Explanation
1. BACKGROUND
The purpose of this ordinance is to authorize the Director of Finance and Management to modify contracts with Ohio Machinery Co., formerly known as Esec Corporation dba Columbus Peterbilt, for the purchase of two single axle dump trucks with snow equipment for the Department of Public Service, Division of Infrastructure Management in an amount of up to $207,248.34.
The Department of Public Service, Division of Infrastructure Management, is responsible for maintaining Columbus roadways. This includes filling potholes, street sweeping, mowing, alley resurfacing, and snow and ice removal. Ordinance 2084-2021 authorized the purchase of two single axle dump trucks with snow equipment for the purpose of maintaining the roads at a cost of $195,885.83 per truck. The City had a multiple year Universal Term Contract established for dump trucks with Ohio Machinery Co., PA004939, which was updated to PA005655.
After ordinance 2084-2021 authorized the purchase of two single axle dump trucks with snow equipment and the trucks were delivered, Ohio Machinery Co. notified the Director of Finance and Management that due to supply chain issues resulting from long lead times for production and delivery in the post-pandemic market place, a surcharge of $103,624.17 per truck was necessary due to raw material and component price increases from manufactures and their suppliers. The Department of Public Service feels these changes are acceptable and the vehicles offered by Ohio Machinery Co. will meet the needs of the Department.
1.1 Amount of additional funds to be expended: $207,248.34
Original contract amount: $391,771.66 (PO292870, Ord 2084-2021)
The total of Modification 1: $207,248.34 (This Ordinance)
The contract amount including all modifications: $599,020.00
1.2 Reasons additional goods/services could not be foreseen:
The pandemic affected timelines for truck builds due to the purchasing components needed, a...
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