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SR 05-22-2018 3G City Council Report City Council Meeting: May 22, 2018 Agenda Item: 3.G 1 of 3 To: Mayor and City Council From: Susan Cline, Director, Public Works, Water Resources Subject: Award Bid for Water and Wastewater Maintenance Supplies and Parts Recommended Action Staff recommends that the City Council: 1. Award Bid #4334 to S&J Supply Company, Inc., a California-based company, for the purchase and delivery of water and wastewater supplies and repair parts. 2. Authorize the Purchasing Services Manager to issue a purchase order with S&J Supply Company, Inc. for water and wastewater supplies and repair parts in an amount not to exceed $300,000 for one year, with four additional one-year renewal options (with a 5% increase in years three through five) for a total amount not to exceed $1,594,000 over a 5-year period, with future funding contingent on Council budget approval. Executive Summary The Water Resources Division purchases and maintains an inventory of water and wastewater supplies and parts to repair and replace the water distribution and sewer system infrastructure during regular preventative maintenance and emergency repairs. Staff recommends awarding a bid to S&J Supply Company, Inc. for the purchase and delivery of water and wastewater supplies and parts for a total amount not to exceed $1,594,000 over a five-year period. Discussion The Water Resources Division maintains approximately 1,300 fire hydrants and 18,000 service connections through a 205-mile network of distribution mains ranging in size from 6 to 36 inches. Wastewater crews maintain approximately 152 miles of sewer pipeline, two flow-monitoring and sampling stations, and a 26-million-gallon-per-day pumping station. Adequate supplies and repair parts are needed to ensure uninterrupted operation of both the water distribution system and sewer infrastructures. 2 of 3 Supplies include, but are not limited to, gate valves, stainless steel repair clamps, strap saddles, copper pipe, tapping sleeves, and vitrified clay sewer pipe. Repair parts and supplies are required daily by water construction, wastewater, and meter shop crews. A small inventory is kept on-site, but as space is limited, the division makes use of the Just-in-Time inventory management system. Parts and supplies are ordered and received as needed for scheduled maintenance and repair projects. In the event of an emergency, the division relies on close coordination with the vendor to deliver parts and supplies immediately, at any time of the day or night, seven days per week. Due to the prior successful collaboration between the existing vendor and water crews, the Water Resources Division would like to extend this inventory management system to the wastewater crews. This bid award would allow both water and wastewater crews to perform routine maintenance and emergency repairs without delay. Vendor/Consultant Selection On March 8, 2018, the City published Notices Inviting Bids to furnish and deliver water and wastewater supplies and parts 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 the City Charter and Municipal Code 2.24.100(a). A total of 18 vendors downloaded the bid. Two bids were received and publicly opened on March 26, 2018 per Attachment D. Bids were evaluated based on the criteria in SMMC 2.24.072, including price, previous experience, ability to deliver, quality of product, and compliance with City specifications. Although both bidders offered competitive pricing, S&J Supply Company, Inc. was the lowest bidder for the cumulative total. Additionally, the other bidder, Ferguson Enterprises, only referenced possible future price increases that would be based on manufacturer price increases, whereas S&J Supply Company, Inc. offered four set renewal options (0% increase the first renewal year, 5% each remaining year) that allow the City to budget for upcoming years. S&J Supply Company, Inc. also offered a 1% discount for net payments within 25 days. S&J Supply Company, Inc. has satisfactorily supplied the City with water supplies 3 of 3 and repair parts since 2012 after two prior awarded bids. Based on these criteria, S&J Supply Company, Inc., the lowest bidder, is recommended as the best bidder. Financial Impacts and Budget Actions The purchase order to be awarded to S&J Supply Company, Inc. is for an amount not to exceed $1,594,000. Funds of $300,000 are available in the proposed FY 2018-19 budget in the Public Works Department. The purchase order will be charged to the following accounts: 25671.544010 / 50500001-525080 $250,000 31661.544010 / 51500001-525080 $50,000 TOTAL $300,000 Future year funding is contingent on Council budget approval. Prepared By: Deborah McCloskey, Administrative Analyst Approved Forwarded to Council Attachments: A. July 24, 2012 Staff Report B. June 9, 2015 Staff Report C. April 12, 2016 Staff Report D. Bid#4334 Results E. S&J Oaks Form Bid Results for Project WATER AND WASTEWATER SUPPLIES AND PARTS (4334) Issued on 03/08/2018 Bid Due on March 26, 2018 3:00 PM (Pacific) ITEM NUMBER SECTION ITEM CODE DESCRIPTION UNIT OF MEASURE QUANTITY FERGUSON ENTERPRISES - UNIT PRICE FERGUSON ENTERPRISES - LINE TOTAL FERGUSON ENTERPRISES - COMMENT S&J SUPPLY COMPANY INC. - UNIT PRICE S&J SUPPLY COMPANY INC. - LINE TOTAL S&J SUPPLY COMPANY INC. - COMMENT 1 PRICING Enter the Lead Time (ARO) for each item listed below in the comment section.NOTE 0 $0.00 $0.00 $0.00 $0.00 2 PRICING 226 Stainless steel full circle repair clamp 6"x15" Smith Blair/Romac EACH 6 $127.43 $764.58 SMITH-BLAIR, 7-10 WORKING DAYS $122.10 $732.60 LESS TAX * STOCK / 2 WEEKS LEAD TIME* 3 PRICING 226 Stainless steel full circle repair clamp 8"x15" Smith Blair/Romac EACH 6 $156.51 $939.06 SMITH-BLAIR, 7-10 WORKING DAYS $152.07 $912.42 LESS TAX * STOCK / 2 WEEKS LEAD TIME* 4 PRICING 4704-22 1 Corporation ball valve (lead free) MIPT x CTS Comp. 1"AY McDonald/ Mueller EACH 50 $51.14 $2,557.00 MUELLER, 3-28 WORKING DAYS $52.33 $2,616.50 LESS TAX * STOCK / 2 WEEKS LEAD TIME* 5 PRICING 4704BQ 1 ½Corporation ball valve (lead free) MIPT x CTS Comp. 1.5" AY McDonald/ Mueller EACH 25 $115.41 $2,885.25 MUELLER, 3-28 WORKING DAYS $118.10 $2,952.50 LESS TAX * STOCK / 2 WEEKS LEAD TIME* 6 PRICING 4704BQ 2 Corporation ball valve (lead free) MIPT x CTS Comp. 2" AY McDonald/ Mueller EACH 25 $190.86 $4,771.50 MUELLER, 3-28 WORKING DAYS $195.33 $4,883.25 LESS TAX * STOCK / 2 WEEKS LEAD TIME* 7 PRICING 3826 Strap saddle NPT/2" outlet 6x2 AY McDonald/Mueller EACH 25 $111.66 $2,791.50 MUELLER, 3-28 WORKING DAYS $114.27 $2,856.75 LESS TAX * STOCK / 2 WEEKS LEAD TIME* 8 PRICING 3826 Strap saddle NPT/2" outlet 8x2 AY McDonald/Mueller EACH 25 $126.17 $3,154.25 MUELLER, 3-28 WORKING DAYS $129.17 $3,229.25 LESS TAX * STOCK / 2 WEEKS LEAD TIME* 9 PRICING 3826 Strap saddle NPT/2" outlet 12x2 AY McDonald/Mueller EACH 10 $183.16 $1,831.60 MUELLER, 3-28 WORKING DAYS $187.44 $1,874.40 LESS TAX * STOCK / 2 WEEKS LEAD TIME* 10 PRICING AWWA C515 Gate valve RWGV FL x MJ 4" Clow/Kennedy/Mueller EACH 25 $407.71 $10,192.75 MUELLER, 1-3 WORKING DAYS $423.30 $10,582.50 LESS TAX * STOCK / 2 WEEKS LEAD TIME* 11 PRICING AWWA C515 Gate valve RWGV FL x MJ 6" Clow/Kennedy/Mueller EACH 10 $545.04 $5,450.40 MUELLER, 1-3 WORKING DAYS $565.86 $5,658.60 LESS TAX * STOCK / 2 WEEKS LEAD TIME* 12 PRICING AWWA C515 Gate valve OS&Y RWGV FL x FL 3" Clow/Kennedy/Mueller EACH 50 $375.51 $18,775.50 MUELLER, 3-28 WORKING DAYS $379.46 $18,973.00 LESS TAX * STOCK / 2 WEEKS LEAD TIME* 13 PRICING AWWA C515 Gate valve OS&Y RWGV FL x FL 4" Clow/Kennedy/Mueller EACH 50 $428.32 $21,416.00 MUELLER, 3-28 WORKING DAYS $432.86 $21,643.00 LESS TAX * STOCK / 2 WEEKS LEAD TIME* 14 PRICING 76101 W 1 Curb ball valve FIPT x FIPT 1" AY McDonald/Mueller EACH 25 $68.22 $1,705.50 MUELLER, 3-28 WORKING DAYS $69.82 $1,745.50 LESS TAX * STOCK / 2 WEEKS LEAD TIME* 15 PRICING 6101 MW 1 1/2 Curb ball valve FIPT x FL 1.5" AY McDonald/Mueller EACH 15 $130.84 $1,962.60 MUELLER, 3-28 WORKING DAYS $133.80 $2,007.00 LESS TAX * STOCK / 2 WEEKS LEAD TIME* 16 PRICING 6101 MW 2 Curb ball valve FIPT x FL 2" AY McDonald/Mueller EACH 15 $208.55 $3,128.25 MUELLER, 3-28 WORKING DAYS $213.37 $3,200.55 LESS TAX * STOCK / 2 WEEKS LEAD TIME* 17 PRICING Type K Copper pipe 60' roll 1" Cerro/Streamline/Mueller EACH 12 $237.00 $2,844.00 CERRO/MUELLER, 1-5 WORKING DAYS $226.90 $2,722.80 LESS TAX * STOCK / 2 WEEKS LEAD TIME* 18 PRICING Type K Copper pipe 20' length 1.5" Cerro/Streamline/Mueller EACH 25 $170.40 $4,260.00 CERRO/MUELLER, 1-5 WORKING DAYS $160.70 $4,017.50 LESS TAX * STOCK / 2 WEEKS LEAD TIME* 19 PRICING Type K Copper pipe 20' length 2" Cerro/Streamline/Mueller EACH 25 $267.00 $6,675.00 CERRO/MUELLER, 1-5 WORKING DAYS $233.85 $5,846.25 LESS TAX * STOCK / 2 WEEKS LEAD TIME* 20 PRICING 74602 Q 1 Angle stop Comp x Swivel 1" AY McDonald/Mueller EACH 25 $44.25 $1,106.25 MUELLER, 3-28 WORKING DAYS $44.80 $1,120.00 LESS TAX * STOCK / 2 WEEKS LEAD TIME* 21 PRICING 4602B-22-1 1/2 Angle stop Comp x Flange 1.5" AY McDonald/Mueller EACH 25 $197.42 $4,935.50 MUELLER, 3-28 WORKING DAYS $202.04 $5,051.00 LESS TAX * STOCK / 2 WEEKS LEAD TIME* 22 PRICING 4602B-22-2 Angle stop Comp x Flange 2" AY McDonald/Mueller EACH 25 $251.63 $6,290.75 MUELLER, 3-28 WORKING DAYS $257.53 $6,438.25 LESS TAX * STOCK / 2 WEEKS LEAD TIME* 23 PRICING 622 Tapping sleeve DIP Pipe size x flange 6x4 Smith Blair EACH 10 $307.66 $3,076.60 SMITH-BLAIR, 7-10 WORKING DAYS $301.60 $3,016.00 LESS TAX * STOCK / 2 WEEKS LEAD TIME* 24 PRICING 622 Tapping sleeve DIP Pipe size x flange 8x4 Smith Blair EACH 15 $334.79 $5,021.85 SMITH-BLAIR, 7-10 WORKING DAYS $328.20 $4,923.00 LESS TAX * STOCK / 2 WEEKS LEAD TIME* 25 PRICING 622 Tapping sleeve DIP Pipe size x flange 12x4 Smith Blair EACH 10 $364.52 $3,645.20 SMITH-BLAIR, 7-10 WORKING DAYS $357.43 $3,574.30 LESS TAX * STOCK / 2 WEEKS LEAD TIME* 26 PRICING 1104DEC Pipe restraint kit Mega lug 4" EBAA EACH 100 $27.99 $2,799.00 EBAA, 1-3 WORKING DAYS $27.36 $2,736.00 LESS TAX * STOCK / 2 WEEKS LEAD TIME* 27 PRICING 1106DEC Pipe restraint kit Mega lug 6" EBAA EACH 50 $38.57 $1,928.50 EBAA, 1-3 WORKING DAYS $34.03 $1,701.50 LESS TAX * STOCK / 2 WEEKS LEAD TIME* 28 PRICING 1108DEC Pipe restraint kit Mega lug 8" EBAA EACH 25 $52.35 $1,308.75 EBAA, 1-3 WORKING DAYS $46.20 $1,155.00 LESS TAX * STOCK / 2 WEEKS LEAD TIME* 29 PRICING 136-0086 Saddle tee gasket branch skirt w/straps 8"x6" GPK EACH 100 $22.80 $2,280.00 3-28 WORKING DAYS $27.09 $2,709.00 LESS TAX * STOCK / 2 WEEKS LEAD TIME* 30 PRICING H2110-6R Saddle tee hub gasket skirt w/straps 10"x6" Royal EACH 100 $42.03 $4,203.00 3-28 WORKING DAYS $51.68 $5,168.00 LESS TAX * STOCK / 2 WEEKS LEAD TIME* 31 PRICING 135-0086 Saddle wye gasket branch skirt w/straps 8"x6"EACH 100 $20.60 $2,060.00 3-28 WORKING DAYS $24.48 $2,448.00 LESS TAX * STOCK / 2 WEEKS LEAD TIME* 32 PRICING H2310-6R Saddle wye hub gasket skirt w/straps 10"x6"EACH 100 $63.57 $6,357.00 3-28 WORKING DAYS $52.10 $5,210.00 LESS TAX * STOCK / 2 WEEKS LEAD TIME* 33 PRICING N/A Vitrified clay sewer pipe 6' length 8"EACH 100 $58.13 $5,813.00 3-5 WORKING DAYS $47.50 $4,750.00 LESS TAX * STOCK / 2 WEEKS LEAD TIME* 34 PRICING Additional fees and charges not listed above (i.e. freight, fuel surcharges). Provide description in the comments section.LUMP SUM 1 $0.00 $0.00 NO ADDITIONAL FREIGHT CHARGES $0.00 $0.00 NO SUBTOTAL $146,930.14 $146,454.42 35 QUESTION - EMERGENCY RESPONSE Vendor must have the ability to deliver 24/7 for emergencies. Can vendor comply?QUESTION 0 $0.00 $0.00 YES. $0.00 $0.00 YES 24 HOUR EMERGENCY 562-217-1417 36 QUESTION - ADDITIONAL PRICING INFORMATION Percent discount off of manufacturer's price list for related items subject to this bid not listed above: __________ % to_________ %QUESTION 0 $0.00 $0.00 VARIES BY MANUFACTURE $0.00 $0.00 0% TO 60% 37 Question - Payment Terms Payment Terms (Enter payment discount terms; otherwise net thirty (30) days will apply.QUESTION 0 $0.00 $0.00 NET30 $0.00 $0.00 1% - 25 DAYS 38 RENEWAL OPTIONS The City desires the right and option to extend any contract hereunder for additional one-year renewal periods from date of expiration at the same price, terms and conditions, as specified below from date of expiration at the same price, terms and conditions. For each subsequent renewal period listed below please indicate in the comment section which of the following apply: 1) No renewal option offered. 2) Same price, terms and conditions offered. 3) % of increase /decrease of previous year's price for all areas or options. Increases greater than CPI will be subject to the "Escalation & De-Escalation of Bid Price" clause in the bid. Specify alternate terms and conditions if applicable. NOTE 0 $0.00 $0.00 $0.00 $0.00 YES 39 QUESTION - RENEWAL OPTIONS Period 2 (First Annual Renewal Option)QUESTION 0 $0.00 $0.00 3) BASED ON MANUFACTURE IMPLEMENTED PRICE INCREASES $0.00 $0.00 (#3) 0% VALVES & SERVICE BRASS ONLY SEE ATTACHEMENT (NOTE: RENEWAL OPTIONS ONLY AVAILABLE ON LINE ITEMS 4-16 & 20-22) 40 QUESTION - RENEWAL OPTIONS Period 3 (Second Annual Renewal Option)QUESTION 0 $0.00 $0.00 3) BASED ON MANUFACTURE IMPLEMENTED PRICE INCREASES $0.00 $0.00 (#3) 5% INCREASE VALVES & SERVICE BRASS ONLY SEE ATTACHEMENT (NOTE: RENEWAL OPTIONS ONLY AVAILABLE ON LINE ITEMS 4-16 & 20-22) 41 QUESTION - RENEWAL OPTIONS Period 4 (Third Annual Renewal Option)QUESTION 0 $0.00 $0.00 3) BASED ON MANUFACTURE IMPLEMENTED PRICE INCREASES $0.00 $0.00 (#3) 5% INCREASE VALVES & SERVICE BRASS ONLY SEE ATTACHEMENT (NOTE: RENEWAL OPTIONS ONLY AVAILABLE ON LINE ITEMS 4-16 & 20-22) 42 QUESTION - RENEWAL OPTIONS Period 5 (Fourth Annual Renewal Option)QUESTION 0 $0.00 $0.00 3) BASED ON MANUFACTURE IMPLEMENTED PRICE INCREASES $0.00 $0.00 (#3) 5% INCREASE VALVES & SERVICE BRASS ONLY SEE ATTACHEMENT (NOTE: RENEWAL OPTIONS ONLY AVAILABLE ON LINE ITEMS 4-16 & 20-22) TOTAL $146,930.14 $146,454.42 NON-DISCRIMINATION POLICY ACKNOWLEDGEMENT COMPLETE COMPLETE NON-COLLUSION DECLARATION COMPLETE COMPLETE BUSINESS LICENSE BUSINESS LICENSE REQUIRED NOT INCLUDED OAKS INITIATIVE DISCLOSURE FORM COMPLETE NOT INCLUDED REQUIRED FORMS REQUIRED FORMS FORMS FORMS