05-11-2020 BPU RPT 03 - Laserfiche WebLink

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W A T E R E N E R G Y L I F E RIVERSIDE PUBLIC UTILITIES Board Memorandum P U B L I C U T I L I T I E S BOARD OF PUBLIC UTILITIES DATE: MAY 11, 2020 ITEM NO: 3 SUBJECT: CHANGE ORDER AUTHORITY OF 40% OR $20,000 TO EXISTING ANNUAL PURCHASE ORDER FOR CINTAS, INC. TO PROVIDE ESSENTIAL WORK SAFETY CLOTHING, FOR A TOTAL CONTRACT AMOUNT OF $70,000 FOR FISCAL YEAR 2019/20 ISSUE: Approve a change order authority of 40% or $20,000 to the existing annual purchase order for Cintas, Inc., of Ontario, California, to provide essential safety clothing for employees, for a total contract amount of $70,000 for Fiscal Year 2019/20. RECOMMENDATION: That the Board of Public Utilities approve a change order authority of 40% or $20,000 to the existing annual purchase order for Cintas, Inc., of Ontario, California, to provide essential safety clothing for employees, for a total contract amount of $70,000 for Fiscal Year 2019/20. BACKGROUND: Electric Field crews require specific safety clothing to perform their everyday tasks and the provision of these items is the responsibility of the Utility. Each crewmember has a uniform allocation, which includes a range of fire-resistant shirts, coveralls and heavy-duty jeans. Cintas, Inc. supplies, launders, repairs or replaces these items on a weekly basis. The original purchase order for fiscal year 2019/20 was issued in the amount of $50,000. DISCUSSION: Due to the recruitment of additional staff, there has been an increased demand for work safety clothing over the course of the year and additional safety clothing must be provided. Consequently, the amount of the original purchase order is not sufficient, and the purchase order needs to be increased by 40% or $20,000 for a total purchase order amount of $70,000 for Electric Field to continue to supply staff with essential safety clothing and meet its financial obligation to Cintas, Inc. Cintas, Inc. holds a Cooperative Agreement Number R -BB -19002 with Sourcewell, Staples Minnesota. Sourcewell is a government agency that help save time and money by holding competitively solicited cooperative contracts ready to be used by other government agencies. Purchasing Resolution 23256, Section 702 (e) states that "Competitive Procurement through the Informal Procurement and Formal Procurement process shall not be required.... When Cooperative Purchasing is available and undertaken or when Services can be obtained through Federal, State and/or other public entity pricing contracts or price agreements."