Broward County Commission Regular Meeting

MOTION TO APPROVE open-end contract to low bidder, Lhoist North America of Alabama, LLC, for Furnish, Deliver and Discharge of Quicklime, through the Southeast Florida Governmental Purchasing Cooperative Group Bid No. 17-22B, for Water and Wastewater Services and other various County agencies that may have need for these commodities, for an initial three-year period in the annual estimated amount of $2,941,760, and authorize the Director of Purchasing to renew the contract for three one-year periods, for a six-year potential estimated amount of $17,650,560. The initial contract period begins on the date of award and terminates on October 31, 2020.

ACTION:  (T-10:32 AM)  Approved.

VOTE:  8-0.  Commissioner LaMarca was not present.

In accordance with the Broward County Procurement Code, Section 21.135.a.1, the Purchasing Division may participate in cooperative purchasing agreements for the procurement of supplies with one or more local or external public procurement units, in accordance with an agreement entered into between the participants.

Additionally, in accordance with the Broward County Procurement Code, Section 21.31.a.4, the Board is required to approve all purchases exceeding $250,000 per annum or $400,000 in a multi-year period.

Additionally, in accordance with the Broward County Procurement Code, Section 21.43, a contract for supplies or services of more than five years must have the express consent of the Board.

Provides for the purchase of bulk chemical quicklime.

None.

THE PURCHASING DIVISION AND THE PUBLIC WORKS DEPARTMENT/WATER AND WASTEWATER SERVICES RECOMMEND APPROVAL OF THE ABOVE MOTION.

The Office of Economic and Small Business Development did not reserve this project for Small Business Enterprises under the Sheltered Market Program, or assign County Business Enterprise participation goals to this solicitation based on the review of products and services requested (Exhibit 2).

The purpose of this contract is to furnish, deliver and discharge bulk chemical quicklime to be used in the treatment of potable water at Broward County Water Treatment Plants.

The Southeast Florida Governmental Purchasing Cooperative Group (Co-op) is an organization of various Southeast Florida cities, counties and governmental agencies that provides for cooperative purchasing, in which quantities for the same item are combined in order to achieve economies of scale through volume discount pricing. The City of Tamarac is the lead agency that facilitated the solicitation for this Co-op contract. Annual estimated usage quantities were obtained from each participating agency prior to the bid solicitation. Each participating agency concurred with the bid specifications utilized by the City of Tamarac.

On August 23, 2017, the City of Tamarac awarded Co-op Contract No. 17-22B for an initial three-year contract term with three one-year renewal options. The initial contract term began on November 1, 2017 and expires on October 31, 2020.

This Co-op contract is to be used only by various participating government agencies listed in the contract. The estimated annual award amount of $2,941,760 reflects only the County’s estimated usage inclusive of estimated potential price adjustments; it does not include the annual usage of the other Co-op members.

The contract allows for price adjustments (escalations/de-escalations) for product, rail freight, and truck freight on a quarterly basis on January 1st, April 1st, July 1st and October 1st of each year. The contractor must submit sufficient documentation to the City of Tamarac to be given consideration for a price increase, and must pass-on price decreases when the contractor’s costs are reduced.  Cost adjustments, in all cases, shall reflect only a direct pass-through of costs, and no changes to the contractor's profit margin shall be permitted.

Water and Wastewater Services has reviewed the bid submitted by Lhoist North America of Alabama, LLC and requests approval to utilize the Co-op contract (Exhibit 3). Eight vendor performance evaluations have been completed for Lhoist North America of Alabama, LLC; they have an overall rating of 4.44 out of a possible rating of 5.0. Copies of the vendor performance evaluations are available upon request.

The amounts referenced in this agenda item were rounded to the nearest whole dollar. Vendor payments will be based on the actual total bid amount. The bid tabulation reflects the actual amount of the award.

Incumbent: Lhoist North America of Alabama, LLC. Contract Number and Title: F0985113B1, Furnish, Deliver and Discharge of Quicklime. Contract Term: December 20, 2011 through October 31, 2017. Expenditures to date: $7,726,825.

The Co-op bid posted on June 18, 2017 and opened on July 11, 2017; two bids were received with no declinations (Exhibit 1). There was no protest or appeal filed regarding this procurement.

Brenda J. Billingsley, Director, Purchasing Division, (954) 357-6070