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HomeMy WebLinkAbout2009 04 13 Consent 203 Purchase BuildingsCOMMISSION AGENDA ITEM 203 Apnl 13, 2009 Meeting CONSENT ~ X INFORMATIONAL PUBLIC HEARING REGULAR MGR /DEPT ~~~/ Authorization REQUEST: Utility Department Requesting Approval to Direct Purchase the Buildings previously awarded under bid #ITB-013/08/KL to Conrad Construction, Inc. to realize sales tag savings. PURPOSE: The purpose of this Board item is to request authorization to direct purchase the pre-engineered metal building from Florida Metal building Services of Ocala in the amount of $134,613 in order to save the sales tax which will result in an estimated reduction of $142,689.78 from the contract with Conrad Construction, Inc. of Sanford. CONSIDERATIONS: This agenda item is needed to take advantage of a potential sales tax savings by direct purchasing two pre-engineered metal buildings. The City Commission authorized the award of Bid #ITB 013/08/KL to Conrad Construction of Sanford on September 22, 2008. The value of the contract is $538,982 to supply and install two pre-engineered metal buildings including the necessary site work. Conrad Construction contacted the City to gauge the interest in direct purchasing the metal buildings in order to save sales tax. The potential savings amount to about $8,126. The metal building vendor is Florida Metal Building Services of Ocala and the purchase amount would be $134,613. The buildings will be delivered COD on April 24, 2009. All warranty provisions will still apply to Conrad Construction. FUNDING: No additional funding is needed. The potential savings is projected at $8,126.78. This project is funded from the Utility/Public Works Capital Project Fund - 311-65000- 30037. 041309_COMM_Consent_203_Utility-Public_Works_Storage_Direct_Purchase Consent Agenda Item 203 April 13, 2009 Page 2 RECOMMENDATION: It is recommended that the City Manager be authorized to direct purchase pre- engineered buildings from Florida Metal Building Services of Ocala at a cost of $134,613 plus 5% contingency that will result in a corresponding reduction in the Conrad Construction contract of the purchase price plus sales tax. IMPLEMENTATION SCHEDULE: The building purchase is scheduled to occur April 24'Y'. A change order to the contract with Conrad Construction will be initiated once finalized. The project is anticipated to be completed by July 1, 2009. ATTACHMENTS: None COMMISSION ACTION: