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SR 08-28-2018 3B City Council Report City Council Meeting: August 28, 2018 Agenda Item: 3.B 1 of 3 To: Mayor and City Council From: Susan Cline, Director, Public Works, Facilities Maintenance Subject: Award Bid to One Source Distributors for Electrical and Lighting Supplies Recommended Action Staff recommends that the City Council: 1. Award Bid #4328 to One Source Distributors, a California-based company, for the purchase of electrical and specialty lighting supplies as required by the Public Works Department; and 2. Authorize the Purchasing Services Manager to issue a purchase order with One Source Distributors for the purchase of electrical and specialty lighting supplies in an amount not to exceed $336,600 for two years, with one additional three-year renewal option, with a four percent annual increase for years two through five, for a total amount not to exceed $893,694 over a five-year period, with future year funding contingent on Council budget approval. Summary The Public Works Department purchases a broad variety of electrical and lighting supplies to perform routine lighting maintenance and electrical upgrades at City facilities. Staff recommends awarding Bid #4328 to One Source Distributors for electrical and lighting supplies for a total amount not to exceed $893,694 over a five- year period. Discussion The Facilities Maintenance Division completes approximately 3,000 electrical work orders per year. Such work includes electrical outlet installations, lighting fixture maintenance, hand dryer repairs and electrical remodeling upgrades at various City facilities. To perform lighting maintenance and electrical upgrades at City facilities, staff requires a broad variety of electrical and lighting supplies. 2 of 3 The table below lists a breakdown of the amount that staff recommends awarding to One Source Distributors for electrical and lighting supplies: Purchase Order Term Requested Annual % Increase Purchase Order Amount Year 1 - $ 165,000 Year 2 4% $ 171,600 Year 3 4% $ 178,464 Year 4 4% $ 185,603 Year 5 4% $ 193,027 Total Amount Not to Exceed - $ 893,694 Vendor Selection Financial Impacts and Budget Actions Bid Data Bid Posting Date Bid Posted On Bid Advertised In (City Charter & Municipal Code) # of Vendors Downloaded # of Submittals Received Date Publicly Opened 03/09/2018 City's Online Bidding Site Santa Monica Daily Press 27 04 03/28/2018 Submittals Received Vendor Selection Recommendation Revolution LED Lighting $606 Municipal Code SMMC 2.24.072 One Source Distributors $1,345 Evaluation Criteria Price, previous experience, ability to deliver, quality of product, and compliance with City specifications. Consolidated Electrical Distributors $1,559 GON LED $4,509 Best Bidder One Source Distributors Best Bidder Justification One Source Distributors is not the lowest bidder but submitted a more comprehensive bid than the lowest bidder, Revolution LED Lighting. The City requested that vendors offer pricing for 12 commonly purchased products as to provide a pricing comparison tool. The lowest bidder did not provide pricing on three of the 12 products, hence lowering their total bid amount. Moreover, the vendor submitted pricing for product substitutions that were less expensive and not of a comparable quality. One Source Distributors has satisfactorily provided electrical and lighting supplies for the Public Works Department for several years. One Source Distributors has continued to provide the City with prompt deliveries, competitive pricing and quality product. Based on these criteria, staff recommends One Source Distributors as the best bidder. 3 of 3 Staff seeks authority to award a purchase order with One Source Distributors to provide electrical and lighting supplies. Purchase Order Request Request Amount FY 2018-19 Budget Public Works Department Account # Total Purchase Order Amount $165,000 01500020.525080 $893,694 Future year funding is contingent on Council budget approval. Prepared By: Kyla Johnson, Senior Administrative Analyst Approved Forwarded to Council Attachments: A. One Source Distributors, LLC Oaks Form