TRANSMITTAL LETTER FOR BOARD MEETING OF AUGUST 12, 2010
COMMITTEE ON PROCUREMENT
Mr. Richard Lanyon, Executive Director
Title
Authority to award Contract 10-030-11 Furnish and Deliver Miscellaneous Lubricants to Various Locations for a One (1) Year Period, Groups 1 through 5, to Parent Petroleum, Inc., in an amount not to exceed $125,114.65, Account 101-20000-623860
Body
Dear Sir:
On June 17, 2010, the Board of Commissioners authorized the Director of Procurement and Materials Management to advertise for bids, Contract 10-030-11, furnish and deliver miscellaneous lubricants to various locations for a one (1) year period, beginning approximately October 1, 2010 and ending September 30, 2011.
In response to a public advertisement of June 30, 2010, a bid opening was held on July 20, 2010. The bid tabulation for this contract is:
GROUP 1: SDC #2 TURBINE OIL ISO32
PARENT PETROLEUM, INC. $34,265.00
FEECE OIL COMPANY $36,613.50
GROUP 2: SDC #3 TURBINE OIL ISO68
PARENT PETROLEUM, INC. $73,425.00
FEECE OIL COMPANY $78,457.50
GROUP 3: SDC #4 TURBINE OIL ISO100
PARENT PETROLEUM, INC. $5,552.25
FEECE OIL COMPANY $5,931.75
GROUP 4: SDC #5 TURBINE OIL ISO150
PARENT PETROLEUM, INC. *$3,701.50
FEECE OIL COMPANY $3,954.50
GROUP 5: SDC #107 GEAR OIL ISO68
PARENT PETROLEUM, INC. $8,171.25
FEECE OIL COMPANY $8,948.25
*Corrected Total
One hundred fifty-three (153) companies were notified of this contract being advertised and eight (8) companies requested specifications.
Parent Petroleum, Inc., the lowest responsible bidder for Groups 1 through 5, is proposing to perform the contract in accordance with the specifications. The estimated cost for this contract was $115,000.00, placing the total bid of $125,114.65, approximately 8.7 percent above the estimate.
The Multi-Project Labor Agreement (MPLA) is not applicable to this contract because it is primarily a furnish and deliver contract.
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 10-030-11, Groups 1 through 5, to Parent Petroleum, Inc., in an amount not to exceed $125,114.65.
Purchase orders will be issued for the materials as required. Payment will be based on the unit costs, as indicated in the contract documents. The bid deposits for Group 1 and Group 2, in the amount of $1,600.00 and $3,400.00 respectively, 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. Funds are available in Account 101-20000-623860.
Recommended, Darlene A. LoCascio, Director of Procurement and Materials Management, DAL:SEB:JN:bk
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 August 12, 2010