Report Prepared by: Ken F. Elwin, PE, Director of Public Works
Title
SUBJECT: Approval to Waive the Competitive Bidding Requirements, and Approval of Agreements for Supplies and Services for the Purchase of Various Vehicle Parts and Vehicle Repair/Parts Installation Services with Interstate Truck Center, LLC, in the Amount not to Exceed $50,000, Supply and Delivery of Herbicides and Related Application Equipment with Rentokil North America, Inc., dba Target Specialty Products, in the Amount not to Exceed $55,000, and Supply and Delivery of Agricultural Chemicals with Wilbur-Ellis Company, LLC, in the Amount not to Exceed $60,000, with the Contracts’ Terms Ending June 30, 2022
REPORT IN BRIEF
Considers waiving the City’s competitive bidding requirements pursuant to Merced Municipal Code Section 3.04.210 and approving three (3) separate Supply and Service Agreements for the purchase of vehicle parts and repair services, herbicides and related application equipment, as well as agricultural chemicals.
RECOMMENDATION
City Council - Adopt a motion:
A. Waiving the City’s competitive bidding requirement as permitted by Merced Municipal Code Section 3.04.210; and,
B. Approving an Agreement for Supplies and Services with Interstate Truck Center, LLC, in the amount not to exceed $50,000; and,
C. Approving the Agreement for Supplies and Services with Rentokil North America, Inc., dba Target Specialty Products, in the amount not to exceed $55,000; and,
D. Approving the Agreement for Supplies and Services Wilbur-Ellis Company, LLC, in the amount not to exceed $60,000; and,
E. Authorizing the City Manager or the Deputy City Manager, to execute the necessary documents.
Body
ALTERNATIVES
1. Approve, as recommended by staff; or,
2. Approve, subject to conditions other than recommended by staff (identify specific findings and/or conditions amended to be addressed in the motion); or,
3. Deny; or,
4. Refer to staff for reconsideration of specific items; or,
5. Continue to a future meeting (date and time to be specified in the motion).
AUTHORITY
City of Merced Charter Section 3.04.210 - Exemptions from Competitive Bidding:
Except as otherwise provided in this chapter, competitive bidding requirements for purchases in excess of twenty-five thousand dollars ($25,000.00), the "bidding threshold”, may be waived with the approval of the city council. Waivers may be authorized for, but are not limited to, cooperative purchasing in conjunction with other governmental entities, professional services, annual service or supply agreements, or purchases necessary for standardization on particular types of equipment. The bidding threshold shall be adjusted for inflation utilizing the same index and methodology as the bidding threshold in Section 3.04.080 of this code.
CITY COUNCIL PRIORITIES
As provided for in the FY 2021/2022 adopted budget.
DISCUSSION
The City of Merced Public Works Department utilizes multiple vendors for the purchase of vehicle parts and services, herbicides and related supplies, as well as agricultural chemicals used for fertilization and pest management. These materials and services are needed for regular maintenance, unforeseen repair work, or work related to vehicle accidents that damage City infrastructure.
The Public Works Fleet, Streets, and Wastewater Treatment Divisions perform in-house maintenance and repair work related to the materials referenced above. However, occasionally due to staffing or specialty repair work needed for specific projects, these services may be outsourced to the various vendors.
The Public Works Department is requesting Council waive competitive bidding requirements to allow for the annual supply and service agreements to be executed up to the listed threshold amounts. The agreements have been approved as to form by the City Attorney’s Office and funding is available within the FY 2021/2022 adopted budget.
IMPACT ON CITY RESOURCES
No appropriation of funds is needed; funding is available within the FY 2021/2022 adopted budget.
ATTACHMENTS
1. Interstate Truck Center Agreement
2. Rentokil North America dba Target Specialty Products Agreement
3. Wilbur-Ellis Company Agreement