TRANSMITTAL LETTER FOR BOARD MEETING OF JUNE 20, 2019
COMMITTEE ON PROCUREMENT
Mr. Brian A. Perkovich, Executive Director
Title
Issue purchase order for Contract 19-934-11, Furnishing and Delivering Magnesium Chloride, to Envirotech Services, Inc., in an amount not to exceed $1,790,774.50, Account 101-69000-623560, Requisition 1517598
Body
Dear Sir:
On April 18, 2019, the Board of Commissioners authorized the Director of Procurement and Materials Management to advertise for bids, Contract 19-934-11, Furnishing and Delivering Magnesium Chloride.
In response to a public advertisement of May 22, 2019, a bid opening was held on June 4, 2019. The bid tabulation for this contract is:
ENVIROTECH SERVICES, INC. $1,790,774.50
One hundred four (104) companies were notified of this contract being advertised and seven (7) 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 reasons for not bidding: could not meet the requirements of the contract and could not bid competitively. 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.
Envirotech Services, Inc., the sole bidder, is proposing to perform the contract in accordance with the specifications. The estimated cost for this contract is $1,710,000.00, placing the bid of $1,790,774.50 approximately 4.7 percent above the estimate.
The contract shall commence five days after the mailing of purchase order and terminate thirty-six months thereafter.
The Multi-Project Labor Agreement was not included in this contract because it is a furnish and deliver contract.
The Affirmative Action Ordinance, Revised Appendix D and Appendix V are not included in this contract because it is 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 19-934-11 to Envirotech Services, Inc., in an amount not to exceed $1,790,774.50.
The bid deposit, in the amount of $34,200.00, 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 2019 expenditure, in the amount of $298,462.00, are available in Account 101-69000-623560. The estimated expenditures for 2020 are $596,925.00, 2021 are $596,925.00, and 2022 are $298,462.50. Funds for the 2020, 2021 and 2022 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 June 20, 2019