REPORT TO STADIUM AUTHORITY BOARD
SUBJECT
Title
Request from the Stadium Manager for Approval to Award Purchase Orders to HD Supply Facilities Maintenance, LTD, Graybar Electric Company, Inc., and Shred-it and Leverage FedEx Cooperative Agreement for Operational Goods and Services at Levi’s Stadium
Report
BOARD PILLAR
Ensure Compliance with Measure J and Manage Levi’s Stadium
DISCUSSION
On June 25, 2021, the Stadium Manager submitted the attached “Recommendation to Utilize Cooperative Agreements for Operational Needs at Levi’s Stadium” memorandum to request approval from the Stadium Authority Board to execute agreements with HD Supply Facilities Maintenance, LTD (HD Supply), Graybar Electric Company, Inc. (Graybar), Shred-It and FedEx for operational goods and services by utilizing existing cooperative agreements through OMNIA Partners. The Stadium Manager’s memorandum describes the cooperative agreements that are being utilized and the requested services in greater detail.
As it is normal practice to attach copies of the agreements going to the Board for approval in the corresponding agenda report, staff requested the Stadium Manager to provide copies of the agreements. On June 30, the Stadium Manager submitted draft purchase orders with the recommended vendors. The Stadium Manager further explained that the FedEx process for utilizing discounted pricing is through their FedEx account profile because FedEx does not utilize purchase orders. Staff reviewed the purchase orders and cooperative agreements and noticed the cooperative contracts with HD Supply and Graybar include services as well as products (thus, in some instances, requiring payment of prevailing wage for the included services that were not spelled out in the documents).
On July 1, staff communicated these concerns to the Stadium Manager who confirmed that the purchase orders will be amended for the purchase of products only and submitted revised purchase orders reflecting such changes, thus addressing the Stadium Authority’s concern of lack of clarity for required payment of the prevailing wage.
The Stadium Manager’s requests are summarized below:
|
Vendor |
Type of Goods and Service |
Term of Purchase Order |
Amount |
Funding Source |
|
HD Supply |
Maintenance, repair, operating (MRO) supplies, industrial supplies and related products |
Five years through March 31, 2026 |
Not to exceed $50,000 per fiscal year, for an overall maximum not to exceed amount of $250,000 |
Shared Expenses under Engineering |
|
Graybar |
Electrical, lighting, data communication and security products |
Eighteen (18) months through January 31, 2023 with option to extend for four additional year years, if lead agency exercises option to extend the cooperative agreement beyond the initial period ending January 31, 2023 |
Not to exceed $50,000 per fiscal year, for an overall maximum not to exceed amount of $100,000 for the initial term and for an overall maximum not to exceed amount of $250,000 for the extended term |
Shared Expenses under Engineering |
|
Shred-it |
Document and media destruction services |
Ten months through May 14, 2022 with option to extend for two additional years, if the lead agency exercises the option to extend the agreement beyond the current expiration date of May 14, 2022 |
Not to exceed $10,000 per fiscal year, for an overall maximum not to exceed amount of $40,000 for the extended period |
Various line items |
|
FedEx |
Expedited mail, small ground freight, related products and services |
No purchase order requested. Utilize discounted pricing through cooperative agreement for four years through April 27, 2025 |
Not to exceed $5,000 per fiscal year, for an overall maximum not to exceed amount of $25,000 |
Various line items |
The request is for a not-to-exceed amount of $115,000 for FY 2021/22 and a maximum not-to-exceed amount of $565,000 over the span of the initial and extended terms of the purchase orders. The amount being requested for subsequent fiscal years is subject to the Board’s funding approval as part of the annual budgeting process.
ATTACHMENTS
1. Stadium Manager’s Recommendation to Utilize Cooperative Agreements
2. Final HD Supply Purchase Order
3. Final Graybar Purchase Order
4. Final Shred-it Purchase Order