Item 4EAGENDA ITEM # 4E
SEPTEMBER 22, 2008
CITY OF ATLANTIC BEACH
CITY COMMISSION MEETING
STAFF REPORT
AGENDA ITEM: Extension of Annual Utility Contractor - Se ice Contract
Bid No. 0506-16
SUBMITTED BY: Donna Kaluzniak, Utility Directo ~~'
Rick Carper, P.E., Public Works ctord `'~
DATE: September 5, 2008
BACKGROUND: On October 9, 2006 bids were opened for the City's contract for Annual Utility
Contractor for underground utility work in the water, sewer and stormwater system. The low bidder
was Gruhn May, Inc. They successfully met all bid requirements.
Gruhn May, Inc. has performed point repair work for the City for many yeazs. Gruhn May's personnel
have the required background, knowledge, experience and equipment to perform the necessary work.
The fees charged by Gruhn May, Inc. for labor and materials have been very reasonable and
competitive.
City has spoken to Gruhn May, Inc. regazding an extension of their contract for one yeaz at the current
rates and they have agreed. As per Bid No. 0506-16: "The City reserves the right to renew the contract
for two additional one-yeaz periods pending a mutual agreement between the City and the vendor, and
a review of the contract performance by vendor for the previous year."
The vendor has agreed to renew his contract, and staff has been pleased with the performance of this
contractor.
BUDGET: These services aze used on an as-needed basis, and funding is included in the Water,
Sewer and Stormwater Funds in the amount of approximately $147,000 under account numbers 400-
5502-533-3400, 400-5504-533-3400, 410-5506-535-3400, 410-5508-535-3400, and 470-0000-538-
3400.
RECOMMENDATION: Extend the Annual Utility Contractor contract for one additional year to
Gruhn May, Inc. at the contract prices.
ATTACHMENTS: 1. Letter of agreement to extend contract from Gtvhn May, Inc.
REVIEWED BY CITY MAN
AGENDA ITEM # 4E
FROM :Gruhn May, Inc FAX h10. :9042680679 Sep__ I SEPTEMBER 22, 2008
C1TY VF ATLANTIC 1tBAGH
DEPARTMKPr1'OF W}BLIC WORKS
(200 SANDPIPk~ LANE
ATt.ANTtC BEACH, FLORtDA :!2233-4318
Tt:L.EP4IQN~: (904) 247-5834
FAX. (9W) 247-1843
SUNCdNt: ti32-1894
www.cnnM.ux
september z, 200a
FAX: 268-0679
Mr. tiordon Gruhn
Gruhn May, Inc.
12E: Extension of Bid No. OS06-16
Dear Mr. Gruhn:
As you are aware, !hc annual contract with the City of Allende E3eaeh far Annual
Contract - [ Jdtity Ccyatractor expires October 9, 2008. We would like to extend the
contract for another year rt the current pricex, if this is aaxptable to your company.
If acceptable, please sign below and return to rrte hY September 11, 2008, so 1 can prepare
a stsaffreport for the City Commission.
Wo look forward W recomenend:iras that we cor-tilAUe our contract with your watpatly.
Sincerely,
~_ ~
Doru~ Kalurttiak
Utility Director
GRi7HN MAY, INC. AGREES TO EX'I;TND THE CONTRACT WITH THE CITX
OF ATLAN'T'IC BEACH AT THE PRICES SUBMITTED IN BID NO.OS06-ib
I~'OTt AN ADDI'T'IONAL YEAR EF!'EC1'IVI~; OGTQB~"R 1Q, Zll®8.
~ ~ °~
GordonGri,hn