TO: Mayor and Commissioners
FROM: Hassan Hadjimiry, P.E., Utilities Department
THROUGH: Terrence R. Moore, ICMA-CM
DATE: September 19, 2022
Title
APPROVAL OF RESOLUTION NO. 144-22 TO AWARD AN AGREEMENT WITH UNITED RENTALS FOR RENTAL OF EQUIPMENT ON AN AS-NEEDED BASIS, AND ALSO REQUEST TO INCREASE PURCHASE ORDER 2022-0000050 IN THE AMOUNT OF $27,383 FOR PAYMENT OF OUTSTANDING INVOICES UTILIZING SOURCEWELL SOLICITATION NO. #062320 IN THE TOTAL ESTIMATED AMOUNT NOT TO EXCEED $327,383 ($127,383 FIRST YEAR AND $100,000 RESPECTIVELY).
Body
Recommended Action:
Recommendation
Motion to approve Resolution No. 144-22 to award an Agreement to United Rentals (North America) Inc., for the rental of equipment, products, and services as needed in the estimated amount of $327,383, through August 24, 2025, utilizing the Sourcewell Solicitation No. 06320.
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Background:
On April 30, 2020, Sourcewell, a State of Minnesota local government agency and service cooperative requested proposals for Equipment Rental with Related Services. Out of eighteen (18) respective bidders who responded to Solicitation No. #062320, United Rentals ranked number one and was awarded the contract. The original term of the agreement was for four (4) years, effective August 28, 2020, through August 27, 2024, with one (1) additional one-year renewal period. The City of Delray Beach Water Treatment Plant (WTP) has been using United Rentals for the rental of an excavator to stockpile wet lime sludge from the WTP pond to another location for vendor pick up. The increased use of lime has caused WTP clarifiers to produce more sludge and the need for this excavation. Utilities is working on other viable options that need to be vetted out.
In addition, Utilities WTP has an open approved Purchase Order No. 2022-0000050 in the amount of $60,000 and requesting approval to increase in the amount of $27,383 for a new total of $87,383. Based on past annual usage, Utilities requesting $100,000 (per year) for the rental of equipment for the remaining term of the contract.
Should the City exercise the renewal options provided in the contract, the cumulative contract value is provided below.
Estimated Contract Value |
$327,383 |
|
Initial |
September 16, 2022 - August 24, 2023 |
$127,383 |
Year 2 Term |
August 25, 2023 - August 24, 2024 |
$100,000 |
Renewal Term 1 |
August 25, 2024 - August 24, 2025 |
$100,000 |
City Attorney Review:
Approved as to form and legal sufficiency.
Funding Source/Financial Impact:
Funding will be available
441-36-259-536.34-90 Utilities -Other Contractual Services Other Contractual Services
Timing of Request:
Time sensitivity concern.