons whatsoever and against all
associated costs (including legal costs) and expenses that arise out of or are connected with any and all activities in connection
with your receipt or use of services or goods contemplated herein or any contractual obligations KHI may have consistent with
the scope of this indemnity to fuel vendors.
Kropp Holdings, lnc. Account Holder Application Agreement
Page, 2 vers#on 1.0 04113
8650 College Boulevard I Overland Park, Kansas 66210 USA I www.KHInc.com
GOVERNMENT ACCOUNT HOLDER APPLICATION AGREEMENT (CONTINUED)
In the event a disputed item appears on an invoice, Account Holder shall pay the full amount due under the Invoice, including
the amount of any disputed item, and identify in writing any disputed item an the Invoice. KHI and Account Holder will then
discuss responsibility for any disputed item. In the event KHI concludes that Account Holder is not responsible for the dispute
item, KHI shall issue a credit to Account Holder. Account Holder must notify KHI in writing of any disputed item on its billing
-statement-within-60-days-from the late -of -the -invoice, -or -it -will -be— eemed undisputed -and -accepted by -Account -Holder.
A card is valid only for the purchase of goods and services which KHI from time to time advises Account Holder may be obtained
with the card. KHI has the right to refuse authorization for any particular transaction, for example, if a transaction results in
the Account Holder's credit limit being exceeded, Account Holder is in breach of this Agreement, or KHI (or the systems we
use) reasonably suspect a transaction is fraudulent. KHI reserves the right to terminate or suspend the right to use any or all
of Account Holder's cards, whereupon, in addition to all other rights and remedies available to it under the law or in equity, the
whole of the outstanding balance, both billed and pending charges, shall be due and payable toAvcard upon demand.
Furthermore, Account Holder acknowledges and agrees that KHI may also invoke any and all statutory or equitable lien
rights or those of any participating aviation merchants in connection with the enforcement of KHI's right to payment under this
Agreement, and authorizes KHI to file a lien for any unpaid amounts, from the date of the oldest unpaid amount, aircraft title
search fees, filing fees and attorney fees, against any aircraft for which charges were incurred and made to Account Holder's
card(s). If any amounts remain unpaid, KHI may institute a suit againstAccount Holder to enforce the lien and collect any
amounts past due. Account Holder shall be liable to KHI for all costs and expenses of liens and litigation including, but not
limited to, late charges, penalties, court and discovery costs and/or other costs incurred by KHI in enforcing its rights hereunder.
KHI may assign this Agreement and any and ail of its rights and obligations hereunder without prior notice toAccount Holder.
Account Holder may not assign or transfer this Agreement or any rights or obligations hereunder, by merger, or law, or
otherwise, without the prior written consent of KHI,
In its sole discretion, KHI may lower the Account Holder's credit limit. Generally, KHI will endeavor to give the Account Holder
advance notice of the reduction, but there may be instances where a reduction is made by KHI without notifying the Account
Holder in advance.
Failure by KHI to enforce any of its rights hereunder shall not constitute a waiver of such rights or any other rights hereunder.
No waiver of any of the provisions of this Agreement shall be effective unless it is in writing, and signed by KHI. Any such
written waiver shall only be applicable to the specific instance to which it relates and shall not be deemed to be a constinuing or
future waiver.
Notices or other communications shall be sent to KH I as follows: 8650 College Boulevard, Overland Park, KS 66210, Attention:
Customer Service, via certified or registered mail, overnight courier, telefax, or telegram except that any return of cards must be
made by certified mail, returned receipt requested. For questions call 1-866-308-3811.
This Agreement may be amended from time to time by KHI and the amendment will become effective upon written notice from
KHI to Account Holder.
SIGNED for and on behalf of
[Account Holder — Government Entity Name]
By:
Name:
Title:
Kropp Holdings, Inc. Account Holder Application Agreement
Page, 3 version 1.0 04/13
CITY OF MIAMI, a Florida Municipal Corporation
By:
Johnny Martinez, P.E., City Manager
Date:
Attest:
By:
Date:
Todd B. Hannon, City Clerk
Approved as to Form and Correctness:
By:
Julie O. Bru. City Attorney
Date:
Approved as to Insurance Requirements:
By:
Calvin Ellis, Director, Risk Management
Date:
Authorized by Miami City Commission Resolution No. , adopted
(Copy Attached)
Page 3a
8650 College Boulevard j Overfond ?ark, Kansas 66210 USA l www.KHInc.com
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Reaistratiori Details
Government Entity Account Holder:
Address:
Address:
City, Postal Code:
Country, Phone:
Is above also billing address
❑ Yes
❑ No (Provide on a separate sheet)
Billing Details
Billing Preference:
0 Email 0 Fax ❑ Mail 0 File Transfer (Custom)
Name, Email Address/Fax:
Payment Details
Name, Phone/Fax:
Aircraft Details
'Required
Fields
Type*
Tail Number'
Registration
Number
Unit Number
Number of
Cards
Home Base:
Name or ICAO
Aircraft1
°�RoaoPT13
�cl2o-
3$OM(3
r13$or e
AIR
koPF
Aircraft 2
Aircraft 3
Aircraft 4
Aircraft 5
Aircraft 6
Any Aircraft
Any
List additional aircraft if needed separately.
Mailing Address for Cards / Physical Address for Overnight Service
Office / Name /Title / Rank:
56.T• 1, • ri ja R.R.Q'ro
Address:
4-00 c . AV6
Address:
leitTrtsi : A(.1io1-r-t fl.•.) I erzot
; i •
City, Postal Code:
tN_Ai t o M 1 4 El— _3 3 i 2-
Country, Phone:
(..1 5 A SIDS— 9 �g ,. 7 1.5a...
Account Holder and aircraft usage is governed the Account Holder Application Agreement (Terms & Conditions).
Contact KHl at 1-866-308-3811.
Kropp Holdings, Inc. Account Holder Appllcatfon Agreement
Page, 4 version 1.0 04113