TRANSMITTAL LETTER FOR BOARD MEETING OF OCTOBER 20, 2016
COMMITTEE ON PROCUREMENT
Mr. David St. Pierre, Executive Director
Title
Authority to award Contract 16-971-11, Replacement of Wheelsets on Diesel Locomotive No. 4 at the Stickney Water Reclamation Plant, to National Railway Equipment Company, in an amount not to exceed $96,272.00, Account 101-69000-612670, Requisition 1423283
Body
Dear Sir:
On August 4, 2016, the Board of Commissioners authorized the Director of Procurement and Materials Management to advertise for bids, Contract 16-971-11, Replacement of Wheelsets on Diesel Locomotive No. 4 at the Stickney Water Reclamation Plant.
In response to a public advertisement of September 14, 2016, a bid opening was held on September 27, 2016. The bid tabulation for this contract is:
NATIONAL RAILWAY EQUIPMENT COMPANY $96,272.00
Seventy-two (72) companies were notified of this contract being advertised and seven (7) 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: could not comply with the contract specifications. 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.
National Railway Equipment Company, the sole bidder, is proposing to perform the contract in accordance with the specifications. The estimated cost for this contract is $90,000.00, placing their bid of $96,272.00 approximately 7 percent above the estimate.
The contractor shall complete all work by December 30, 2016.
The Multi-Project Labor Agreement (MPLA) is not applicable to this contract because the classification of work does not fall within the provisions of the MPLA.
The Affirmative Action Ordinance, Revised Appendix D is not included in this contract because the estimate is less than the minimum threshold established by Section 4 of the Affirmative Action Ordinance.
The contract will require approximately four (4) people for the services.
In view of the foregoing, it is recommended that the Director of Procurement and Materials Management be authorized to award Contract 16-971-11 to National Railway Equipment Company, in an amount not to exceed $96,272.00, subject to the contractor furnishing a performance bond in form satisfactory to the Law Department and approved by the Director of Procurement and Materials Management.
Funds are available in Account 101-69000-612670.
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 October 20, 2016