TRANSMITTAL LETTER FOR BOARD MEETING OF JANUARY 6, 2022
COMMITTEE ON PROCUREMENT
Mr. Brian A. Perkovich, Executive Director
Title
Authority to award Contract 21-690-12, Beneficial Reuse of Biosolids from LASMA and CALSMA (Re-Bid), to Stewart Spreading, Inc., in an amount not to exceed $12,556,834.00, Account 101-69000-612520, Requisition 1560714
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Dear Sir:
On May 20, 2021, the Board of Commissioners authorized the Director of Procurement and Materials Management to advertise for bids, Contract 21-690-12 Beneficial Reuse of Biosolids from LASMA and CALSMA.
In response to a public advertisement of June 16, 2021, a bid opening was held on July 13, 2021 for Contract 21-690-11. Group B (CALSMA) was awarded at the September 23, 2021, Board Meeting.
The bids for Contract 21-690-11 for Group A (LASMA) were rejected as reported at the board meeting of November 4, 2021.
In response to a public re-advertisement of November 10, 2021, a bid opening was held on December 7, 2021, for Group A (LASMA). The bid tabulation for this contract is:
LAWNDALE SOLIDS MANAGEMENT AREA (LASMA)
STEWART SPREADING, INC. $13,582,310.00
SYNAGRO CENTRAL, INC. $16,464,800.00
The quantities specified in the contract documents were used for the purpose of comparing bids and establishing unit prices. The total amount to be expended on this contract should usage differ from the quantities, is not to exceed $12,556,834.00 for LASMA.
Stewart Spreading, Inc., the lowest responsible bidder, is proposing to perform the contract in accordance with the specifications. The estimated cost of this contract was $12,556,834.00, placing the bid of $13,582,310.00, approximately 8.2 percent above the estimate.
The Multi-Project Labor Agreement (MPLA) was not included in this contract because of the specialized nature of the work, which includes the beneficial reuse of biosolids, which is customarily performed within the farming industry rather than within the jurisdiction of local unions.
The Affirmative Action Ordinance, Revised Appendix D goals for this contract are 20% Minority Business Enterprise (MBE), 13% Women Business Enterprise (WBE), 10% Small Business Enterprise (SBE) and 3% Veteran-owned Business Enterprise (VBE). Affirmative Action goals are applicable only to the hauling portion of this contract, as specified in bid items A1 and A3.
Stewart Spreading, Inc., is in compliance with the Affirmative Action Ordinance, Revised Appendix D as indicated on the attached report. The MBE, WBE, and SBE utilization goals for this contract are 20 percent MBE, 13 percent WBE. Bidder offers themselves, MBE and WBE to satisfy the SBE participation. Bidder commits to 3 percent VBE participation.
The contract will require approximately 45 people for the services.
In view of the foregoing, it is recommended that the Director of Procurement and Materials Management be authorized to award Contract 21-690-12, to Stewart Spreading, Inc., in an amount not to exceed $12,556,834.00, subject to the contractors furnishing a performance bond in form satisfactory to the Law Department and approved by the Director of Procurement and Materials Management.
The contractor shall commence work upon approval of the contractor’s bond and terminate December 31, 2024, or upon expenditure of available funds, whichever occurs sooner.
Funds for the 2022 expenditure, in the amount of $3,310,000.00, are available in Account 101-69000-612520. The estimated expenditures for 2023 are $4,100.000.00 and 2024 are $5,146,834.00. Funds for the 2023 and 2024 expenditures 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 January 6, 2022
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