Title
Procurement and Contracts, a division of the Chief Administrative Office, on behalf of the Department of Transportation, recommending the Board:
1) Award Bid 24-0067 for the purchase of 2 above-ground fuel tanks to the lowest bidder, Bagley Enterprises, Inc. of Lodi, California; and
2) Authorize the Purchasing Agent to issue a purchase order in the amount of $290,000 plus estimated applicable taxes and fees of $28,525 for a one-time purchase of $318,525 following Board approval.
FUNDING: Road Fund (100%).
Body
DISCUSSION / BACKGROUND
At the request of the Department of Transportation, Maintenance and Operations Division, the Procurement and Contracts Division issued Invitation to Bid 24-0067 for the purchase of above--ground fuel storage tanks and dispensing systems. The fuel tank improvement is included on the Fiscal Year (FY) 2024-25 Fixed Asset List at $1,000,000. The aboveground fuel tanks will replace the underground fuel tanks in South Lake Tahoe due to the current tanks consistently failing and causing environmental concerns.
The Invitation to Bid was published in the County's eProcurement system, PlanetBids. Twenty-eight (28) vendors were notified, one (1) was a local vendor. Two (2) qualified responses were received. Upon evaluation, Bagley Enterprises, Inc. of Lodi, California was determined to be the lowest, responsive bidder at $285,000. Upon review, Transportation determined it would be necessary to include two additional nozzle and hose units to allow trucks to fuel from either side of the fuel dispensing station. The additional cost of $5,000 will be added to the purchase order for an updated total of $290,000 plus taxes, fees and freight estimated at $28,525.
Transportation will return to the Board at a later date to award and execute an agreement for the installation of the new aboveground tanks and removal of the existing underground tanks.
ALTERNATIVES
The Board could choose to not approve and award the bid to Bagley Enterprises, Inc., however the current underground tanks are a high risk for leaks and failures which hinders road maintenance operations.
PRIOR BOARD ACTION
N/A
OTHER DEPARTMENT / AGENCY INVOLVEMENT
Department of Transportation
CAO RECOMMENDATION / COMMENTS
Approve as recommended.
FINANCIAL IMPACT
There is no impact to Net County Cost. Funding is currently available within the Department of Transportation's FY 2024-25 recommended budget.
CLERK OF THE BOARD FOLLOW UP ACTIONS
N/A
STRATEGIC PLAN COMPONENT
N/A
CONTACT
Rafael Martinez, Director of Transportation
Michele Weimer, Procurement and Contracts Manager/Purchasing Agent