REPORT TO THE CITY COUNCIL
March 17, 2016
FROM: MICHAEL LIMA, Controller/Finance Director
THROUGH: GARY WATAHIRA, Purchasing Manager
Purchasing Division
BY: JEAN THOMAS-RUNNELS, Senior Buyer
Purchasing Division
SUBJECT
Title
Award a Requirements Contract for linen & dust control services at Various City Facilities in the amount of $108,707.77 for three (3) years with an option for one (1) three-year (3) year extension to Aramark Uniform & Career Apparel, LLC. Of Fresno, CA (Citywide) Bid File No. 9354
Body
RECOMMENDATION
It is recommended that the City Council award a contract in the amount of $108,707.77 to Aramark Uniform Services, a Division of Aramark Uniform & Career Apparel, LLC. for linen & dust control services used by various City Departments.
EXECUTIVE SUMMARY
The Purchasing Division of the Finance Department sought a requirements contract for various linen and dust control items such as dust mats, towels, rags, dust mops and fender covers for use throughout the City. Staff recommends award of a three-year requirements contract, with provisions for one three-year extension, in the amount of $108,707.77 to Aramark Uniform Services, a Division of Aramark Uniform & Career Apparel, LLC. of Fresno, CA Funding for this contract is included in the FY2016 budget.
BACKGROUND
The Purchasing Division of the Finance Department sought a requirements contract for linen and dust control items; including dust mats, towels, rags, dust mops and fender covers for use by various departments throughout the City. The City has maintained a requirements contract to provide linen and dust control services since 1990. The current contract expires on March 31, 2016. This re-bid was initiated to establish a new requirements contract.
The specifications prepared for bidding purposes were based on the estimated annual quantities required by each user department, as well as replacement quantities for lost or damaged items. A Notice Inviting Bids was published in the Business Journal on December 11, 2015, and posted on the City’s web site. The specifications were distributed to four (4) Prospective bidders. Four (4) bid proposals were received and opened in a public bid opening on January 1, 2016. Bid proposal prices ranged from $107,856.06 to $136,046.56.
Unifirst submitted the lowest bid amount of $107,856.06. However, Unifirst’s bid was determined to be nonresponsive as they failed to submit samples of the complaint procedure forms. Additionally, they did not provide documentation of their Environmentally Friendly Program. Both items were required under the bid specifications. Unifirst was notified of this determination and given the opportunity to appeal, pursuant to Council Resolution 2003-129. No appeal has been received.
Aramark Uniform Services, a Division of Aramark Uniform & Career Apparel, LLC, adhered to the specifications in the bid. Therefore, staff recommends that Aramark Uniform Services, a Division of Aramark Uniform & Career Apparel, LLC, be awarded a contract as the lowest responsive and responsible bidder. This staff determination was posted on the City’s website on February 1, 2016.
The previous contract is held by Prudential Overall Supply. The current bid price reflects a 2.4% increase over the price in the previous contract. The increase is due to the inclusion of additional items, such as bed sheets and pillow cases, which were not in the previous contract, but are currently being used by City departments. Funds for this expenditure are in the individual budgets for the various departments that will be receiving services under this contact.
It is staff’s recommendation that Council bypass the apparent low bidder for non-responsiveness and award a requirements contract for linen and dust control services to Aramark Uniform & Career Apparel, LLC of Burbank, CA. with a local office in Fresno, CA. in the amount of $108,707.77. The contract will be in effect for three years with a provision for one (1) three-year extension.
The Council may reject all bids. If all bids are rejected, the project will be rebid resulting in a delay of approximately sixty days.
ENVIRONMENTAL FINDINGS
A requirements contract for linen and dust control services is not a project for the purposes of the California Environmental Quality Act.
LOCAL PREFERENCE
Local preference was not implemented but Aramark Uniform & Career Apparel, LLC of Burbank, CA. has a local office in Fresno, CA.
FISCAL IMPACT
Appropriations are currently in the FY2016 Budget for this contract, and are billed to each department through Facilities Management charges. Only departments that receive the services under this contract are allocated a portion of the contract’s costs. Actual expenditures under the previous contract for linen and dust control services during FY 2015 totaled $49,304. Through the first half of FY 2016, $20,673 has been incurred under the current contract. The bid amount of $108,707.77 represents the maximum amount the City could expend. However, based on past usage, the actual amount incurred under this contract is anticipated to be relatively lower.
Attachment:
Bid Evaluation