City of Sacramento
City Council - 5PM Report
915 I Street Sacramento, CA 95814
www.cityofsacramento.org
File ID: 2022-01887 11/15/2022 Consent Item 18.
Agreements: Industrial Plumbing Supplies [Published for 10-Day Review 11/03/2022] File ID: 2022-01887
Location: Citywide
Recommendation: Pass a Motion authorizing the City Manager or the City Manager's designee to:
1) execute a Goods Agreement with Pace Supply Corporation, to provide Industrial Plumbing Supplies for a one-year term, with the option to extend for up to four additional one-year terms, for a total amount not-to-exceed $11,400,000; 2) execute a Goods Agreement with Ferguson Waterworks, to provide Industrial Plumbing Supplies for a one-year term, with the option to extend for up to four additional one-year terms, for a total amount not-to-exceed $9,600,000; 3) authorize the City Manager or the City Manager’s designee to approve the one-year extensions, provided that sufficient funds are available in the Department of Utilities (DOU) operating budget adopted for the applicable fiscal year.
Contact: Stacy Larkin, Administrative Analyst, (916) 808-6356, [email protected]; David Levine, Logistics Manager, (916) 808-6213, [email protected]; Chuong (Ryan) Pham, Business Services Manager, (916) 808-8995, [email protected]; William O. Busath, Director, (916) 808-1434, [email protected]; Department of Utilities; Presenter: None
Attachments:
1-Description/Analysis
2-Agreement - PACE
3-Agreement - Ferguson Enterprises
Additional Description/Analysis
Issue Detail: DOU has an ongoing need to purchase industrial plumbing supplies in support of its Operations and Maintenance functions within the Department.
Policy Considerations: City Council approval is required for contracts of $250,000 or more.
File ID: 2022-01887 11/15/2022 Consent Item 18.
The Sacramento City Code Section 4.04.020 and Council Rules of Procedure (Chapter 7, Section E.2.d) mandate that unless waived by a 2/3 vote of the City Council, all labor agreements, and all agreements greater than $1 million shall be made available to the public at least ten (10) days prior to council action. This item was published for 10-day review on November 3, 2022, in compliance with the City Code.
Economic Impacts: None.
Environmental Considerations: The Community Development Department, Environmental Services Manager has determined that the proposed activity is not a project pursuant to the California Environmental Quality Act (CEQA). CEQA Guidelines Section 15378(b). The activity is a continuing administrative or maintenance activity, such as the purchase of supplies, and is not subject to CEQA. CEQA Guidelines Section 15060(c)(3).
Sustainability: Purchases made under this contract support the goals of the City’s Sustainability Master Plan by protecting sources of water and providing flood protection.
Commission/Committee Action: Not applicable
Rationale for Recommendation: Invitation for Bid B22141451028 was issued on April 19, 2022.
The bid was publicly advertised, and two responses were received and opened on May 11, 2022.
Bids were received from Pace Supply Corporation and Ferguson Enterprises, Inc.
After evaluation, staff determined it is in the City’s best interest to award a contract to Pace Supply Corporation for Bid Groups III, V, IX, XI, XIV, XVIII, XXI, XXIII, XXV, XXVI, XXVII in an amount not-to- exceed $11,400,000 and award a contract to Ferguson Enterprises, Inc. for Bid Groups I, II, IV, VI, VII, VIII, X, XII, XIII, XV, XVI, XVII, XIX, XX, XXII, XXIV in an amount not-to-exceed $9,600,000.
Financial Considerations: The proposed agreements have a maximum five-year term for a total not-to-exceed amount of $21,000,000 combined. Sufficient funding is available in DOU’s Fiscal Year 2022/23 operating budget to fund the first year of these agreements. Funding of this agreement in future fiscal years will be subject to availability of sufficient funds in the budget adopted for the applicable fiscal year.
There are no General Funds allocated or planned for this project.
Local Business Enterprise (LBE): The LBE program does not apply to contracts for supplies in excess of $250,000.