Explanation
The purpose of this ordinance is to authorize the Director of Public Utilities to enter into a contract modification with GEA Mechanical Equipment US, Inc. to provide for the Service and Maintenance of Westfalia Separator Centrifuges and Subcomponents. The sludge produced at the Jackson Pike Wastewater Treatment Plant begins in a liquid form and the centrifuges and subcomponents spin the water out of the sludge to make it a thicker more cake like substance. This thicker sludge is either stored in silos for future use in land application or is sent to the Southwesterly Compost Facility for use in the production of Com-Til.
There is a need to enter into a modification of the maintenance service and parts contract to insure continued optimum performance of the thickening centrifuges to support the Jackson Pike Wastewater Treatment Plant processes.
GEA Mechanical Equipment US, Inc., with headquarters located in Northvale, New Jersey is the Sole distributor and factory authorized repair, service and parts provider for Westfalia Separator Centrifuges and subcomponents manufactured by their parent company GEA Westfalia Separator GmbH, located in Oelde, Germany. This includes, but is not limited to parts and components such as motors, primary-secondary-gears, bowl shells and conveyor scrolls.
This ordinance is being submitted in accordance with the relevant provisions of Columbus City Code, Chapter 329 relating to Sole Source procurement. A letter from the vendor is attached to this ordinance.
The original contract EL015995 was established for a period of one (1) year with two additional one (1) year renewal options with a maximum obligation of $100,000.00. Each of the renewal options are subject to review and approval by City Council, and the appropriation and certification of funds by the City Auditor.
Modification No. 1 provided for additional funding and the extension of the contract through August 28, 2016 to allow for the repair of two separate components of one piece of equipment. The repair cost of both components was estimated at $187, 613.14 and will be covered by the original contract and modification No. 1. During the course of this repair work it has been determined that the current funds only cover the cost of repairs that are being done at the vendor’s site.
Additional funds are needed to cover the cost for the vendor to come onsite to finish assembling the repaired equipment. This modification No. 2 will cover the reinstallation costs and is also intended to cover the regular service and maintenance as specified in the OEM maintenance and instruction manual, which includes inspections, adjustments, repair, and parts replacement for the thickening centrifuges supplied to the City through the current contract extension date of August 28, 2016, for equipment at the Jackson Pike Wastewater Treatment Plant. All terms and conditions of the original agreement remain in full force and effect. If unforeseen issues or difficulties are encountered that would require additional funding, a modification would be required.
SUPPLIER: GEA Mechanical Equipment US, Inc. (27-4109506), Expires October 28, 2017
GEA Mechanical Equipment US, Inc. does not hold MBE/FBE status.
The company is 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.
1. Amount of additional funds: Total amount of additional funds needed for this contract Modification No. 2 is to ADD $100,000.00. Total contract amount including this modification is $300,000.00.
2. Reason additional funds were not foreseen: The need for additional funds was known at the time of the initial contract. The contract was initially established for three (3) years and this modification will ADD $100,000.00. All terms and conditions of the original agreement remain in full force and effect.
3. Reason other procurement processes not used: Work under this modification is a continuation of services included in the scope of the original contract. No lower pricing/more attractive terms and conditions are anticipated at this time.
4. How was cost determined: The Department of Public Utilities and GEA Mechanical Equipment US, Inc. negotiated the cost of the original contract.
FISCAL IMPACT: $100,000.00 is needed for this purchase. Funds are being reprioritized to provide the necessary funding for this modification.
$0.00 was spent in 2014
$0.00 was spent in 2013
EMERGENCY DESIGNATION: This ordinance is being submitted as an emergency to allow for the completion of the current repairs and reinstallation of the equipment without delay.
Title
To authorize the Director of Public Utilities to enter into a contract modification with GEA Mechanical Equipment US, Inc. to provide for the Service and Maintenance of Westfalia Separator Centrifuges and Subcomponents for the Division of Sewerage and Drainage in accordance with the provisions of the Columbus City Code for Sole Source procurement, to authorize the expenditure of $100,000.00 from the Sewer System Operating Fund, and to declare an emergency. ($100,000.00)
Body
WHEREAS, the Jackson Pike Wastewater Treatment Plant utilizes Westfalia Separator Centrifuges and Subcomponents in its processes to convert sludge from a watery substance into a thicker more cake like substance, and
WHEREAS, this thicker sludge is either stored in silos for future use in land application or is sent to the Southwesterly Compost Facility for use in the production of Com-Til, and
WHEREAS, there is a need to modify and increase the maintenance service and parts contract to insure continued optimum performance of the thickening centrifuges to support the Jackson Pike Wastewater Treatment Plant processes, and
WHEREAS, GEA Mechanical Equipment US, Inc., with Headquarters located in Northvale, New Jersey is the Sole distributor and factory authorized repair, service and parts provider for Westfalia Separator Centrifuges and subcomponents manufactured by their parent company GEA Westfalia Separator GmbH, located in Oelde, Germany, and
WHEREAS, this ordinance is being submitted in accordance with the provisions of Columbus City Code, Chapter 329, relating to Sole Source procurement; and
WHEREAS, the Department of Public Utilities wishes to modify EL015995 with GEA Mechanical Equipment US, Inc. for Service and Maintenance of Westfalia Separator Centrifuges and Subcomponents, and
WHEREAS, the original contract EL015995 was established for a period of one (1) year with two additional one (1) year renewal options with a maximum obligation of $100,000.00 anticipated for each year; and
WHEREAS, this modification No. 2 will add $100,000.00 to provide the additional funds needed to cover the cost for the vendor to come onsite to finish assembling the repaired equipment and for any additional repairs that may be needed through the current contract extension date of August 28, 2016. All terms and conditions of the original agreement remain in full force and effect. If unforeseen issues or difficulties are encountered that would require additional funding, a modification would be required, and
WHEREAS, the vendor has agreed to modify EL015995 at current prices and conditions, and it is in the best interest of the City to exercise this option; and
WHEREAS, an emergency exists in the usual daily operation of the Department of Public Utilities, Division of Sewerage and Drainage, in that it is immeditaly necessary to authorize the Director to enter into a contract modification with GEA Mechanical Equipment US, Inc. to allow for the additional funds necessary to complete the current repairs and reinstallation of equipment and to provide funding for any future repairs that may arise; now, therefore
BE IT ORDAINED BY THE COUNCIL OF THE CITY OF COLUMBUS:
SECTION 1. That the Director of Public Utilities be and is hereby authorized to modify and increase EL015995 with GEA Mechanical Equipment US, Inc., 100 Fairway Court, Northvale, NJ 07647 for Service and Maintenance of Westfalia Separator Centrifuges and Subcomponents, for the Division of Sewerage and Drainage, in such form and including such terms and conditions as are approved by the City Auditor and City Attorney. This contract modification No. 2 will ADD $100,000.00. Total contract amount including this modification is $300,000.00.
SECTION 2. That said firm shall conduct the work to the satisfaction of the Director of Public Utilities and the Administrator of the Division of Sewerage and Drainage.
SECTION 3. That the expenditure of $100,000.00 or so much thereof as may be needed, be and the same hereby is authorized from the Sewer System Operating Fund, Fund 650, Department 60-05, to pay the cost of this contract as follows:
OCA: 605030
Object Level 1: 03
Object Level 03: 3372
SECTION 4. That this contract modification is in accordance with the provisions of Columbus City Code Chapter 329 relating to Sole Source procurement.
SECTION 5. 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 6. 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.