Title
Facilities Maintenance and Repair and Operations and Industrial Supplies - Requirements Contract (Ordinance S-46245)
Description
Request to authorize the City Manager, or his designee, to enter into a contract with W.W. Grainger, Inc. and Fastenal Company, to provide essential maintenance, repair, and operational supplies required by all Citywide departments in an amount not to exceed $15,000,000 over five years, or approximately $3,000,000 annually. Further request authorization for the City Controller to disburse all funds related to this item.
Report
Summary
Adopting the new multi-vendor State contract 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: 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, Parks and Recreation, Police, Phoenix Convention Center, Public Works, Street Transportation, and Water Services. Approximately 52 percent of the contract spend is used by enterprise funds.
Procurement Information
By utilizing the State of Oregon's National Association of State Procurement Officials Master Agreement, the City benefits from the NASPO cooperative contract rates adopted through the State of Arizona.
Contract Term
The five-year contract period for these vendors will begin Jan. 1, 2020.
Financial Impact
The aggregate five-year contract value shall not exceed $15,000,000, or approximately $3,000,000 annually. The contract value is based on historical spend. Funds are available in City of Phoenix departments' budgets.
Department
Responsible Department
This item is submitted by City Manager Ed Zuercher and the Finance Department.