TRANSMITTAL LETTER FOR BOARD MEETING OF JULY 10, 2014
COMMITTEE ON PROCUREMENT
Mr. David St. Pierre, Executive Director
Title
Issue a purchase order and enter into an agreement with Invensys Systems, Inc., to Provide On-Site Service Support and Upgrade to the Existing Invensys I/A Service Systems in the Calumet Service Area Locations in a total amount not to exceed $2,118,622.00, Account 101-68000-612650, Requisition 1361126
Body
Dear Sir:
Authorization is requested to issue a purchase order and enter into an agreement with Invensys Systems, Inc., to Provide On-Site Service Support and Upgrade to the Existing Invensys I/A Services Systems in the Calumet Service Area Locations for a five year period. The purchase order will expire on June 30, 2019. The District will receive the Premium Level support and services under this agreement.
Invensys Systems, Inc., the sole source for the services required, has submitted pricing for the services and parts required. Inasmuch as this firm is the only source of supply for the services and parts required, nothing would be gained by advertising for bids (Section 11.4 of the Purchasing Act).
The requested on-site service support and upgrade include, but is not limited to the following: diagnosis and repair of system(s) and associated components once Calumet staff has exhausted in-house repair efforts; replacement of failed modules through the Module Exchange Program; various system software upgrades and technical support; a 50% discount on new modules purchased under the advantage upgrade program; and workstation and server upgrade(s) including operating system upgrades. The requested service and parts are required to maintain this system so that it performs to OEM specifications and meets the District's needs. Parts are ordered on as needed basis.
Invensys Systems, Inc., is registered and not in good standing to transact business in Illinois. The company is currently filing their annual report to correct this situation.
The parts are not manufactured or assembled in the United States.
The Multi-Project Labor Agreement is not applicable because of the nature of the work involved. If trade work is required, in-house trades will perform the work.
In view of the foregoing, it is recommended that the Director of Procurement and Materials Management be authorized to issue a purchase order and enter into an agreement with Invensys Systems, Inc., in an amount not to exceed $2,118,622.00. Funds for the 2014 expenditure, in the amount of $466,825.50, are available in account 101-68000-612650. The estimated expenditures for 2015, 2016, 2017, 2018 and 2019 are $608,539.00, $287,616.00, $296,117.50, $304,869.50, and $154,654.50, respectively, and are contingent on the Board of Commissioners' approval of the District's budget for those years.
Requested, Manju Prakash Sharma, Director of Maintenance and Operations
Recommended, Darlene A. LoCascio, Director of Procurement and Materials Management, DAL:SEB:JN
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