Title
Contract No. 2301775
Snow Removal and De-Icing Services
O&M
Body
Agenda of: March 21, 2024
Item No.: 2024-037
Amount: $2,874,203.50
TO: The Honorable
Board of Directors
Great Lakes Water Authority
FROM: Suzanne R. Coffey, P.E.
Chief Executive Officer
Great Lakes Water Authority
DATE: March 1, 2024
RE: Contract No. 2301775
Snow Removal and De-Icing Services
Vendor: Premier Group Associates
MOTION
Upon recommendation of Cheryl Porter, Chief Operating Officer - Water and Field Services, the Board of Directors (Board) of the Great Lakes Water Authority (GLWA), authorizes the Chief Executive Officer (CEO) to enter into Contract No. 2301775, “Snow Removal and De-Icing Services” with Premier Group Associates, at a cost not to exceed $2,874,203.50 for a duration of three (3) years with two (2) one (1) year renewal options; and authorizes the CEO to take such other action as may be necessary to accomplish the intent of this vote.
BACKGROUND
Snow Removal and De-Icing Services Contract provides snow removal and de-icing (salt spreading) from walks, steps, drives, loading docks, equipment access, fire hydrants, fueling stations and parking areas of GLWA sites. GLWA operates facilities throughout southeastern Michigan, within the counties of Genesee, Lapeer, Macomb, Monroe, Oakland, St. Clair, Washtenaw, and Wayne. Since January 1, 2016, GLWA snow removal and de-icing service has been accomplished by contracting the work through a snow removal and de-icing services contract.
JUSTIFICATION
Contract No. 2301775 “Snow Removal and De-Icing Services” will replace Contract No. 1901555 and continues to provide services that include snow removal, de-icing, snow fencing services and miscellaneous associated duties for GLWA locations. The contract will cover 59 GLWA sites across southeast Michigan, up from 50 sites in the previous amended contract. The sites range from small plots of land to a large 500-plus acre site.
FINANCIAL PLAN IMPACT
Summary: The proposed contract with Premier Group Associates, encompasses Operations & Maintenance expense only. The FY 2024 budget and five-year financial plan was based on the analysis of prior snow removal & de-icing services over past fiscal years. The value of the contract exceeds the current financial plan in total. Potential positive variances of other contractual services as well as the use of this service may vary by year. Sufficient funds will be provided in the Operations & Maintenance (O&M) financial plan for this contract.
Funding Source: Operations & Maintenance (O&M) Budget
Cost Center(s): Facility Operations…....Centralized Services cost center 882421
Expense Type(s): Contractual Buildings & Grounds Maintenance (617200)
Estimated Cost by Year and Related Forecast Variance: See table below.
Fiscal Year Amount
FY 2024 Budget (Prorated) $50,000.00
FY 2025 Financial Plan 500,000.00
FY 2026 Financial Plan 500,000.00
FY 2027 Financial Plan 500,000.00
FY 2028 Financial Plan 500,000.00
FY 2029 Financial Plan (Prorated) 458,333.00
Financial Plan Forecast $2,508,333.00
Proposed Contract Amount 2,874,203.50
Variance (positive/ (negative)) ($ 365,870.50)
COMMITTEE REVIEW
This item was presented to the Operations and Resources Committee at its meeting on March 13, 2024. The Operations and Resources Committee unanimously recommended that the GLWA Board adopt the resolution as presented.
SHARED SERVICES IMPACT
This item impacts the shared services agreement between GLWA and DWSD.