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TO: |
Board of Trustees |
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THROUGH: |
Jay Fox, Executive Director |
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FROM: |
Viola Miller, Chief Financial Officer |
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PRESENTER(S): |
Todd Mills, Director of Supply Chain |
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TITLE:
title
Contract: Vendor Managed Hose and Fittings Supply (LLG Industrials, Inc.)
end
AGENDA ITEM TYPE:
Procurement Contract/Change Order
RECOMMENDATION:
Approve and authorize Executive Director to execute the contract and associated disbursements with LGG Industrial, Inc. in the Not-To-Exceed amount of S600,000 to provide vendor-managed hose and fittings services for all UTA maintenance locations for a five (5) year period including a three-year base period , and two (2) one-year options.
BACKGROUND:
UTA requires a vendor to manage hydraulic hose and fittings for nine (9) UTA maintenance locations over a three (3) year period plus two additional one-year options. The service includes; monitoring, supplying and filling bins at each location with the sufficient inventory levels of hydraulic hose and fittings to satisfactorily complete all the requirements as referenced in the RFP. This contract will commence upon approval and will expire approximately April 30, 2027, or April 30, 2029 if both option years are exercised.
DISCUSSION:
UTA conducted an RFP solicitation on U3P/SciQuest of 868 invited Vendors. UTA received multiple proposals and after evaluation UTA selected LGG Industrials, Inc. (formally ERIKS North America). LGG Industrial, Inc. was the best overall responsive-responsible bidder that has the best value offer.
CONTRACT SUMMARY:
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Contractor Name: |
LGG Industrial, Inc. |
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Contract Number: |
23-03815JD |
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Base Contract Effective Dates: |
May 8, 2024 - April 30, 2029 (including three year base period and two additional 1 year options) |
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Extended Contract Dates: |
N/A |
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Existing Contract Value: |
N/A |
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Amendment Amount: |
N/A |
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New/Total Contract Value: |
NTE $600,000 for entire 5-year period. |
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Procurement Method: |
RFP |
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Budget Authority: |
Approved 2024 Operating Budget |
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ALTERNATIVES:
Each division would need to monitor inventory of supplies, purchase needed supplies using a P-card, and stock the inventory upon receipt.
Another alternative would be for UTA to outsource all hydraulic hose and fittings needs.
FISCAL IMPACT:
Funds are budgeted into the 2024 Operating Expense budget and will be requested for each subsequent budget year of the contract. UTA will issue a Purchase Order for items procured under this contract. Contractor will submit weekly invoices referencing the PO.
ATTACHMENTS:
1) Contract