Approval Sheet

CITY OF GILLETTE
201 E. 5th Street
Phone (307)686-5200
CITY OF GILLETTE


www.gillettewy.gov

 
DATE: 12/20/2016 7:00:00 PM
SUBJECT:
Council Consideration of an Action to Cancel the Award of a Bid to Sundance Equipment Company of Sundance, Wyoming, in the Amount of $9,695.00, for Failure to Complete the Contract as Bid.
BACKGROUND:
On August 19, 2016 and August 26, 2016, the City published an Advertisement and Invitation for Bids receive bids for a new 6x4 Utility Vehicle.  On August 24, 2016 a bid was timely submitted by Sundance Equipment Company.  A bid opening was conducted on August 31, 2016 and Sundance Equipment Company was deemed the low bidder.

On November 1, 2016, Council awarded a bid in the amount of $9,695.00 to Sundance Equipment Company, pursuant to the bid received on August 24, 2016.  On November 3, 2016, the Fleet Manager informed Sundance Equipment Company that they had been awarded the bid for the 6x4 Utility Vehicle. 

Later that same day, Sundance Equipment Company informed the City's Fleet Manager that the price had increased by $433.00 due to the time delay between bid and acceptance.  The cause for the price increase was that John Deere, the manufacturer of the 6x4 Utility Vehicle, had finished out its fiscal year, and had implemented its price increases on equipment beginning November 1, 2016.

Sundance Equipment Company has asserted that it will not complete the sale for the bid amount.  As a result, Council is placed in a position to cancel the previously awarded bid and to seek to begin the bid process for this vehicle anew.
ACTUAL COST VS. BUDGET:
SUGGESTED MOTION:
I hereby move to Cancel the Award of a Bid to Sundance Equipment Company of Sundance, Wyoming, in the Amount of $9,695.00, for Failure to Complete the Contract as Bid.
STAFF REFERENCE:
Pamela L. Boger, Administrative Services Director
ATTACHMENTS:
Click to download
Staff Recommendation Memorandum