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HomeMy WebLinkAbout9 Purchase of CFL's Agenda Item # 9 Ve` Public Utility District CONSENT To: Board of Directors From: Steven Poncelet Date: October 20, 2010 Subject: Consideration of Increasing the Contract for the Purchase of CFL's 1. WHY THIS MATTER IS BEFORE THE BOARD Board approval is required for expenditures in excess of$15,000. 2. HISTORY The approved FY10 budget includes funding for the Conservation Department's Million CFL program. The Million CFL program is an on-going program that involves the hand-out to our customers of a free 12-pack of CFL's. This program has been very successful and cost-effective and the Board awarded a contract to Feit Electric Company at the February 3rd Board meeting for a total not to exceed $47,209.44 plus tax for a total of 40,008 CFL's. The Bid Schedule for this order did include an option for the District to increase the total quantity by 10% at the bid price. 3. NEW INFORMATION This District's Million CFL Program continues to be very successful and Staff is projecting that we will distribute to our customers the 40,008 CFL's purchased from Feit Electric before year end. To continue to meet customer demand through the end of the year, Staff is recommending that the District exercise the option to increase total quantity by 10% at the bid price and purchase an additional 3996 CFL's for an amount not to exceed $4,715.28 plus tax. This would bring the total contract to an amount not to exceed $51,924.72 plus tax. 4. FISCAL IMPACT Increasing the total quantity by 10% at the current bid price would purchase an additional 3,996 CFL's for an amount not to exceed $4,715.28 plus tax. This would bring the total contract to an amount not to exceed $51,924.72 plus tax. Sufficient funds exist within the approved FY10 budget for this purchase. 5. RECOMMENDATION Amend the contract with Feit Electric to increase total quantity by 10% at the bid price and purchase an additional 3,996 CFL's for an amount not to exceed $4,715.28 plus tax bringing the total contract to an amount not to exceed $51,924.72 plus tax. - - - - `'- Steven Poncelet U�D. Holley Public Information & Conservation Manager General Manager