Bulk_Fuel_and_Lubricants_Supply_and_Delivery_Sample_Agreement.pdf

Last revised: May 2026

AGREEMENT FOR SUPPLY AND DELIVERY SERVICES

BULK FUEL AND LUBRICANTS

THIS AGREEMENT (“Agreement”) is made and entered into this _____ day of _______, 2026, by and between the County of Tuolumne, a political subdivision of the State of California, (“County”), and ______________, a [INSERT TYPE OF COMPANY], (“Contractor”), pursuant to the following terms and conditions.

W I T N E S S E T H:

1. TERM

The term of this Agreement shall commence on the date first hereinabove written and shall continue through [INSERT DATE], unless earlier terminated in accordance with this

Agreement.

This Agreement may be extended for up to two (2) additional one-year terms by written amendment signed by both parties.

2. SERVICES

Contractor shall supply and deliver to the County bulk fuel and lubricants as described in

Exhibit A, “Scope of Work,” which is attached hereto and incorporated herein by reference.

Contractor shall provide all labor, equipment, vehicles, personnel, and materials necessary to supply and deliver the Goods.

This Agreement constitutes a requirements arrangement. The County makes no guarantee as to any minimum quantity or dollar amount of purchases under this Agreement.

3. COMPENSATION

Contractor shall be compensated for products ordered and delivered under this Agreement in an amount not to exceed $1,000,000 (One Million Dollars) for the period [INSERT DATE] through [INSERT DATE]. Contractor’s pricing shall be in accordance with Exhibit B, “Cost

Proposal,” which is attached hereto and incorporated herein by reference. In no event shall compensation under this Agreement exceed the not-to-exceed amount without prior written amendment executed by both parties.

Last revised: May 2021

All prices shall be inclusive of delivery charges unless otherwise specified in Exhibit B. The

Contractor shall separately identify on each invoice all applicable federal, state, and local motor vehicle fuel, excise, sales, use, and other applicable taxes. The County shall not be responsible for payment of any tax from which it is legally exempt and, upon request, shall provide the Contractor with appropriate documentation of any applicable tax exemption.

The County shall remit payment to the Contractor within thirty (30) days following receipt and approval of a complete and accurate invoice.

4. TITLE AND RISK OF LOSS

Title to and risk of loss of the Goods shall pass to the County upon completion of delivery into the County’s designated tank or receptacle at the specified delivery location and acceptance of the Goods by the County. The Contractor shall bear all risk of loss, damage, or destruction of the Goods, including during transportation and off-loading, until title and risk of loss have passed to the County.

5. WARRANTIES

The Contractor warrants that all Goods delivered under this Agreement shall: (a) conform to the specifications and grades set forth in Exhibit A and any applicable sample or description;

(b) be of merchantable quality and fit for the ordinary purposes for which such Goods are used; (c) be fit for any particular purpose made known to the Contractor where the County relies upon the Contractor’s skill or judgment; (d) comply with all applicable ASTM, California Air Resources Board (CARB), and other applicable product quality and environmental standards in effect at the time of delivery; and (e) be delivered free and clear of all liens, security interests, and other encumbrances, with good title conveyed to the

County.

These warranties are in addition to, and not in lieu of, any warranties provided under the

California Commercial Code or other applicable law and shall survive the County’s inspection, acceptance, and payment for the Goods. The County’s rights and remedies for breach of warranty shall be cumulative and in addition to any other rights or remedies available under this Agreement, at law, or in equity.

6. INSPECTION AND ACCEPTANCE

The County may inspect and test the Goods upon delivery and within a reasonable time thereafter. Acceptance of, or payment for, any Goods shall not constitute a waiver of the

County’s right to reject nonconforming Goods or pursue any available remedy for latent defects or other nonconformities discovered after acceptance or payment.

If any Goods fail to conform to the requirements of this Agreement, the County may reject such Goods and, at the County’s election, require the Contractor, at its sole cost and expense, to promptly remove and replace the nonconforming Goods with conforming Goods or refund or credit the County for any amounts paid for the nonconforming Goods.

The Contractor shall be responsible for all reasonable costs and expenses resulting from the delivery of nonconforming Goods, including costs associated with removal, replacement, contamination, equipment or tank cleaning, remediation, and disposal.

