Explanation
1. BACKGROUND
This ordinance authorizes the Director of Finance and Management, on behalf of the Department of Public Utilities, to enter into a contract with Elford, Inc. for the purchase of used trailers in an amount up to $499,000.00.
City Council approved awarding the construction contract for the Water Quality Assurance Lab Renovations project, CIP #690515-100000, to Elford, Inc. (hereafter referred to as “Elford”) via Ordinance #0339-2022, passed by City Council on 2/28/22. As part of this project, it was necessary to establish a temporary laboratory facility to allow the Water Testing Lab to continue its work and for the Division of Water (DOW) to maintain compliance with regulatory requirements for testing while the permanent lab was being renovated. The temporary lab consists of a triple-wide office trailer, a restroom trailer, and three sets of double-wide modular lab trailers. The DOW has identified several potential secondary beneficial uses for these trailers to serve as office and lab spaces beyond the duration of the current project, including as temporary offices while the 910 Dublin Road office facility is renovated. The trailer complex readily provides the available space for these uses without the need for additional costly capital renovations elsewhere.
Now that the Water Quality Assurance Lab Renovations project is nearly completed, Elford does not have further use of the trailers. As part of the contract, Elford will have to pay to have the trailers removed and to restore the land to its original condition. Elford would then have to find a buyer for the trailers or otherwise dispose of them. Elford is willing to sell the trailers to the DOW to avoid these costs.
1.1. Amount of funds to be expended: $499,000.00
Purchase Used Trailers $499,000.00
1.2. How the cost was determined:
The Division of Water performed a cost benefit analysis on the purchase of new trailers versus used trailers. By researching the median cost of used trailers it was determined the amount Elford was requesting for the used trailers was fair. The DOW then negotiated with Elford to reduce the purchase price.
2. WAIVER OF COMPETITIVE BID REQUIREMENTS REQUESTED
A waiver of the competitive bid requirements of Columbus City Code Chapter 329 is requested as these are used trailers already configured for use as office and laboratory space and already in place on Department of Public Utilities property.
3. CONTRACT COMPLIANCE INFORMATION
Elford’s contract compliance number is CC006059 and expires 12/28/2025.
4. FISCAL IMPACT
Funding is available for this expenditure in the Water PayGo Fund, Fund 6016. An amendment to the 2023 Capital Improvement Budget is needed to align budget authority with the proper project. A transfer of cash between projects within Fund 6016 is needed to align cash with the proper project, then the funds will need to be appropriated.
Title
To authorize the Director of the Department of Finance and Management, on behalf of the Department of Public Utilities, to enter into a contract with Elford, Inc. for the purchase of used trailers; to authorize an amendment to the 2023 Capital Improvement Budget; to authorize the transfer of cash between projects within the Water PayGo Fund; to appropriate funds within the Water PayGo Fund; to waive the competitive bidding requirements of Columbus City Code; and to authorize the expenditure of up to $499,000.00 from the Water PayGo Fund for the contract. ($499,000.00)
Body
WHEREAS, the Department of Public Utilities is engaged in the Water Quality Assurance Lab Renovations project; and
WHEREAS, the construction contract for the Water Quality Assurance Lab Renovations project was awarded to Elford and approved by City Council via Ordinance 0339-2022; and
WHEREAS, as part of the construction contract, Elford established a trailer complex on Department of Public Utilities property to be used as temporary offices and as a temporary water testing lab while the Water Quality Assurance Lab was being renovated; and
WHEREAS, the Water Quality Assurance Lab Renovations project is nearly complete and Elford will need to dispose of the trailers and restore the land where they are currently located; and
WHEREAS, the Department of Public Utilities has upcoming needs for temporary office and lab space; and
WHEREAS, Elford is willing to sell the used trailers to the Department of Public Utilities and the Department of Public Utilities is willing to purchase the trailers; and
WHEREAS, a waiver of the competitive bidding requirements of Columbus City Code Chapter 329 is needed for this purchase; and
WHEREAS, a contract will need to be established with Elford by the Director of Finance and Management for the purchase of the trailers on behalf of the Department of Public Utilities; and
WHEREAS, an amendment to the 2023 Capital Improvement Budget is needed to align budget authority with the proper project; and
WHEREAS, it is necessary to transfer cash between projects within the Water PayGo Fund, Fund 6016, to align cash with the proper project; and
WHEREAS, it is necessary to appropriate funds within the Water PayGo Fund, Fund 6016; and
WHEREAS, funds must be expended to pay for the trailer purchase from Elford; NOW THEREFORE
BE IT ORDAINED BY THE COUNCIL OF THE CITY OF COLUMBUS:
SECTION 1. That the 2023 Capital Improvements Budget authorized by Ordinance 1711-2023 be amended as follows to establish sufficient budget authority for this project:
Fund / Project Number / Project Name (Funding Source) / Current Authority / Revised Authority / Change
6016 / 601699-100000 / Unallocated Balance Fd. 6016 (Water PayGo Carryover) / $2,978,503.00 / $2,479,503.00 / ($499,000.00)
6016 / 690515-100001 / Water Quality Assurance Lab Renovations- Trailer Purchase (Water PayGo Carryover) / $0.00 / $499,000.00 / $499,000.00
SECTION 2. That the transfer of $499,000.00, or so much thereof as may be needed, is hereby authorized between projects within the Water PayGo Fund, Fund 6016, per the accounting codes in the attachment to this Ordinance.
SECTION 3. That from the unappropriated monies and from all monies estimated to come into said fund from any and all sources and unappropriated for any other purpose during the fiscal year ended December 31, 2024, the sum of $499,000.00 is appropriated in the Water PayGo Fund, Fund 6016, per the account codes in the attachment to this ordinance.
SECTION 4. That City Council agrees it is in the best interest of the City to waive the competitive bidding requirements of Columbus City Code Chapter 329 for this purchase.
SECTION 5. That the Director of Finance and Management, on behalf of the Department of Public Utilities, is authorized to enter into a contract with Elford, 1220 Dublin Rd., Columbus, Ohio 43215, for the purchase of used trailers in an amount not to exceed $499,000.00.
SECTION 6. That an expenditure not to exceed $499,000.00 is authorized per the accounting codes in the attachment to this Ordinance.
SECTION 7. Funds are 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 8. 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 9. That the City Auditor is authorized to transfer the unencumbered balance in a project account to the unallocated balance account within the same fund upon receipt of certification by the Director of the Department administering said project that the project has been completed and the monies are no longer required for said project.
SECTION 10. That this Ordinance shall take effect and be in force from and after the earliest period allowed by law.