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SR-05-08-2012-3BCity Council Meeting: May 8, 2012 Agenda Item: 3 13 To: Mayor and City Council From: Gigi Decavalles- Hughes, Director of Finance Subject: Purchase of Bus Wash Recommended Action Staff recommends that the City Council award Bid #3076 to DeltaGreen, a California - based company, for the purchase and delivery of bus wash for a three -year term, for a total amount of $300,000. Executive Summary Staff recommends award of bid to DeltaGreen to supply and deliver bus wash in the amount of $300,000 during a three -year term. The Big Blue Bus uses a surfactant base cleaner with a wetting agent to clean transit coach exteriors daily. Discussion The majority of bus wash cleaning solutions contain sodium or potassium hydroxide which is extremely alkaline, resulting in etching and spotting of coach exteriors. The Big Blue Bus used such harsh cleaning solutions in the past due to the lack of non- hazardous alternatives. However, a water -based heavy duty cleaner is now available which effectively removes dirt, oil, and grease without relying on acid, solvent, or any other alkaline substances. Vendor Selection In January 2012, the City published notices inviting bids to provide bus wash as required by the Big Blue Bus in accordance with City specifications. The bid was posted on the City's on -line bidding site, and notices were advertised in the Santa Monica Daily Press in accordance with City Charter and Municipal Code provisions. Five bids were received and publicly opened on January 31, 2012 at 3:00 p.m. in the Finance Department per Attachment A. The bids were evaluated based on the criteria 1 in SMMC 2.24.072, including price, ability to deliver, quality of product, and compliance with City specifications including review by the Office of Sustainability and the Environment. Goldstar Products and Gale Supply, the lowest bidders, did not comply with bid specifications. Although Econoline Industrial Supply provided a lower cost than DeltaGreen Products, DeltaGreen Products quoted a product approved by the Office of Sustainability and the Environment which meets the EcoLogo standard CCD -146, a human health certification standard. This standard means that the product does not contain chemicals that cause cancer or reproductive harm, has low levels of volatile organic compounds, is not corrosive, does not have high human toxicity, is not flammable, is biodegradable, and does not contain chemical ingredients that will harm marine life and other criteria. Based on the criteria, staff recommends DeltaGreen as the best bidder. Financial Impacts & Budget Actions The amount of the purchase orders to be awarded to DeltaGreen for the three -year term is $300,000. Funds in the amount of $100,000 are available in account number 41651.544193, in the FY2011 -13 adopted budget. Budget authority for subsequent years will be requested in each budget cycle for Council approval. Future funding is contingent upon Council approval. Prepared by: Kellee Mac Donald, Senior Buyer Attachments: Attachment A — Pricing 2 Forwarded to Council: Rod Gould City Manager BID #: F3076 Attachment A BID TITLE: PROVIDE BUS WASH SHAMPOO FOR USE WITH SSI BUS WASHER SYSTEM AS REQUIRED BY THE BIG BLUE BUS Vendor DeltaGreen Products Gardena, CA Econoline Industrial Supply Chatsworth, CA Gale Supply Company Los Angeles, CA Goldstar Products Hollywood, FL Select Industrial Supply West Hollywood, CA Purchase Price per Gallon $ 9.95 $ 7.46 $ 5.37 $ 7.18 $ 13.05 Freight Charges $ - $ 70.00 $ - $ 5.69 TBD by UPS Renewal Option Year 2 Increase 0% 09/. 5% 0% 0% Renewal Option Year 3 Increase 0% 0% 5% 0% 0%