Explanation
Background: This ordinance authorizes the Finance and Management Director to enter into an agreement for the option to establish three (3) UTC contracts for Janitorial Supplies to be used by various City agencies. The term of the proposed option contract is through March 31, 2018. The contract may be extended for one (1) additional year, 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 the competitive bid section of the City Code (Solicitation SA006031). Two hundred and twenty four (224) bids were solicited (V1:1; MBR:8; M1A:12; F1:3; AS1:1); Eight (8) bids were received (MBR:2; F1:1; MAJ:5).
The Purchasing Office is recommending award to the overall lowest, responsive, responsible, and best bidders as follows:
Key-4 Cleaning Supplies Inc.: CC#311417716 expires: 05/13/2017, Categories 1-8, 10-12 $1.00
Interboro Packaging Corp.: CC#112633541 expires: 04/07/2016, Categories 8, 10 $1.00
HP Products: CC#351116846 expires: 04/08/2017, Category 9 (lines 1 and 2), Category 12 (line 4) $1.00
Total Estimated Annual Expenditure: $750,000.00
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.
Waiver Explanation: A waiver of regulations is being requested as the current City Code does not provide the ability to award multiple suppliers for the same categories/items.
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.
30-Day Designation: This ordinance is being submitted as 30-day legislation.
Title
To authorize the Finance & Management Director to enter into three (3) UTC contracts for the option to purchase Janitorial Supplies with Key-4 Cleaning Supplies Inc., Interboro Packaging Corp., and HP Products; to authorize the expenditure of three (3) dollars to establish the contracts from the General Fund ($3.00); to waive the competitive bidding provisions of the Columbus City Code. ($3.00)
Body
WHEREAS, Janitorial Supplies are used to maintain facilities and meet other needs by various City Agencies; and
WHEREAS, the Purchasing Office advertised and solicited formal bids on October 8, 2015 and selected the lowest, responsive, responsible and best bidders; and
WHEREAS, it is necessary to waive the competitive bidding provisions of City Code Chapter 329 to enter into these contracts; and
WHEREAS, this ordinance addresses Purchasing objectives 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 contract 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 Department of Finance and Management to authorize the Director to enter into three Universal Term contracts for the option to purchase janitorial supplies; 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 an option to purchase Janitorial Supplies through March 31, 2018 with the option to extend for one (1) additional year in accordance with Solicitation SA006031;
The Purchasing Office is recommending award of contracts to the lowest, responsive, responsible and best bidders as follows:
Key-4 Cleaning Supplies Inc.: Categories 1-8, 10-12 $1.00
Interboro Packaging Corp.: Categories 8, 10 $1.00
HP Products: Category 9 (lines 1 and 2), Category 12 (line 4) $1.00
SECTION 2. That the expenditure of $3.00 is hereby authorized from the General Fund, Organization Level: 45-01, Fund 10, OCA: 450047, Object Level 3: 2270 to pay the cost thereof.
SECTION 3. That the Council finds that it is in the best interest of the City to waive the competitive bidding provisions of Chapter 329 of the Columbus City Codes to enter into these contracts.
SECTION 4. This ordinance shall take effect and be in force 30 days after its passage by City Council.