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Chief Administrative Office, Procurement and Contracts Division, on behalf of the Department of Transportation, Environmental Management Department and the Chief Administrative Office, Facilities Division, recommending the Board approve the following:
1) Waive formal bid requirements in accordance Purchasing Ordinance 3.12.160, exemptions from competitive process, Section F;
2) Extend and increase blanket purchase order BP20170335 for the purchase of Diesel Fuel and Winterization Fuel Additive to the low qualified bidder, Hunt & Sons, Inc. of Placerville, CA;
3) Authorize the Purchasing Agent to the sign blanket purchase order for an additional twelve-month (12-month) period in the amount of $250,000 for a total amount of $850,000, with no change to the pricing terms, following Board approval; and
4) Authorize the Purchasing Agent to increase the blanket purchase order on an "as needed" basis during the awarded period as long as funding is available within the requesting department's budget.
FUNDING: Road Fund for road maintenance equipment and vehicles. CSA 10 Funding for Environmental Management Division's generator fuel tank purchases (dependent on service area). General Fund for Facilities generator tank(s) fuel purchases.
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DEPARTMENT RECOMMENDATION
Chief Administrative Office, Procurement and Contracts Division, on behalf of the Department of Transportation, Environmental Management Department and the Chief Administrative Office, Facilities Division, recommending the Board approve the following:
1) Waive formal bid requirements in accordance Purchasing Ordinance 3.12.160, exemptions from competitive process, Section F;
2) Extend and increase blanket purchase order BP20170335 for the purchase of Diesel Fuel and Winterization Fuel Additive to the low qualified bidder, Hunt & Sons, Inc. of Placerville, CA;
3) Authorize the Purchasing Agent to the sign blanket purchase order for an additional twelve-month (12-month) period in the amount of $250,000 for a total amount of $850,000, with no change to the pricing terms, following Board approval; and
4) Authorize the Purchasing Agent to increase the blanket purchase order on an "as needed" basis during the awarded period as long as funding is available within the requesting department's budget.
DISCUSSION / BACKGROUND
In October 2016, the Procurement and Contract Division issued an invitation to bid #17-405-011 for Diesel Fuel and Winterization Fuel Additive. On December 16, 2016 the Board awarded the bid to the low qualified bidder, Hunt & Sons, Inc. of Placerville, CA, and authorized the Purchasing Agent to issue a blanket purchase order in the amount of $600,000 for a twelve-month (12-month) award period following Board approval.
Department of Transportation and Environmental Management are requesting a twelve-month (12-month) extension and an increase to this blanket purchase order contract in the amount of $250,000 (for a total award of $850,000). The fuel and additives are used to power road maintenance and septage plant equipment and vehicles, and to power emergency generators located at various County maintained facilities is necessary.
The Board is asked to waive formal bid requirements in accordance with Purchasing Ordinance 3.12.160, Section F which allows for such an extension provided the contractor agrees to furnish such products or services at the same contract price and under the same terms and conditions as the prior contract. The vendor has agreed to extend the contract under the same terms, conditions and pricing.
ALTERNATIVES
The Board of Supervisors could extend the current blanket purchase order for a lesser period of time and a lesser dollar amount and direct the Procurement and Contracts Division to conduct a new formal bid process.
OTHER DEPARTMENT / AGENCY INVOLVEMENT
N/A
CAO RECOMMENDATION
Approve as recommended.
FINANCIAL IMPACT
There is no change to net County cost. Procurement and Contracts Division has been informed that funding is available within the FY 2017-18 budget for the Department of Transportation, Environmental Management Department and the CAO Facilities Division.
CLERK OF THE BOARD FOLLOW UP ACTIONS
None
STRATEGIC PLAN COMPONENT
N/A
CONTACT
Terri Knowlton , Purchasing Agent