TRANSMITTAL LETTER FOR BOARD MEETING OF JULY 10, 2014
COMMITTEE ON PROCUREMENT
Mr. David St. Pierre, Executive Director
Title
Issue purchase order for Contract 14-917-21, Furnish and Deliver HVAC Equipment for Digesters at the Stickney Water Reclamation Plant, to BTU Company, in an amount not to exceed $74,200.00. Account 201-50000-645650, Requisition 1374234
Body
Dear Sir:
On March 20, 2014, the Board of Commissioners authorized the Director of Procurement and Materials Management to advertise for bids, Contract 14-917-21, Furnish and Deliver HVAC Equipment for Digesters at the Stickney Water Reclamation Plant.
In response to a public advertisement of May 14, 2014, a bid opening was held on June 3, 2014. The bid tabulation for this contract is:
BTU COMPANY, INC. $74,200.00
Six hundred eighteen (618) companies were notified of this contract being advertised and thirty-one (31) companies requested specifications.
The Director of Procurement and Materials Management has reviewed the bidders' list for this contract, and is satisfied that the market for this service has been adequately solicited. A review of the contract revealed the following reasons for not bidding: goods/services required were outside area of business. In light of these findings, the Director of Procurement and Materials Management is of the opinion that the bid received is a fair and reasonable price, and nothing would be gained by rejecting the sole bid and re-advertising this contract.
The sole bid submitted by BTU Company, Inc., complies with all of the terms and specifications of the contract. The estimated cost for this contract was $75,000.00, placing the total bid of $74,200.00 approximately one percent below the estimate.
The Multi-Project Labor Agreement was not included in this contract because it is primarily a furnish and deliver contract.
The Affirmative Action Interim Ordinance Appendix D is not included in this contract because it is primarily a furnish and deliver contract.
The contractor shall furnish and deliver all equipment under this contract commencing upon receipt of a purchase order and terminating 120 calendar days thereafter.
In view of the foregoing it is recommended that the Director of Procurement and Materials Management be authorized to issue a purchase order for Contract 14-917-21, Furnish and Deliver HVAC Equipment for Digesters at the Stickney Water Reclamation Plant to BTU Company, in an amount not to exceed $74,200.00.
The bid deposit, in the amount of $4,000.00, will be retained in lieu of a performance bond, which is satisfactory to the Law Department and approved by the Director of Procurement and Materials Management.
Funds are available in Account 201-50000-645650.
Recommended, Darlene A. LoCascio, Director of Procurement and Materials Management DAL:SEB:cm
Respectfully Submitted, Barbara J. McGowan, Chairman, Committee on Procurement
Disposition of this agenda item will be documented in the official Regular Board Meeting Minutes of the Board of Commissioners for July 10, 2014