Explanation
BACKGROUND: The purpose of this ordinance is to authorize the Director of Finance and Management to enter into option contracts with W.W. Grainger, Inc. and GD Supply Inc. dba Johnstone Supply for the purchase of Small Electric Motors for all City agencies. The term of the proposed option contract is through May 31, 2018. The contracts may be extended for one (1) additional year, subject to mutual agreement by both parties. The Purchasing Office opened formal bids on December 30, 2015.
The Purchasing Office advertised and solicited competitive bids in accordance with relevant provisions of the Columbus City Code and Solicitation SA006141; 123 bids were solicited (M1A:4; AS1:1); Four (4) bids were received (MAJ:4).
The Purchasing Office completed an evaluation on small electric motor manufactures that were frequently purchased over the past years for use within City agencies. The bid proposal stated multiple contracts will be awarded. The awarded contracts will provide for the purchase of small electric motors and associated parts of highest quality and standard that is needed to maintain daily operations.
Bidders were requested to quote a discount off the listed prices for each standard published catalog they wish to bid. Bidders were also given an opportunity to quote multiple discounts. The solicitation stated it was the City's intention to make at least three (3) awards to maximize the selection and available discounts for Small Electric Motors, however, the two (2) lowest bidders can provide all the requested manufactures needed for City agencies to make their purchases. The City of Columbus has implemented a new e-catalog system. This system allows city agencies to search for items needed and compare pricing to get best value. A waiver of regulations is being submitted to award to multiple suppliers as the Code does not envision multiple awards for the same items.
The Purchasing Office has accepted two (2) proposals from major corporations that provide a wide range of small electric motors that our City agencies are currently purchasing. The proposals are from W.W. Grainger Inc. and GD Supply Inc. dba Johnstone Supply. Both suppliers submitted required documents and offered various discount percentages off their supplier catalog/ pricelist.
The Purchasing Office is recommending award to the lowest most responsive, responsible and best bidders as follows:
W.W. Grainger Inc., CC# 36-1150280; Expires 1/29/2017
GD Supply Inc. dba Johnstone Supply, CC# 31-1114455; Expires 8/6/2017
Total Estimated Annual Expenditure: $40,000.00
These companies are not debarred according to the Excluded Party Listing System of the Federal Government or prohibited from being awarded a contract according to the Auditor of State Unresolved Findings for Recovery Certified Search.
FISCAL IMPACT: Funding to establish these option contracts is from the General Fund. City Agencies will be required to obtain approval to expend from their own appropriations for their estimated annual expenditures.
Title
To authorize the Finance Management Director to enter into two (2) contracts for the option to purchase Small Electric Motors with W.W. Grainger Inc. and GD Supply Inc. dba Johnstone Supply; to waive relevant provisions of the Columbus City Code relating to the competitive bidding process, and to authorize the expenditure of two (2) dollars to establish the contracts from the General Fund, ($2.00).
Body
WHEREAS, the Purchasing Office solicited proposals on December 30, 2015 and selected the lowest responsive, responsible and best bidders; and
WHEREAS, this ordinance is being submitted in accordance with the Columbus City Code, to waive relevant provisions relating to competitive sealed bidding.
WHEREAS, this ordinance addresses Purchasing objective of 1) maximizing the use of City resources by obtaining optimal products/services at low prices and 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, it has become necessary in the usual daily operation of the City to authorize the Director of Finance and Management to enter into a contract for an option to purchase Small Electric Motors, 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 and Management Director be and is hereby authorized to enter into the following contracts for the option to purchase Small Electric Motors for the term ending May 31, 2018, with the option to extend for one (1) additional year subject to the mutual agreement in accordance with Solicitation No. SA006141 as follows:
W.W. Grainger Inc.: All Manufacturers at various discounts: $1.00
GD Supply Inc. dba Johnstone Supply: All Manufacturers at various discounts: $1.00
SECTION 2: That the expenditure of $2.00 is hereby authorized in Fund 1000 General Fund in Object Class 02 Materials and Supplies per the account codes in the attachment of this ordinance.
SECTION 3. That this Council finds the best interest of the City is served by waiving, and does hereby waive the relevant provisions of the Columbus City Code relating to competitive sealed bidding;
SECTION 4. This ordinance shall take effect and be in force from and after the earliest period allowed by law.