TRANSMITTAL LETTER FOR BOARD MEETING OF APRIL 20, 2017
COMMITTEE ON PROCUREMENT
Mr. David St. Pierre, Executive Director
Title
Authority to award Contract 17-002-12 (Re-Bid), Furnish and Deliver Cylinder Gases and Bulk Argon to Various Locations for a One (1) Year Period, Groups A, B, C, and D to Matheson Tri-Gas, Inc., in an amount not to exceed $65,900.36, Account 101-20000-623840
Body
Dear Sir:
On January 5, 2017, the Board of Commissioners authorized the Director of Procurement and Materials Management to advertise for bids, Contract 17-002-11 furnish and deliver cylinder gases and bulk argon to various locations for a one (1) year period, beginning approximately March 1, 2017 and ending February 28, 2018.
In response to a public advertisement of January 18, 2017, a bid opening was held on January 31, 2017. All bids received were rejected at the February 16, 2017 Board meeting, as reported.
In response to a public re-advertisement of March 15, 2017, a bid opening was held on March 28, 2017. The bid tabulation for this contract is:
GROUP A: LAB GASES
MATHESON TRI-GAS, INC. $9,127.04
PRAXAIR DISTRIBUTION, INC. $11,860.00
WELDING INDUSTRIAL SUPPLY CO. $11,950.92
GROUP B: INDUSTRIAL GASES
WELDING INDUSTRIAL SUPPLY CO. $3,792.08
PRAXAIR DISTRIBUTION, INC. $4,666.00
MATHESON TRI-GAS, INC. $6,087.12
GROUP C: LAB GASES (DEWARS)
PRAXAIR DISTRIBUTION, INC. $37,310.00
MATHESON TRI-GAS, INC. $47,351.90
WELDING INDUSTRIAL SUPPLY CO. $56,419.60
GROUP D: PROPANE GAS
PRAXAIR DISTRIBUTION, INC. $2,027.00
MATHESON TRI-GAS, INC. $3,334.30
WELDING INDUSTRIAL SUPPLY CO. $3,666.24
Two hundred fifty one (251) companies were notified of the contract being advertised and fourteen (14) companies requested specifications.
The contract documents stated the District intended to award one contract to the lowest responsible bidder for Groups A and B combined, one contract to the lowest responsible bidder for Group C, and one contract to the lowest responsible bidder for Group D.
The low bid received for Groups C and D from Praxair Distribution, Inc., did not have original signatures and they qualified their bid by taking exception to the Terms and Conditions of the contract documents. Therefore, their bid is considered non-responsive and rejected in the public’s best interest in accordance with the contract specifications under General Requirements, pages G-1 and G-2. The Director of Procurement and Materials Management has notified Praxair Distribution, Inc. of this action.
Matheson Tri-Gas, Inc., the lowest responsible bidder for Groups A, B, C and D is proposing to perform the contract in accordance with the specifications. The estimated cost for Groups A, B, C and D of this contract was $74,000.00, placing the total bid of $65,900.36 approximately 11 percent below the estimate.
The Multi-Project Labor Agreement (MPLA) is not applicable to this contract because it is primarily a furnish and deliver contract.
The Affirmative Action Ordinance, Revised Appendix D is not included in this contract because it is primarily a furnish and deliver contract.
In view of the foregoing, it is recommended that the Director of Procurement and Materials Management be authorized to award Contract 17-002-12 (Re-Bid), Groups A, B, C, and D to Matheson Tri-Gas Inc., in an amount not to exceed $65,900.36.
Purchase orders will be issued for the material as required. Payment will be based on the unit cost as indicated in the contract documents. No bid deposit is required for this contract.
Funds are available in Account 101-20000-623840.
Recommended, Darlene A. LoCascio, Director of Procurement and Materials Management, DAL:SEB:CD:dp
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 20, 2017
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