7. ENVIRONMENTAL COMPLIANCE AND SPILL RESPONSE

The Contractor shall handle, transport, and deliver all Goods in compliance with all applicable federal, state, and local laws and regulations governing the transportation, handling, storage, and delivery of petroleum products and hazardous materials, including applicable U.S. Department of Transportation and State of California requirements.

The Contractor shall be responsible for any spill, leak, release, or discharge caused by the

Contractor or occurring before risk of loss passes to the County. The Contractor shall immediately report and respond to any such incident in accordance with applicable law and shall, at its sole cost and expense, perform all required containment, cleanup, remediation, and regulatory notifications. The Contractor’s obligations under this Section shall survive the expiration or termination of this Agreement.

8. INSURANCE

A. Contractor shall procure and maintain for the duration of the contract insurance against claims for injuries to persons or damages to property which may arise from or in connection with the performance of the work hereunder and the results of that work by the Contractor, his agents, representatives, employees or subcontractors. Coverage shall be at least as broad as:

i. Commercial General Liability (CGL): Insurance Services Office Form CG

00 01 covering CGL on an "occurrence" basis, including products and completed operations, property damage, bodily injury, and personal & advertising injury with limits no less than $2,000,000 per occurrence. If a general aggregate limit applies, either the general aggregate limit shall apply separately to this project/location (ISO CG 25 03 or 25 04) or the general aggregate limit shall be twice the required occurrence limit.

ii. Automobile Liability: ISO Form Number CA 00 01 covering any auto (Code

1), or if Contractor has no owned autos, hired, (Code 8) and non-owned autos

(Code 9), with limit no less than $1,000,000 per accident for bodily injury and property damage.

iii. Workers' Compensation: as required by the State of California, with Statutory

Limits, and Employer's Liability Insurance with limit of no less than $1,000,000 per accident for bodily injury or disease.

iv. Pollution Liability / Environmental Impairment Liability: Coverage for bodily injury, property damage, cleanup costs, and remediation arising out of the escape, spill, seepage, leakage, release, or discharge of Goods, with limits of not less than

Two Million Dollars ($2,000,000) per occurrence or claim and Two Million Dollars

($2,000,000) aggregate. Such coverage shall apply to all loading, transportation, delivery, and off-loading operations performed under this Agreement.

If the Contractor maintains broader coverage and/or higher limits than the minimums shown above, the County requires and shall be entitled to the broader coverage and/or the higher limits maintained by the contractor. Any available insurance proceeds in excess of the specified minimum limits of insurance and coverage shall be available to the County.

B. Other Insurance Provisions: The insurance policies are to contain, or be endorsed to contain, the following provisions:

i. Additional Insured Status. The County, its officers, officials, employees, and volunteers are to be covered as additional insureds on the CGL policy with respect to liability arising out of work or operations performed by or on behalf of the Contractor including materials, parts, or equipment furnished in connection with such work or operations. General liability coverage can be provided in the form of an endorsement to the Contractor's insurance (at least as broad as ISO Form CG 20 10 11 85 or if not available, through the addition of both CG 20 10, CG 20 26, CG 20 33, or CG 20 38; and CG 20 37 if a later edition is used).

ii. Primary Coverage. For any claims related to this contract, the Contractor's insurance coverage shall be primary and non-contributory and at least as broad as ISO CG 20 01 04 13 as respects the County, its officers, officials, employees and volunteers. Any insurance or self-insurance maintained by the County, its officers, officials, employees, or volunteers shall be excess of the Contractor's insurance and shall not contribute with it. This requirement shall also apply to any Excess or Umbrella liability policies.

iii. Umbrella or Excess Policy. The Contractor may use Umbrella or Excess Policies to provide the liability limits as required in this agreement. This form of insurance will be acceptable provided that all of the Primary and Umbrella or Excess Policies shall provide all of the insurance coverages herein required, including, but not limited to, primary and non-contributory, additional insured, Self-Insured Retentions (SIRs), indemnity, and defense requirements. The Umbrella or Excess policies shall be provided on a true “following form” or broader coverage basis, with coverage at least as broad as provided on the underlying Commercial General Liability insurance. No insurance policies maintained by the additional Insured, whether primary or excess, and which also apply to a loss covered hereunder, shall be called upon to contribute to a loss until the Contractor’s primary and excess liability policies are exhausted.

iv. Notice of Cancellation. Each insurance policy required above shall provide that coverage shall not be canceled, except with notice to the County.

v. Waiver of Subrogation. Contractor hereby grants to County a waiver of any right to subrogation which any insurer of said Contractor may acquire against the County by virtue of the payment of any loss under such insurance.

