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AGENDA ITEM REVIEW FORM |
5.C.
Regular City Council Meeting
- Meeting Date:
- 04/25/2018
- Department Head:
- Sonia Cornelio
- Submitted By:
- Sonia Cornelio, City Clerk, City Clerk's Office
Action Requested:
Motion
ITEM:
Discussion and possible action on any and all matters regarding the award of a contract to Penn Neon Sign Co., Inc. for the fabrication and installation of a 5' X 12' LED illuminated sign. ITEM CONTINUED FROM THE SPECIAL CITY COUNCIL MEETING HELD APRIL 18, 2018. (Tadeo A. De La Hoya, City Manager & Marketing Committee)
SUMMARY:
At the April 18, 2018 Special Meeting, staff recommended removal of the item because staff wanted to have in writing from the Arizona Department of Transportation (ADOT) that the sign will comply with the Arizona state laws which ADOT regulates. Attached is the email received indicated that the sign as proposed may be used to announce the City of San Luis events and the business of the City of San Luis. If the sign is used for only for those purposes, an ADOT permit is not required.
The marketing committee obtained three (3) proposals for the fabrication and installation of a 5' X 12' viewing area, double-faced, 16 mm color watch fire LED, mounted V Shaped sign to have a top detail with the city logo to illuminate with LED lighting. The LED sign will have broadband communication, a laptop, and free web-based training. The proposal includes a five (5) year warranty on parts and labor by watch fire.
Under San Luis City Code-Purchasing section 36.01(H), Council may waive formal purchase procedures. The justification for the waiver is that bidding will not likely result in a lower price as 3 quotes were already received on the pricing of the equipment, the bidding process will cause unnecessary expense and delay the project under the circumstances and will not be in the best interest of the city. Staff is recommending that the city contract with Penn Neon Sign Co., Inc. in the amount of $58,000.00 as determined to be the lowest and most responsible quote. Penn Neon Sign Co., Inc. is a local company that can provide on-site service promptly and without delays; this is critical as the equipment is required to provide accurate information on the services provided by the city. The quality and adaptability of the product have been tested in the area environment; other national companies might not have tested their equipment under 120 degrees weather. The capacity and skills of Penn Neon Sign to perform the contract and quality of previous contracts are several reasons for our recommendation.
The marketing committee obtained three (3) proposals for the fabrication and installation of a 5' X 12' viewing area, double-faced, 16 mm color watch fire LED, mounted V Shaped sign to have a top detail with the city logo to illuminate with LED lighting. The LED sign will have broadband communication, a laptop, and free web-based training. The proposal includes a five (5) year warranty on parts and labor by watch fire.
Under San Luis City Code-Purchasing section 36.01(H), Council may waive formal purchase procedures. The justification for the waiver is that bidding will not likely result in a lower price as 3 quotes were already received on the pricing of the equipment, the bidding process will cause unnecessary expense and delay the project under the circumstances and will not be in the best interest of the city. Staff is recommending that the city contract with Penn Neon Sign Co., Inc. in the amount of $58,000.00 as determined to be the lowest and most responsible quote. Penn Neon Sign Co., Inc. is a local company that can provide on-site service promptly and without delays; this is critical as the equipment is required to provide accurate information on the services provided by the city. The quality and adaptability of the product have been tested in the area environment; other national companies might not have tested their equipment under 120 degrees weather. The capacity and skills of Penn Neon Sign to perform the contract and quality of previous contracts are several reasons for our recommendation.
| Company | Product | Cost |
| Sign Master | 5' x 12' | $69,004.11 |
| David Sign & Company | 5' x 12' | $66,650.00 |
| Penn Neon Sign | 5' x 12' | $58,000.00 |
RECOMMENDATION / SUGGESTED MOTION:
I MOVE TO APPROVE THE PURCHASE OF THE L.E.D. SIGN AND TO WAIVE FORMAL PURCHASING PROCEDURES FOR THE REASONS PRESENTED.
Fiscal Impact
- IS THERE FISCAL IMPACT ASSOCIATED WITH THIS ITEM:
- Yes
- CITY/STATE/FEDERAL FUNDS:
- City
- TOTAL:
- $58,000.00
- BUDGETED AMOUNT:
- N/A
- AVAILABLE AMOUNT TO TRANSFER:
- N/A
- ACCT NAME & GL#/REMAINING BALANCE BEFORE PURCHASE:
- Non-departmental C.O. Equipment/100-999-90000
FISCAL IMPACT STATEMENT (IF THIS IS A BUDGET TRANSFER, YOU MUST ATTACH THE BUDGET ADJUSTMENT FORM):
Expense will be paid from Non-Departmental Capital Outlay Equipment, Account No. 100-999-90000.