Explanation
1. BACKGROUND: To authorize the Director of Finance and Management to enter into a contract with VRT Power Ltd. for the purchase of an Auto Transformer for the Jackson Pike Substation for the Division of Power. This will replace the current auto transformer that was manufactured in 1980 and is near the end of its life. It is the largest transformer in the Division’s system and carries the largest portion of the Division's load, being the main supply of power to Jackson Pike and West Substations, and part of Furnace and sometimes Southerly Substations.
2. PROCUREMENT PROCESS: The Purchasing Office advertised and solicited competitive bids in accordance with the relevant provisions of City Code Chapter 329 relating to competitive bidding (RFQ007035). Sixty-two (62) bidders (1 HL1, 2 MBE, 2 MBR, 57 MAJ) were solicited and four (4 MAJ) bids were received and opened on November 9, 2017.
All four bids were deemed non-responsive for the following deficiencies:
Bidder-Apparent Bid Price-Bid Deficiencies
1. PTI Transformer - $775,000
A) The bidder included their own terms and conditions, which were in conflict with the City’s terms and conditions.
B) The proposed transformer would not fit in the substation space allotted.
2. Fortune Electric Co., Ltd. - $1,541,870
A) The bidder included their own terms and conditions, which were in conflict with the City’s terms and conditions.
B) The proposed transformer would not fit on existing concrete pad.
3. PEPCO - $1,314,550
A) The bidder omitted a required bid page that included pricing of travel and expenses.
4. VRT Power - $920,414
A) The bidder included their own terms and conditions, which were in conflict with the City’s terms and conditions.
B) The proposed transformer would not fit in the substation space allotted.
The Division attempted to negotiate the necessary revisions from the apparent low bidder, PTI Transformer, but they did not respond to the City’s request to waive their terms and...
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