TRANSMITTAL LETTER FOR BOARD MEETING OF MARCH 2, 2023
COMMITTEE ON PROCUREMENT
Mr. Brian A. Perkovich, Executive Director
Title
Issue purchase order for Contract 23-630-12, Furnishing and Delivering Ferric Chloride (Re-Bid), to Kemira Water Solutions, Inc., in an amount not to exceed $3,637,415.00, Account 101-68000,69000-623560, Requisitions 1587200 and 1587764
Body
Dear Sir:
On November 3, 2022, the Board of Commissioners authorized the Director of Procurement and Materials Management to advertise for bids, Contract 23-630-11, Furnishing and Delivering Ferric Chloride.
In response to a public advertisement of December 14, 2022, a bid opening was held on January 10, 2023. No bids were received.
In response to a public re-advertisement of January 25, 2023, a bid opening was held on February 7, 2023. The bid tabulation for this contract is:
KEMIRA WATER SOLUTIONS, INC. $3,637,415.00
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: Could not provide a bid at this time due to supply issues. 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.
Kemira Water Solutions, Inc., the sole bidder, is proposing to perform the contract in accordance with the specifications. The estimated cost for this contract was $3,178,000.00, placing their bid of $3,637,415.00 approximately 14.5 percent above the estimate.
The Multi-Project Labor Agreement is not applicable to this contract because it is primarily a furnish and deliver contract.
The Affirmative Action Ordinance, Revised Appendix D is not included in this contract because it is primarily a furnish and deliver contract.
In view of the foregoing, it is recommended that the Director of Procurement and Materials Management be authorized to issue a purchase order for Contract 23-630-12 to Kemira Water Solutions, Inc., in an amount not to exceed $3,637,415.00.
The bid deposit in the amount of $159,000.00 will be retained in lieu of a performance bond, which is satisfactory to the Law Department and approved by the Director of Procurement and Materials Management.
The contract shall begin five days after the purchase order is sent, and terminate thirteen (13) months thereafter, or upon expenditure of available funds, whichever occurs sooner.
Funds for the expenditure for 2023 are available in Account 101-68000,69000-623560 in the amount of $2,188,000.00. The estimated expenditure for 2024 is $1,449,415.00 and is contingent on the Board of Commissioners’ approval of the District’s budget for that year.
Requested, John P. Murray, Director of Maintenance and Operations.
Recommended, Darlene A. LoCascio, Director of Procurement and Materials Management, DAL:SEB:bn
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 March 2, 2023