TRANSMITTAL LETTER FOR BOARD MEETING OF NOVEMBER 17, 2022
COMMITTEE ON PROCUREMENT
Mr. Brian A. Perkovich, Executive Director
Title
Issue purchase orders for Contract 23-640-11, Furnishing and Delivering Sodium Bisulfite, Groups A and B to PVS Chemical Solutions, Inc., in an amount not to exceed $1,601,998.00, Accounts 101-67000, 68000-623560, Requisitions 1582813, 1582982 (As Revised)
Body
Dear Sir:
On July 14, 2022, the Board of Commissioners authorized the Director of Procurement and Materials Management to advertise for bids, Contract 23-640-11, Furnishing and Delivering Sodium Bisulfite, Groups A and B.
In response to a public advertisement of September 21, 2022, a bid opening was held on October 11, 2022. The bid tabulation for this contract is:
GROUP A: CALUMET SERVICE AREA (CSA)
PVS CHEMICAL SOLUTIONS, INC. $1,366,460.00
ALEXANDER CHEMICAL CORPORATION $1,675,100.00
GROUP B: NORTH SERVICE AREA (NSA)
PVS CHEMICAL SOLUTIONS, INC. $235,538.00
ALEXANDER CHEMICAL CORPORATION $308,976.00
PVS Chemical Solutions, Inc., the lowest responsible bidder for Groups A and B, is proposing to perform the contract in accordance with the specifications. The total estimated cost of this contract is $1,872,270.00, placing their bid of $1,601,998.00 approximately 14.4 percent below the estimate.
The Multi-Project Labor Agreement (MPLA) was not included in this contract because it is primarily a furnish and deliver contract for a commodity.
The Affirmative Action Ordinance, Revised Appendix D applies only to construction contracts over a $100,000.00 threshold. These sections on page D-5 of the Ordinance address the types of covered contracts:
• Section 4, Coverage: The following provisions, to be known as "Appendix D" together with relevant forms shall apply and be appended to every construction contract awarded by the District where the estimated total expenditure is in excess of $100,000.00, except contracts let in the event of an emergency contract pursuant to 70 ILCS 2605/11.5."
• Section 5. Definitions: (g) "Construction contract" means any District contract or amendment thereto, providing for a total expenditure in excess on One Hundred Thousand Dollars ($100,000.00) for the construction, demolition, replacement, major repair or renovation and maintenance of real property and improvement thereon or sludge hauling and any other related contract which the District deems appropriate to be subject to Appendix D consistent with the Ordinance.
The contractor shall commence delivery five days after the receipt of the purchase order or January 1, 2023, whichever occurs later and terminate twenty-four (24) months thereafter, or upon expenditure of available funds, whichever occurs sooner.
In view of the foregoing, it is recommended that the Director of Procurement and Materials Management be authorized to issue purchase orders for Contract 23-640-11, Groups A and B to PVS Chemical Solutions, Inc., in an amount not to exceed $1,601,998.00
Funds are being requested in 2023 for Group A, in the amount of $673,230.00, in Account 101-68000-623560. The estimated expenditure for 2024 is $693,230.00. Funds for 2023 and 2024 are contingent on the Board of Commissioners’ approval of the District’s budget for those years.
Funds for the 2023 expenditures for Group B, in the amount of $117,769.00, are available in Account 101-67000-623560. The estimated expenditure for 2024 is $117,769.00. Funds for 2023 and 2024 are contingent on the Board of Commissioners’ approval of the District’s budget for those years.
Requested, John P. Murray, Director of Maintenance and Operations
Recommended, Darlene A. LoCascio, Director of Procurement and Materials Management, DAL:SEB:bn
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 November 17, 2022