Utility to stick with high bidder
Utility to stick with high bidder By Terry Witt
An executive with the Florida Governmental Utility Authority on Monday said the FGUA is ready to present a contract to the company that was high bidder two weeks ago for an operations contract.
Systems Manager Robert Sheets said it was too early to release details about the contract, but he said "classification issues" led to Wade-Trim/US submitting a contract proposal millions higher than the lowest bidder.
After more than a week of negotiations, Sheets FGUA has asked Wade-Trim to separate its estimated costs for basic services from additional services. Doing that, he said, brought Wade-Trim more into line with the other bidders.
He said he believes Wade-Trim officials thought they were giving FGUA a more favorable pricing bundle by grouping basic services and additional services together, but he said it had the opposite effect."
It gets their numbers well within line with others," Sheets said. "We believe we have reached the point where we can present a contract to Wade-Trim."FGUA, which owns 11 water and sewer systems in Citrus County, was questioned at its board meeting in Inverness on Sept. 15 about why it chose Wade-Trim as the No. 1 ranked bidder when the company's contract proposal was $21 million higher than the low bidder.Wade-Trim had submitted a proposal to operate, maintain and handle customer service and billing for $79.9 million over five years. Southwest Water (OpTech) had proposed a $58.2 million contract. Severn Trent Environmental Services offered to do the work for $61 million.
The contract proposals were not sealed bids. FGUA used a point system to grade the proposals, with 30 percent of the grade dealing with costs. Seventy percent of the points were for technical, business management and financial considerations.
Citrus County Administrator Richard Wesch, who sits on FGUA's board of directors, was assigned to lead the committee that negotiated with Wade-Trim.
Sheets said he would be releasing a copy of a briefing memo today or tomorrow explaining why Wade-Trim would be offered a contract.
An executive with the Florida Governmental Utility Authority on Monday said the FGUA is ready to present a contract to the company that was high bidder two weeks ago for an operations contract.
Systems Manager Robert Sheets said it was too early to release details about the contract, but he said "classification issues" led to Wade-Trim/US submitting a contract proposal millions higher than the lowest bidder.
After more than a week of negotiations, Sheets FGUA has asked Wade-Trim to separate its estimated costs for basic services from additional services. Doing that, he said, brought Wade-Trim more into line with the other bidders.
He said he believes Wade-Trim officials thought they were giving FGUA a more favorable pricing bundle by grouping basic services and additional services together, but he said it had the opposite effect."
It gets their numbers well within line with others," Sheets said. "We believe we have reached the point where we can present a contract to Wade-Trim."FGUA, which owns 11 water and sewer systems in Citrus County, was questioned at its board meeting in Inverness on Sept. 15 about why it chose Wade-Trim as the No. 1 ranked bidder when the company's contract proposal was $21 million higher than the low bidder.Wade-Trim had submitted a proposal to operate, maintain and handle customer service and billing for $79.9 million over five years. Southwest Water (OpTech) had proposed a $58.2 million contract. Severn Trent Environmental Services offered to do the work for $61 million.
The contract proposals were not sealed bids. FGUA used a point system to grade the proposals, with 30 percent of the grade dealing with costs. Seventy percent of the points were for technical, business management and financial considerations.
Citrus County Administrator Richard Wesch, who sits on FGUA's board of directors, was assigned to lead the committee that negotiated with Wade-Trim.
Sheets said he would be releasing a copy of a briefing memo today or tomorrow explaining why Wade-Trim would be offered a contract.
posted by Editor Facts & Myths @ 5:59 PM
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