HomeMy WebLinkAbout22B - SPEC CONTRACT AWARD HOME DEPOTREQUEST FOR
COUNCIL ACTION
CITY COUNCIL MEETING DATE:
JANURAY 16, 2018
TITLE:
AWARD BLANKET ORDER
CONTRACT TO HOME DEPOT FOR
CONSTRUCTION, MAINTENANCE AND
REPAIR MATERIALS AND SUPPLIES
(SPEC. NO. 17-121)
{STRATEGIC PLAN NO. 6,2)
CLERK OF COUNCIL USE ONLY:
APPROVED
❑ As Recommended
❑ As Amended
❑ Ordinance on 1s' Reading
❑ Ordinance on 2nd Reading
❑ Implementing Resolution
❑ Set Public Hearing For
CONTINUED TO
�_ FILE NUMBER
C171YPANAGER
RECOMMENDED ACTION
Award a blanket order contract to Home Depot for the purchase of construction, maintenance
and repair materials and supplies for a two-year period with provision for three one-year
renewals, in an annual amount not to exceed $125,000, exercisable by the City Manager, subject
to non -substantive changes approved by the City Manager and City Attorney.
DISCUSSION
The Public Works Water Resources Division operates and maintains 20 active water wells,
seven water pumping stations, which supply the City's drinking water, and a sanitary sewer
system consisting of approximately 390 miles of pipelines. Home Depot provides maintenance
and repair materials such as hardware, lumber, fasteners and hand and electric tools necessary
to ensure these City assets provide a consistent level of service. Home Depot is also a local
Santa Ana vendor offering a wide variety of materials, supplies, tools, equipment and a variety of
sundry supplies for immediate electrical, plumbing and general repairs at various City buildings,
including park facilities, libraries, recreation and senior centers, Santa Ana Zoo, City Hall,
Corporate Yard, Police Administration and Holding Facility. Home Depot's proximity offers a fast
and efficient way for City employees to quickly obtain materials and supplies required for daily
operations. To facilitate this process, an annual blanket order contract will be established with
Home Depot.
Home Depot, a Santa Ana vendor, was awarded a five-year contract after a competitive bid was
conducted by the US Communities, a national cooperative purchasing program. Santa Ana City
Ordinance No. NS -2312 authorizes the City to purchase against such contracts. The contract
also offers the City a 2% rebate on annual pre-tax purchases up to $100,000 and a 5% rebate on
annual pre-tax purchases exceeding $100,000. Approval of the recommended action would allow
the City to take advantage of the favorable pricing offered by the US Communities contract.
2213-1
Contract Award for Construction, Maintenance and Repair Materials and Supplies
January 16, 2018
Page 2
STRATEGIC PLAN ALIGNMENT
Approval of this item supports the City's efforts to meet Goal #6 - Community Facilities &
Infrastructure, Objective #2 (address deferred maintenance on City buildings and equipment).
FISCAL IMPACT
Funds in the amount of $62,500 are available in FY 2017-18 (January - June) as follows:
Department
Account No.
FY
2017-18
Water Utility Water Production & Supply
06017640-63001
$15,000
Water System Maintenance
06017641-63001
$12,500
Police Building & Facility
01114403-63000
$10,000
Building Maintenance
07310100-63001
$7,000
Park Maintenance
01113250-63200
$18,000
TOTAL
$62,500
Funds for the second year of the contract and the three one-year renewal periods will be
budgeted and made available in FY 2018-19 to FY 2022-23 (July - December 2022) as follows:
Department
Account No.
Anticipated Expenditure
FY
2018-19
FY
2019-20
FY
2020-21
FY
2021-22
FY
2022-23
Water Utility Water Production
06017640-63001
$30,000
$30,000
$30,000
$30,000
$15,000
Water System Maintenance
06017641-63001
$25,000
$25,000
$25,000
$25,000
$12,500
Police Building & Facility
1 01114403-63000
$20,000
$20,000
$20,000
$20,000
$10,000
Building Maintenance
07310100-63001
$14,000
$14,000
1 $14,000
$14,000
1 $7,000
Park Maintenance
01113250-63200
$36,000
$36,000
$36,000
$36,000
$18,000
Totals
1 $125,000
1 $125,000
$125,000
1 $125,000
1 $62,500
d Mousavipour
Executive Director
Public Works Agency
p in
Acting Chief of Police
Santa Ana Police Department
DS/sp
APPROVED AS TO FUNDS AND ACCOUNTS:
Francisco Gutierrez Ev
Executive Director
Finance and Management Services Agency
Gerardo Mouet
Executive Director
Parks, Recreation & Community Services Agency
22B-2