Explanation
BACKGROUND: For the option to establish Universal Term Contracts (UTC's) to purchase Office Papers (Recycled) for use by all City Agencies and to waive competitive bid requirements.
Paper is used throughout all city offices and the establishment of a city wide contract establishes excellent pricing and terms for delivery for the entire city. This purchase was competitively bid and OfficeMax, Inc. submitted a response with pricing well below other bidders; however, they included an exception/condition to the specifications whereby any future price increases would not require the City's approval for acceptance. The City can accept this provision but OfficeMax will be required to alert us to any price increases and provide backup documentation. Furthermore the City is not obligated to purchase papers from these type contracts if better options become available. Otherwise, the company will meet all other bid specfications/requirements.
Additionally due to a typo in the specifications for one of the paper stocks 98 brightness was specified, but 96 brightness was intended. RIS Paper Company provided the lowest pricing for 96 brightness paper. These recycled office papers will be used for communication and documentation purposes in printers, digital copiers/printers, fax equipment, duplicators and offset printing equipment.
The term of the proposed option contracts would be in effect from February 1, 2010 or the date of execution by the City to and including April 30, 2012, with the option to renew for one (1) additional year. The Purchasing Office opened formal bids on November 12, 2009.
The Purchasing Office advertised and solicited competitive bids in accordance with Section 329.06, Solicitation SA003425. Twenty-Eight (28) bids were solicited
(2 M1A's). Four (4) bids were received.
The Purchasing Office is recommending award to the following two (2) companies:
OfficeMax Incorporated, CC#82-0100960 (Expires: April 16, 2011)
RIS Paper Company, CC#13-5585947 (Expires: September 29, 2010)
Total Estimated Annual Expenditure: $375,000.00
These companies are not debarred according to the Federal Excluded Parties Listing or the State Auditor's Findings for Recovery Database.
This ordinance is being submitted as an emergency because, without emergency action, no less than 37 days will be added to this procurement cycle and the efficient delivery of valuable public services will be slowed.
FISCAL IMPACT: Funding to establish these option contracts is budgeted in the Purchasing Mail, Print Services and UTC Fund. City of Columbus agencies will be required to obtain approval to expend from their own appropriations for their estimated annual expenditures.
Title
To authorize and direct the Finance & Management Director to enter into two (2) UTC contracts for the option to purchase Office Papers (Recycled) with OfficeMax Incorporated and RIS Paper Company, to waive the competitive bidding provisions of the City Code; to authorize the expenditure of two (2) dollars to establish the contracts from the Mail, Print Services and UTC Fund; and to declare an emergency. ($2.00)
Body
WHEREAS, the Purchasing Office advertised and solicited formal bids on November 12, 2009, and based on the responses believes it is in the City's best interest to recommend the waiver of competitive bidding allowing the major award to be made to OfficeMax Incorporated as they provided the best pricing for the most purchased paper weight stocks and met all conditions of the bid with one exception for future price changes in that future price increases passed along to them from their supplier would not require approval by the City; however this is acceptable to the City; and
WHEREAS, RIS Paper Company provided the best pricing for heavier weight recycled white paper stocks; however, the bid specifications in error required 98 brightness for one of the paper weights where only 96 brightness was required and RIS Paper Company quoted the 96 brightness and at the best price; and
WHEREAS, this ordinance addresses Purchasing objectives of: 1) maximizing the use of City resources by obtaining optimal products/services at low prices; 2) encouraging economic development by improving access to City bid opportunities and 3) providing effective option contracts for City agencies to efficiently maintain their supply chain and service to the public; and
WHEREAS, a bid waiver is recommended for the establishment of these UTC contracts; and
WHEREAS, there is a necessary and continuous need for office papers (recycled) for communication and documentation needs, this is being submitted for consideration as an emergency measure; and
WHEREAS, an emergency exists in the usual daily operation of the City of Columbus, Finance and Management Department and all City Agencies in that it is immediately necessary to enter into a contract for the option to purchase Office Papers (Recycled), 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 & Management Director be and is hereby authorized and directed to enter into the following contracts for the option to purchase Office Papers (Recycled) for the term ending April 30, 2012, with the option to renew for one (1) additional year in accordance with SA003425 as follows:
OfficeMax Incorporated; Awarded Items 1 through 12A ; $1.00
RIS Paper Company: Awarded Items 27, 28, 29, 30, 30A, 30B, 31, 31A, 31B, 32, 32A, 32B, 34, 34A and 34B; $1.00
SECTION 2. That the expenditure of $2.00 is hereby authorized from Mail, Print Services and UTC Fund, Organization Level 1: 45-01, Fund: 05-517, Object Level 3: 2270, OCA: 451130, to pay the cost thereof.
SECTION 3. This Council finds it is in the best interest of the City of Columbus to waive the provisions of Section 329.06 of the Columbus City Codes to permit the aforementioned contracts to be established for the option to purchase office papers (recycled).
SECTION 4. That for the reason stated in the preamble here to, 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.