TRANSMITTAL LETTER FOR BOARD MEETING OF MAY 21, 2015
COMMITTEE ON PROCUREMENT
Mr. David St. Pierre, Executive Director
Title
Issue purchase order and enter into an agreement with PT Chicago, L.L.C. for space at Presidential Towers in Chicago for TARP Telemetry Radio Equipment for a three (3) year period from September 1, 2015, through August 31, 2018, in an amount not to exceed $164,228.05. Account 101-69000-612330, Requisition 1396201
Body
Dear Sir:
Authorization is requested to issue a purchase order and enter into an agreement with PT Chicago, LLC for a three (3) year period to provide space at Presidential Towers located at 575 West Madison Street, in Chicago, Illinois for TARP telemetry radio equipment. The District has rented space from PT Chicago, LLC since 2000 under a series of three year license agreements, the current one expiring August 31, 2015. The current annual fee paid to PT Chicago is $51,585.20.
The current license agreement provides that the annual fee due and payable under a new agreement shall be increased by 3% of the fee in effect on the date immediately preceding the respective renewal anniversary date. The Maintenance and Operations Department has requested that the District enter into a new agreement for a three (3) year period as the antenna and TARP repeater station are critical to the communication path between TARP control structures and the controlling operators.
Accordingly, the new annual fee schedule is as follows:
Time Period Annual License Fee
9/1/2015 - 8/31/2016 $53,132.76
9/1/2016 - 8/31/2017 $54,726.75
9/1/2017 - 8/31/2018 $56,368.54
TOTAL $164,228.05
The Maintenance and Operations Department considers the cost of this agreement to be reasonable.
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 PT Chicago, L.L.C. in an amount not to exceed $164,228.05.
Funds for the 2015 expenditure in the amount of $17,710.92 are available in Account 101-69000-612330. The estimated expenditure for 2016 is $53,664.09; for 2017 is $55,274.01; and for 2018 is $37,579.03. Funds for the 2016, 2017 and 2018 expenditures are contingent upon the Board of Commissioners' approval of the District's budget for those years.
Requested, Manju P. Sharma, Director of Maintenance and Operations and Ronald M. Hill, General Counsel, MPS:RMH:SM:NPE:vp
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 May 21, 2015