Title
The Board of Water Commissioners for the City of Detroit, Water and Sewerage Department authorizes the Director to enter into Contract No. 6002169 with Interstate Trucksource, Inc. for a term of two (2) years for, as needed, OEM parts and repair services for DWSD owned MACK trucks and related equipment as per DWSD’s Specification #PRSCMT-11-18 for an amount not to exceed $360,000, and also authorizes the Director to take such other action as may be necessary to accomplish the intent of this vote.
Body
Agenda of July 12, 2019
Item No. 19-00203
Contract No. 6002169
Contract Amount: $360,000
Contract Duration: August 1, 2019 - July 31, 2021 (2-Years)
Supplier: Interstate Trucksource, Inc.
Address: 29085 Smith Road, Romulus, Michigan 48174
TO: The Honorable, Board of Water Commissioners
City of Detroit, Michigan
FROM: Gary Brown, Director
Detroit Water and Sewerage Department
RE: Proposed DWSD Contract No. 6002169
As needed OEM parts and repair service contract with Interstate Trucksource, Inc. for DWSD owned MACK Trucks.
MOTION
Upon recommendation of Mamata Burgi, Procurement Manager, the Board of Water Commissioners for the City of Detroit, Water and Sewerage Department, authorizes the Director to enter into Contract No. 6002169 with Interstate Trucksource, Inc. for a term of two (2) years for, as needed, OEM parts and repair services for DWSD owned MACK trucks and related equipment as per DWSD’s Specification #PRSCMT-11-18 for an amount not to exceed $360,000 and also authorizes the Director to take such other action as may be necessary to accomplish the intent of this vote.
BACKGROUND
DWSD Fleet Division is responsible for the maintenance and repair of nearly 100 medium and heavy duty units, 21 are MACK cab and chassis vehicles including our 10 newest sewer cleaning (Vactors) and the newest dump body vehicle.
JUSTIFICATION
This contract will provide needed parts and components for maintenance in addition to service repairs for the most responsive units in our fleet. Without this contract, Fleet Department’s ability to maintain our heavy duty fleet will be difficult, therefore impacting our DWSD customers.
PROCUREMENT METHOD
DWSD Fleet Division’s estimate for this contract is $360,000. This open competitive project was advertised on May 14, 2019, on the Michigan Inter-Governmental Trade Network (MITN) website. 180 Solicitations were sent out via MITN. 10 firms downloaded the bid package. The RFB closed on May 23, 2019.
Three (3) Addendums were issued during the course of this bid.
1st Addendum - Modified the bid solicitation from a one-time purchase to a term purchase.
2nd Addendum - Provided required forms for bid submission.
3rd Addendum - Modified bid solicitation requesting local service within a 50-mile radius of the city of Detroit.
One bid was received by DWSD’s Procurement Division, Interstate Trucksource, Inc. Procurement found through its’ research from the manufacture MACK Trucks, that Interstate Trucksource, Inc. is Michigan’s only authorized OEM parts, sales and full service line repair facility. The bid is as follows:
BIDDER BID PRICE EQUALIZED PRICE
*Interstate Trucksource, Inc. |
$5,947 approximate repair cost per truck/year, which includes a 33% Discount from Supplier’s published price list # 052222019 dated May 22, 2019* |
Did not meet requirement. |
*Equalization does not apply. The supplier is not located within the City of Detroit:
Interstate Trucksource, Inc., has submitted all required documents. Therefore, it is recommended that Interstate Trucksource, Inc. be awarded DWSD Contract No. 6002169. Interstate Trucksource, Inc. will perform 100 percent of the work under this contract.
SUMMARY
Projected Start Date: August 1, 2019
Projected Completion Date: July 31, 2021
Contract Amount: $360,000
Fiscal Year Breakdown: $180,000 / Per Fiscal Year
Contract No. 6002169
Funding Source: O&M - 100% City Funded
GL Strings: 5720-20167-482422-622100-000209-10731-0000-000000 - 30%
5820-20178-492422-622100-000230-15956-0000-000000 - 70%
The proposed Contract No. 6002169 was presented to the Finance Sub-Committee on July 9, 2019.