TRANSMITTAL LETTER FOR BOARD MEETING OF JUNE 19, 2008
COMMITTEE ON PURCHASING
Mr. Richard Lanyon, General Superintendent
Title
Authority to award Contract 08-004-11 Furnish and Deliver Structural and Stainless Steel to Various Locations for a One (1) Year Period, Group A to Northern Illinois Steel Supply Company, in an amount not to exceed $138,769.78, Group B to Super Roco Steel & Tube LTD. ll, in an amount not to exceed $97,241.90, total award not to exceed $236,011.65, Account 101-20000-623030
Body
Dear Sir:
On April 3, 2008, the Board of Commissioners authorized the Purchasing Agent to advertise for bids for Contract 08-004-11 Furnish and Deliver Structural and Stainless Steel to Various Locations for a One (1) Year Period, beginning approximately July 1, 2008 and ending June 30, 2009.
In response to a public advertisement of April 16, 2008, a bid opening was held on May 6, 2008. The bid tabulation for this contract is:
GROUP A: STRUCTURAL STEEL
NORTHERN ILLINOIS STEEL SUPPLY COMPANY *$138,769.75
SUPER ROCO STEEL & TUBE LTD. ll $141,309.75
NAPCO STEEL INC. $153,907.00
GROUP B: STAINLESS STEEL
SUPER ROCO STEEL & TUBE LTD. Il *$97,241.90
NORTHERN ILLINOIS STEEL SUPPLY COMPANY $122,869.15
…*Corrected Total
Three hundred seventy-three (373) companies were notified of this contract being advertised and fourteen (14) companies requested specifications.
Northern Illinois Steel Supply Company, the lowest responsible bidder for Group A, is proposing to perform this contract, in accordance with the specifications. The estimated cost for Group A for this contract was $90,000.00, placing the bid of $138,769.75 approximately 54.2 percent above the estimate. The increase was due to higher energy costs and capacity shortages.
Super Roco Steel & Tube LTD. ll, the lowest responsible bidder for Group B, is proposing to perform this contract, in accordance with the specifications. The estimated cost for Group B for this contract was $125,000.00, placing the bid of $97,241.90 approximately 22.2 percent below the estimate.
In view of the foregoing, it is recommended that this contract be awarded to Northern Illinois Steel Supply Company, for Group A in an amount not to exceed $138,769.75 and to Super Roco Steel & Tube LTD. ll, for Group B, in an amount not to exceed $97,241.90. Purchase orders will be issued on this contract for the material required. Payment will be based on the unit cost as indicated in the proposals. Bid deposit amounts of $4,500.00 for Group A and $6,250.00 for Group B will be retained in lieu of a performance bond which is satisfactory to the Law Department and approved by the Purchasing Agent until completion of the contract. Funds are available in Account 101-20000-623030.
Recommended, Darlene A. LoCascio, Purchasing Agent, DAL:SEB:JN:sk
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