Title
AUTHORIZATION TO ENTER INTO A LINKING AGREEMENT WITH SUMMIT ELECTRIC SUPPLY CO., INC., FOR THE PURCHASE OF ELECTRICAL SUPPLIES
Staff Contact: Jack Friedline, Director, Public Works
end
Purpose and Recommended Action
.ecommendation
This is a request for City Council to authorize the City Manager to enter into a Linking Agreement with Summit Electric Supply Co., Inc., for electrical supplies in an amount not to exceed $150,000 for the entire term of the Agreement, and to authorize the City Manager to renew the agreement, at the City Manager’s discretion, for an additional three, one-year renewals. The initial term of the agreement is effective until February 5, 2018.
ody
Background
The Agreement with Summit Electric Supply Co. Inc. will be used for the purchase of miscellaneous electrical parts, supplies, and tools for City of Glendale facilities on an as-needed basis.
Summit Electric Supply Co., Inc. was awarded a bid by the City of Tempe as described in the Electrical Supplies Contract and staff is requesting to utilize the cooperative purchase with Strategic Alliance for Volume Expenditures (SAVE). SAVE is a consortium of local municipalities in which Glendale is a member. Contract No. T16-101-03 was awarded on February 6, 2016 and is effective through February 5, 2018, and includes an option to renew the contract an additional three, one-year periods, allowing the contract to be extended through February 5, 2021.
Cooperative purchasing allows counties, municipalities, schools, colleges and universities in Arizona to use a contract that was competitively procured by another governmental entity or purchasing cooperative. Such purchasing helps reduce the cost of procurement, allows access to a multitude of competitively bid contracts, and provides the opportunity to take advantage of volume pricing. The Glendale City Code authorizes cooperative purchases when the solicitation process utilized complies with the intent of Glendale’s procurement processes. This cooperative purchase is compliant with Chapter 2, Article.
Analysis
Facilities Management staff oversees 3.5 million square feet of city facilities dispersed over 55 square miles throughout the city. This Amendment will allow Facilities Management to continue to provide electrical maintenance and repairs on an as-needed basis to its tenants in city facilities, without interruption of service.
Summit Electric Supply Co. currently provides electrical supplies to the Water Services Department and is capable in adding services for Facilities Management in this separate Agreement.
Previous Related Council Action
On October 25, 2016, Council authorized entering into Amendment No. 1 to the Linking Agreement with Summit Electric Supply Co. Inc., Contract No. C-10913-1, to increase the expenditures of funds in an amount not to exceed $1,250,000 for the entire term of the Agreement for the Water Services Department.
On June 14, 2016, Council authorized entering into a Linking Agreement with Summit Electric Supply Co. Inc., C-10913, for the purchase of electrical supplies, in an amount not to exceed $500,000, for the entire term of the agreement and authorized the City Manager to renew the agreement for four, one-year terms, for the Water Services Department.
Community Benefit/Public Involvement
Maintaining proper service to electrical and lighting of city facilities is necessary for the safety of employees who work and individuals who visit these public facilities.
Cooperative purchasing typically produces the lowest possible volume prices and allows for the most effective use of available funding. The bids are publicly advertised and all Arizona firms have an opportunity to participate.
Budget and Financial Impacts
Funding is available in the Fiscal Year 2016-17 Operating and Maintenance budgets for the various city departments. Expenditures with Summit Electric Supply Co. Inc. are not to exceed $150,000 for the entire term of the Agreement, contingent upon Council budget approval.
|
Cost |
Fund-Department-Account |
|
$150,000 |
Various |
Capital Expense? No
Budgeted? Yes
Requesting Budget or Appropriation Transfer? No
If yes, where will the transfer be taken from?