Report to the Business Administration Committee

Recommendation to Award Contracts

to Supply Bulk Sodium Chloride for

the Dulles Toll Road and Washington Dulles International Airport

September 2016

Staff requests that the Business Administration Committee approve and recommend to the Board of Directors that the Airports Authority award the bulk sodium chloride (road salt) supply contracts for the Dulles Toll Road (DTR) and Washington Dulles International Airport (Dulles International) to Eastern Salt Company, Inc. of Lowell, MA. Each contract has a three-year base period and two one-year option periods.

Purpose

• On April 20, 2016, the Business Administration Committee concurred with staff’s recommendation to issue, under full and open competition, a solicitation requesting proposals for the supply of road salt for the DTR and Dulles International.

• The procurement method used was a two-step Invitation for Bids (IFB). The first step of the IFB required Offerors to submit qualification proposals for evaluation in order to establish a short list of fully-qualified firms. Offerors who submitted acceptable technical proposals from step one were invited to submit bids in step two.

• No Local Disadvantaged Business Enterprise (LDBE) goal was required for this solicitation.

Background

Evaluation Criteria • The Evaluation Committee reviewed the proposals independently and

determined which Offeror(s) met each criterion: 1) Product Specification 2) Capacity to Perform

• All six companies that provided proposals were deemed technically

acceptable.

• Of the six technically acceptable proposals, Eastern Salt Company, Inc. bid the lowest price per ton.

• The three-year base period award amounts for the DTR and Dulles International are $1,110,120, and $908,280, respectively, and the total award amounts, including the option periods, are estimated at $1,850,200 for the DTR and $1,513,800 for Dulles International.

Recommendation

Staff requests the Business Administration Committee approve and recommend to the Board of Directors that the Airports Authority enter into contracts with Eastern Salt Company, Inc. of Lowell, MA, to provide road salt for the DTR and Dulles International.

Proposed Resolution

Selecting a Firm to Supply Bulk Sodium Chloride

for the Dulles Toll Road and

Washington Dulles International Airport

WHEREAS, In April 2016, staff presented a pre-solicitation paper to the Business Administration Committee regarding purchase of the supply of sodium chloride for the Dulles Toll Road (DTR) and Washington Dulles International Air-port (Dulles International); WHEREAS, The Business Administration Committee concurred in the is-suance of an Invitation for Bids for the supply of sodium chloride for the DTR and Dulles International at its April 2016 meeting; and WHEREAS, On September 21, 2016, the Business Administration Com-mittee received the results of the bids received in response to the solicitation process, and recommended that the Board of Directors approve the selection of Eastern Salt Company, Inc.; now, therefore, be it RESOLVED, That the selection of Eastern Salt Company, Inc. to supply sodium chloride for the DTR and Dulles International for a term of three years, with two one-year options, at an estimated total cost of $3,364,000, including $1,850,200 for the DTR and $1,513,800 for Dulles International, is approved; and

2. That the President and Chief Executive Officer is authorized and di-rected to enter into two separate contracts, one for the DTR and one for Dulles International, with Eastern Salt Company, Inc., consistent with the terms pre-sented to the Business Administration Committee at its September 21, 2016 meeting.

For Consideration by the Business Administration Committee and Board of Directors on September 21, 2016