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HomeMy WebLinkAbout8 LED Purchase Revised Staff ReportRevised enda Item # CONSENT To: Board of Directors From: Jeremy Popov Date: July 19, 2017 Subject: Consideration of Awarding a Contract to Purchase LED's for the District's Conservation Program - Revised 1. WHY THIS MATTER IS BEFORE THE BOARD District Code requires all expenditures in excess of $15,000 are to be submitted to the Board for approval. 2. HISTORY The approved FY17 budget includes funding for the District's energy conservation programs. Many of the District's energy efficiency programs involve hand-outs to our customers of free energy -efficient light bulbs. The hand-outs of energy efficient Compact Fluorescent Lights (GEC's) was very successful and cost-effective over the last 7 years. Purchases of energy efficient bulbs included the estimated quantities of each type of bulb to cover the current year's estimated demand which allows the District to change the quantities of each bulb to match customer needs while committing to a total dollar purchase amount. 3. NEW INFORMATION As the cost of LED bulbs has decreased, the staff has identified LED's as the chosen bulb for the remainder of FY17 as the inventory of CFL's is depleted. Five LED bulb types have been chosen: a 60W equivalent A -style bulb; a 100W equivalent A -style bulb; a 40W equivalent globe; a 65W equivalent BR30; and a 40W equivalent filament candelabra. The District issued a Request for Bid (RFB) on May 22, 2017, that was advertised in the Sierra Sun. A bid opening was held on June 27, 2017. The RFB was for a minimum quantity of 7,900 LED's and a maximum quantity of 11,800 LED's. The basis for the bid award is the lowest aggregated bid price for the minimum quantities times the bid unit prices per bulb type. The maximum contract price amount (not to exceed) will be based on the maximum quantities times the bid unit prices per type of bulb. Five bids were received. Two bids was found to be responsive. Bids determined to be unresponsive included bids without samples, samples not meeting Energy Star specifications, or with exceptions to contract. The results of the responsive bids are included in the following table: Vendor Aggregated Bid Price General Pacific $ 27,315 Miller OEM Systems $ 33,815 General Pacific was the lowest responsive bidder with an aggregated total of $27,315a 4. FISCAL IMPACT The guaranteed minimum contract amount is $27,315 with a total contract amount not to exceed $40,830. Sufficient funds exist within the approved FY17 budget for this purchase. 5. RECOMMENDATION Authorize the General Manager to execute a contract with General Pacific for the purchase of LED's in a minimum amount of $27,315 with a total contract amount not to exceed $40,830 plus tax. Jeremy Popov Michael D. Holley Administrative Services Manager General Manager