TITLE
Recommendation to authorize City Manager, or designee, to increase Blanket Purchase Order Agreement Nos. BPFD14000008 with Bound Tree Medical, LLC, of Dublin, OH, and BPFD14000009 with Life-Assist, Inc., of Rancho Cordova, CA, for emergency medical supplies, by $240,000, for an annual aggregate amount not to exceed $540,000, for the remainder of the contract period. (Citywide)
DISCUSSION
City Council approval is requested to increase the existing agreements with Bound Tree Medical, LLC, and Life-Assist, Inc., by $240,000. These Blanket Purchase Orders (BPOs) are utilized by the Long Beach Fire Department (LBFD) for the purchase of emergency medical supplies.
Current purchasing guidelines authorize the City Manager to approve purchases up to $200,000 when a competitive procurement process has resulted in three or more price proposals. A formal procurement process was completed in February 2014, which resulted in a split award to Bound Tree Medical, LLC, and Life-Assist, Inc., of Rancho Cordova, CA. Blanket Purchase Orders (BPOs) were issued in July 2014, pursuant to City purchasing guidelines, in an aggregate amount not to exceed $200,000 per year, with the option to renew for two additional one-year periods. The agreements are on the second and final renewal of the term.
On April 21, 2015, the City Council authorized additional purchasing authority of $100,000, resulting in a total aggregate amount not to exceed $300,000 per year. Further increases to the current BPOs are necessary due to a steadily increasing number of emergency medical responses and increased pricing on most emergency medical supplies. For these reasons, purchasing authority will be exhausted before the BPOs end date. The requested action authorizes additional contract authority of $240,000, taking the total annual aggregate not to exceed amount to $540,000. This additional purchasing authority is required for the remainder of the term, ending June 15, 2018.
This matter was reviewed by Deputy City Attorney Monica J. Kilaita on January 29, 2018 and by Budget Analysis Officer Julissa José-Murray on February 1, 2018.
TIMING CONSIDERATIONS
City Council action is requested on February 20, 2018, to allow for the continued purchasing of emergency medical supplies.
FISCAL IMPACT
The amount for the agreement will increase by $240,000 to a revised amount not to exceed $540,000 annually. The increase of $240,000 is budgeted in the General Fund (GF) in the Fire Department (FD). There is no local job impact associated with this recommendation.
SUGGESTED ACTION
Approve recommendation.
Respectfully Submitted,
MICHAEL A. DUREE
FIRE CHIEF
JOHN GROSS
DIRECTOR OF FINANCIAL MANAGEMENT
APPROVED:
PATRICK H. WEST
CITY MANAGER