Title
Laboratory Equipment and Supplies Cooperative Contract Agreements (Ordinance S-43659)
Description
Request authorization for the City Manager, or his designee, to enter into cooperative contract agreements for laboratory equipment and supplies with the State of Arizona participating addendums with contractors Fisher Scientific Company, LLC, (3017896) contract number ADSPO16-13780 and VWR International, LLC, (3041621) contract number ADSPO16-135417, between the State of Idaho and the National Association of State Procurement Officials (NASPO) ValuePoint master agreements MA16000234-1 and MA16000234-2. Further authorization also is requested for the City Controller to disburse all funds in an amount not to exceed $4,400,000 for both the Water Services Department and the Phoenix Police Department.
Report
Summary
The current City contracts for laboratory equipment and supplies expire June 30, 2017. To replace the expiring contracts, it is advantageous for the City to enter into cooperative contract agreements with the State of Arizona's participating addendums with the State of Idaho's NASPO Value Point master contract agreements. The terms of the cooperative contract agreements are comparable to the current City contracts and additionally offer improved shipping terms and additional discounts, which will provide a cost savings of approximately 21.5 percent for the City.
Procurement Information
Negotiations were conducted under Cooperative Purchasing Agreement 84-17-040-COOP-8426 (SB) in consultation with the City's Law Department, which resulted in mutually advantageous prospective contracts for the City.
Cooperative Prospective Contractor 1 - Fisher Scientific Company, LLC
Cooperative Prospective Contractor 2 - VWR International, LLC
Contract Term
The contract term will be from July 1, 2017, to March 31, 2021.
Financial Impact
Giving consideration to the estimated four-year cost savings of $736,000 achieved by entering into cooperative contract agreements, the estimated annual expenditure for the Water Services Department is $900,000 with an aggregate amount of $3,600,000, and estimated annual expenditure of $200,000 for the Police Department with an aggregate of $800,000, with a combined aggregate not to exceed amount of $4,400,000. Funds are available in the Water Services Department and the Police Department operating budgets.
Department
Responsible Department
This item is submitted by Deputy City Manager Karen Peters and the Water Services Department.