Title
MOTION TO APPROVE THE PURCHASE AND INSTALLATION OF TWO (2) CITY- STANDARD HOFFMAN MODEL 751 MULTISTAGE CENTRIFUGAL AIR BLOWERS FROM THE SOLE SOURCE REPRESENTATIVE, TSC JACOBS, INC., IN AN AMOUNT NOT TO EXCEED $449,285.22, WHICH INCLUDES A 8.1% OWNER’S CONTINGENCY IN THE AMOUNT OF $33,665.22, PURSUANT TO SECTION 35.18(C)(3) OF THE CITY’S CODE OF ORDINANCES.
PROCUREMENT PROCESS TAKEN:
PROCUREMENT PROCESS TAKEN:
- Chapter 35 of the City’s Code of Ordinance is titled “PROCUREMENT PROCEDURES, PUBLIC FUNDS.”
- Section 35.18 of the City's Code of Ordinances is regarding "COMPETITIVE BIDDING OR COMPETITIVE PROPOSALS REQUIRED; EXCEPTIONS."
- Section 35.18(C) states that "Only the following situations are exempt from the competitive bid and competitive proposal requiremetns of this section:"
- Section 35.18(C)(3) of the City's Code of Ordinances states, "City Standard, single-source and sole-source commodities or services. City standard, single-source and sole-source commodities or services are exempt from competitive bidding."
- Section 35.21(A)(1) of the City’s Code of Ordinance states, "An initial purchase of, or contract for, commodities or services, in excess of $25,000, shall require the approval of the City Commission, regardless of whether the competitive bidding or competitive proposal procedures were followed."
Summary Explanation and Background
SUMMARY EXPLANATION AND BACKGROUND:
1. The City owns and operates their Wastewater Treatment Plant located at 13955 Pembroke Road.
2. The City Wastewater Treatment Plant functions are based on fresh air being sent to the sewage by mechanical air blowers. Therefore, air blowers are critical infrastructure which requires reliable service and redundancy.
3. There has been several failures of the existing air blower equipment with associated repair costs.
4. It is imperative that the City put back-up blowers in place as a contingency plan for further failure or if one of the existing air blowers is to reach failure.
5. On April 3, 2019, the City Commission approved Gardner Denver Multistage Centrifugal Air Blower Product Line as the City's Standard Air Blower for the Wastewater Treatment Plant.
6. In addition, on April 3, 2019, the City Commission also approved the purchase of two (2) Hoffman Model 751 Multistage Centrifugal Air Blowers from TSC Jacobs, Inc. for the West Blower Building located at the Wastewater Treatment Plant.
7. TSC Jacobs, Inc., is an independent corporation and is in no way affiliated with Jacobs or OMI, the City's Utilitiy function sourcing contractor.
8. The two (2) Hoffman Model 751 Multistage Centrifugal Air Blowers on this agenda item are for the East Blower Building located at the Wastewater Treatment Plant.
9. Gardner Denver, Inc. has provided a sole source letter stating that "TSC-Jacobs/JAWS Jacobs Air Water Systems, Inc. has a 100% exclusive sales representation contract, since July 3, 2003, with the Gardner Denver Blower CF Division, for the complete state of Florida, for all markets including all of the municipal and industrial wastewater and/or water treatment blower applications. This exclusivity is for the complete Gardner Denver CF multistage blower product line including the former Hoffman Air & Filtration Blower line, the former Lamson Corporation blower line, the former invincible blower line, for all wastewater and water treatment applications in, municipal or industrial, sewage and water treatment plants. This 100% exclusivity not only applies to all new equipment sales, it also encompasses all installations, start-up and maintenance service contract for new and existing Gardner Denver, Hoffman, Lamson and Invincible blowers and exhausters in the state of Florida. This 100% exclusivity is also applicable for all Gardner Denver factory authorized service work, all replacement blowers, along with all spare and replacement blower and exhauster parts including motors and coupling replacement parts for the Gardner Denver Multistage Blowers."
10. TSC Jacobs, Inc., the Sole Source representative for Gardner Denver, Inc., has provided a quote for the purchase and installation of two (2) Hoffman Model 751 Multistage Centrifugal Air Blowers:
Description |
Total |
Both Blowers & Accessories |
$ 260,800 |
Blower Motor Starter & Safety Panel |
$ 76,970 |
Installation |
$ 57,850 |
Sub-Total |
$ 395,620 |
|
|
Sub-Total |
$ 395,620 |
Blower Piping Prep & High Heat Paint |
$ 4,500 |
100% Payment & Performance Bonds |
$ 15,500 |
Grand Total |
$ 415,620 |
11. The Utilities Division would also like to add an 8.1% Owner's Contingency to the project to cover any additional services needed which will increase the total cost from $415,620 to $449,285.22.
12. Request City Commission to approve the purchase and installation of two (2) City-Standard Hoffman Model 751 Multistage Centrifugal Air Blowers from the Sole Source Representative, TSC Jacobs, Inc., in an amount not to exceed $449,285.22, which includes a 8.1% owner's contingency in the amount of $33,665.22, pursuant to Section 35.18(C)(3) of the City's Code of Ordinances.
Financial Impact
FINANCIAL IMPACT DETAIL:
a) Initial Cost: $449,285.22, which includes a 8.1% owner's contingency in the amount of $33,665.22
b) Amount budgeted for this item in Account No: There is $449,285.22 available in account # 471-535-6022-834-63183(Sewer Treatment Rehabilitation).
c) Source of funding for difference, if not fully budgeted: Not Applicable.
d) 5 year projection of the operational cost of the project: Based on a 5-year Phase-In electricity cost annually budgeted under account # 471-535-6022-43100 (Electric).
|
Current FY |
Year 2 |
Year 3 |
Year 4 |
Year 5 |
Revenues |
N/A |
N/A |
N/A |
N/A |
N/A |
Expenditures |
$449,285.22 |
$36,500 |
$36,500 |
$36,500 |
$36,500 |
Net Cost |
$449,285.22 |
$36,500 |
$36,500 |
$36,500 |
$36,500 |
e) Detail of additional staff requirements: Not Applicable.