Title
A RESOLUTION AUTHORIZING THE CITY MANAGER TO ENTER INTO A PURCHASE AGREEMENT WITH TATMAN ASSOCIATES FOR THE PROCUREMENT OF MAJOR ELECTRICAL EQUIPMENT FOR THE PROSPECT STREET SUBSTATION IMPROVEMENT PROJECT; AND DECLARING AN EMERGENCY.
Executive Summary: This contract is for the purchase of structural steel, switches and insulators which will be provided by Tatman Associates. This equipment is required for the completion of scheduled upgrades as part the Prospect Street Substation Improvement project.
Body
Legislative History
Res 16-190 Permission to bid
Purpose & Explanation
This procurement contract is the 4th and final contract for the purchase of equipment and associated components for the Prospect Substation improvement project. The 5th contract will be for the project construction (labor & Materials). This contract includes the purchase of structural steel, switches, resisters and associated components required for the project’s second phase. This component package was publically advertised per City Charter and no bids were received. The Public Works Department rebid the package and received only one bid proposal from Tatman Associates in the amount of $107,250.00. The budget estimate for this equipment was $66,270. Some of the cost increase is due design changes which required additional structural steel and an additional breaker package. However, GPD, the engineering design firm assisting with the project, reviewed the proposal and has determined that most of the $40,980 cost difference of is due to the fluctuating and volatility of market prices in both the steel and electrical component industries over the past several months. As these prices continue to increases, and remain out of our control, HPP staff and the consultants recommend awarding the contract to the above vendor at the total contract amount of $107,250 as the lowest and best bidder.
The overall project remains within budget at this time. The project’s final bid component will be for the system construction labor and materials. The consultant and staff are seeing marked industry increases in this area as well. Staff will return to Council in July with a construction contract recommendation as well as request for any needed appropriations at that time.
Timing Considerations
Upon authorization to proceed by the City Council, the administration will award and enter into a contract with Tatman Associates for the above amount. Staff requests emergency legislation to secure current pricing.
Fiscal Impact
X Currently Budgeted
Supplemental Appropriation Required
Appropriation Not Required.
Recommendation
Suggested Action
Staff recommends that City Council approve this Resolution authorizing the City Manager to award and enter into a contract with Tatman Associates, 290105 Solon Road, Solon, Ohio 44139 at the contract amount of $107,250. Staff further requests emergency language be included to secure the quoted prices.
Submitted by,
Jane Howington, City Manager
Frank J. Comeriato, Jr., Asst. City Manager - Operations
Kevin Powell, Asst. Public Works Director - Utilities