HomeMy WebLinkAboutAgenda Report - October 5, 2005 E-04ADE14DA ITEM Ew 4
ift CITY OF LODI
COUNCIL COMMUNICATION
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AGENDA TITLE: Approve Specif cations and Authorize Advertisement for Bids for Elevator
Services for City Facilities
MEETINLD DATE: October 5, 2005
PREPAID BY: Public Works Director
RECOMMENDED ACTION: That the City Council approve the specifications and authorize
advertisement for bids for Elevator Services for City Facilities.
BACKGROUND INFORMATION: Elevator services currently have been performed through maintenance
agreements with varying elevator service contractors, often continuing
with the companies that installed the elevators in City facilities when they
were originally constructed.
Council approved specifications on August 3, 2005, and four bids were received and opened on August 31, 2005.
The original specifications were to only cover ongoing elevator services to City elevators at City Hall, Carnegie
Forum, Police Facility, Parking Structure, and Public Safety Building for a period of two years. Two elevators that
are under current contracts at Hutchins Street Square (HSS) were not included.
After the bids were opened, ThyssenKrupp Elevator Corporation (TK), who has the contracts for the two HSS
elevators at $282/per month per elevator, told the City of Lodi that they would be willing to terminate those two
contracts and include the two HSS elevators in the new contract at the new bid price of $130/per month per
elevator. Including the HSS elevators would result in a cost savings for the City, but this requirement was not
included in the bid specifications. In order to capture this savings, the previously -approved elevator service
specifications have been amended to allow for the HSS elevators and the service contract will be rebid.
The revised bid specifications include provisions to add the elevators at HSS either now or when the contracts
expire, and a bid evaluation mechanism to consider the cost of those HSS elevators regardless of bidder.
FISCAL IMPACT: Not Applicable.
FUNDING AVAILABLE: The money for elevator services will be coming from the Facilities Services
2005106 Operating and Hutchins Street Square Maintenance accounts.
Project Estimate: $15,000 annually
Planned Bid Opening Date: October 19, 2005
mes R. Krueger, Finance Director
U62 1, o k)
Richard C. Prima, Jr.
Public Works Director
Prepared by Dennis J. Callahan, Fleet and Facilities Manager
RCPIDJCIpinf
cc: D. Stephen Schwabauer, City Attorney Tea Silvestre, Community Center Director
Donnie Sanford, Senior Facilities Maintenance Worker Joel Harris, Purchasing Officer
Mark Zollo, Facilities Supervisor
APPROVED:
Blair King,IC4 Manager
J:IPROJECTSIMISCSevatorServiceslCPSA Award2.doc 9128/2005
09/21/2005 11:43 9159335424
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From: Leonard Bates
To: Mark Zotto
Date: 9/2112005 11:29:36 AM
Subject: Elevator Maintenance Bid (Protest of award)
Mr. Zolb,
Page 1 of l
This letter is to serve as my formal protest of the elevator service contract award. I am protesting the award of the
elevator maintenance bid to ThyssenKrupp Elevator Corporation. At the bid opening Elevator Technology was
the low bidder with a baa" bid of $22A95.00, The next low bidder was Elevator Services with a base bid of
$22,592.00 Kone's base bid was $23,$20.00 and ThyssenKrupp was the high bidder with a base bid of
$24,120.00. The letter of recommendation to the City Council from the Public Works Director, Mr. Richard prima,
Jr. indicates that Elevator Services was the low bidder. I am questioning how this was arrived at. tam also,
questioning how the contract can be awarded to the highest bidder.
This a a public works bid and therefore it is to be fair and equatable for all bidders. Alter the bid opening
ThyssanKrupp was able to view the pricing and then negotiated with the city to lower their price based on our bid.
This gives TyssenKtupp an unfair advantage to negotiate independently of the bidding process. It is clearly rioted
in Mr, Prime, Jr. letter to the council that TyssenKrupp lowered their price from $282.00 per elevator to $1130 00
W elevator for the two elevators in the HSS building, after they had the opportunity to view our bid.
Clearly unethical and an unfair advantage..
I am asking that the City Council not award this contract but review the bids and give all the companies the
opportunity for a fair bid. I am requesting that the existing contracts be left in place until their expiration and then
be extended to a date when all the elevators can be bid at the some time for the city elevator maintenance. This
will give all the companies an equal and fair opportunity to provide elevator service to the City of Lodi. Otherwise
this contract must be awarded to Elevator Technology as the low bidder, Since ThyswKrupp has offered to
lower their price on the HSS building the City should take advantage of their offer. Clearly their price of $262.00
per elevator per month was excessive and the City of Lodi should request a refund for the time period the City
was being overcharged.
If the City of Lodi is going to negotiete directly with ThyssanKrupp thlan Elavatcr TktrK logy and the other
companies that bid must have the some opportunity to negotiate directly with the city as they did, or what was the
purpose of the bid oilier than to give our pricing to ThyssanKrupp?
Sincerely
Leonard Bates
OvaWsMiALM
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