File #: 19-0234    Version: 1 Name: SS - Mid Atlantic Boiler
Type: Resolution Status: Passed
File created: 7/12/2019 In control: City Council Legislative Session
On agenda: 9/25/2019 Final action: 9/25/2019
Title: Resolution Determining Mid Atlantic Boiler, Inc. to be the Only Source Practicably Available From Which to Procure Boiler Pressure Vessel Repairs and Maintenance and Authorizing the Negotiation and Execution of a Purchase Contract with Mid Atlantic Boiler, Inc as “Sole Source”
Indexes: , Steam Plant Operations

Title

Resolution Determining Mid Atlantic Boiler, Inc. to be the Only Source Practicably Available From Which to Procure Boiler Pressure Vessel Repairs and Maintenance and Authorizing the Negotiation and Execution of a Purchase Contract with Mid Atlantic Boiler, Inc as “Sole Source”

 

Purpose

PURPOSE/BACKGROUND:

Mid Atlantic Boiler, Inc. has been a sole source vendor at the Hampton/NASA Steam Plant since 1986.  Recently, in order to comply with the required procedures for City procurements made using federal grant funds under the Uniform Guidance issued by the Office of Management and Budget, the Steam Plant was directed to review and renew its Sole Source vendors in accordance with Article 6 of §2.2-4300 et seq. of the Code of Virginia.

Discussion:

 

The Hampton/NASA Steam Plant’s boilers and associated equipment require constant maintenance, frequent repair, and specialized attention.  Mid Atlantic Boiler has augmented the Steam Plant’s own maintenance staff for 33 years and is intimately familiar with the equipment, repair history, and institutional requirements of the Plant.  They augment our maintenance staff during our routine Spring and Fall shutdowns so we can reduce boiler downtime.  Their ability to quickly deploy R-Stamp welders (certified by the National Board of Boiler and Pressure Vessel Inspectors) has been instrumental in the ensuring the quick turnaround repairs of tube leaks and piping run failures as well as more complex repair actions.      

 

Impact:

 

The Steam Plant’s maintenance team is limited to 8 personnel.  Due to the necessary qualifications, unpredictable need for, and requisite pay commanded by R-Stamp welders, we do not have any on staff.  Further, the institutional knowledge represented by this long relationship has proven invaluable.  Lastly, the inability to quickly and effectively mobilize a skilled repair crew will result in longer turnaround times for repairs, lengthier maintenance shutdowns, reduced steaming time for NASA LaRC, and more lost tipping fee revenues.            

 

Recommendation:

Rec

Approve Resolution

 

Body

                     WHEREAS, Hampton City Council recognizes the public interest in providing through its Public Works/Steam Plant the most efficient means reasonably available and affordable to maintain the Public Works/Steam Plant boiler maintenance and repair;

 

                     WHEREAS, Mid Atlantic Boiler, Inc. is the exclusive representative of the immediate skills, institutional knowledge, and Plant history which the city requires for the proper maintenance of the Public Works/Steam Plant boiler maintenance and repair; and

                     

                     WHEREAS, the price at which Mid Atlantic Boiler, Inc. has offered the service and has been determined to be fair and reasonable.

 

                     NOW, THEREFORE, BE IT RESOLVED by the Council of the City of Hampton, Virginia as follows:

 

                             1.                       That the contract for procuring the services described above may be negotiated and awarded to Mid Atlantic Boiler, Inc. as a “sole source” without competitive sealed bidding or competitive negotiation as set forth in Virginia Code Section 2.2-4303.E;

 

                     2.                       That the City Manager or his authorized designee is hereby authorized to negotiate and execute a purchase contract with Mid Atlantic Boiler, Inc.; and

 

                     3.                       That the notice awarding the contract to Mid Atlantic Boiler, Inc. shall be posted in a public place pursuant to Virginia Code Section 2.2-4303.E.