Contractor agrees to obtain any endorsement that may be necessary to affect this waiver of subrogation, but this provision applies regardless of whether or not the County has received a waiver of subrogation endorsement from the insurer.

vi. Self-Insured Retentions. Self-insured retentions must be declared to and approved by the County. The County may require the Contractor to purchase coverage with a lower retention or provide proof of ability to pay losses and related investigations, claim administration, and defense expenses within the retention. The policy language shall provide, or be endorsed to provide, that the self-insured retention may be satisfied by either the named insured or County.

The CGL and any policies, including Excess liability policies, may not be subject to a self-insured retention (SIR) or deductible that exceeds $25,000, unless approved in writing by County. Any and all deductibles and SIRs shall be the sole responsibility of Contractor or subcontractor who procured such insurance and shall not apply to the Indemnified Additional Insured Parties. County may deduct from any amounts otherwise due Contractor to fund the SIR/deductible. Policies shall NOT contain any self-insured retention (SIR) provision that limits the satisfaction of the SIR to the Named Insured. The policy must also provide that

Defense costs, including the Allocated Loss Adjustment Expenses, will satisfy the SIR or deductible. County reserves the right to obtain a copy of any policies and endorsements for verification.

vii. Acceptability of Insurers. Insurance is to be placed with insurers authorized to conduct business in the state with a current A.M. Best’s rating of no less than

A: VII, unless otherwise acceptable to the County.

viii. Verification of Coverage. Contractor shall furnish the County with original

Certificates and amendatory endorsements, or copies of the applicable policy language affecting coverage required by this clause and a copy of the

Declarations and Endorsement Page of the CGL and any Excess policies listing all policy endorsements. All certificates and endorsements and copies of the

Declarations & Endorsements pages are to be received and approved by the

County before work commences. However, failure to obtain the required documents prior to the work beginning shall not waive the Contractor's obligation to provide them. The County reserves the right to require complete, certified copies of all required insurance policies, including endorsements required by these specifications, at any time. County reserves the right to modify these requirements, including limits, based on the nature of the risk, prior experience, insurer, coverage, or other special circumstances.

ix. Special Risks or Circumstances. County reserves the right to modify these requirements, including limits, based on the nature of the risk, prior experience, insurer, coverage, or other special circumstances.

x. Failure to Comply: Upon failure to comply with any of these insurance requirements, this Agreement may be forthwith declared suspended or terminated.

Failure to obtain and/or maintain any required insurance shall not relieve any liability under this Agreement, nor shall the insurance requirements be construed to conflict with or otherwise limit the indemnification obligations.

9. HOLD HARMLESS/INDEMNIFICATION

Contractor shall hold harmless, defend and indemnify County and its officers, officials, employees and volunteers from and against any and all liability, loss, damage, expense, costs (including without limitation costs and fees of litigation) of every nature arising out of or in connection with Contractor's performance of work hereunder or its failure to comply with any of its obligations contained in the agreement, except such loss or damage which was caused by the sole negligence or willful misconduct of the County.

If such indemnification becomes necessary, the County Counsel for the County shall have the absolute right and discretion to approve or disapprove of any and all counsel employed to defend the County. This indemnification clause shall survive the termination or expiration of this Agreement.

10. INDEPENDENT CONTRACTOR

It is understood that Contractor, in the performance of the services agreed to be performed, shall act as and be an independent contractor and shall not act as an agent or employee of the

County. Contractor shall obtain no rights to retirement benefits or other benefits which accrue to County’s employees, and Contractor hereby expressly waives any claim it may have to any such rights. All employees, agents, contractors, subcontractors hired or retained by the Contractor are performing in that capacity for and on behalf of the Contractor and not the County. The County shall not be obligated in any way to pay any wage claims or other claims made against the Contractor by any such employee, agent, contractor or subcontractor, or any other person resulting from the performance of this Agreement.

