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HomeMy WebLinkAboutItem 15 - Purchase Order for Citywide Maintenence, Repair and Operational SuppliesFinance & Management Services www.santa-ana.org/finance Item # 15 City of Santa Ana 20 Civic Center Plaza, Santa Ana, CA 92701 Staff Report April 1, 2025 TOPIC: Citywide Maintenance, Repair, and Operational Supplies AGENDA TITLE Citywide Purchase Order Contract with Grainger, Inc. for Maintenance, Repair, and Operational Supplies (Specification No. 25-048) (General Fund and Non -General Fund) RECOMMENDED ACTION Award a Citywide Purchase Order Contract to Grainger, Inc. for online marketplace purchases of goods for a four year term beginning April 1, 2025 and expiring March, 31, 2029, for an annual amount not -to -exceed $400,000, for a total contract amount not -to - exceed $1,600,000. GOVERNMENT CODE §84308 APPLIES: No DISCUSSION The Purchasing Division establishes annual Citywide purchase order contracts with vendors that provide goods and services required by multiple City departments on a recurring basis. These contracts provide an alternative to other agreements, helping departments manage costs while benefiting from vendor convenience. Grainger, Inc. provides a variety of essential items, including miscellaneous supplies, parts, equipment, and materials needed for general maintenance and repairs throughout the City. Various departments, including Public Works, Police, Jail, Fleet, Facilities, and Parks & Recreation, rely on these contracts to order supplies as needed, ensuring uninterrupted operations and facility management. Santa Ana Ordinance No. NS-3041 authorizes the City to purchase against contracts from any public agency utilizing a competitive bid process. Omnia, a cooperative government purchasing agency, awarded a contract to Grainger, Inc. (Contract No. 240078-01) for maintenance repair and operations (MRO) supplies, parts, equipment, and materials as a result of open, competitive bidding, and meets the City's requirements. Staff researched available procurement options and product offerings in the market and determined that the MRO supplies, parts, equipment, and materials provided by Grainger, Inc. enables City staff to procure as -needed materials as efficiently as possible when out in the field maintaining City facilities. By leveraging the procurement power through cooperative purchasing, the City of Santa Ana is able to obtain nationally vetted, high quality products Citywide Purchase Order Contract for Maintenance, Repair, and Operational Supplies April 1, 2025 Page 2 at competitive volume pricing, and is in accordance with the City's existing Purchasing Guidelines. ENVIRONMENTAL IMPACT There is no environmental impact associated with this action. FISCAL IMPACT Funding is available in the FY 24-25 budget, with $100,000 allocated under various departmental Miscellaneous Operating Expense accounts (No. 63001). Funding for subsequent fiscal years will also be included in these Miscellaneous Operating Expense accounts as part of proposed budgets for City Council consideration. An estimated annual amount of $400,000 may be utilized, but actual usage will vary based on needs and budget capacity. However, total expenditures will not exceed the contract limit of $1,600,000. Prior to utilizing the citywide contracts, the requesting departments will follow the Purchasing Policies and Procedures and ensure funds are available. Upon successful completion of the fiscal review, the Purchasing Division will approve orders in accordance with the Policy. Submitted By: Alex Trinidad, Acting Finance and Management Services Agency Executive Director Approved By: Alvaro Nunez, City Manager