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File #: 24-0387    Version: 1
Type: Agenda Item Status: Adopted
File created: 5/3/2024 In control: Procurement Committee
On agenda: 5/16/2024 Final action: 5/16/2024
Title: Authorization to enter into an agreement with a successful proposer(s) for the Contract 23-RFP-02, Procurement of Natural Gas Services, Accounts 101-66000, 67000, 68000, 69000-612160

TRANSMITTAL LETTER FOR BOARD MEETING OF MAY 16, 2024

 

COMMITTEE ON PROCUREMENT

 

Mr. Brian A. Perkovich, Executive Director

 

Title

Authorization to enter into an agreement with a successful proposer(s) for the Contract 23-RFP-02, Procurement of Natural Gas Services, Accounts 101-66000, 67000, 68000, 69000-612160

Body

 

Dear Sir:

 

At the March 16, 2023, Board Meeting, authorization was approved to advertise Contract 23-RFP-02, Procurement of Natural Gas Services to the MWRD for a period of up to five years. 

 

The District received two proposals. A committee including representatives from Maintenance and Operations, Law, and Procurement and Materials Management, reviewed the proposals and are recommending both proposers to participate in a real-time reverse energy auction.

 

Pricing to provide natural gas will be solicited in the auction for a period of up to three years (2025, 2026, and 2027), with the option to extend for up to two additional years. Proposers will be allowed to offer and re-offer pricing until the close of the auction for each contract term period. The proposer(s) will agree to hold their prices in the auction for a certain period of time after the online auction is closed. During this period, District staff will review the pricing offered. 

 

Appendix A and Appendix V were not included in Contract 23-RFP-02 due to the scope of work performed under this RFP which provides no subcontracting opportunities.

 

Therefore, it is requested that the Board of Commissioners authorize the Director of Procurement and Materials Management to invite all proposers to participate in an auction, administer an auction, and enter into an agreement with a successful proposer(s) to supply natural gas to the District. The authorization to conduct reverse auctions expires December 31, 2026.

 

A report will be submitted to the Board of Commissioners on the results of reverse auctions for natural gas.

 

Requested, John P. Murray, Director of Maintenance and Operations, PD:MFM:TP

Recommended, Darlene A. LoCascio, Director of Procurement and Materials Management

Respectfully Submitted, Marcelino Garcia, 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 May 16, 2024.