TRANSMITTAL LETTER FOR BOARD MEETING OF OCTOBER 7, 2010
COMMITTEE ON PROCUREMENT
Mr. Richard Lanyon, Executive Director
Title
Authority to award Contract 10-730-11, Crane Repairs and Maintenance in the North Service Area, to Sievert Electric Service and Sales Company, in an amount not to exceed $86,039.00, Account 101-67000-612650, Requisitions 1290612, 1299062, and 1299063
Body
Dear Sir:
On March 18, 2010, the Board of Commissioners authorized the Director of Procurement and Materials Management to advertise for bids, Contract 10-730-11, Crane Repairs and Maintenance in the North Service Area.
In response to a public advertisement of July 14, 2010, a bid opening was held on August 3, 2010. The bid tabulation for this contract is:
SIEVERT ELECTRIC SERVICE AND SALES CO. $86,039.00
One hundred sixty-nine (169) companies were notified of this contract being advertised and nine (9) 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: did not bid due to prevailing wage requirement, could not service some of the cranes, and could not accept the revolving pay portion of the terms and conditions. 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.
Sievert Electric Service and Sales Company, the lowest responsible bidder, is proposing to perform the contract in accordance with the specifications.
The estimated cost for this contract was $80,700.00, placing the bid of $86,039.00, approximately 6.6 percent above the estimate.
The Revised Appendix D was not included in this contract because the estimate is less than the minimum threshold established by Section 4 of the Affirmative Action Ordinance.
Sievert Electric Service and Sales Company has executed the Multi-Project Labor Agreement (MPLA) certificate, as required. The construction trades that are anticipated to be used on this contract are: electrical worker, electrician, and operating engineer. The list of construction trades is not intended to confer any rights or jurisdiction upon any union or unions.
In view of the foregoing, it is recommended that the Director of Procurement and Materials Management be authorized to award Contract 10-730-11, to Sievert Electric Service and Sales Company, in an amount not to exceed $86,039.00, 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 $14,149.85, are available in Account 101-67000-612650. The estimated expenditure for 2011 is $28,219.66, for 2012 is $28,869.66, and for 2013 is $14,799.83. Funds for the 2011, 2012, and 2013 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 October 7, 2010