TRANSMITTAL LETTER FOR BOARD MEETING OF MARCH 18, 2010
COMMITTEE ON PROCUREMENT
Mr. Richard Lanyon, Executive Director
Title
Authority to award Contract 10-930-11, Repair Services for Overhead Cranes and Hoists in the Stickney Service Area and Outlying Facilities, to Sievert Electric Service and Sales Company, in an amount not to exceed $150,000.00, Account 101-69000-612760, Requisition 1289969
Body
Dear Sir:
On December 17, 2009, the Board of Commissioners authorized the Director of Procurement and Materials Management to advertise for bids, 10-930-11, Repair Services for Overhead Cranes and Hoists in the Stickney Service Area and Outlying Facilities.
In response to a public advertisement of January 20, 2010, a bid opening was held on February 9, 2010. The bid tabulation for this contract is:
SIEVERT ELECTRIC SERVICE AND SALES COMPANY $119,887.50
One hundred sixty-seven (167) companies were notified of this contract being advertised and eleven (11) companies requested specifications.
The Director of Procurement and Materials Management has reviewed the bidders’ list for this contract, and is satisfied that the market for this service has been adequately solicited. A planholders’ survey revealed the following reason for not bidding: the services were outside area of business, and they could not meet the 4 hour response specification. In light of these findings, the Director of Procurement and Materials Management is of the opinion that the bid received is a fair and reasonable price, and nothing would be gained by rejecting the sole bid and re-advertising this contract.
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 quantities, is not to exceed $150,000.00.
Sievert Electric Service and Sales Co., the lowest responsible bidder, is proposing to perform the contract in accordance with the specifications.
The estimated cost for this contract was $150,000.00, placing the bid of $119,887.50, approximately 20.1 percent below the estimate.
Sievert Electric Services and Sales Company, has executed the Multi-Project Labor Agreement (MPLA) certificate, as required. The construction trade anticipated to be utilized on this contract is: Electricians. The list of construction trades is not intended to confer any rights or jurisdiction upon any union or unions.
The Revised Appendix D will not be included in this contract due to the specialized nature of the services required.
In view of the foregoing, it is recommended that the Director of Procurement and Materials Management be authorized to award Contract 10-930-11, to Sievert Electric Services and Sales Company, in an amount not to exceed $150,000.00, subject to the contractor furnishing a performance bond in form satisfactory to the Law Department and approved by the Director of Procurement and Materials Management.
Funds for the 2010 expenditure, in the amount of $50,000.00, are available in Account 101-69000-612760. The estimated expenditure for 2011 is $50,000.00 and 2012 is $50,000.00. Funds for the 2011 and 2012 expenditures are contingent on the Board of Commissioners’ approval of the District’s budget for those years.
Recommended, Darlene A. LoCascio, Director of Procurement and Materials Management, DAL:SEB:klv
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 March 18, 2010