TRANSMITTAL LETTER FOR BOARD MEETING OF APRIL 23, 2015
COMMITTEE ON PROCUREMENT
Mr. David St. Pierre, Executive Director
Title
Authority to advertise Contract 15-934-11 Furnishing and Delivering Magnesium Chloride, estimated cost $1,741,808.00, Account 101-69000-623560, Requisition 1396218
Body
Dear Sir:
Contract documents and specifications have been prepared for furnishing and delivering magnesium chloride, at the request of the Maintenance and Operations Department.
The purpose of this contract is to procure magnesium chloride for a three-year period. Magnesium is one of the critical elements in the precipitated fertilizer pellets produced by the Ostara process. To bring the magnesium concentration to the correct amount, magnesium chloride is continuously fed to the Ostara reactor.
The estimated cost for this contract is $1,741,808.00. The estimated 2015, 2016, 2017 and 2018 expenditures are $240,000.00, $404,800.00, $721,600.00 and $375,408.00 respectively.
The bid deposit for this contract is $35,000.00.
The contract specifications require that deliveries commence within five days after the purchase order is mailed and terminate three years thereafter.
The Multi-Project Labor Agreement (MPLA) is not applicable to this contract because it is primarily a furnish and deliver contract.
The Affirmative Action Interim Ordinance Appendix D will not be included because it is primarily a furnish and deliver contract.
The tentative schedule for this contract is as follows:
Advertise May 20, 2015
Bid Opening June 9, 2015
Award July 9, 2015
Completion July 31, 2018
Funds for the current year are available in Account 101-69000-623560. Funds for subsequent years 2016, 2017 and 2018, are contingent on the Board of Commissioners' approval of the District's budget for those years.
In view of the foregoing, it is recommended that the Director of Procurement and Materials Management be authorized to advertise Contract 15-934-11.
Requested, Manju Prakash Sharma, Director of Maintenance and Operations, AQ:SO'C:MAG:SAF:JK
Recommended, Darlene A. LoCascio, Director of Procurement and Materials Management
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 April 23, 2015