Explanation
BACKGROUND: To modify and extend the existing city-wide contracts for the option to purchase Specialty, Industrial & Medical Gases for various City agencies to and including June 30, 2005. The Purchasing Office opened formal bids on June 13, 2002. The Purchasing Office advertised and solicited competitive bids in accordance with Section 329.06. (Proposal No. SA000273DRM). FL001278, with Valley National Gases Inc., contract compliance number 55-0460738, and FL001283, with BOC Gases, contract compliance number 13-1600079, were established in accordance with bids received. These companies are not debarred according to the Federal Excluded Parties Listing.
1) Amount of additional funds: The estimated annual expenditure for the contracts is $70,000.00. The various City agencies must obtain approval to expend from their own budgeted funds for their estimated expenditures.
2) Reason additional needs were not foreseen: The need was foreseen. An extension is provided for in the original contract.
3) Reason other procurement processes not used: The same exact product is required as originally bid. Per the Bureau of Labor Statistics Producer Price Index, there has been a 6.0% increase in production of industrial gases. None of our suppliers have requested an escalator and no lower pricing/more attractive terms or conditions are anticipated through rebidding at this time.
4) How cost was determined: The cost, terms and conditions are in accordance with the original agreement
FISCAL IMPACT: No funding is required to extend the option contracts. The various City agencies must set aside their own funding for their estimated expenditures.
To maintain an uninterrupted supply of goods to the City Agency using the Universal Term Contract, this ordinance is being submitted as an emergency.
Title
To authorize and direct the Finance Director to modify and extend the citywide contract for the option to purchase Specialty, Industrial & Medical Gases, with Valley National Gases Inc and BOC Gases, and to declare an emergency.
Body
WHEREAS, the Purchasing Office advertised and solicited formal bids, and selected the lowest bids; and
WHEREAS, vendors have agreed to extend FL001278 and FL001283 at current prices and conditions to and including June 30, 2005, and it is in the best interest of the City to exercise this option; and
WHEREAS, in order to avoid a lapse in our ability to provide necessary specialty, industrial and medical gases, this is being submitted for approval as an emergency measure; and
WHEREAS, an emergency exists in the usual daily operation of the Purchasing Office in that it is immediately necessary to extend FL001278 and FL001283 for an option to purchase specialty, industrial and medical gases thereby preserving the public health, peace, property, safety, and welfare, now, therefore,
BE IT ORDAINED BY THE COUNCIL OF THE CITY OF COLUMBUS:
SECTION 1. That the Finance Director be and is hereby authorized and directed to modify and extend FL001278 with Valley National Gases Inc. and FL001283 with BOC Gases to and including June 30, 2005.
SECTION 2. That this modification is in accordance with Section 329.16 of the Columbus City Codes.
SECTION 3. That for the reasons stated in the preamble hereto, which is hereby made a part hereof, this ordinance is hereby declared to be an emergency measure and shall take effect and be in force from and after its passage and approval by the Mayor, or ten days after passage if the Mayor neither approves nor vetoes the same.