SUBJECT: REPORT ON OPEN PURCHASE ORDERS FOR SUPPLIES, MATERIALS, EQUIPMENT AND SERVICES FOR FY 2001-2002 #8

RECOMMENDATION

Approval of award of open purchase orders for supplies, materials, equipment, and services for FY 2001-2002 #8, and authorization for the Director of General Services to execute the purchase orders.

BACKGROUND

This standard memorandum is provided as a cover sheet to an attached list of requests received by the General Services Department/Purchasing Division for open purchase orders. This list indicates the most current requests submitted by various City departments for the establishment of open purchase orders or an increase in the amount of an existing open purchase order for supplies, materials, equipment and services for Fiscal Year 2001-2002. Open purchase orders are used when the amount or nature of the items or services cannot be predicted before they are needed, or when it is necessary that the place from which the items or services are purchased is strategically located.

Pursuant to Sections 4.12.135, 4.12.146 and 4.13.040 of the Municipal Code, competitive quotes or proposals are obtained whenever practicable on all items or services with a payment amount exceeding Five Thousand Dollars ($5,000). Unless otherwise noted, competitive quotes were used to establish all open purchase orders on the attached list. Formal bidding is not required to establish open purchase orders regardless of the total dollar amount; however, General Services/Purchasing does bid some items when feasible. Formal bids are noted on the attachment when applicable.

The attachment may also include open purchase orders for contracts subject to the Living Wage Policy adopted by the Council on November 17, 1998. The policy pertains to contracts exceeding $20,000 and for designated service categories. The Policy also requires a review of the employee work environment (Third Tier Review). The attachment will indicate each purchase that is subject to the Living Wage and any additional information used by staff in making the recommendation.

ANALYSIS

All open purchase orders, which are expected to have an accumulative total of purchases exceeding $100,000.00 during the fiscal year, are presented for Council approval. A list of the new or increased open purchase orders is attached. The attached list includes brief explanatory comments on the items and services.

COORDINATION

Each purchase order request on the attached list has been coordinated with the City Attorney’s Office, Budget Office, and the requesting City department.

PUBLIC OUTREACH

All purchase order requests, which require solicitation of quotations or bids, are advertised on the City’s Internet site.

FRANCIS B. MCVEY

Acting Director, General Services Department

SY:FM:CR

ITEMS/SERVICES DEPARTMENT	RECOMMENDED VENDOR/ LOCATION	REQUESTED AWARD	PRIOR BALANCE	SOURCE OF FUNDING AND BUDGET PAGE
Hydrants for GS-Stores	Mueller Co. Pasadena, CA	$100,000.00	$200,000.00	Stores Fund (551) 2001-2002 Proposed Operating Budget Page 792
The additional encumbrance of $100,000.00to the existing purchase order of $200,000.00 is required, as usage is higher than originally anticipated due to increased construction in City Redevelopment projects.
Herbicides for GS-Stores	Target Specialty Stores Santa Fe Springs, CA	$115,000.00	$95,000.00	Stores Fund (551) 2001-2002 Proposed Operating Budget Page 792
The additional encumbrance of $115,000.00 to the existing purchase order of $95,000.00 is required due to increased turf renovation.
Emulsified Asphalt for Dept. of Transportation	Telfer Oil Company Martinez, CA	$300,000.00	$1,004,400.00	General Fund-001 2001-2002 Proposed Operating Budget Page 530
The additional encumbrance of $300,000.00 to the existing purchase order of $1,004,400.00 is required due to an increase in the amount of miles of streets serviced and increased use of oil for a thicker application.

ITEMS/SERVICES DEPARTMENT	RECOMMENDED VENDOR/ LOCATION	REQUESTED AWARD	PRIOR BALANCE	SOURCE OF FUNDING AND BUDGET PAGE
Electrical Services for GS- Building	F & P Electric, Inc San Jose, CA Ray Scheidts Electric San Jose, CA Lopes Electric, Inc San Jose, CA Cupertino Electric, Inc San Jose, CA Rosendin Electric San Jose, CA	$250,000.00 $50,000.00 $50,000.00 $50,000.00 $50,000.00 $50,000.00		Citywide-various Funds and Budgets
Establish open purchase orders for a total of $250,000.00 for the period October 1, 2001, through June 30, 2002 for electrical services as needed. These contracts are subject to the Living Wage Policy, with prevailing wage higher. Therefore, prevailing wage will be paid.
Books for Library	Baker and Taylor Inc Reno, NV	$450,000.00		Benefit Assessment District Fund (412) 2000-2001 Proposed Capital Budget Page 170
Establish an open purchase order for the period September 17, 2001 through September 16, 2002 for adult and children books as needed. This is the secondary vendor for these types of purchases.
Books for Library	Ingram Library Services Inc. La Vergne, TN	$1,500,000.00		Benefit Assessment District Fund (412) 2000-2001 Proposed Capital Budget Page 170

Establish an open purchase order for the period September 17, 2001 through September 16, 2002 for adult and children books as needed. This is the Primary vendor for these types of purchases.
ITEMS/SERVICES DEPARTMENT	RECOMMENDED VENDOR/ LOCATION	REQUESTED AWARD	PRIOR BALANCE	SOURCE OF FUNDING AND BUDGET PAGE
Security Services for Airport	National Security Industries San Jose, CA	$570,000		Airport Maintenance and Operating Fund - 523 2001-2002 Proposed Operating Budget, Page 6
Establish an open purchase order for the period September 21, 2001 through March 20, 2002 for security service at parking lots at the San Jose International Airport 24 hours a day, 7 days a week. This contract is subject to the living Wage Policy.