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The Board of Water Commissioners for the City of Detroit, Water and Sewerage Department authorizes the Director to approve Amendment No. 1 to DWSD Contract No. 6005464 with Melmac Co., Inc. d/b/a Motor City Pipe & Supply Co., for Various Gate Box Parts, by adding $119,480.50, for a total amount not-to-exceed $430,159.35. No change to the terms, conditions or contract period (through 7/20/2024). The BOWC also authorizes the Director to take such other action as may be necessary to accomplish the intent of this vote.
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Agenda of October 18, 2023
Item No.: 2023-215
Proposed Amendment No. 1
Contract No.: 6005464
Contractor: Melmac Co., Inc. d/b/a Motor City Pipe & Supply Co. (DBB)
Address: 12389 Schaefer Hwy., Detroit, MI 48227
Current Contract Amount: $310,678.85
Proposed Amendment No. 1: $119,480.50
Proposed New Contract Amount: $430,159.35
Contact Term: 7/21/23-7/20/24 (1 year)
TO: The Honorable
Board of Water Commissioners
City of Detroit, Michigan
FROM: Gary Brown, Director
Water and Sewerage Department
RE: Proposed Amendment No. 1 for DWSD Contract 6005464
For Various Gate Box Parts
Melmac Co., Inc. d/b/a Motor City Pipe & Supply Co.
MOTION
Upon recommendation of Marqaicha Welch, Procurement Manager, the Board of Water Commissioners for the City of Detroit, Water and Sewerage Department authorizes the Director to approve Amendment No. 1 to DWSD Contract No. 6005464 with Melmac Co., Inc. d/b/a Motor City Pipe & Supply Co., for Various Gate Box Parts, by adding $119,480.50, for a total amount not-to-exceed $430,159.35. No change to the terms, conditions, or contract period (through 7/20/2024). The BOWC also authorizes the Director to take such other action as may be necessary to accomplish the intent of this vote.
BACKGROUND / JUSTIFICATION
The DWSD Warehouses stock various gate box parts. Gate box parts are used by the Maintenance & Repair Division throughout the City of Detroit. This contract for Gate box parts will be used to extend the life of gate boxes that are used as access points to turn water off during repairs. This contract serves to replenish stock levels, avoid emergency spot buys and possible work stoppage.
The proposed amendment to add funding is the result of a misquote submitted by the previously awarded vendor, Ferguson Waterworks. Ferguson has indicated they are unable to provide the quoted price for item #32061. The line item has been removed from Ferguson’s contract and a decision has been made to award the line item to next lowest bidder, which is Motor City Pipe and Supply Co.
PROCUREMENT METHOD
This Contract was initiated through Requisition #506883 and approved on 4/28/23. It was competitively solicited as RFB #506883 on the BidNet Michigan Inter-Governmental Trade Network (MITN) website from 5/3/23 to 5/24/23 (21 calendar days). MITN published this opportunity to 72 companies subscribing to the relevant NIGP codes(s) and 14 firms downloaded the RFB package. Four bids were received. See attached bid tabulation for additional information.
• Etna Supply Company
• Ferguson Waterworks
• Motor City Pipe & Supply
• T & N Services, Inc.
Evaluation and recommendation for award was based on per line pricing for estimated quantities for one year. The warehouse informed procurement that Old Castle is the manufactured brand needed to ensure capability of currently used inventory items in stock. T & N Services, Inc. was the only vendor that did not quote Old Castle as the manufacturer. T & N was given the opportunity to quote Old Castle but were not able to quote Old Castle products. Etna Supply Company indicated in their bid submission, they were unable to hold pricing for the term of the contract.
DWSD Warehouse Group submitted requisition #511403, which was approved by
Budget on 9/15/23. Amendment No. 1 is a request to add $119,480.50 to cover the transfer of item #32061 to this Contract.
Motor City Pipe & Supply has current approved clearances that expire 11/2/23 and a formal contract document is not required as the Standard Terms & Conditions apply.
SUMMARY
A. Contract No: 6005464
B. Contract Term: 7/21/23 - 7/20/24 (1 year)
C. Current Contract Amount: $310,678.85
D. Proposed Amendment No. 1 Amount: $119,480.50
E. Proposed New Contract Amount: $430,159.35
F. Anticipated FY Spend: FY 23-24: $394,312.73
FY 24-25: $35,846.62
G. Funding Source: O&M Funds
H. GL String: 5720-00000-000000-150100-000000-00000-0000-000000- 100% Water
This proposed contract was presented to the BOWC Finance Subcommittee on October 4, 2023. Per DWSD procurement protocol, no additional approvals are required.