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HomeMy WebLinkAboutCOUNCIL - AGENDA ITEM - 09/18/2007 - RESOLUTION 2007-083 AUTHORIZING AN EXEMPTION TO TH ITEM NUMBER: 13 AGENDA ITEM SUMMARY DATE: September 18, 2007 FORT COLLINS CITY COUNCIL STAFF: Jim O'Neill Mike Herzig SUBJECT Resolution 2007-083 Authorizing an Exemption to the Use of a Competitive Process for the City to Enter into a Contract For Railroad Improvements from Burlington Northern Railway,Union Pacific Railroad and Great Western Railway. RECOMMENDATION Staff recommends adoption of the Resolution. FINANCIAL IMPACT There are no additional impacts. Funds are budgeted in each roadway project for railroad upgrades as part of the construction cost. EXECUTIVE SUMMARY City roadway projects include upgrades to railroad crossings if they are within the project limits. These upgrades typically include extending or replacing crossing materials and moving or upgrading warning signals and automated crossing gates. The affected Railroad either performs the work or has a designated subcontractor perform the work. Railroad improvements such as upgraded railroad crossings must be performed by the railroad or its approved contractor. Staff is also requesting Council approval to use this exemption for 5 years. BACKGROUND The most recent project, Timberline Road, from Drake to Prospect, included upgrades to two railroad crossings this last year for a total of$259,834 for both projects. The work was performed by Railroad Controls Limited who is Great Western Railroads designated contractor to perform the work. Although the budget for the projects was approved by Council,this upgrade was overlooked as needing to be approved as an exemption to the use of competitive bid or proposal prior to the work being completed. September 18, 2007 -2- Item No. 13 Section 8-161(d)(1)b. of the Code of the City of Fort Collins authorizes the Purchasing Agent to negotiate the purchase of supplies and services without utilizing a competitive bidding process where the Purchasing Agent determines that although a particular material or service is available from more than one responsible source,a competitive process cannot reasonably be used,or,if used, will result in a substantially higher cost to the City,will otherwise injure the City's financial interests or will substantially impede the City's administrative functions or the delivery of services to the public The Purchasing Agent has submitted the requisite justification to the City Manager for approval and the City Manager has reviewed and concurred in that determination for this acquisition. Section 8-161(d)(3)requires Council approval of all exceptions to the competitive process over One Hundred Thousand Dollars ($100,000) prior to acquisition. Section 8-161(d)(4) states that any procurement approved under this Section by the City Manager or the City Council may be used as the basis for a negotiated purchase of additional quantities of the same materials or services at any time within a period of five (5) years from the date of approval; provided,however, that subsequent procurements maybe expressly limited to a specific number of purchases or a period of less than five (5) years. RESOLUTION 2007-083 OF THE COUNCIL OF THE CITY OF FORT COLLINS AUTHORIZING AN EXEMPTION TO THE USE OF A COMPETITIVE PROCESS FOR THE CITY TO ENTER INTO A CONTRACT FOR RAILROAD IMPROVEMENTS FROM BURLINGTON NORTHERN RAILWAY, UNION PACIFIC RAILROAD AND GREAT WESTERN RAILWAY WHEREAS, City roadway projects often include upgrades to railroad crossings if they are within the project; and WHEREAS, the upgrades to railroad crossings typically include extending or replacing crossing materials and moving or upgrading warning signals and automated crossing gates; and WHEREAS, the affected railroad requires that either it perform the work or designate an authorized subcontractor to perform the work; and WHEREAS, the Timberline Road from Prospect Road to Drake Road Project included upgrades to two Great Western Railway crossings, that the work was done by Railroad Controls Limited, an authorized subcontractor, and the total cost was $259,834; and WHEREAS, Section 8-161(d)(1)b. of the Code of the City of Fort Collins authorizes the Purchasing Agent to negotiate the purchase of supplies and services without utilizing a competitive bidding process where the Purchasing Agent determines that although a particular material or service is available from more than one responsible source,a competitive process cannot reasonably be used, or, if used, will result in a substantially higher cost to the City, will otherwise injure the City's financial interests or will substantially impede the City's administrative functions or the delivery of services to the public; and WHEREAS, the Purchasing Agent has determined that a competitive process cannot reasonably be used because the Burlington Northern Railway, Union Pacific Railroad and Great Western Railway require that the City use their designated subcontractor to do the work or that the respective railroad companies undertake the work themselves; and WHEREAS, the Purchasing Agent has submitted the requisite justification to the City Manager for approval; and WHEREAS, the City Manager has reviewed the Purchasing Agent's justification and has concurred in that determination for these acquisitions; and WHEREAS, Section 8-161(d)(3) requires approval of this purchasing method by the City Council for items costing more than One Hundred Thousand Dollars ($100,000); and WHEREAS, Section 8-161 (d)(4)provides that any procurement approved as an exemption by the City Council may be used as the basis for a negotiated purchase of additional quantities of the same services at any time within a period of five (5) years from the date of approval provided, however, that subsequent procurements are expressly limited to a period of five (5) years. NOW, THEREFORE, BE IT RESOLVED BY THE COUNCIL OF THE CITY OF FORT COLLINS as follows: Section 1. That the Purchasing Agent is authorized to purchase services for railroad improvements from the Burlington Northern Railway, the Union Pacific Railroad, and the Great Western Railway, or their authorized subcontractors for a period not to exceed five(5) years as an exemption to the City's competitive procurement requirements. Section 2. That the Purchasing Agent is authorized to purchase railroad improvement services from Railroad Controls Limited,an authorized subcontractor of Great Western Railway,for the Timberline Road from Prospect Road to Drake Road Project as an exemption to the City's competitive procurement requirements. Passed and adopted at a regular meeting of the Council of the City of Fort Collins this 18th day of September, A.D. 2007. Mayor ATTEST: City Clerk