HomeMy WebLinkAbout06/04/2013 Reject Single Bid for the Purchase of One (1) New Walk-in Step VanMotmt
Mount Prospect Public Works Department
t INTEROFFICE MEMORANDUM
TO: VILLAGE MANAGER MICHAEL E. JANONIS
ITCH
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FROM: VEHICLE MAINTENANCE SUPERINTENDENT
DATE: MAY 30, 2013
SUBJECT: REJECT SINGLE BID FOR THE PURCHASE OF ONE (1) N
STEP VAN
Background
In the current budget, there are sufficient funds available to replace unit 2730. 2730 is a 1995
Chevrolet, P -30 Step Van, used by the Public Works Department's Water /Sewer Division. This
truck is primarily utilized as a first response vehicle for water main break repairs and
water /sewer utility maintenance.
In preparation of soliciting bids for the purchase of this truck, staff has looked at several other
step vans currently utilized for the same purpose in other municipalities. Staff has concluded
the step van recently purchased by the Village of Arlington Heights Public Works Department
can largely meet our needs. The base bid was written to include the majority of their design.
Bid Results
On Tuesday, May 7, at 1:00 P.M., sealed bids for the proposed purchase of one (1) new walk -in
step van with necessary options installed and mounted were opened and read aloud. Eighteen
(18) invitational bids were distributed on April 18 and a public notice was placed in a local
newspaper as required. Only one (1) bid was received. The results are as follows:
Bidder Make /Model Delivery Bid Price
Badger Truck Center Ford F -59, Utilimaster Body 210 days $129,690
Milwaukee, WI Sauber MFG Upfitter
Discussion
The only bidder, Badger Truck Center, Inc. of Milwaukee, Wisconsin complied with the majority
of our bid specifications, submitted necessary bid security, and properly signed all necessary
bid documents. However, there are insufficient funds in the current budget to consider their bid.
Presently, only $120,000 is available in the vehicle replacement fund for this proposed
procurement. The Badger Truck Center bid received exceeds allocated funding by $9,690.
I have investigated the lack of bidders and learned two (2) other vendors had unexpected
delays in securing the required bid security (bid bond or cashier's check). These bidders have
indicated a strong desire to re -bid if we chose not to award a contract.
May 30, 2013
Reject Bid for Purchase of One (1) New Walk -in Step Van
Page 2 of 2
Additionally, other potential bidders reported difficulty compiling complete component pricing.
Typically, production of this vehicle type involves three (3) vendors; each responsible for a
component of the vehicle. One vendor is the drivetrain and chassis manufacturer. Another is
the service body manufacturer. Finally, the third vendor is the post- market fabricator who
makes and installs the cabinetry, shelving, interior storage spaces, lighting, and electricity
distribution system. To submit a bid, one vendor needs cost commitments from the other two.
Most often, the vendor who submits the bid is the drivetrain and chassis manufacturer (i.e. a
Ford or Chevrolet truck dealer). To accommodate these unusually complex relationships, we
propose to rebid the purchase and extend the bidding period to 45 days.
Finally, the base bid price we received was approximately 20% more than the Arlington Heights
vehicle purchased in 2011. Post -bid discussions with vendors suggest that at least a portion of
this increase is due to higher costs for all of the components parts including the
chassis /drivetrain, body, and post- market fabrication. Staff proposes to restructure the bid
document, making some fabricated features optional, with the intent of securing a base bid
within the allocated budget.
Bid Recommendation
I therefore recommend the Village Board reject the only bid for the proposed purchase of one
(1) new current model walk -in step van aforementioned as submitted by Badger Truck Center,
Inc. of Milwaukee, Wisconsin as being over budget and lacking competitive bids. The bid
specifications will be modified and sent out for a rebid.
�Yames R. Breitzman
Vehicle Maintenance Superintendent
I concur with the recommendation.
S
Director of Public Works
JB
C: Sean P Dorsey, Director of Public Works
Jason Leib, Deputy Director of Public Works
H: \Administration\BIDS\RESULTS\2730 Reject Single Bid 5- 29- 13.doc