Placement: Consent Agenda
Action Requested: Motion / Vote
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Approve a Waiver of Bid for Purchase of E-One Grinder Systems
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Submitted By: Daniel Segui, Deputy Director, Utility Systems Department
Strategic Plan Link: The City’s Mission to provide exceptional municipal services.
Summary Brief (Agreements/Contracts only)
1. Prepared by: Utility Systems Department
2. Parties: City of Port St. Lucie Utility Systems Department
3. Purpose: Purchase of E-One Grinder pumps and related parts
4. New/Renewal/Modified: New
5. Duration: As needed
6. Benefits to Port St. Lucie: Connecting to the City’s wastewater system.
7. Cost to Port St. Lucie (Annual and Potential): $1,088,631.45
Presentation Information: N/A
Staff Recommendation: Move that the Council waive bidding on the emergency purchase of 200 E-One Grinder Systems plus spare parts and the purchase of an additional 600 grinder systems plus spare parts within the next four (4) months.
Alternate Recommendations:
1. Move that the Council amend the recommendation and complete the motion in the affirmative.
2. Move that the Council not approve and provide staff with direction.
Background: The Covid Pandemic has impacted the Utility Systems Department (USD) in many ways since March 2020. One of the biggest impacts has been the shortage of sewer grinder system materials needed for new sewer installations, septic to sewer conversions, and maintenance of our existing systems. The USD has approximately 35,000 Myers Grinder Systems in its Collection System. The 2hp V2 grinder pump supplied by Myers/Pentair is a critical item for new construction, septic to sewer conversions, preventive maintenance (PM) service on the existing 35,000+ grinder systems. The USD average approximately 220 sewer grinder installations (New Construction and Conversions) and 220 pump replacements per month, based on pump failure and age. Although the USD Warehouse has done a tremendous job securing alternative parts, due to increasing supply shortages, there is a projection that the USD will run out of pumps within the month of August. Currently, we are experiencing a shortage of supplies from Myers/Pentair, and they have been unable to provide the necessary grinder system packages and pumps for the PM side or confirm the status of pending orders. The USD must decide whether our next shipment will be filled with complete grinder systems (tank, pump, and control panel) or only filled with pumps for the PM side. Therefore, this backup plan to service our customers is necessary.
Issues/Analysis: The USD requests to waive the bidding process and seek approval to immediately place an initial order of 200 E-One grinder systems plus spare parts with E-One to provide their grinder system for the next three to four months and allow Myers/Pentair time to build up their inventory. E-One is the founder of the pressure sewer market with over fifty (50) years in business and has more than 750,000 installed units and connects roughly 200 additional homes globally per day. It is anticipated that an additional 600 E-one grinder systems plus spare parts will be available within the next three (3) to four (4) months. USD seeks to waive bidding for the purchase of the systems once they are available.
Financial Information: The initial order of 200 E-One grinder systems will cost $270,000 plus spare parts $11,183.50. The City anticipates a total cost of $1,088,631.45 for 800 units from Cost center #431-0000-141002.
Special Consideration: Section 35.04 of the City’s code authorizes a waiver of the provisions of the requirement to competitively bid certain purchases if, for good cause shown, and upon written recommendation by the City Manager, the City Council, by affirmative vote, authorize the purchase of goods, supplies, materials or services without competitive bid. This is a request to utilize the E-One grinder systems and waive the bidding process for 800 grinder system installations. In the meantime, the USD will be in a better position to determine if Myers/Pentair will be able to fulfill their contract obligations and provide the necessary grinder complete packages and grinder pumps necessary for the USD customers’ needs.
Location of Project: Utility Service area
Attachments:
1. Utility Systems Department August 2, 2021 Memo to City Manager Russ Blackburn re: Emergency Request to Waive Bidding Process for E-One Grinder Systems
2. E-One Proposal, Terms and Conditions
NOTE: All of the listed items in the “Attachment” section above are in the custody of the City Clerk. Any item(s) not provided in City Council packets are available upon request from the City Clerk.
Internal Reference Number: 6933
Legal Sufficiency Review:
Reviewed by Ella M. Gilbert, Deputy City Attorney. Approved as to Legal form and sufficiency by James D. Stokes, City Attorney.