Item 208/2024
City of Garden Grove
INTER-DEPARTMENT MEMORANDUM
To:
Lisa L. Kim From: William E. Murray
Dept:
City Manager Dept: Public Works
Date: 5/14/2024
Subject: Authorization of the issuance of a purchase order to South Bay Foundry, Inc. for gate valve lids. (Cost: $64,162.50) (Action Item)
OBJECTIVE
To receive City Council approval authorizing the Finance Director to issue a purchase order to South Bay Foundry, Inc., IFB S-1319-A, for the bulk purchase of 600 gate valve lids.
BACKGROUND
The Public Works Department’s Water Services Division has a water gate valve maintenance program. Under this program, gate valves lids are replaced to ensure proper operation of the distribution system. Gate valves are used for the purpose of isolating water shut down areas during emergencies, capital projects, routine maintenance and for water quality purposes.
The City periodically purchases and maintains a readily available supply of the gate valve lids stored in Central Stores for the use by the Water Distribution Staff within the Water Services Division. These gate valve lids are used for the active water gate valve maintenance program and to replace defective gate valve lids. Once replaced, the retired units will be sold at the current scrap metal market value. The 600 units must be purchased at one time in order to secure set pricing.
DISCUSSION
IFB S-1319-A was advertised on February 7, 2024. The proposal document was posted on the City’s Planet Bids on-line bidding portal. Six (6) bids were received. The bid results are as follows:
Company Name Total Bid Amount
Archie Supply LLC $55,071.00
South Bay Foundry, Inc. $64,162.50
United Water Works $69,708.75
Famcon Pipe & Supply, Inc. $71,611.88
LBIW, Inc. $82,182.38
Global Builders Inc. $98,130.89
Item 208/2024
South Bay Foundry, Inc. was the lowest responsive bidder that met the bid specifications and requirements.
FINANCIAL IMPACT
The one-time cost for the purchase of 600 gate valve lids is $64,162.50. Funds for this purchase are available in the FY 2023-24 Water Enterprise fund’s adopted budget. There is no impact to the General Fund.
RECOMMENDATION
It is recommended that the City Council:
• Authorize Finance Director to issue a purchase order to South Bay Foundry, Inc., in the amount of $64,162.50 for the bulk purchase of gate valve lids.
By: Samuel Kim, P.E., Deputy Public Works Director/Water Services Manager
ATTACHMENT:
1. South Bay Foundry, Inc. bid