TRANSMITTAL LETTER FOR BOARD MEETING OF AUGUST 14, 2008
COMMITTEE ON PURCHASING
Mr. Richard Lanyon, General Superintendent
Title
Issue purchase order for Contract 08-647-11 Furnish and Deliver Two Sump Pumps to the Calumet Service Area, to Applied Industrial Technologies, Inc., in an amount not to exceed $26,664.78, Account 101-68000-623270, Requisition 1233533
Body
Dear Sir:
On January 17, 2008, the Board of Commissioners authorized the Purchasing Agent to advertise for bids, Contract 08-647-11 Furnish and Deliver Two Sump Pumps to the Calumet Service Area.
In response to a public advertisement of February 27, 2008, a bid opening was held on April 1, 2008. The bid tabulation for this contract is:
PUMP SUPPLY, INC. $14,998.00
TECHNICAL DEVELOPMENT CORP. OF ASIA $16,200.00
THOMAS PUMP CO. $23,640.00
APPLIED INDUSTRIAL TECHNOLOGIES, INC. *$26,664.78
CENTRAL STATES MFG. & SALES CPR. D/B/A ARGO $27,884.08
SUMMIT SUPPLY COMPANY
SULLIVAN ELECTRIC, A.C. $28,000.00
*corrected total
Eight hundred forty-six (846) companies were notified of this contract being advertised and thirty-three (33) companies requested specifications.
The low bid, submitted by Pump Supply, Inc., did not comply with the contract specifications. The discharge flanges for the proposed pumps are 4 inches instead of 8 inches as required, the pumps offered are 4 stage pumps instead of 6 stage pumps and the warranty period offered was 1 year instead of 24 months as required. Therefore, the bid was considered non-responsive and was rejected in the public’s best interest. The Purchasing Agent has notified Pump Supply, Inc., of this action.
The second low bid, submitted by Technical Development Corp. of Asia was withdrawn. The bidder sent a letter to the District dated June 10, 2008, indicating that they cannot honor their bid price for two sump pumps. No bid deposit was required for this contract. Therefore, the bid was considered non-responsive and was rejected in the public’s best interest. The Purchasing Agent has notified Technical Development Corp. of Asia of this action.
The bid submitted by the third low bidder, Thomas Pump Company, did not comply with the contract specifications. This bidder offered pumps with 6 inch discharge flanges instead of 8 inch flanges as required; and pumps that are 5 stage pumps instead of 6 stage pumps as required. Therefore, the bid was considered non-responsive and was rejected in the public’s best interest. The Purchasing Agent has notified Pump Supply, Inc., of this action.
Applied Industrial Technologies, Inc., the lowest responsible bidder, is proposing to perform the contract in accordance with the specifications. The estimated cost for of this contract was $40,000.00, placing the bid of $26,664.78, approximately 33.3 percent below the cost estimate.
The Multi-Project Labor Agreement (MPLA) was not included in the contract because it is primarily a furnish and deliver contract.
In view of the foregoing, it is recommended that the Purchasing Agent be authorized to issue a purchase order for Contract 08-647-11, to Applied Industrial Technologies, Inc., in an amount not to exceed $26,664.78. No bid deposit was required for this Contract. Funds are available in Account 101-68000-623270.
Recommended, Darlene A. LoCascio, Purchasing Agent, DAL:SEB:klv
Respectfully Submitted, Barbara J. McGowan, Chairman Committee on Purchasing
Disposition of this agenda item will be documented in the official Regular Board Meeting Minutes of the Board of Commissioners for August 14, 2008