TRANSMITTAL LETTER FOR BOARD MEETING OF DECEMBER 18, 2025
COMMITTEE ON PROCUREMENT
Mr. John P. Murray, Executive Director
Title
Authority to award Contract 25-922-22 (Re-Bid), Specialized Railroad Car Rehabilitation in the Stickney Service Area, to JK-CO, LLC, in an amount not to exceed $2,001,071.00, Account 201-50000-645790, Requisition 1640566
Body
Dear Sir:
On June 26, 2025, the Board of Commissioners authorized the Director of Procurement and Materials Management to advertise for bids Contract 25-922-21, Specialized Railroad Car Rehabilitation in the Stickney Service Area.
In response to a public advertisement of September 3, 2025, a bid opening was held on September 23, 2025. The bid was rejected as reported at the October 16, 2025 Board meeting.
In response to a public re-advertisement of October 29, 2025, a bid opening was held on November 18, 2025. The bid tabulation for this contract is:
JK-CO, LLC $2,001,071.00
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 reason for not bidding: requirements were too specialized. 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.
JK-CO, LLC, the sole bidder, is proposing to perform the contract in accordance with the terms and specifications of the contract. The estimated cost range for this contract is between $1,710,000.00 and $2,070,000.00, placing the bid of $2,001,071.00, within the range of the engineer’s estimate.
JK-CO LLC is not registered to transact business in Illinois but has submitted a certificate of good standing from the State of Ohio. The Department of Procurement and Materials Management has received approval from the Acting Director of Maintenance and Operations to move forward with the recommendation to award.
The Multi-Project Labor Agreement (MPLA) was not included in this contract because the work is performed off-site at the contractor’s facility.
The Affirmative Action Ordinance Revised Appendix D and Appendix V are not included in this contract due to the specialized nature of the services required.
The contract will require approximately 6 to 8 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 22-922-22 to JK-CO, LLC, in an amount not to exceed $2,001,071.00, 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.
The contract shall commence upon approval of the Contractor’s Bond and terminate twenty-four (24) months thereafter, or upon expenditure of available funds, whichever occurs sooner.
Funds for the 2026 expenditure, in the amount of $1,400,000.00, are being requested in Account 201-50000-645790. The estimated expenditure for 2027 is $601,071.00. Funds for the 2026 and 2027 expenditures are contingent on the Board of Commissioners’ approval of the District’s budget for those years.
Requested, Pinakin V. Desai, Acting Director of Maintenance and Operations
Recommended, Darlene A. LoCascio, Director of Procurement and Materials Management, DAL:SEB:gv
Respectfully Submitted, Precious Brady-Davis, Chairperson, Committee on Procurement
Disposition of this agenda item will be documented in the official Regular Board Meeting Minutes of the Board of Commissioners for December 18, 2025
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