TRANSMITTAL LETTER FOR BOARD MEETING OF DECEMBER 18, 2014
COMMITTEE ON PROCUREMENT
Mr. David St. Pierre, Executive Director
Title
Issue purchase order for Contract 15-633-11 Furnish and Deliver Polymer, Groups A and B to Polydyne Inc., in an amount not to exceed $15,776,732.81, Accounts 101-67000, 68000, 69000-623560, Requisitions 1385006, 1380212 and 1377820
Body
Dear Sir:
On September 18, 2014, the Board of Commissioners authorized the Director of Procurement and Materials Management to advertise for bids, Contract 15-633-11, Furnish and Deliver Polymer.
On October 16, 2014, authorization to amend the Board Order of September 18, 2014 was approved by the Board of Commissioners.
In response to a public advertisement of November 5, 2014, a bid opening was held on November 25, 2014. The bid tabulation for this contract is:
Unit
Product Designation (cost $/LB.) Bid Extension
GROUP A - SUMMER POLYMER
POLYDYNE INC. (Item 1) CE 1520 $0.1480 $2,220,000.00
GROUP B - WINTER POLYMER
POLYDYNE INC. (Item 1) CE 1520 $0.1480 $13,556,732.81
Six hundred sixty-nine (669) companies were notified of the contract being advertised and nine (9) 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 planholders' survey revealed the following reasons for not bidding: do not provide polymer and could not bid competitively. 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.
Polydyne Inc., the lowest responsible bidder for Groups A and B, is proposing to perform the contract, in accordance with the specifications. The estimated cost for this contract was $16,692,000.00, placing the total bid of $15,776,732.81, approximately 5.5 percent below the estimate.
The Multi-Project Labor Agreement (MPLA) was not included in the contract because it is a furnish and deliver contract.
The Affirmative Action Interim Ordinance Appendix D was not included in this contract because it is primarily a furnish and deliver contract.
In view of the foregoing, it is recommended that the Director of Procurement and Materials Management be authorized to issue purchase orders for Contract 15-633-11 to Polydyne Inc., in an amount not to exceed $15,776,732.81.
The bid deposit, in the amount of $300,000.00 for Groups A and B, shall 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.
The contractor shall commence work within 5 days after the purchase order mailing date and terminate 3 years thereafter.
Funds for the 2015 expenditure, in the amount of $5,168,751.11, are being requested in Accounts 101-67000, 68000, 69000-623560. The estimated expenditures for 2016 and 2017 are $5,297,990.85 and $5,309,990.85, respectively. Funds for 2015, 2016 and 2017 expenditures are contingent on the Board of Commissioners' approval of the District's budget for those years.
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 December 18, 2014