11. ASSIGNMENT

Contractor shall not assign, subcontract, or sublet any part of this Agreement without the express prior written consent of County. Any assignment without the express prior written consent of the County is VOID.

12. NOTICE

Any and all notices, reports or other communications to be given to County or Contractor shall be given to the people representing the respective parties at the following addresses:

CONTRACTOR: COUNTY:

[INSERT CONTACT INFO] Urian Barraza

County of Tuolumne

2 South Green Street

Sonora, CA 95370

UBarraza@co.tuolumne.ca.us mailto:UBarraza@co.tuolumne.ca.us

13. COMPLIANCE

Contractor shall comply with all federal, state and local laws, codes, ordinance and regulations applicable to Contractor’s performance under this Agreement, including, but not limited to, laws related to prevailing wages. Specifically, Contractor shall not engage in unlawful employment discrimination, including, but not limited to, discrimination based upon a person’s race, religion, color, national origin, ancestry, physical handicap, medical condition, marital status, gender, citizenship or sexual orientation, as prohibited by state or federal law.

14. PUBLIC RECORDS ACT

Contractor is aware that this Agreement and any documents provided to the County may be subject to the California Public Records Act and may be disclosed to members of the public upon request. It is the responsibility of the Contractor to clearly identify information in those documents that it considers to be confidential under the California Public Records Act. To the extent that the County agrees with that designation, such information will be held in confidence whenever possible. All other information will be considered public.

15. ENTIRE AGREEMENT AND MODIFICATION

This Agreement contains the entire agreement of the parties relating to the subject matter of this Agreement and supersedes all prior agreements and representations with respect to the subject matter hereof. This Agreement may only be modified by a written amendment hereto, executed by both parties, however, matters concerning the scope of services which do not affect the agreed price may be modified by mutual written consent of the Contractor and the Public Works Director. If there are exhibits attached hereto, and a conflict exists between the terms of this Agreement and any exhibit, the terms of this Agreement shall control.

16. ENFORCEABILITY AND SEVERABILITY

The invalidity or unenforceability of any term or provision of this Agreement shall not, unless otherwise specified, affect the validity or enforceability of any other term or provision, which shall remain in full force and effect.

17. TERMINATION AND RIGHTS UPON TERMINATION

A. This Agreement may be terminated upon mutual written consent of the parties, or as a remedy available at law or in equity. In the event of the termination of this

Agreement, Contractor shall immediately be paid for all Goods delivered and accepted as of the effective date of termination.

B. Either party may terminate this Agreement for convenience upon thirty (30) calendar days’ written notice to the other party. Upon termination for convenience, Contractor shall be paid for all Goods delivered and accepted as of the effective date of termination, as set forth in Exhibit B.

C. Should Contractor default in the performance of this Agreement or materially breach any of its provisions, County, at its option, may terminate this Agreement by giving written notification to Contractor. The termination date shall be the effective date of the notice. For purposes of this subsection, default or material breach of this

Agreement shall include, but not be limited to, any of the following: failure to supply or deliver conforming Goods in a timely manner, willful destruction of County property, dishonesty, or theft.

18. NO WAIVER

The failure to exercise any right to enforce any remedy contained in this Agreement shall not operate as, OR be construed to be a waiver or relinquishment of the exercise of such right or remedy, or of any other right or remedy herein contained.

19. DISPUTES

Should it become necessary for a party to this Agreement to enforce any of the provisions hereof, the prevailing party in any claim or action shall be entitled to reimbursement for all expenses so incurred, including reasonable attorney’s fees.

It is agreed by the parties hereto that unless otherwise expressly waived by them, any action brought to enforce any of the provisions hereof or for declaratory relief hereunder shall be filed and remain in a court of competent jurisdiction in the County of Tuolumne, State of

California.

20. CAPTIONS

The captions of this Agreement are for convenience in reference only and the words contained therein shall in no way be held to explain, modify, amplify, or aid in the interpretation, construction or meaning of the provisions of this Agreement.

21. NUMBER AND GENDER

In this Agreement, the neutral gender includes the feminine and masculine, the singular includes the plural, and the word “person” includes corporations, partnerships, firms, or associations, wherever the context so requires.

22. MANDATORY AND PERMISSIVE

“Shall” is mandatory. “May” is permissive.

