Title
Resolution Determining Commonwealth Dynamics, Inc. to be the Only Source Practicably Available From Which to Procure Materials and Service for Stack Inspection and Repair and Authorizing the Negotiation and Execution of a Purchase Contract with Commonwealth Dynamics, Inc. as “Sole Source”
Purpose
PURPOSE/BACKGROUND:
Commonwealth Dynamics has been a sole source vendor at the Hampton/NASA Steam Plant since 1987. 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 "Ethics in Public Contracting" paragraph C. 4. ii. 1
Discussion:
The Hampton/NASA Steam Plant’s original stack, as designed in 1980, was too short and did not meet the flue gas dispersal requirements needed to prevent corrosion of the NASA LaRC Apollo gantry, a National Historic Landmark. In 1987, Commonwealth Dynamics designed the solution to the problem and increased the stack height and structural reinforcement. Commonwealth has been employed for several stack inspection and repair tasks since then. The existing stack is now at the end of its expected lifecycle and is being replaced. Due to their propriety design knowledge, the significance of the stack to normal Steam Plant operations and permitting, and the highly technical nature of these specialized repairs, Commonwealth was selected to conduct this capital project.
Impact:
The stack and its internal flues are integral to removing the harmful gasses produced by the refuse combustion process. They are critical to the Plant maintaining its environmental compliance. While the stack has no moving parts, it is still a fairly complex system that requires inspection, maintenance, and repair. Failure to remedy issues with their normal operations would put us in violation of our DEQ Air Quality permit.
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 stack design, inspection, maintenance, and repair requirements;
WHEREAS, Commonwealth Dynamics, Inc. is the exclusive representative of OEM parts and service which the city requires for the proper operation of the Steam Plant’s stack; and
WHEREAS, the price at which Commonwealth Dynamics, Inc. has offered the parts 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 goods described above may be negotiated and awarded to Commonwealth Dynamics, 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 Commonwealth Dynamics, Inc.; and
3. That the notice awarding the contract to Commonwealth Dynamics, Inc. shall be posted in a public place pursuant to Virginia Code Section 2.2-4303(E).