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Agenda 06/23/2009 Item #16E14 EXECUTIVE SUMMARY Agenda Item No. 16E 14 June 23, 2009 Page 1 of 2 Recommendation to approve the continued utilization of Nalco Company, which will exceed the fifty thousand dollar competitive bidding threshold per Collier County's Purchasing Policy, to allow for continued water treatment services and associated materials for the chiller plant on government complex. OBJECTIVE: To obtain approval from the Board of County Commissioners for the continued utilization of Nalco Company for continued water treatment services and associated materials. CONSIDERATIONS: The Department of Facilities Management is responsible for the maintenance, operations, and repair of all County-owned buildings and assets including building water treatment. Following purchasing policy, Facilities Management obtained three quotes for the water treatment processing, with services estimated at being under $50,000. Approximately one year ago, Collier County converted its Chiller Plant on the Main Government Campus to operate using IQ (reuse) water instead of the previous and more expensive potable water source. Over time it was found that previous water treatment processes were not compatible with the new IQ water source and required a completely different process to eliminate all particulates and chemicals that have been found to be harmful to the sensitive Chiller systems. -- In an effort to provide the best protection to the County's four chillers (estimated replacement value of $1 million) on the Main Government Campus, the Department of Facilities Management created a scope of services and solicited quotes from three contractors, with the low quote being Nalco Company. A purchase order was issued to Nalco Company for the routine monthly service of the system for an annual cost of approximately $33,000. In addition to the routine monthly services, Nalco Company required an additional $34,000 for the essential proprietary equipment. In accordance with Section IV (B) 3 of the Purchasing Policy, a sole source letter was received and approved by the Purchasing Department for the purchase of this equipment. It was then realized that although the equipment purchase was to be considered sole source, it was determined to be part of the same purchase as the service and therefore, would exceed the $50,000 competitive threshold. In an effort to eliminate any lapses in service due to a rebid, which could result in extensive chiller maintenance repairs, the Department of Facilities Management is requesting a waiver under Section V (A) 4 of the Purchasing Policy, to exceed the $50,000 competitive threshold for the purchase of equipment and water treatment services. FISCAL IMPACT: Facilities Funds are budgeted in the department's operating cost center 001- 122240. GROWTH MANAGEMENT IMPACT: There is no growth management impact associated with this Executive Summary. LEGAL CONSIDERATIONS: This item has been reviewed and approved by the County Attorney's Office, is not quasi-judicial and requires no ex parte disclosure, requires only a majority vote for approval, and is otherwise legally sufficient for Board action.-SRT -- RECOMMENDATION: That the Board of County Commissioners approves the utilization of Nalco Company for continued water treatment services and associated materials and waives formal competition under Section V(A) 4 of the Purchasing Policy. PREPARED BY: Damon Gonzales, CFM, Facilities Manager, Department of Facilities Management Page 1 of 1 Agenda Item No. 16E14 June 23, 2009 Page 2 of 2 COLLIER COUNTY BOARD OF COUNTY COMMISSIONERS Item Number: Item Summary: 16E14 Recommendation to approve the continued utilization of Nalco Company, which will exceed the fifty thousand dollar competitive bidding threshold per Collier Countys Purchasing Policy, to allow for continued water treatment services and associated materials for the chiller plants on the Government Complex. Meeting Date: 6/23/2009 90000 AM Prepared By Damon Gonzales Interim Facilities Manager Date Administrative Services Facilities Management 6/11/2009 1 :35:07 PM Approved By Damon Gonzales Interim Facilities Manager Date Administrative Services Facilities Management 6/11/2009 1 :51 PM Approved By Kelsey Ward Contract Administration Manager Date Administrative Services Purchasing 6/11/20092:23 PM Approved By Skip Camp, C.F.M. Facilities Management Director Date Administrative Services Facilities Management 6/11/2009 3: 53 PM Appro,'ed By Skip Camp, C.F.M. Facilities Management Director Date Administrative Services Facilities Management 6/11/20093:53 PM Approved By OMS Coordinator OMB Coordinator Date County Manager's Office Office of Management & Budget 6/11/2009 4:20 PM Approved By Laura Davisson Management & Budget Analyst Date County Manager's Office Office of Management & Budget 6/12/20098:18 AM Approved By Scott R. Teach Assistant County Attorney Date County Attorney County Attorney Office 6/12/20092:57 PM Approved By Jeff Klatzkow County Attorney Date County Attorney County Attorney Office 6/15/200910:59 AM Approved By Leo E. Ochs, Jr. Deputy County Manager Date Board of County County Manager's Office 6/16/20099:58 AM Commissioners file://C:\AgendaTest\Export\ 132-June%2023, %202009\ 16.%20CONSENT%20AGENDA \1... 6/17/2009