Consideration of and action on authorization of a Contract with Ferguson Enterprises, LLC, in the annual amount of $63,378.00, and a Contract with Core and Main, LP, in the annual amount of $107,455.00, for the purchase of water parts. The contracts will automatically renew for four additional one-year terms for a total amount of $854,165.00.

Approve the annual supply contract(s) for the Purchase of Water Parts to Ferguson Enterprises in the amount of $63,378.00 and Core and Main in the amount of $107,455.00. The combined contract amount for the two vendors is $170,833.00 per year with a five-year total of $854,165.00.

The Public Works Department operates, maintains, and repairs over 650 miles of the water distribution system and over 38,000 service connections. An Invitation to Bid (ITB) was published on November 17th and 24th for the purchase of water parts. On December 2, 2021, the City received six bids in response to Invitation to Bid 2022-01.
 
Bidders were asked to price 190 different water and wastewater parts along with discount rates for comparison purposes. Parts were to be awarded according to cumulative pricing based on projected quantities. All vendors being selected were able to meet the City's required time frame.
 
Based on pricing for five categories of parts, Ferguson Enterprises was the lowest bidder for Repair Clamps and Meter Boxes; and Core and Main was the low bidder for Repair Saddles, Repair Brass and Miscellaneous Items.

Items are ordered as needed to maintain an adequate inventory at all times. Funding is available in the Public Works - Utilities Operations Budget for these items.  

The recommended contracts are for one year, with four one-year, mutually agreeable extensions. In order to be a successful low bidder, the company must have bid on all items within the particular category. All low-bidders identified above had complete bids on each category bid. 
 
The Public Works Department recommends that the City Council approve the annual supply contract(s) for the Purchase of Water Parts to Ferguson Waterworks in the amount of $63,378.00; and Core and Main in the amount of $107,455.00. The combined contract amount for the two vendors is $170,833.00 per year. The contracts will automatically renew for four additional one-year terms, for a total contract amount of $854,165.00.