Explanation
BACKGROUND: This legislation is for the option to establish three (3) Universal Term Contracts (UTC’s) to be used by the Fleet Management Division to purchase Aftermarket Auto Parts and maintain the City's fleet of vehicles. The term of the proposed option contracts would be through December 31, 2017. The contracts may be extended for two (2) additional one (1) year terms subject to mutual agreement by both parties. The Purchasing Office opened formal bids on October 8, 2015.
The Purchasing Office advertised and solicited competitive bids in accordance with Chapter 329 (Solicitation SA006033). Three hundred and eight (MBR:5, M1A:2, F1:3) bids were solicited; Three (3) bid proposals (MBR:0, M1A:0, F1:0) were received. They are from Genuine Parts Company/NAPA Auto Parts, Automotive Distributors Co Inc., Skinner Diesel Service, Inc. All three offered a discount percentage off all items in their catalogs.
With the implementation of the City’s e-catalogue the City has a unique opportunity to ensure agencies are continuously able to purchase the right product at the very best price. The e-catalogue provides an “amazon.com” type tool where an agency can enter the product they wish to purchase and immediately identify the specified product at the lowest price. Traditionally when bidding classes of products a UTC has been awarded to a single bidder whose products meet this City’s technical specifications. Pricing was evaluated by analyzing frequently purchased items and/or for items that the City purchases in greater quantities. This makes it possible that even though the entire catalogue is awarded to a specific bidder their pricing may not be as low as another vendor. Catalogues can have hundreds if not thousands of products contained within them making it nearly impossible to definitively award an entire catalogue to a single bidder. The reason for the bid waiver is Columbus City Code does not provide the ability to make multiple awards for the same items. By waiving bidding Purchasing is able to place more than one of the overall lowest and best bidders on to the e-catalog, and agencies can shop for better pricing during the term of the contracts.
The Purchasing Office is recommending award to the overall lowest, responsive, responsible and best bidders as follows:
Genuine Parts Company / NAPA Auto Parts, CC#580254510 (Expires 10/28/2017 ), All Items:$1.00
Automotive Distributors Co, Inc. CC#311145093 (Expires 1/27/2017), All Items:$1.00
Skinner Diesel Service, Inc. CC#311132462 (Expires ), All Items:$1.00
Total Estimated Annual Expenditure: $ 2,500,000.00
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 the current contract for Aftermarket Auto Parts will expire on December 31, 2015.
FISCAL IMPACT: Funding to establish this option contract is budgeted in the General Fund.
Title
To authorize and direct the Finance and Management Director to enter into three (3) UTC contracts for the option to purchase Aftermarket Auto Parts with Genuine Parts Company/NAPA Auto Parts, Automotive Distributors Co Inc, and Skinner Diesel Service Inc,; to waive the competitive bidding requirements of the Columbus City Code; To authorize the expenditure of three dollars ($3.00) to establish a contract from the General Fund; and to declare an emergency. ($3.00)
Body
WHEREAS, the Purchasing Office advertised and solicited formal bids on October 8, 2015 and selected the lowest, responsive, responsible and best bids. Three (3) bids were received; and
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, aftermarket Auto Parts UTC will be used to maintain the City's vehicle fleet, this is being submitted for consideration as an emergency measure; and
WHEREAS, an emergency exists in the usual daily operation of the Fleet Management Division in that it is immediately necessary to enter into one (3) contracts for an option to purchase Aftermarket Auto Parts to ensure uninterrupted supply of materials and services, 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 options to purchase Aftermarket Auto Parts with Solicitation SA006033; contracts are through December 31, 2017 and may be extended for two (2) additional one year terms subject to mutual agreement by both parties:
Genuine Parts Company/NAPA Auto Parts, Automotive Distributors Co Inc, and Skinner Diesel Service Inc,; awarded discounted catalogs; Amount $3.00.
SECTION 2. That the expenditure of $3.00 is hereby authorized from the General Fund, Organization Level 1: 45-01, Fund: 010, Object Level 3: 2270, OCA: 450047, to pay the cost thereof.
SECTION 3. That this Council finds it the best interest of the City to waive the competitive bidding provsions of the Columbus City Code to enter into these contracts.
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.