HomeMy WebLinkAboutRes2000-133
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CITY OF SEWARD, ALASKA
RESOLUTION 2000-133
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SEWARD,
ALASKA, RATIFYING EMERGENCY PURCHASE ORDER #25391 ISSUED
BY THE CITY MANAGER TO NATIONAL PIPE AND PILING,
INCORPORATED TO SUPPLY PILING FOR THE SMALL BOAT HARBOR
REPAIR AND RENOVATION CAPITAL PROJECT FOR AN AMOUNT
NOT TO EXCEED $396,704.00
WHEREAS, as a result of continued periodic inquiries to determine material availability and
related issues, an issue involving timely production and delivery of steel piling supply was
identified; and
WHEREAS, the Harbormaster, through the City Manager, has recommended alternate
procurement procedures to best serve the needs of the City by making direct supplier contacts to
investigate prices, specifications for available product, and delivery date assurances from known
product producers; and
WHEREAS, straight seam ERW (Electric Resistance Welded) pipe in the 16" size and wall
thickness is manufactured by a limited number of producers and these producers are not intending to
produce this size pipe until March, 2001 at the earliest; and
WHEREAS, offshore producers of steel pipe, such as Pusan in Korea, do not appear to be an
option owing to the relatively short lead time available and pipe ordered today would not arrive on
the West Coast until March 2001; and
WHEREAS, existing stocks of 16" piling may be available but not from a single source, the
supply is not guaranteed and if available, the cost of collecting, shipping and extensive cutting and
welding required makes this cost prohibitive; and
WHEREAS, virtually the only known source of supply for 16" pipe that can be produced in
time for to meet the construction and permitting schedule is to purchase the product through National
Pipe and Piling, Incorporated to be milled at Paragon Industries, Incorporated ("Paragon") in
Oklahoma; and
WHEREAS, Paragon's production schedule for 16" pipe is the week of November 13,2000
and they require an immediate commitment so that the steel stock may be ordered for the production
run; and
CITY OF SEWARD, ALASKA
RESOLUTION 2000-133
WHEREAS, ifthe piling is not ordered immediately, it will not be available for the Small
Boat Harbor Repair and Renovation Capital Project and may jeopardize the timely and cost effective
completion of this project; and
WHEREAS, it is in the public interest to ensure that piling is available to complete the
renovation project in a timely and cost effective manner promoting continued and increased marine
activity within the Small Boat Harbor and benefiting the community through economic stability, job
growth and other related economic impacts resulting from the timely completion of the repair and
renovations to Small Boat Harbor; and
WHEREAS, Seward City Code ~6.1O.115 provides for exemptions from competitive
procurement procedures, and the City Council may approve such contracts by motion or resolution;
and
WHEREAS, the type, size, and quantity ofthe product constitutes specialized products, and
an emergency situation makes the delay incident to competitive bidding unreasonable and, therefore,
the requested purchase is exempt under Seward City Code ~6.10.120(A)(2) from competitive
procurement proceedings; and
WHEREAS, Seward City Code ~6.10.120(A)(5) also provides an exemption for supplies,
materials, equipment or contractual services which can only be furnished by a single dealer and the
City has located only one supplier and producer that can meet the product specifications and the
City's time constraints; and
WHEREAS, under Seward City Code ~6.10.130, the City Council finds, for the reasons
stated herein, that the public interest would best be served by not requiring competitive bids; and
WHEREAS, there is a relatively small amount of other piling necessary for the project and it
is a much simpler task to purchase the 12" (l7ea) and 18"(4ea) piling along with the 16" piling from
the same vendor; and
WHEREAS, if separated out, construction contractors would have to bid a small amount of
piling in the construction contract bid and arrange separately for fabrication and delivery, increasing
the cost and overhead and duplicating efforts; and
WHEREAS, in buying all of the piling from one source, the construction contractor will
only have to arrange piling pick up and shipment from one location, reducing cost, eliminating
duplicative overhead and making the bid process simpler and even for all bidders; and
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CITY OF SEWARD, ALASKA
RESOLUTION 2000-133
WHEREAS, because ofthe exigent circumstances herein described, the City Council further
finds that the product can be procured now at a reasonable cost without competitive bidding, and
because ofthe specialized nature ofthe product and limited sources of, supply, the City can obtain
not only a reasonable price through the proposed purchase, but equally as important, ensure timely
delivery ofthe product to meet the construction time constraints;
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY
OF SEWARD, ALASKA, that:
Section 1. For the reasons stated in the above recitals, which are incorporated herein by this
reference as written findings of the City Council as if fully set out, the City Council finds that the
public interest would be best served by not requiring competitive bids; further, it is the public
interest to now purchase this piling to ensure its availability for the timely completion ofthe Small
Boat Harbor Repair and Renovation Capital Project.
Section 2. The City Council also finds that because ofthe specialized nature ofthe product,
the limited number of suppliers and the even more limited ability of potential suppliers and
producers to meet delivery time constraints, that the product can be procured at a lower cost by an
immediate order without competitive bidding and the time delays associated with such a bid process.
Section 3. Purchase Order #25391 issued by the City Manager to National Pipe and Piling,
Incorporated to supply the necessary piling for an amount not to exceed $396,704.00 is hereby
ratified.
Section 4. This resolution shall take effect immediately upon its adoption.
PASSED AND APPROVED by the City Council ofthe City of Seward, Alaska, this 6th day
of November 2000.
THE CITY OF SEWARD, ALASKA
["'fL, /~ uLj 0
Edgar Blatchford, Mayor
AYES:
NOES:
ABSENT:
Blatchford, Brossow, Calhoon, Clark, Orr, Shafer
None
King
CITY OF SEWARD, ALASKA
RESOLUTION 2000-133
ABSTAIN: None
A~~A
~c~eillY Y /
City Clerk
(City Seal)