Title
MRO Supplies: Facility, Industrial and Building Related Supplies and Equipment Contract - COOP 25-0620 - Request for Award (Ordinance S-51800) - Citywide
Description
Request to authorize the City Manager, or his designee, to enter into a cooperative agreement with Wesco Distribution, Inc., and its subsidiaries, Communications Supply Corporation and Anixter Inc., to provide essential maintenance, repair and operational supplies for citywide departments. Further request to authorize the City Controller to disburse all funds related to this item. The total value of the agreement will not exceed $12,600,000.
Report
Summary
This agreement will allow the City to purchase maintenance, repair and operational (MRO) supplies which support the needs of City employees, facilities, and warehouses, as well as the general public. MRO supplies include but are not limited to: locking supplies, electrical supplies, motors, lighting, hand and power tools, safety equipment, pumps, material handling equipment, pneumatic equipment, machining/cutting tools, HVAC equipment and supplies, test instruments and a wide variety of goods required for the City to remain operational on a daily basis. The primary departments utilizing the contracts are Aviation, Fire, Information Technology Services, Parks and Recreation, Police, Phoenix Convention Center, Public Works, Street Transportation and Water Services. Approximately 57 percent of the contract spend is used by enterprise funds.
Sourcewell is a State of Minnesota local government unit and service cooperative created under the laws of the State of Minnesota that offers cooperative procurement solutions to government entities. Sourcewell currently holds Contract 091422-WES to provide Facility MRO, Industrial and Building-Related Supplies and Equipment for use by its participating entities. Citywide departments will utilize this agreement for the purchase of Facility MRO, Industrial and Building-Related Supplies and Equipment.
Procurement Information
In accordance with Administrative Regulation 3.10, standard competition was waived as a result of an approved Determination Memo based on the following reason: Special Circumstances - Alternative Competition. The Sourcewell Facility MRO, Industrial, and Building-Related Supplies and Equipment contract was awarded using a competitive process consistent with the City's procurement processes set forth in the Phoenix City Code, Chapter 43. This cooperative agreement is a procurement solution that offers competitive pricing by utilizing a percentage off of the manufacturer's retail price list.
Contract Term
The agreement will begin on or about May 1, 2025 and will expire on November 8, 2028 with a one-year option to extend.
Financial Impact
The aggregate agreement value will not exceed $12,600,000 for the four and a half-year aggregate term.
Funding is available in various departments' budgets.
Department
Responsible Department
This item is submitted by City Manager Jeffrey Barton and the Finance Department.