TRANSMITTAL LETTER FOR BOARD MEETING OF JULY 7, 2016
COMMITTEE ON PROCUREMENT
Mr. David St. Pierre, Executive Director
Title
Report on rejection of bids for Contract 16-618-11, Inspecting, Repairing and Pressure Testing of Fire Suppression Systems at Various Locations, estimated cost $164,400.00
Body
Dear Sir:
On April 21, 2016, the Board of Commissioners authorized the Director of Procurement and Materials Management to advertise for bids, Contract 16-618-11, Inspecting, Repairing and Pressure Testing of Fire Suppression Systems at Various Locations.
In response to a public advertisement of May 25, 2016, a bid opening was held on June 14, 2016. The bid tabulation for this contract is:
SUREFIRE PROTECTION, INC. *$168,950.00
*corrected total
One hundred ninety-six (196) companies were notified of this contract being advertised and nine (9) companies requested specifications.
After a review of the bid document for this contract, it was revealed that the District required a 100% Contractor’s bond from the successful bidder when awarded. Typically, for a non-construction type service, the District requires the bid deposit from the successful bidder be held as a performance guarantee. Removing the requirement of the 100% Contractor’s bond would also in effect attract additional bidders.
Surefire Protection, Inc., has indicated to the District that it cannot obtain a Contractor’s bond for the 100% of the contract value because it is a small business entity. Therefore, the Director of Procurement and Materials Management is rejecting the bid in the public’s best interest and recommends that the contract documents be revised. The Director of Procurement and Materials Management has notified Surefire Protection, Inc., of this action.
The contract documents will be revised and re-advertised as soon as possible.
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 July 7, 2016