Explanation
1. BACKGROUND
This ordinance authorizes the Director of Public Service to re-establish funding for purchase orders issued from a Universal Term Contract (UTC) that has been previously established by the Purchasing Office.
Mike Albert Leasing, Inc. vendor#0214442, PA002701 - Electric Vehicles UTC - expired 9/30/2019 - ($1,231,327.29 estimated)
Ordinance 1556-2019 authorized the Director of Finance and Management to establish purchase orders with Mike Albert Fleet Solutions for the acquisition of fifty-eight (58) battery electric and plug in hybrid electric vehicles as part of the Smart City program, for use by various City of Columbus Departments and Divisions. The Fleet Management Division was authorized to purchase and place into service 11 Kia NIRO, 22 Nissan Leaf and 25 Toyota Prius vehicles. Placement of these units was to meet and/or exceed the Mayor’s Green Fleet Action Plan by further reducing harmful carbon emissions and Green House Gases in Central Ohio and is in accordance with the commitments to the Smart City Program.
The Department of Public Service set up two (2) Purchase Orders to procure a total of seven (7) Nissan Leafs - three (3) for the Division of Design and Construction (DODC), and four (4) for the Parking Services Division (PSD):
PO180446-1 $70,623.90 DODC
PO180313-1 $94,165.20 PSD
Total: $164,789.10
All the Nissan Leafs for both Divisions were received and put into use by the City’s Fleet Management Division, and currently are in use by the Department of Public Service. Unfortunately, due to the City’s year end Purchase Order cleanup process, both purchase orders were cancelled. This error removed the remaining funds encumbered by the purchase orders and closed the purchase orders, making them unusable for paying invoices. It is necessary to re-encumber funds in the amount of $77,821.00, the balance that should still be available on the cancelled purchase orders, and issue a new purchase order for this amount so the invoices still owed to Mike Albert Leasing, Inc. can be paid.
Searches in the System for Award Management (Federal) and the Findings for Recovery list (State) produced no findings against Mike Albert Leasing, Inc.
2. CONTRACT COMPLIANCE
The contract compliance number for Mike Albert Leasing, Inc. is expired and Mike Albert Leasing, Inc. will need to update their vendor profile before issuance of the purchase order.
3. FISCAL IMPACT
Funding for this expenditure is available within Fund 2241 (Private Construction Inspection Fund) and Fund 5518 (Public Construction Inspection Fund).
4. EMERGENCY DESIGNATION
Emergency action is requested to allow invoices that have been put on-hold due to the financial system error to be paid as soon as possible.
Title
To appropriate funds within the Private Construction Inspection Fund and the Public Construction Inspection Fund; to authorize the Director of Public Service to re-establish funding for a necessary purchase order; to authorize the expenditure of up to $23,346.00 from the Private Construction Inspection Fund and $54,475.00 from the Public Construction Inspection Fund; and to declare an emergency. ($77,821.00)
Body
WHEREAS, the Department of Public Service is engaged in the meeting and/or exceeding the Mayor’s Green Fleet Action Plan by further reducing harmful carbon emissions and Green House Gases in Central Ohio; and
WHEREAS, a purchase order of $70,623.90 (PO180446-1) and a purchase order of $94,165.20 (PO180313-1) were authorized by Ordinance 1556-2019, and issued to procure the electric vehicles; and
WHEREAS, a financial system error caused the cancellation of both PO180446-1 and PO180313-1 before all invoices were paid; and
WHEREAS, it is necessary to re-establish funding and issue a new purchase order to pay for the remaining invoices; and
WHEREAS, funds will need to be appropriated within Fund 2241, the Private Construction Inspection Fund, and within Fund 5518, the Public Construction Inspection Fund; and
WHEREAS, it is necessary to expend funds to pay for outstanding invoices due to Mike Albert Leasing, Inc.; and
WHEREAS, an emergency exists in the usual daily operation of the Department of Public Service in that it is immediately necessary to allow invoices that have been put on-hold due to the financial system error to be paid as soon as possible, thereby preserving the public health, peace, safety, and welfare; now, therefore
BE IT ORDAINED BY THE COUNCIL OF THE CITY OF COLUMBUS:
SECTION 1. That from the unappropriated monies and from all monies estimated to come into said funds from any and all sources and unappropriated for any other purpose during the fiscal year ended December 31, 2021, the sum of $23,346.00 is appropriated in Fund 2241 (Private Construction Inspection Fund), Dept-Div 5912 (Design and Construction), and in Object Class 06 (Capital Outlay) per the account codes in the attachment to this ordinance.
SECTION 2. That from the unappropriated monies and from all monies estimated to come into said funds from any and all sources and unappropriated for any other purpose during the fiscal year ended December 31, 2021, the sum of $54,475.00 is appropriated in Fund 5518 (Public Construction Inspection Fund), Dept-Div 5912 (Design and Construction), and in Object Class 06 (Capital Outlay) per the account codes in the attachment to this ordinance.
SECTION 3. That the Director of Public Service be, and hereby is, authorized to re-encumber funding for, and authorized to make expenditure on, a purchase order with Mike Albert Leasing, Inc., in an amount up to $77,821.00.
SECTION 4. Funds are hereby deemed appropriated and expenditures and transfers authorized to carry out the purposes of this ordinance and the City Auditor shall establish such accounting codes as necessary.
SECTION 5. That the City Auditor is authorized to make any accounting changes to revise the funding source for all contracts or contract modifications associated with this ordinance.
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.