Title
Consider a memorandum/resolution rejecting bids received for Bid 23-08, Uniform Cleaning Services.
Summary
DATE: January 3, 2023
TO: Kent Cagle, City Manager
FROM: Lorianne Luciano, Director of Procurement and Contract Management
SUBJECT: Reject bid received for Bid 23-08 Uniform Cleaning Services
BACKGROUND AND FINDINGS:
On December 6, 2022, at 2:00 pm, one (1) bid for bid 23-08, uniform cleaning services was received and opened and read aloud at 2:15 pm. Uniforms are required in select departments to help the City maintain a professional image and to clearly identify City employees to the public. Uniform cleaning services provided through this bid are for the Municipal Court, Fire and Police Departments.
Bidders were instructed to bid per laundry item and based upon an estimated annual quantity. As part of the evaluation process, the bids received were compared to the actual cost for uniform cleaning services over the past four fiscal years. During this comparison, a discrepancy in the annual estimated quantity was discovered. The FY 2023 budget for uniform cleaning services across the three departments is $50,000 but the average expenditure for uniform cleaning services for the past four fiscal years is $34,342.54. The bid received was $190,025.15. The total bid amounts came in high due to the estimated quantities provided to the bidders.
The bid document states that the quantities listed within the specification's section are estimates and the City may increase or decrease the number of uniform services needed; however, staff feels that the estimated quantities listed in the bid were significantly overstated. Therefore, staff recommends rejecting the bid received for Bid 23-08, Uniform Cleaning Services, and issue a revised bid to give vendors an opportunity to submit a bid with accurate estimated annual quantities. Local Government Code, Sec. 252.043(f) allows the governing body to reject any and all bids.
THE ALTERNATIVES CONSIDERED:
N/A
Which alternative is recommended? Why?
Due to the circumstances, the recommendation is to reject all bids and re-bid uniform cleaning services.
CONFORMITY TO CITY POLICY:
This resolution conforms to city policies and Texas Local Government Code, Section 252.043.
FINANCIAL IMPACT:
What is the amount of the expenditure in the current fiscal year? For future years?
Rejecting Bid 23-08 will result in advertising costs of approximately $260.
Is this a one-time or recurring expenditure?
One-time expenditure
Is this expenditure budgeted?
Yes, funds are available in the General Fund Finance Department Purchasing account 010-2030-415.44-28, notices required by law.
If not, where will the money come from?
N/A
Is there a sufficient amount in the budgeted line-item for this expenditure?
Yes
RECOMMENDATION:
City Council reject the bid received for Bid 23-08, Uniform Cleaning Services.
DEPARTMENTAL CLEARANCES:
Legal
Finance
ATTACHED SUPPORTING DOCUMENTS:
Bids