FROM: Robert Thompson, General Manager
Originator: Riaz Moinuddin, Director of Operations & Maintenance
SUBJECT:
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COOPERATIVE PROCUREMENT WITH W.W. GRAINGER, INC.
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GENERAL MANAGER'S RECOMMENDATION
recommendation
RECOMMENDATION: Recommend to the Board of Directors to:
Approve a Blanket Purchase Order with W.W. Grainger, Inc. (Grainger, Inc.) for the purchase of maintenance tools and supplies, utilizing the National Association of State Procurement Officials (NASPO) Master Agreement No. 8496, for the period beginning July 1, 2023, through June 30, 2024, for a total amount not to exceed $300,000.
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BACKGROUND
The Orange County Sanitation District (OC San) requires miscellaneous parts and supplies which may be one-time purchases, or purchased infrequently, such that it is not appropriate to stock them in the OC San's warehouse.
RELEVANT STANDARDS
* Participate in local, state, and national cooperative purchasing programs
* Maintain a culture of improving efficiency to reduce the cost to provide the current service level or standard
PROBLEM
The current Blanket Purchase Order (BPO) with Grainger, Inc. expires June 30, 2023. Without an agreement in place, procurement of parts and supplies necessary for day-to-day repairs could be delayed resulting in higher individual procurement costs.
PROPOSED SOLUTION
Approve a Blanket Purchase Order with Grainger, Inc. thereby allowing quick procurement and stable pricing of necessary small tools and equipment for day-to-day repairs.
TIMING CONCERNS
N/A
RAMIFICATIONS OF NOT TAKING ACTION
Increased time to procure needed parts and supplies, and potentially higher costs.
PRIOR COMMITTEE/BOARD ACTIONS
February 2020 - Approved a Blanket Purchase Order with W.W. Grainger, Inc. for the purchase of maintenance tools and supplies, in accordance with Ordinance No. OCSD-52, Section 2.03(B): Cooperative Procurement; for the period beginning March 1, 2020 through February 28, 2021, with two one-year...
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