Explanation
BACKGROUND: This legislation authorizes the Director of Finance and Management to purchase Transformers for Electrical Distribution System for the Division of Power to replenish stock for maintenance of the existing infrastructure and new customer service.
The Purchasing Office advertised and solicited competitive bids (RFQ002564) for the purchase of Transformers for the Electrical Distribution System for the Division of Power in accordance with relevant provision of Section 329 of the Columbus City Code. Eighty-seven (87) vendors were solicited and two (2) bids were received and opened on September 22, 2016.
The Division of Power has completed their review of the bids submitted by Wesco Distribution and Utility Supply and Construction Company and both companies have been deemed non-responsive to the bid specifications. The exceptions submitted by each company were reviewed to determine which items meet or exceed “technical” requirements and then award that item to the lowest bidder that meets those requirements. Note: Exceptions to “non-technical” requirements have not been taken into account when determining the award. Due to the critical nature of the equipment required and deadlines associated with year-end closing, the Division of Power is requesting that the competitive bidding provisions of the Columbus City Code be waived to award each item as outlined below.
Utility Supply and Construction Company as the lowest bidder for Items 1, 2, 3, 4, 5, 6, 12 and 18 and meets all technical requirements of the bid specifications.
Wesco Distribution as the lowest bidder for Items 7, 9, 10, 11, 13, 14, 15, 16 and 17 and meets all technical requirements of the bid specifications.
Utility Supply and Construction Company was the lowest bidder on Item 8, however they do not meet the technical requirements of the bid specifications. The bid specifications require the transformer be painted on all sides (top, sides, and bottom). Utility Supply and Construction Company took exception to painting the bottom of the transformer. The second low bidder is Wesco Distribution and meets all technical requirements of the bid specifications.
Wesco Distribution was the lowest bidder on Items 19, 20, 21, 22, 23, 24, 25, 26, 27 and 28 but does not meet the technical requirements of the bid specifications. The bid specifications require CLT draw out dry-well current fuses or approved equal and Wesco Distribution bid bayonets in-series with under oil current limiting fuses. The second low bidder is Utility Supply and Construction Company and meets all technical requirements of the bid specifications.
Wesco Distribution was the lowest bidder on Items 29 and 30 but does not meet the technical requirements of the bid specifications. The bid specifications require a K-Factor 20 transformer and Wesco Distribution bid a K-Factor 4 transformer. The second low bidder is Utility Supply and Construction Company and meets all technical requirements of the bid specifications.
The Division of Power recommends the following award:
Utility Supply and Construction Company is awarded 1, 2, 3, 4, 5, 6, 12, 18, 19, 20, 21, 22, 23, 24, 25, 26, 27, 28, 29 and 30 in the total amount of $1,006,000.00.
Wesco Distribution is awarded 7, 8, 9, 10, 11, 13, 14, 15, 16 and 17 in the total amount of $319,210.00.
The 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.
Suppliers and Contract Compliance Numbers:
Wesco Distribution, Vendor Account 001977, FID 25-1723345, Exp.: 05/07/17
Utility Supply and Construction Co., Vendor Account 007513, FID 38-1783949, Exp.: 03/22/18
FISCAL IMPACT: There is sufficient budget authority for the purchase of Transformers for the Electrical Distribution System in the 2016 Electricity Operating Fund budget.
The Division of Power spent $728,741.00 in 2014.
The Division of Power spent $1,152,864.00 in 2015.
Title
To authorize the Finance and Management Director to enter into two contracts, one with Wesco Distribution, and one with Utility Supply and Construction Company, for the purchase of Transformers for the Division of Power; to waive the competitive bidding provisions of City Code; to authorize the expenditure of $1,325,210.00 from the Electricity Operating Fund. ($1,325,210.00)
Body
WHEREAS, the Department of Public Utilities, Division of Power, has a need to purchase Transformers for the Electrical Distribution System to replenish stock for maintenance of the existing infrastructure and new customer service; and
WHEREAS, the Division of Power has completed their review of the bids submitted on September 22, 2016 and both companies have been deemed non-responsive to the bid specifications; however due to the critical nature of the equipment required and deadlines associated with year-end closing, the Division of Power is requesting that that the competitive bidding provisions of the Columbus City Code be waived to award each item; and
WHEREAS, the Division of Power has reviewed the exceptions submitted by Wesco Distribution and Utility Supply and Construction Company to determine which items meet or exceed “technical” requirements and then award that item to the lowest bidder that meets those requirements; and
WHEREAS, it has become necessary in the usual daily operation of the Department of Public Utilities to authorize the Finance and Management Director to enter into two contracts in accordance with the terms, conditions and specifications of Solicitation Number: RFQ002564 on file in the Purchasing Office, for the preservation of public health, peace, property and safety; now therefore,
BE IT ORDAINED BY THE COUNCIL OF THE CITY OF COLUMBUS:
SECTION 1. That the Finance and Management Director, on behalf of the Department of Public Utilities, Division of Power, be and is hereby authorized to enter into contracts to purchase Transformers for the Electrical Distribution System with: Wesco Distribution, 1255 Danner Dr., Aurora, OH 44202, for a total award amount of $319,210.00; and Utility Supply and Construction Co., 1403 Neubrecht Road, Lima, OH 45801 for a total award amount of $1,006,000.00.
SECTION 2. That this Council finds it is in the best interest of the City to waive the competitive bidding provisions of Chapter 329 of the Columbus City Code to permit the aforementioned purchase.
SECTION 3. The Division of Power has completed their review of the bids submitted and both companies have been deemed non-responsive to the bid specifications. Due to the critical nature of the equipment required and deadlines associated with year-end closing, the Division of Power is requesting that that the competitive bidding provisions of the Columbus City Code be waived to award each item. The Division of Power has reviewed the exceptions submitted by Wesco Distribution and Utility Supply and Construction Company to determine which items meet or exceed “technical” requirements and then award that item to the lowest bidder that meets those requirements.
SECTION 4. That the funds necessary to carry out the purpose of this ordinance are hereby deemed appropriated, and the City Auditor shall establish such accounting codes as necessary.
SECTION 5. That the expenditure of $1,325,210.00, or so much thereof as may be needed, is hereby authorized in Fund 6300 (Electricity Operating), in object class 06, Capital Outlay per the accounting codes in the attachment to this ordinance.
SECTION 6. That this ordinance shall take effect and be in force from and after the earliest period allowed by law.