REPORT TO COUNCIL
SUBJECT
Title
Reject Bids Received in Response to Invitation for Bids No. F15-77 for Self-Contained Breathing Air Compressors at Fire Stations 1 and 2
Report
REPORT IN BRIEF
Approval is requested to reject the two bids received in response to Invitation for Bids No. F15-77 for the purchase and installation of self-contained breathing air compressors at fire stations 1 and 2.
EXISTING POLICY
Sunnyvale Municipal Code Section 2.08.140(b) provides that the City Council may reject bids in excess of one hundred thousand dollars. If all bids are rejected, staff has the discretion to re-bid.
ENVIRONMENTAL REVIEW
N/A
BACKGROUND AND DISCUSSION
Two self-contained breathing air (SCBA) compressors used to fill the air bottles utilized by safety staff in emergency situations have reached the end of their useful lives and require replacement. An Invitation for Bids (IFB) to replace the compressors was issued on March 24, 2015.
Two bids were received on May 6. The lowest bid was from Bauer Compressors in the amount of $110,086. The second low bid was from L. N. Curtis & Sons in the amount of $133,095. The low bid received by Bauer Compressors did not meet the bid specifications in a number of key areas such as the number of storage cylinders, unit configuration and crankcase composition, and warranty. The second lowest bid received from L. N. Curtis, although meeting most of the specifications, was $23,009 higher than the Bauer bid.
City Council approval is required to reject bids in excess of $100,000 received in response to formal competitive bid or proposal solicitations, in accordance with Sunnyvale Municipal Code Section 2.08.140(b). Rejecting the bids will provide staff the opportunity to refine the specifications and make the changes necessary to obtain bids for equipment that will better meet Public Safety's needs, potentially at lower cost.
FISCAL IMPACT
No fiscal impact results from the recommended bid rejection. The highest bid received was within the available equipment replacement budget, but staff anticipates that rebidding the compressors with reformulated specifications will result in lower bid pricing.
PUBLIC CONTACT
Public contact was made by posting the Council agenda on the City's official-notice bulletin board outside City Hall, at the Sunnyvale Senior Center, Community Center and Department of Public Safety; and by making the agenda and report available at the Sunnyvale Public Library, the Office of the City Clerk and on the City's website.
RECOMMENDATION
Recommendation
Reject the two bids received in response to Invitation for Bids No. F15-77.
Staff
Prepared by: Pete Gonda, Purchasing Officer
Reviewed by: Grace K. Leung, Director, Finance
Reviewed by: Frank Grgurina, Director, Public Safety
Reviewed by: Robert A. Walker, Assistant City Manager
Approved by: Deanna J. Santana, City Manager