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Item 4C CITY OF ATLANTIC BEACH CITY COMMISSION MEETING STAFF REPORT AGENDA ITEM: Extension of Point Repair Annual Contract Bid No. 0203-23 SUBMITTED BY: Donna Kaluzniak, Utility Director Rick Carper, P.E., Public Works Director DATE: September 1, 2004 AGENDA ITEM #4C SEPTEMBER 13, 2004 BACKGROUND: On September 10, 2003 bids were opened for the City's annual contract for Point ~""' Repairs 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 years. 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. regarding an extension of their contract for one year at the current ~. rates and they have agreed. As per Bid No. 0203-23: "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, Sewer and Stormwater Funds in the amount of approximately $150,000 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 Point Repair contract for one additional year to Gruhn May, Inc. at the contract prices. ATTACHMENTS: 1. Letter of agreement to extend ontract from Gruhn May, Inc. ~* REVIEWED BY CITY MANAGE September 1, 2004 FAX: 268-0679 Mr. Gordon Gruhn Gruhn May, Inc. RE: Extension of Bid No. 0203-23 Dear Mr. Gruhn: AGENDA ITEM #4C SEPTEMBER 13, 2004 DEPARTMENT OF PUBLIC WORKS 1200 SANDPIPER LANE ATLANTIC BEACH, FLORIDA 32233-4318 TELEPHONE: (904) 247-5834 FAX: (904) 247-5843 SUNCOM: 852-5834 http://www. ci.atlantic-beach. fl. us As you aze aware, the annual contract with the City of Atlantic Beach for Point Repairs ~» expires September 30, 2004. 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 September 3, 2004, 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, (~f d~ ~"'' Donna Kaluzniak Utility Director GRUHN MAY, INC. AGREES TO EXTEND THE CONTRACT WITH THE CITY '~" OF ATLANTIC BEACH AT THE PRICES SUBMITTED IN BID N0.0203-23 FOR AN ADDITIONAL YEAR EFFECTIVE SEPTEMBER 1, 2004. 9 ~ Gordon Gruhn Date