SR-08-22-1978-6PSanta Monicl, California Augu1 7, 1978
TO: Mayor and City Council
FROM: City Staff 'AUG 2 2 1978
& act Ay t ,377
SUBJECT: Recommendation to award bid for Senior Citizen Meals.
Bid No. 1390 �a
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Introduction
This report concerns award of bid to furnish an approximate total
of 54,000 complete hot meals to Senior Citizens in the estimated
total amount of $92,610.00 during the period September 1, 1978
through June 30, 1979. Funds are available in account numbers 20-
700- 902 - 000 -437 and 20- 700 - 902 -000 -439, applicable to the Title
VII Nutrition Grant to the City of Santa Monica.
Background
The award for this service for the period beginning July 1, 1978,
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was made to Cassardi Custom Caterers (Bid No. 1352). Subsequent to
the award, this vendor declined to perform in accordance with the
bid proposal. The City Attorney has notified Cassardi Custom Caterers
that the contract was breached and is now establishing the feasibility
of an action to recover damages.
In response to the succeeding Invitation to Bid, proposals were
received and publicly opened and read in the office of the City
Manager August 3, 1978. Proposal forms were mailed to thirteen (13)
watering companies and notices were advertised in accordance with
City charter and municipal code provisions. Additionally, twenty -six
(2.6) telephone calls were made to seek out or to encourage catering
companies to participate. Two (2) bids were received.
Ben Franklin, Inc., submitted a bid of $1.715 per meal with a cash
discount of one -half per cent (, %) ten (10) days. No exceptions to the
City's requirements were taken. Slater Corporation, a division of
AUG 2 2 1978
ARA Food Service Co., bid $1.72 per meal with no cash discount.
Exceptions were taken to the City's proposal including the requirement
for Sunday service. Both bidders extended two (2) one -year options.
The prices proposed are subject to adjustment March 1, 1979, based
upon the percentage of change in the Consumer Price Index, Los Angeles
Metropolitan Area "Food Away From Home." If yearly options are
exercised, these meals also will be subject to comparable adjustment.
These meals are not subject to state sales tax.
The original award to Cassardi Custom Caterers was based upon a firm
$1.72 net price per meal for the period July 1, 1978 through June 30, 1979.
Two one -year options were included, each with a five per cent (5 %)
increase authorized.
The additional cost of this program will be determined by the
percentage of change adjustment March 1, 1979, covering service
through June 30, 1979.
Recommendation
It is recommended that the award be made to Ben Franklin, Inc.,
as the lowest and best bidder, in the amount of $92,610.00.
Prepared By: R.N. Aronoff,
Purchasing Agent
Reference:
Contract No. 3077
(CCS)