23. SUCCESSORS AND ASSIGNS

All representations, covenants and warranties specifically set forth in this Agreement, by or on behalf of, or for the benefit of any or all of the parties hereto, shall be binding upon and inure to the benefit of such party, its successors and assigns.

24. COUNTERPARTS/ELECTRONIC, FACSIMILE, AND PDF SIGNATURES

This agreement may be executed in any number of counterparts, each of which will be an original, but all of which together will constitute one instrument. Each Party of this agreement agrees to the use of electronic signatures, such as digital signatures that meet the requirements of the California Uniform Electronic Transactions Act ((“CUETA”) Cal. Civ.

Code §§ 1633.1 to 1633.17), for executing this agreement. The Parties further agree that the electronic signatures of the Parties included in this agreement are intended to authenticate this writing and to have the same force and effect as manual signatures. Electronic signature means an electronic sound, symbol, or process attached to or logically associated with an electronic record and executed or adopted by a person with the intent to sign the electronic record pursuant to the CUETA as amended from time to time. The CUETA authorizes use of an electronic signature for transactions and contracts among Parties in California, including a government agency. Digital signature means an electronic identifier, created by computer, intended by the party using it to have the same force and effect as the use of a manual signature and shall be reasonably relied upon by the Parties. For purposes of this section, a digital signature is a type of "electronic signature" as defined in subdivision (i) of Section

1633.2 of the Civil Code. Facsimile signatures or signatures transmitted via pdf document shall be treated as originals for all purposes.

25. OTHER DOCUMENTS

The parties agree that they shall cooperate in good faith to accomplish the object of this

Agreement and, to that end, agree to execute and deliver such other and further instruments and documents as may be necessary and convenient to the fulfillment of these purposes.

26. CONTROLLING LAW

The validity, interpretation and performance of this Agreement shall be controlled by and construed under the laws of the State of California, including the California Commercial

Code as applicable to the sale of goods.

27. AUTHORITY

Each party and each party’s signatory warrant and represent that each has full authority and capacity to enter into this Agreement in accordance with all requirements of law. The parties also warrant that any signed amendment or modification to the agreement shall comply with all requirements of law, including capacity and authority to amend or modify the Agreement.

28. NEGOTIATED AGREEMENT

This Agreement has been arrived at through negotiation between the parties. Neither party is to be deemed the party which prepared this Agreement within the meaning of California

Civil Code section 1654. Each party represents and warrants that in executing this

Agreement it does so with full knowledge of the rights and duties it may have with respect to the other party. Each party also warrants and represents that it has received independent legal advice from its attorney with respect to the matters set forth in this Agreement and the rights and duties arising out of this Agreement, or that such party willingly foregoes any such consultation.

29. NO RELIANCE ON REPRESENTATIONS

Each party warrants and represents that it is not relying and has not relied upon any representation or statement made by the other party with respect to the facts involved or its rights or duties. Each party understands and agrees that the facts relevant, or believed to be relevant to this Agreement, have been independently verified. Each party further understands that it is responsible for verifying the representations of law or fact provided by the other party.

30. FUNDING AVAILABILITY

It is mutually agreed that if the County budget of the current year and/or any subsequent years covered under this Agreement does not appropriate sufficient funds for the program, this Agreement shall be of no further force and effect. In this event, the County shall have no liability to pay any funds whatsoever to Contractor or to furnish any other considerations under this Agreement and Contractor shall not be obligated to perform any provisions of this

Agreement. Contractor’s assumption of risk of possible non-appropriation is part of the consideration for this Agreement. County budget decisions are subject to the discretion of the Board of Supervisors.

If funding for any fiscal year is reduced or deleted by the County budget for purposes of this program, the County shall have the option to either cancel this Agreement with no liability occurring to the County or offer an Agreement amendment to Contractor to reflect the reduced amount.

IN WITNESS WHEREOF, the parties have executed this Agreement as of the day and year first written above.

COUNTY OF TUOLUMNE

By: Stephen A. Griefer

Chair Board of Supervisors

CONTRACTOR

By: [INSERT NAME], [INSERT TITLE]

ATTEST:

By: Nicole Miller Seal

Deputy Clerk of the Board

APPROVED AS TO LEGAL FORM:

By: Todd James

Deputy County Counsel

Exhibit A

SCOPE OF WORK

Exhibit B

COST PROPOSAL