CITY COUNCIL AGENDA ITEM
ACTION REQUESTED:
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Approve the award of Cooperative Procurement 20-265, Janitorial Supplies, to W.W. Grainger Inc. for an amount not to exceed $145,000 and for a one-year term
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DEPARTMENT: Department of Public Works
SUBMITTED BY: Richard Dublinski, Director
BOARD/COMMISSION REVIEW:
N/A
BACKGROUND:
The Department of Public Works - Public Building Operations Division (DPW-PBO) is responsible for maintaining the City’s facilities and public spaces, including the Central Business District (CDB) and parking decks. As part of this responsibility, PBO obtains the janitorial supplies used at City facilities and distributes the supplies to the custodial contractors and staff for use.
In previous years, PBO has secured these supplies via quotes. In 2019, PBO conducted an internal assessment regarding the procurement and in-house inventory management of janitorial supplies in an effort to improve operations. PBO conducted an analysis to determine if the janitorial supplies should be bid or to transition to a national cooperative contract. Staff evaluated cooperatives with six janitorial supply vendors and recommended the use of a cooperative janitorial supply contract to facilitate the purchase and distribution of janitorial supplies used at City facilities by custodial contractors and City staff.
On July 2019, the City Manager awarded Cooperative Contract 19-211 for a one-year term from July 1, 2019 to June 30, 2020. City Council approved Change Order #1 on February 18, 2020. The original award amount was based solely on DPW’s historical spend and the change order was processed to include other funding accounts, add additional funds for downtown maintenance and to accurately budget for chemical and paper products.
DISCUSSION:
Staff recommends the use of approved cooperative contract, OMNIA Partners Cooperative Contract 192163 through W.W. Grainger Inc., for the procurement of the janitorial supplies.
Grainger has assisted the City with increasing cost savings by finding comparable products at lower prices. In addition, Grainger has helped the City customize the Keepstock program, an inventory management solution, to ensure that spending does not exceed the monthly allocation for each location by setting product ordering limits.
The award amount includes funding for supplies necessary to continue to maintain City facilities and the downtown. COVID-19 caused a destabilization in the market for custodial supplies, which has resulted in difficulty in obtaining products. The award amount reflects the current spend and the additional supplies needed due to COVID-19.
The term of this contract is one year from July 1, 2020 through June 30, 2021.
FISCAL IMPACT:
CIP#: N/A
Janitorial supplies are expensed to the custodial supplies and operating supplies accounts listed below. A total of $149,000 is budgeted for cleaning and sanitation supplies in 2020. The requested award exceeds the budgeted amount for this expense, due to the additional supplies related COVID-19. This award will be accommodated by savings in other areas, such as Overtime and Winter Operations.
|
Account Number |
Fund Description |
Total Budget Amount |
|
31341100-541401 |
General Fund |
$110,000 |
|
22251100-541407 |
General Fund |
$674,050 |
|
31254300-541407 |
SSA #26 |
$96,750 |