TRANSMITTAL LETTER FOR BOARD MEETING OF APRIL 18, 2019
COMMITTEE ON PROCUREMENT
Mr. Brian A. Perkovich, Executive Director
Title
Issue purchase orders to JM Process Systems Inc., to Furnish and Deliver Intermediate Hanger Bearings, Shafts, Screws, Trough Ends, Seals and Other Components to Interface with KWS Existing Equipment, on an as needed basis, to the Egan Plant for a Three Year Period in a total amount not to exceed $180,000.00, Accounts 101-67000-623090, 623270
Body
Dear Sir:
Authorization is requested to issue purchase orders to JM Process Systems Inc., to provide intermediate hanger bearings, shafts, screws, trough ends, seals and other components to interface with KWS existing equipment, on an as needed basis, through November 30, 2021.
JM Process Systems Inc. is the sole authorized representative of KWS Manufacturing Company Ltd. for the greater Chicago area. KWS Manufacturing Company Ltd. is the sole source manufacturer of intermediate hanger bearings, shafts, screws, trough ends, seals and other components to interface with KWS equipment. Purchase orders will be issued as needed based on the prices received from JM Process Systems Inc. The parts are needed by the trades to perform their work. Inasmuch as JM Process Systems Inc. is the only source of supply for the parts and related components required, nothing would be gained by advertising for bids (Section 11.4 of the Purchasing Act).
JM Process Systems Inc., is registered and in good standing with the State of Illinois.
The Multi-Project Labor Agreement (MPLA) and Affirmative Action Ordinance, Revised Appendix D are not applicable because this 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 issue purchase orders to JM Process Systems Inc., in an amount not to exceed $180,000.00. Purchase orders will be issued when the material is required. Payment will be based on the unit costs received by JM Process Systems Inc.
Funds for purchase orders to be issued under this Board authority will be limited by pricing periods for Accounts 101-67000-623090, 623270. The estimated expenditures for the period of 5/1/2019 through 11/30/2019 are $60,000.00, 12/1/2019 through 11/30/2020 are $60,000.00, and 12/1/2020 through 11/30/2021 are $60,000.00. Funds for years 2020 and 2021 expenditures are contingent on the Board of Commissioners’ approval of the District’s budget for those years.
Requested, John P. Murray, Director of Maintenance and Operations
Recommended, Darlene A. LoCascio, Director of Procurement and Materials Management, DAL:SEB:kp
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 18, 2019