Title Department of Transportation recommending the Board:
1) Find Hymax fuel cell systems and parts are exempt from competitive bidding in accordance with County Procurement Policy C-17 Section 3.4.2 due to Western Systems Inc. being a sole source supplier;
2) Approve and authorize the Purchasing Agent to sign purchase contract 9872 with Western Systems Inc. of Everett, Washington with a three (3) year term and not-to-exceed amount of $300,000; and
3) Authorize the Purchasing Agent to increase the purchase contract for Hymax fuel cell systems and parts during the term as long as funding is available within Transportation's budget.
FUNDING: Master Circulation & Funding Plan Financing (MC&FP) (50%) and TIM Zone 1-7 (50%).
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DISCUSSION / BACKGROUND
Department of Transportation (Transportation) has been purchasing and utilizing Hymax Fuel Cell Systems as a backup energy source for traffic signal locations. Each time a purchase is requested, a sole source is generated and approved. Due to the volume of anticipated purchases over a three (3) year period for both maintenance and Capital Improvement Projects, Transportation has determined a three (3) year purchase contract is necessary.
County Procurement Policy C-17 3.4.2 describes sole source/single source purchases were there is only one vendor capable of providing an item or service, and therefore it is not possible to obtain competitive bids because of (d) a distributor has an exclusive franchise or operating agreement with the supplier of goods to be purchased or maintained and no other person or entity may provide, install, service, or maintain the goods in the County’s jurisdiction. Due to this exemption, Transportation is able to purchase solely from Western Systems, Inc. for Hymax Fuel Cell Systems and parts. Annually, Transportation purchases fuel cell systems or replacement parts, however additional fixed assets were determined to be needed when developing CIP# 36105011, Diamond Springs Parkway Proje...
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