TRANSMITTAL LETTER FOR BOARD MEETING OF MAY 16, 2019
COMMITTEE ON PROCUREMENT
Mr. Brian A. Perkovich, Executive Director
Title
Issue purchase order and enter into an agreement with Alfa Laval, Inc., to Provide Off-site Centrifuge Rehabilitation and Repair Services and On-site Technical Services as needed for the Stickney and Egan Water Reclamation Plants, for a total amount not to exceed $2,380,000.00, Account 101-69000-612650, Requisition 1516787
Body
Dear Sir:
Authorization is requested to issue a purchase order and enter into an agreement with Alfa Laval, Inc., to rehabilitate and repair centrifuges and provide technical services for the Stickney and Egan plants on an as needed basis. This purchase order will expire December 31, 2022.
The original manufacturer, Alfa Laval, Inc., has historically been the sole source provider of acceptable quality rehabilitation services for these centrifuges. There is no representative, distributor or third party company authorized to represent Alfa Laval Inc., for parts and services to municipal business. Alfa Laval, Inc., will not warrant repairs performed by anyone other than Alfa Laval, Inc. Alfa Laval, Inc., provides field services, training, technical and sales support to the District from their offices and/or repair centers.
Alfa Laval, Inc., the sole source provider of the services, has submitted prices for the services required. Inasmuch as Alfa Laval, Inc. is the only source of supply for the services required, nothing would be gained by advertising for bids. (Section 11.4 of the Purchasing Act).
Alfa Laval, Inc., is not registered to transact business in Illinois, but has submitted a certificate of good standing from the State of Pennsylvania. The Director of Maintenance and Operations has recommended to move forward with the award.
The Multi-Project Labor Agreement and Affirmative Action Ordinance, Revised Appendix D are not applicable because of the sole source nature of the work. If trade work is required, in-house trades will perform any disassembly, assembly, or any other associated on-site trade work. Actual repair services will be done at the vendor’s facilities.
In view of the foregoing, it is recommended that the Director of Procurement and Materials Management be authorized to issue a purchase order and enter into an agreement with Alfa Laval, Inc., in an amount not to exceed $2,380,000.00.
Funds for the 2019 expenditure, in the amount of $610.000.00, are available in Account 101-69000-612650. The estimated expenditures for 2020 and 2021 are $885,000.00 for each year, and 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:MS:dp
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 May 16, 2019