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CITY OF COLTON AGENDA REPORT FOR COUNCIL MEETING OF March 16, 2004 TO: HONORABLE MAYOR AND CITY COUNCIL FROM: Tom Clarke, Electric Utility Director Item #6 SUBJECT: Award of Sole Source Contract to Ameron Pole Products for Marbelite Streetlight Standards in the amount of $59,090.10 DATE: March 8, 2004 BACKGROUND: The Utilities Department purchases Marbelite streetlight standards into the Electric Stores Inventory for use by the Electric Division on an "as required" basis. When the inventory levels reach a predetermined review level, streetlight standards are reordered based on projected usage as determined by the City's Electrical Systems Engineer. The lead time for concrete poles is six to fourteen weeks. The City currently has several projects (Valley Blvd. Realignment and three housing tracts) that will require the use of these standards in the next six weeks to six months. DISCUSSION/ANALYSIS: In an effort to keep uniformity in the City's streetlight lighting system, the Electrical Engineering Division evaluated and approved two manufacturers of Marbelite streetlight standards in 1981. The approved manufacturers were Union Metal Corp. and Ameron Pole Products, Inc. Union Metal Corp. recently discontinued their line of concrete products, leaving Ameron Pole Products as the only approved manufacturer. Last month, City staff was able to locate another manufacturer of concrete streetlight poles, Stress Crete Products, through one of our electrical distributors. Staff has asked the local representative to arrange for a sample of the Stress Crete product so that it can be evaluated by our staff to see if their product is equivalent, and if it will match our existing designs. As of this writing, Stress Crete has not contacted the City to make such arrangements. In addition to not making the product available for evaluation, staff obtained a price quote for a smaller size pole from both Ameron and Stress Crete. The price provided by Stress Crete was more than double the price of the Ameron product ($1,985.00 for Stress Crete vs. $904.00 for Ameron). The Colton Municipal Code, Title 3, Chapter 3.08.060 states, in part, as follows: "...competitive bidding, either formal or informal, is not required for non-public projects in the situations provided for in this section. Under such conditions, any alternative procedure, including no bidding, may be used with the City Manager's approval." "(b) No Competitive Market: When the City Council determines, in accordance with applicable law, that a competitive market does not exist, and that no competitive advantages will be gained by the public bidding process." On February 24, 2004, the Electric Utility Department requested a quote from Ameron Pole Products through Pacific Lighting Sales, Inc. for sixty Marbelite streetlight standards, Model 5131- 29F8, complete with 8ft mast arms and hardware. Pacific Lighting Sales, Inc. is the manufacturer's direct local sales representative for Southern California. On February 25, 2004, we received a quote of $914.00 each plus applicable sales tax. The price quoted includes delivery to the City of Colton Electric Yard.