DATE: November 26, 2019
TO: Board of Mayor and Aldermen
FROM: Eric Stuckey, City Administrator
Kristine Brock, Assistant City Administrator / CFO
Rocky Garzarek, Fire Chief
Brian Wilcox, Purchasing Manager
SUBJECT:
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Sole-Source Purchase From EDI, LLC Of Dickson, Tennessee In The Total Estimated Amount Of $69,651 For Supply, Delivery And Installation Of A Vehicle Exhaust Extraction System At City Fire Station No. 7 ($70,000 Budgeted In 130-89510-42200 For Fiscal Year 2020)
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Purpose
The purpose of this memorandum is to report the sole-source purchase from EDI, LLC of Dickson, Tennessee in the total estimated amount of $69,651 for supply, delivery and installation of a vehicle exhaust extraction system at City fire station no. 7. The purpose of this purchase is to extract hazardous diesel exhausts from the bay area on the fire-side of this new City facility.
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 necessary to maintain, expand or improve a manufacturer-specific system already in use by the City … and that requires interchangeability or interconnectivity of and/or communication between the component parts, so long as the product manufacturer representative has stated in writing that the vendor is the sole source available to the City, 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 a vehicle exhaust extraction system at City fire station no. 7 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:
• The Plymovent vehicle exhaust extraction system is already installed at each of the City’s other fire stations.
• The manufacturer, Plymovent Corp., has only one authorized dealer for the sales territory that includes Franklin and has stated in writing that the dealer, EDI, LLC of Dickson, Tennessee, is the exclusive dealer in Tennessee for selling, installing and servicing the Plymovent vehicle exhaust extraction system.
Financial Impact
The value of the purchase is in the total estimated amount of $69,651. EDI, LLC has indicated in writing that the quoted pricing represents the best Tennessee municipal pricing possible at this time and in the foreseeable future for the quantity indicated. Staff is of the opinion that the quoted pricing is within what would be expected in the market place for this industry at this time. The Fire Department budget for fiscal year 2020 allocates $70,000 out of the Facilities Tax Fund for this purchase. The EDI, LLC quoted amount is at least $349 (0.5%) under budget.
Options
Staff is not aware of any options available to the City for making this purchase.