DATE: August 22, 2019
TO: Board of Mayor and Aldermen
FROM: Eric Stuckey, City Administrator
SUBJECT:
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Sole-source purchase from and execution of contract with Physio Control, Inc. for an annual maintenance contract for 5 LifePak 15 cardiac monitors and 6 LifePak 1000 automated external defibrillators (AED’S) City Contract No. 2019-0208.
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Purpose
The purpose of this memorandum is to provide information to the Franklin Board of Mayor and Aldermen (BOMA) concerning report execution of City Contract No. 2019-0208 with Physio-Control, Inc. of Redmond, Washington for the annual maintenance contract in the total amount of $39,628.80 for five (5) cardiac monitor/defibrillators and six (6) AED’s payable in four (4) annual installments of $9,907.20 to commence 07/05/2019 and continue through 07/04/2023.
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 the purchase of the annual maintenance contract is a sole-source purchase and is a purchase that falls into the category referenced above and anticipated by City Purchasing Policy as not requiring individual authorization by the Board of Mayor and Aldermen. Evidence to support this opinion includes:
• Because the Franklin Fire Department is under the medical direction of Williamson Medical Center, and because the Fire Department’s cardiac monitors and defibrillators must communicate with Medical Center technology, and because the Medical Center utilizes the LifePak brand of AEDs on its fleet of ambulances and pads connected to the defibrillators must be interchangeable for all defibrillators that communicate with Williamson Medical Center, LifePak is the only brand of cardiac monitors and defibrillators that the Fire Department is able to utilize.
• LifePak brand cardiac monitors and defibrillators are only available direct from the manufacturer, Physio-Control, Inc. The manufacturer has stated in writing that it is the sole provider in the Franklin marketplace for sale of the LifePak brand cardiac monitors and defibrillators.
Financial Impact
City Contract No. 2019-0208 as executed with Physio-Control, Inc. of Redmond, Washington, for the sole-source purchase in the total amount of $39,628.80.
Recommendation
City Contract No. 2019-0208 as executed with Physio-Control, Inc. of Redmond, Washington, for the sole-source purchase in the total amount of $39,628.80 for an annual maintenance contract for five (5) cardiac monitor/defibrillators, and six (6) AED’s, is attached