TRANSMITTAL LETTER FOR BOARD MEETING OF FEBRUARY 15, 2018
COMMITTEE ON PROCUREMENT
Mr. David St. Pierre, Executive Director
Title
Issue purchase order for Contract 17-604-13 (Re-Bid), Furnish and Deliver Air Handling Coils to Various Locations, Groups A and B to Indi Enterprise, Inc., in an amount not to exceed $133,471.00, and Group C to Affiliated Steam Equipment Company, in an amount not to exceed $1,000.00 Accounts 101-67000, 68000, 69000-623270, Requisition 1424442, 1424447 and 1425110
Body
Dear Sir:
On November 3, 2016, the Board of Commissioners authorized the Director of Procurement and Materials Management to advertise for bids, Contract 17-604-11, Furnish and Deliver Air Handling Coils to Various Locations.
On January 5, 2017, authorization to amend the Board Order of November 3, 2016 was approved by the Board of Commissioners.
In response to a public advertisement of February 22, 2017, a bid opening was held on March 14, 2017. All bids were rejected at the Board Meeting of April 6, 2017.
In response to a public re-advertisement of September 13, 2017, a bid opening was held on October 3, 2017. All bids were rejected at the Board Meeting of November 2, 2017.
In response to a public re-advertisement of December 13, 2017, a bid opening was held on January 23, 2018. The bid tabulation for this contract is:
GROUP A - CALUMET WATER RECLAMATION PLANT
INDI ENTERPRISE, INC. $67,467.00
ANCHOR MECHANICAL, INC. $80,550.00
AFFILIATED STEAM EQUIPMENT COMPANY $88,515.00
GROUP B - CALUMET WATER RECLAMATION PLANT
INDI ENTERPRISE, INC. $66,004.00
GROUP C - STICKNEY AND HANOVER PARK WATER RECLAMATION PLANTS
AFFILIATED STEAM EQUIPMENT COMPANY $1,000.00
INDI ENTERPRISE, INC. $1,278.00
ANCHOR MECHANICAL, INC. $3,490.50
One thousand three hundred twenty-four (1,324) companies were notified of this contract being advertised and seventeen (17) companies requested specifications.
Indi Enterprise, Inc., the lowest responsible bidder for Group A, is proposing to perform the contract in accordance with the specifications. The estimated cost for Group A of this contract was $51,885.00, placing their bid of $67,476.00 approximately 30 percent above the estimate. The reason for the higher bid was because the cost of applying a protective coating to the coils, which is needed to protect against the corrosive effects of hydrogen sulfide, were higher than estimated by Engineer.
Indi Enterprise, Inc., the lowest responsible bidder for Group B, is proposing to perform the contract in accordance with the specifications. The estimated cost for Group B of this contract was $57,600.00, placing their bid of $66,004.00 approximately 15 percent above the estimate.
Affiliated Steam Equipment Company, the lowest responsible bidder for Group C, is proposing to perform the contract in accordance with the specifications. The estimated cost for Group C of this contract was $1,000.00, placing their bid of $1,000.00 approximately equal to the estimate.
All coils and heaters shall be delivered within 150 calendar days from the mailing date of the purchase order.
The Multi-Project Labor Agreement was not included in the contract because it is primarily a furnish and deliver contract.
The Affirmative Action Ordinance, Revised Appendix D was not included in this contract because it is primarily a furnish and deliver contract.
The bid deposits for Groups A and B, in the total amount of $5,500.00, will be retained in lieu of a performance bond, which is satisfactory to the Law Department and approved by the Director of Procurement and Materials Management. There was no bid deposit for Group C.
In view of the foregoing, it is recommended that the Director of Procurement and Materials Management be authorized to award Contract 17-604-13 (Re-Bid), Groups A and B to Indi Enterprise, Inc., in an amount not to exceed $133,471.00, and Group C to Affiliated Steam Equipment Company, in an amount not to exceed $1,000.00.
Funds are available in Accounts 101-67000, 68000, 69000-623270.
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 February 15, 2018