Title
Chief Administrative Office, Procurement and Contracts recommending the Board approve the following:
1) Award Bid 18-405-037 for the purchase of propane gas for the West Slope of El Dorado County to the low qualified bidder, Hunt & Sons Inc. of Placerville, CA;
2) Authorize the Purchasing Agent to issue a contract in the amount of $1,500,000 for a five-year (5-year) period pending Board approval; and
3) Authorize the Purchasing Agent to increase the contract on an "as needed" basis during the awarded period as long as funding is available within the requesting department's budget.
FUNDING: General Fund initially, with partial reimbursement from outside funding sources.
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DEPARTMENT RECOMMENDATION
Chief Administrative Office, Procurement and Contracts Division, recommending the Board approve the following:
1) Award Bid No. 18-405-037 for the purchase of propane gas for the West Slope of El Dorado County to the lowest responsive and responsible bidder, Hunt & Sons Inc. of Placerville, CA;
2) Authorize the Purchasing Agent to issue a contract in the amount of $1,500,000 for a five-year (5-year) period pending Board approval; and
3) Authorize the Purchasing Agent to increase the contract on an "as needed" basis during the awarded period as long as funding is available within the requesting department's budget.
DISCUSSION / BACKGROUND
The Procurement and Contracts Division issued an Invitation to Bid #18-405-037 for the purchase of propane gas for county wide use on the West Slope of El Dorado County. The vendor was requested to bid a differential rate over the Butane Propane News (BPN), San Francisco location. This will provide the West Slope of El Dorado County with secured pricing for the awarded period.
Ten (10) Invitations to Bid were mailed, eight (8) to local vendors; five (5) qualified responses were received, four (4) from local vendors. Pending board approval, the award will be made to a local vendor, Hunt & Sons Inc., of Placerville, CA.
ALTERNATIVES
If the Board does not approve the agenda item, the county will source another vendor for propane gas, likely at a higher rate, at a greater expense to the County.
OTHER DEPARTMENT / AGENCY INVOLVEMENT
N/A
CAO RECOMMENDATION
It is recommended that the Board approve this item.
FINANCIAL IMPACT
Procurement and Contracts has been advised that funding is available within the various Departments' budget.
CLERK OF THE BOARD FOLLOW UP ACTIONS
None
STRATEGIC PLAN COMPONENT
Good Governance.
CONTACT
Alex Strudley, Purchasing and Contracts Manager