TRANSMITTAL LETTER FOR BOARD MEETING OF APRIL 7, 2016
COMMITTEE ON PROCUREMENT
Mr. David St. Pierre, Executive Director
Title
Issue purchase order for Contract 16-708-11, Furnishing and Delivering Sodium Carbonate to the Egan Water Reclamation Plant, to BHS Marketing LLC, in an amount not to exceed $265,395.50, Account 101-67000-623560, Requisition 1385366
Body
Dear Sir:
On December 3, 2015, the Board of Commissioners authorized the Director of Procurement and Materials Management to advertise for bids, Contract 16-708-11, Furnishing and Delivering Sodium Carbonate to the Egan Water Reclamation Plant.
In response to a public advertisement on February 17, 2016, a bid opening was held on March 8, 2016. The bid tabulation for this contract is:
BHS MARKETING LLC $265,395.50
H-O-H WATER TECHNOLOGY, INC. $483,608.00
Five hundred sixty-eight (568) companies were notified of this contract being advertised and eighteen (18) companies requested specifications.
BHS Marketing LLC, the lowest responsible bidder, is proposing to perform the contract in accordance with the specifications. The estimated cost for this contract is $392,000.00, placing their bid of $265,395.50 approximately 32.3 percent below the estimate.
The contract shall commence five days after the mailing date of a purchase order, and as directed by the Resident Engineer, and terminate two (2) years thereafter.
The Multi-Project Labor Agreement (MPLA) is not applicable to this contract because it is primarily a furnish and deliver contract.
The Affirmative Action Ordinance, 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 issue a purchase order for Contract 16-708-11, to BHS Marketing LLC, in an amount not to exceed $265,395.50.
The bid deposit, in the amount of $19,600.00, 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 for the 2016 expenditures, in the amount of $62,296.70, are available in Account 101-67000-623560. The estimated expenditures for 2017 are $142,176.16 and for 2018 are $60,922.64. Funds for the 2017 and 2018 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:cm
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 7, 2016