Explanation
BACKGROUND: The Department of Public Utilities entered into a contract with The Herald, Inc. for the purchase of printing services for the Department of Utilities. These services include, but are not limited to prepress, printing, variable data imaging, finishing, fulfillment, CD production, and delivery services. This contract was the result of a Director's bid received on December 23, 2016 (RFQ004083). The Herald, Inc. was the lowest, responsive and responsible, and best bidder and complied with all requirements of the specifications. The original contract was in effect from the date of execution to March 31, 2018 with an annual extension clause that provides for four additional one-year extensions. The Department is pleased with their performance and would like to renew and modify the original contract to extend the term for one additional year, to March 31, 2022, and add an additional $21,600 to cover increased expenses.
There is a need to enter into a modification of the original contract to add additional funds for the Department of Public Utilities and to ensure that there are no interruptions in the timely delivery of printing services.
The company is 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.
VENDOR: The Herald, Inc. (27-3190748, DAX #003174), Pending Certification update; does not hold MBE/FBE status.
1. Amount of additional funds: Total amount of additional funds needed for this contract modification No. 5 is ADD $21,600.00. Total contract amount including this modification is $475,411.73. The modification represents a further increase in the number of items needed related to changed methods of delivery and funding added during the contract period for costs related to the services provided. The need for increased funding is to cover anticipated contract billings during fiscal year 2021.
2. Reason additional needs were not foreseen: The need for additional funds was foreseen, an extension is provided for in the original contract. This legislation is to encumber the funds budgeted for fiscal year 2021 for the Department of Public Utilities.
3. Reason other procurement processes not used: No lower pricing/more attractive terms and conditions are anticipated at this time.
4. How cost was determined: The increase in quantities is based on the information provided to customers. All other costs, terms and conditions are in accordance with the original agreement.
FISCAL IMPACT: $21,600.00 is budgeted and needed for this purchase.
$59,111.75 was spent in 2020.
$55,271.30 was spent in 2019.
Title
To authorize the Director of Public Utilities to renew, modify, and increase the contract with The Herald, Inc. for printing services; to authorize the expenditure of $5,200.00 from the Electricity Operating Fund, $6,000.00 from the Storm Sewer Operating Fund, and $10,400.00 from the Sanitary Sewer Systems Operating Fund ($21,600.00).
Body
WHEREAS, the Department of Public Utilities has a contract with The Herald, Inc. for printing services; and
WHEREAS, per the terms of the contract, the vendor has agreed to modify PO054484 to increase funding at the same unit pricing and the same escalator clause to and including March 31, 2022, and it is in the best interest of the City to exercise this option; and
WHEREAS, it has become necessary in the usual daily operation of the Department of Public Utilities to authorize the Director to modify and increase Contract No. PO054484 with the Herald, Inc. for printing services; now, therefore,
BE IT ORDAINED BY THE COUNCIL OF THE CITY OF COLUMBUS:
SECTION 1. That the Director of Public Utilities be, and is hereby, authorized to renew, modify, and increase PO054484 with The Herald, Inc., in accordance with the terms and conditions as shown in the agreement on file in the office of the Department of Public Utilities. The total amount of modification No. 5 is $5,200.00 for the Division of Power and $16,400.00 for the Division of Sewerage and Drainage for a total of $21,600. Total contract amount including this modification is $475,411.73.
SECTION 2. That the expenditure of $21,600.00 or so much thereof as may be needed, be and is hereby authorized in Fund 6300 (Electricity Operating), Fund 6200 (Stormwater Operating) and Fund 6100 (Sewer Operating); in object class 03 Services per the accounting codes in the attachment to this ordinance.
SECTION 3. That this modification is in accordance with the relevant provisions of Chapter 329 of City Code, relating to contract modifications.
SECTION 4. That the funds necessary to carry out the purpose of this ordinance are hereby deemed appropriated, and the City Auditor shall establish such accounting codes as necessary.
SECTION 5. That this Ordinance shall take effect and be in force from and after the earliest period allowed by law.