TRANSMITTAL LETTER FOR BOARD MEETING OF AUGUST 6, 2015
COMMITTEE ON PROCUREMENT
Mr. David St Pierre, Executive Director
Title
Issue purchase orders and enter into an agreement with Siemens Industry, Inc., to Provide Services for Proprietary Network Maintenance for the HVAC Equipment and Control Systems at the Calumet Water Reclamation Plant’s Monitoring and Research Laboratory and the Stickney Plant’s OSS Complex, in an amount not to exceed $238,000.00, Accounts 101-68000, 69000-601100, 612680, 623070, Requisitions, 1366521 and 1367900.
Body
Dear Sir:
Authorization is requested to issue purchase orders and enter into an agreement with Siemens Industry, Inc. (Siemens), to provide training, panel upgrades, software upgrades, emergency on-line and phone response, on an as needed basis, at the Calumet Water Reclamation Plant (CWRP) and Stickney Water Reclamation Plant (SWRP), in an amount not to exceed $238,000.00. All parts and services will be delivered by December 31, 2017.
Siemens Industry, Inc., the sole source provider of the proprietary control software and components, has submitted prices for the parts and services required. Inasmuch as Siemens Industry, Inc., is the only source of supply for the parts and services required, nothing would be gained by advertising for bids (Section 11.4 of the Purchasing Act).
Siemens’ HVAC equipment, components and controls comprise the primary heating, ventilation and air conditioning system for the CWRP M & R laboratory, and the SWRP office shop, and storeroom complex. The major part of the work is to upgrade failing and obsolete control panels.
District trades will perform all preventative maintenance and repairs within their current scope of repair knowledge and experience. Training of District personnel will further reduce future reliance on Siemens service technicians. The phone, online services and training are required to maintain the systems performance to OEM specifications.
Siemens Industry, Inc., is registered and in good standing with the State of Illinois.
The Multi-Project Labor Agreement is not applicable because of the specialized nature of the work.
In view of the foregoing, it is recommended that the Director of Procurement and Materials Management be authorized to issue purchase orders and enter into an agreement with Siemens Industry, Inc., in an amount not to exceed $238,000.00.
Funds for the 2015 expenditure, in the amount of $86,500.00, are available in Accounts 101-68000, 69000-601100, 612680, 623070. The estimated expenditures for 2016 are $73,746.00 and 2017 are $77,754.00. Funds for the 2016 and 2017 expenditures 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:CD:jk
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 August 6, 2015