Explanation
BACKGROUND: This legislation will modify an existing city-wide contract for Asphalt Emulsions. This contract provides asphalt materials for various City locations. The SS-1h dilute product is a new item to add to the current Asphalt Emulsions UTC. The Department of Public Service is requesting to add the product to the current contract so that crews may pilot the use of the product during the 2017 season. SS-1h is used for allety resurfacing repairs. If the product is effective, the Department of Public Service would add to the specifications for re-bid.
There is currently one (1) supplier awarded this contract and a fixed price quote was provided by the existing vendor. It is necessary to modify an existing city-wide contract with Asphalt Materials Inc. to provide this SS-1h product. The contract (FL006225) was established in accordance with SA005755, and will expire April 30, 2018.
1. Amount of additional funds: The Public Services Department must obtain approval to expend from their own budgeted funds for their estimated expenditures.
2. Reason additional needs were not foreseen: The need for this type of product was not foreseen at the time the bid was proposed. This is a new product that the department would like to use for alley resurfacing projects.
3. Reason other procurement processes not used: This formal bid was opened April 22, 2015, and the Purchasing Office does not anticipate any better pricing if a new bid was published.
4. How cost was determined: Price will be in accordance with a quote provided by Asphalt Materials, Inc. Terms and conditions are in accordance with the original contract. Research determined the cost was in line with a current ODOT contract #1016-17a with a variance of - $.05 per gallon.
FISCAL IMPACT: Funding to establish this option contract is from the General Fund. City Agencies will be required to obtain approval to expend from their own appropriations for their estimated annual expenditures.
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