DATE: April 11, 2016
TO: Board of Mayor and Aldermen
FROM: Eric Stuckey, City Administrator
Russell Truell, Assistant City Administrator / CFO
Mark Hilty, Water Management Director
Brian Wilcox, Purchasing Manager
SUBJECT:
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Acknowledge Report Of Sole-Source Purchase From And Execution Of Contract With Westech Engineering, Inc. Of Salt Lake City, Utah In The Total Amount Of $67,315.00 To Replace The Westech Drive Unit For Clarifier No. 9 At City’s Water Reclamation Facility For The Water Management Department (To Be Allocated To 431-89530-52213; Cof Contract No. 2016-0050)
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Purpose
The purpose of this procurement is to purchase one (1) new 42-inch drive unit for clarifier no. 9 at City’s Water Reclamation Facility. The purchase includes removal of the existing unit and turnkey installation of the new unit. The clarifier’s drive unit is what powers the mechanical works of the clarifier. The existing drive unit went out of service recently and needs to be rebuilt or replaced with a rebuilt or new unit.
Background
City Purchasing Policy allows for the following category of sole-source purchases valued at or greater than $25,000 not to require individual authorization by the Board of Mayor and Aldermen (but which shall be reported to the Board): purchases of items that have, for good and sufficient reason, previously been standardized by the City, so long as the product manufacturer representative has stated in writing that the vendor is the sole source available to the City of Franklin, and so long as the vendor has stated in writing that the quoted pricing is the lowest municipal unit pricing available at that time and in the foreseeable future for the quantity indicated.
Staff is of the opinion that replacing the WesTech drive unit for clarifier no. 9 at City’s Water Reclamation Facility is a sole-source purchase. Evidence to support this opinion includes WesTech is the manufacturer and installer of all of the City’s clarifier equipment, including for the City’s other five currently operational clarifiers. WesTech Engineering has stated in writing that the quoted pricing is the lowest municipal unit pricing available at this time and in the foreseeable future for the quantity indicated.
Returning clarifier no. 9 to operational status is not something that may be postponed inasmuch as the Water Reclamation Facility depends on having six fully functional clarifiers to handle peak flows.
Financial Impact
The Water Management Department budget for fiscal year 2016 does not anticipate this purchase. However, the Water Management Department has identified anticipated savings elsewhere in its operating budget out of the Wastewater Fund more than sufficient to cover this purchase such that no budget amendment is necessary to accommodate this purchase.
Options
WesTech presented options for rebuilding or replacing the existing drive unit with a rebuilt or new unit. The option of best value to the City was to replace the existing drive unit with a new unit.
Recommendation
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Staff recommends that the Board of Mayor and Aldermen acknowledge receipt of this report of sole-source purchase from and execution of contract with WesTech Engineering, Inc. of Salt Lake City, Utah in the total amount of $67,315.00 to replace the WesTech drive unit for clarifier no. 9 at City’s Water Reclamation Facility for the Water Management Department (CoF Contract No. 2016-0050). Purchasing Manager Brian Wilcox is of the opinion that the sole-source purchase appears to be justified.