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Item 4BAGENDA ITEM # 4B OCTOBER 12, 2009 CITY OF ATLANTIC BEACH CITY COMMISSION MEETING STAFF REPORT AGENDA ITEM: Extension of Annual Contract -Welding Bid No. 0809-01 SUBMITTED BY: Donna Kaluzniak, Utility Direct DATE: September 30, 2009 BACKGROUND: The City's annual contract for welding was awarded to Ace Fabrication, LLC in October 2008. This work requires specialized skill, experience and equipment. Ace Fabrication's personnel have the required background, knowledge, experience and equipment. The fees charged by Ace Fabrication for labor and materials have been very reasonable and competitive. City has spoken to Ace Fabrication, LLC regarding an extension of their current contract for one year at the current rates and they have agreed. As per Bid No. 0809-01: "The City reserves the right to renew the contract for two additional one-year 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 are used on an as-needed basis, and funding is included in the Water and Sewer Funds in the amount of approximately $34,000 under account numbers 400-5502-533- 3400 and 410-5508-535-3400. RECOMMENDATION: Extend the annual contract for welding for one additional year to Ace Fabrication, LLC at the current contract prices. ATTACHMENTS: 1. Letter of agreement to extend contract from Ace Fabrication, LLC REVIEWED BY CITY MANAGER: AGENDA ITEM # 4B OCTOBER 12, 2009 CITY OF ATLANTIC BEACH DEPARTMENT OF PUBLIC WORKS 1200 SANDPIPER LANE ATLANTIC BEACH, FLORIDA 32233-4318 TELEPHONE: (904) 247-5834 FAX: (904) 247-5843 SUNCOM: 852-5834 www.coab.us September 29, 2009 FAX: 384-3508 Mr. Charles Preston Ace Fabrications LLC RE: Extension of Bid No. 0809-01 Dear Mr. Preston: As you are aware, the annual contract with the City of Atlantic Beach for Welding expires October 31, 2009. We would like to extend the contract for another year at the current prices, if this is acceptable to your company. If acceptable, please sign below and return to me October 2, 2009, so I can prepare a staff report for the City Commission. We look forward to recommending that we continue our contract with your company. Sincerely, Donna Kaluzniak Utility Director ACE FABRICATIONS LLC AGREES TO EXTEND THE CONTRACT WITH THE CITY OF ATLANTIC BEACH AT THE PRICES SUBMITTED IN BID NO. 0809-O1 F DITIONAL YEAR EFFECTIVE NOVEMBER 1, 2009. ~. o~T ~'~ Charles Preston Date '