REPORT TO COUNCIL
SUBJECT
Title
Action on the Award of Purchase Order to E.J. Pires Trucking, Inc. for On-Call Trucking and Hauling Services
Report
BACKGROUND
The Water and Sewer Utilities Department (Department) maintains the City’s water and sewer assets. The Department’s responsibilities include installing and repairing potable water mains, recycled water mains, and sanitary sewer conveyance mains and facilities. This work typically requires hauling off waste generated during the excavation process and the delivery of materials.
The Department requires a qualified vendor to provide on-call trucking and hauling services to transport waste from job sites to designated landfill facilities and to fill restock construction materials at the Department’s Corporation Yard from suppliers.
DISCUSSION
On February 26, 2019, the Department issued a Request for Bid (RFB) to procure On-Call Trucking and Hauling Services using BidSync, the City’s e-procurement system. In addition, firms known to provide the specified services were contacted, with instructions on how to register on BidSync and how to submit a bid. A total of 28 companies viewed the RFB and four bids for the services described above were received by the March 7, 2019 deadline. Results are as follows:
|
Vendor Name |
Bid Price |
|
E.J. Pires Trucking, Inc. |
$115,000 |
|
Destination Anywhere, Inc. |
$118,000 |
|
Herrera Trucking Company, Inc. |
$137,500 |
|
West Coast Sand & Gravel |
$148,000 |
Staff recommends award of Purchase Order to E. J. Pires Trucking Inc. as the lowest responsive and responsible bidder. The determination of the lowest bid detailed in the Bid Pricing Summary (Attachment 1) was based on the cost to perform an estimated total of 1,000 hours annually.
The initial term of the Purchase Order (Attachment 2) is approximately 14 months, ending on June 30, 2020, for a not-to-exceed maximum compensation of $115,000. Pricing is based on a fixed hourly rate to provide the hauling services, as needed by the Department. The Purchase Order includes up to nine one-year options to renew, subject to the annual appropriation of funds.
The purchase order is subject to the payment of prevailing wages and the contractor has executed the City’s standard labor compliance addendum.
ENVIRONMENTAL REVIEW
The action being considered is exempt from the California Environmental Quality Act (“CEQA”) pursuant to CEQA Guidelines section 15301(h), “Existing Facilities,” as the activity consists of the maintenance of existing water and sewer system and 15302(c), “Replacement or Reconstruction,” in that the activity consists of the replacement or reconstruction of existing utility systems and/or facilities involving no or negligible expansion of capacity.
FISCAL IMPACT
The amount for the Purchase Order during the initial term will be split between two funding sources: 85% ($97,750) will come from the Water Utility Fund and the remaining 15% ($17,250) will come from the Sewer Utility Fund. There is sufficient budget in the materials/services/supplies category in both funds to cover these costs.
COORDINATION
This report has been coordinated with the Finance Department.
PUBLIC CONTACT
Public contact was made by posting the Council agenda on the City’s official-notice bulletin board outside City Hall Council Chambers. A complete agenda packet is available on the City’s website and in the City Clerk’s Office at least 72 hours prior to a Regular Meeting and 24 hours prior to a Special Meeting. A hard copy of any agenda report may be requested by contacting the City Clerk’s Office at (408) 615-2220, email clerk@santaclaraca.gov <mailto:clerk@santaclaraca.gov> or at the public information desk at any City of Santa Clara public library.
RECOMMENDATION
Recommendation
1. Authorize the City Manager to execute a Purchase Order with E.J. Pires Trucking, Inc. for an initial term ending on June 30, 2020, for an amount not to exceed $115,000, and
2. Authorize the City Manager to exercise up to nine one-year options to renew the Purchase Order through June 30, 2029 with compensation increases subject to the City Manager’s approval.
Staff
Reviewed by: Gary Welling, Director, Water & Sewer Utilities Department
Approved by: Deanna J. Santana, City Manager
ATTACHMENTS
1. Bid Pricing Summary
2. E.J. Pires Trucking, Inc. Purchase Order