TRANSMITTAL LETTER FOR BOARD MEETING OF AUGUST 8, 2024
COMMITTEE ON PROCUREMENT
Mr. Brian A. Perkovich, Executive Director
Title
Authority to award Contract 24-689-11, Test and Repair Underground Storage Tanks at Various Locations, to Stenstrom Petroleum Services Group, in an amount not to exceed $318,900.00, Accounts 101-67000/68000/69000-612240/612490, Requisitions 1616202, 1616206, and 1616208
Body
Dear Sir:
On May 2, 2024, the Board of Commissioners authorized the Director of Procurement and Materials Management to advertise for bids, Contract 24-689-11, Test and Repair Underground Storage Tanks at Various Locations.
In response to a public advertisement of June 12, 2024, a bid opening was held on July 9, 2024. The bid tabulation for this contract is:
STENSTROM PETROLEUM SERVICES GROUP *$216,410.00
*corrected total
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: cannot provide the service. 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.
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 $318,900.00.
Stenstrom Petroleum Services Group, the lowest responsible bidder, is proposing to perform the contract in accordance with the specifications. The estimated cost for the contract is $318,900.00, placing the bid of $216,410.00 approximately 32 percent below the estimate.
The Multi-Project Labor Agreement (MPLA) was not included in this contract because the classification of work does not fall within the provisions of the MPLA.
The Affirmative Action goals were not included in this contract because of the lack of availability of MBE/WBE/VBE participants to perform the required work that have specialized licenses.
The contract will require approximately two (2) people for the services.
The work under this contract shall commence upon approval of the contractor’s bond and terminate three years 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 award Contract 24-689-11 to Stenstrom Petroleum Services Group, in an amount not to exceed $318,900.00, subject to the contractor furnishing a performance bond in form satisfactory to the Law Department and approved by the Director of Procurement and Materials Management.
Funds for the 2024 expenditure, in the amount of $73,400.00, are available in Accounts 101-67000/68000/69000-612240/612490. The estimated expenditures for 2025 are $83,500.00, for 2026 are $83,500.00, and for 2027 are $78,500.00. Funds for the 2025, 2026, and 2027 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:gv
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 August 8, 2024
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