TRANSMITTAL LETTER FOR BOARD MEETING OF JUNE 19, 2008
COMMITTEE ON PURCHASING
Mr. Richard Lanyon, General Superintendent
Title
Authority to award Contract 08-642-11 Furnish and Deliver Boiler and Process Water Chemicals and Consulting Services to the North Side Service Area, to Butler Chemical Co. Inc., in an amount not to exceed $75,000.00, Account 101-67000-623560, Requisition 1226801
Body
Dear Sir:
On October 18, 2007, the Board of Commissioners authorized the Purchasing Agent to advertise for bids for Contract 08-642-11 Furnish and Deliver Boiler and Process Water Chemicals and Consulting Services to the North Side Service Area.
In response to a public advertisement of November 21, 2007, a bid opening was held on December 11, 2007. The bid tabulation for this contract is:
GIRARD CHEMICAL COMPANY *$37,155.00
BUTLER CHEMICAL COMPANY, INC. $53,569.75
H-O-H CHEMICALS, INC. $56,435.83
FREMONT INDUSTRIES, INC. $57,950.12
*Corrected Total
Three hundred thirty-one (331) companies were notified of the contract being advertised and seven (7) companies requested specifications.
The quantities specified in the contract documents were used for the purpose of comparing bids and establishing unit prices. The total amount to be expended on this contract, should usage differ from the estimated quantities, is not to exceed $75,000.00.
At the Board Meeting of February 7, 2008, Girard Chemical Company, was awarded this contract, in an amount not to exceed $75,000.00.
At the Board Meeting of May 15, 2008, the award of the contract was rescinded.
Butler Chemical Company, Inc., the lowest responsible bidder, is proposing to perform the contract, in accordance with the specifications. The estimated cost for this contract was $75,000.00, placing the bid of $53,569.75, approximately 29 percent below the cost estimate.
The Multi-Project Labor Agreement (MPLA) was not included in the contract because this classification of work does not fall within its provisions.
In view of the foregoing, it is recommended that the Purchasing Agent be authorized to award Contract 08-642-11, to Butler Chemical Company, Inc., in an amount not to exceed $75,000.00, subject to the contractor furnishing a performance bond in form satisfactory to the Law Department and approved by the Purchasing Agent.
Funds for the 2008 expenditures in the amount of $25,000.00 are available in Account 101-67000, 623560. The estimated expenditures for 2009 is $25,000.00 and for 2010 is $25,000.00. Funds for the 2009 and 2010 expenditures are contingent on the Board of Commissioners’ approval of the District’s budget for those years.
Recommended, Darlene A. LoCascio, Purchasing Agent, DAL:SEB:klv
Respectfully Submitted, Barbara J. McGowan, Chairman Committee on Purchasing
ORDERED passed by affirmative roll call vote of a majority of the Commissioners present this June 19, 2008. Approved, President Terrence J. O’Brien