TRANSMITTAL LETTER FOR BOARD MEETING OF DECEMBER 20, 2018
COMMITTEE ON PROCUREMENT
Mr. Brian A. Perkovich, Executive Director
Title
Issue purchase orders and enter into agreements for Contract 18-RFP-17 Real Estate Appraisal Services for the MWRDGC Real Estate Division with CohnReznick, LLP in an amount not to exceed $150,000.00, and Woodland Valuation Services, LLC d/b/a Appraisal Associates in an amount not to exceed $150,000.00, Account 101-30000-612430, Requisitions 1495149 and 1495150 (Deferred from the December 6, 2018 Board Meeting)
Body
Dear Sir:
Authorization is requested to issue purchase orders and enter into agreements with CohnReznick, LLP and Woodland Valuation Services, LLC d/b/a Appraisal Associates for appraisal services for real estate for a three (3) year period with an option to extend the agreements for a fourth year at the same fee schedule with Board approval.
The terms of the Request for Proposal (“RFP”) require the firms to provide “real estate appraisal services for the Metropolitan Water Reclamation District of Greater Chicago, Real Estate Division”. The successful bidders must have substantial appraisal experience in performing appraisal work for government entities and specifically in valuing fee title or easements for right-of-way purposes, public open space, waterway properties and commercial/industrial properties, and also experience in testifying in eminent domain cases. The estimated cost for the RFP is $100,000.00 for 2019, $100,000.00 for 2020 and $100,000.00 for 2021.
The contract term for the appraisal services will begin January 1, 2019, upon the award of the contracts by the Board of Commissioners and execution of agreements.
The RFP 18-RFP-17 was advertised on July 11, 2018. Sixty-seven (67) firms were notified and fourteen (14) firms requested proposal documents. The District received proposals from five (5) firms, as indicated below:
CohnReznick, LLP
Woodland Valuation Services, LLC d/b/a
Appraisal Associates
D.L. DuBois & Assoicates, Ltd.
PF Appraisals, Inc.
Argianas and Associates, Inc.
Two of the firms, D.L. DuBois & Associates, Ltd. and PF Appraisals, Inc., had proposals that were deemed unresponsive and were therefore rejected on the failure to provide an original, signed-in-ink signature of the Affiant on the Affidavit of Ownership.
Firms submitting bids that were deemed responsive were interviewed by a panel of District representatives. The panel solicited information about each firm’s background and expertise. The proposals were evaluated in accordance with the criteria outlined in RFP 18-RFP-17, including cost. CohnReznick, LLP and Woodland Valuation Services, LLC d/b/a Appraisal Associates were selected as the firms best suited to provide the required appraisal services. The staff qualifications of the two firms were of considerable importance in the evaluation. The two firms have appraisers on staff who are members of the Appraisal Institute, who have extensive experience in preparing appraisals for government entities and valuing fee title and easements for right-of-way purposes, open space, waterway properties and commercial/industrial properties, and have extensive experience in testifying in eminent domain cases. They also provided a clearer understanding of the services being requested in 18-RFP-17.
Inasmuch as the firms CohnReznick, LLP and Woodland Valuation Services, LLC d/b/a Appraisal Associates possess a high degree of professional skill, it is recommended that the Director of Procurement and Materials Management be authorized to issue purchase orders and enter into agreements per Section 11.4 of the Purchasing Act to CohnReznick, LLP in an amount not to exceed $150,000.00 and Woodland Valuation Services, LLC d/b/a Appraisal Associates in an amount not to exceed $150,000.00.
The estimated expenditures for 2019 is $100,000.00. The estimated expenditures for 2020 is $100,000.00 and 2021 is $100,000.00. Funds for 2019, 2020 and 2021 expenditures are contingent on the Board of Commissioners’ approval of the District’s budget for those years.
Requested, Susan T. Morakalis, General Counsel, STM:CMM:MLD:TN:vp
Recommended, Darlene A. LoCascio, Director of Procurement & Materials Management
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 December 20, 2018