Title:
Title
Agreement: Xylem Flygt Pump Equipment and Parts (Two-Thirds Vote Required)
End
FileID
File ID: 2019-00241
Location
Location: Citywide
Recommendation:
Recommendation
Adopt a Resolution authorizing the City Manager or City Manager’s designee to: 1) suspend competitive bidding, in the best interests of the City, for the purchase of Flygt pump equipment and parts from Xylem Water Solutions, Inc.; and 2) execute a Supplies Agreement with Xylem Water Solutions, Inc., to purchase Flygt pump equipment and parts for an amount not-to-exceed $750,000 over a five-year term, provided that sufficient funds are available for this purpose in the budget adopted for the applicable fiscal year(s).
Contact: Gary DeJesus, Division Manager, (916) 808-5173; Stacy Larkin, Program Analyst, (916) 808-6356; William Busath, Director of Utilities (916) 808-1434; Department of Utilities
Body
Presenter: None
Attachments:
1-Description/Analysis
2-Resolution
3-Supplies Agreement: Xylem Water Solutions, Inc.
Description/Analysis
Issue Detail: The Department of Utilities (DOU) has an ongoing need to purchase Flygt pump equipment and parts that are necessary to maintain, repair, and upgrade the infrastructure of the City’s sanitary sewer and drainage sump stations. DOU’s sanitary sewer sumps and some drainage sumps are configured with Flygt pumps. DOU has been installing Flygt pumps for over 20 years and they have proven to be extremely reliable. The current supply contract with Xylem reaches the end of its’ five-year term on June 30, 2019.
City staff is recommending the approval of a five-year Supplies Agreement to replace the existing agreement with Xylem for the ongoing supplies of Flygt pump equipment and parts.
Policy Considerations: City Council approval is required for contracts of $100,000 or more.
Economic Impacts: None
Environmental Considerations: The Community Development Department, Environmental Services Manager has determined that the proposed activity is not a project pursuant to the California Environmental Quality Act (CEQA). CEQA Guidelines Section 15378(b). The activity is a continuing administrative or maintenance activity, such as the purchase of supplies, and is not subject to CEQA. CEQA Guidelines Section 15060(c)(3).
Sustainability: The proper maintenance of sump station pumps supports the goals of the City’s Sustainability Master Plan by protecting sources of water and providing flood protection.
Commission/Committee Action: Not Applicable
Rationale for Recommendation: Staff recommends suspending competitive bidding in the best interests of the City and execute a five-year contract with Xylem Water Solutions, Inc. The purchase of Flygt pump equipment and parts will ensure continued sewer and drainage system functionality and flood protection to City residents. Flygt pumps and parts are the only brand that will fit our existing equipment and Xylem is the only direct municipal parts supplier for Sacramento County, including the City of Sacramento. Additionally, Xylem has committed to a discount of 10% off current list price at time of order for the five-year term.
Financial Considerations: The proposed contract has an estimated annual expenditure of $150,000, for a total not-to-exceed amount of $750,000 over the five-year term. Sufficient funding is available in the proposed DOU Fiscal Year (FY) 2019/20 Operating Budget to cover the first year of the agreement subject to City Council approval of the FY2019/20 budget. Funding for succeeding fiscal years shall be subject to funding availability.
There are no general fund obligations for these agreements.
Local Business Enterprise (LBE): Xylem is not an LBE. The minimum LBE participation requirement is waived as the City has suspended competitive bidding and utilized an alternate procurement method to select a vendor.