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Home My WebLink AboutHA35270 - FY 2016-17 - Lowe's Home Ctrs - ApplicancesPALM DESERT HOUSING AUTHORITY STAFF REPORT REQUEST: AUTHORIZE THE USE OF LOWE'S HOME CENTERS, INC. FOR PURPOSES OF PROCURING, DELIVERING AND RECYCLING APPLIANCES FOR THE PALM DESERT HOUSING AUTHORITY OWNED RESIDENTIAL RENTAL PROPERTIES, FOR FY 2016/2017 IN AN AMOUNT NOT TO EXCEED $60,000.00 SUBMITTED BY: Jessica Gonzales, Management Analyst - Housing DATE: April 28, 2016 CONTENTS: Lowes Letter Recommendation By Minute Motion, that the Authority Board, 1. By Minute Motion, authorize the use of Lowe's Home Centers, Inc. for the purpose of procuring, delivering and whenever appropriate, haul away and recycle appliances for the Palm Desert Housing Authority owned residential rental properties pursuant to Section 3.32.110 of the Palm Desert Municipal Code, for FY 2016/2017 in an amount not to exceed $60,000.00; and 2. Authorize the removal of inefficient, damaged, obsolete and non-functioning appliances and at such time the appliances are removed from the property authorize disposal as appropriate and declare as surplus; and 3. Authorize the Palm Desert Housing Authority's Executive Director or his designee to execute any documents necessary to effectuate the action taken herewith. Monies have been included in the FY 2016/2017 proposed Palm Desert Housing Authority's operating budget, in the appropriate Authority account. Commission Recommendation The Housing Commission reviewed the recommendation at its regular meeting of April 13, 2016. Staff will provide a verbal report upon request. Strategic Plan Obiective This request does not apply to a specific strategic plan goal. Executive Summary Each fiscal year the Palm Desert Housing Authority ("Authority") replaces inefficient, damaged, obsolete or non-functioning appliances throughout all Authority owned residential rental properties from several different vendors. The Authority would like to use Lowes as the primary STAFF REPORT FY 2016/2017 Palm Desert Housing Authority Lowe's - Appliances April 28, 2016 Page 2 vendor for purchases and replacements of appliances at the rental properties. By authorizing the use of Lowe's for the Authority residential rental properties, by RPM Company, the Authority will be able to establish an account to procure, deliver and whenever appropriate, haul away and recycle inefficient, damaged, obsolete or non-functioning appliances at an accelerated efficiency during the 2016/2017 fiscal year. The Authority's annual procurement of appliances includes refrigerators with freezer, microwaves, freestanding ranges, range hoods, dishwashers and other appliance accessories. Background The Authority owns and operates approximately 1,000 residential rental units. Annually the Authority needs to replace appliances at the Authority owned residential rental properties. To assist the Authority's contracted management company, RPM Company, the Authority would like to use Lowe's Home Centers, Inc. (Lowe's) as a supplier through the government purchasing Contract No. R142104 under The Cooperative Purchasing Network ("TCPN") (A copy is on file with the City of Palm Desert's City Clerk's Office) for the purchase, delivery and whenever appropriate, haul away and recycling of appliances. Under the provisions set forth in the City of Palm Desert Municipal Code, Section 3.32.110 of the Municipal Code, the Authority may obtain routine and recurring services, supplies, and maintenance by adopting a procedure approved by the City Manager. The City of Palm Desert is a registered participant with TCPN. Lowes has confirmed it will provide to the Authority as a participating entity, the TCPN contract terms and pricing. Lowes has also confirmed the local Palm Desert, CA store is authorized to participate under Contract No. R142104. This includes procurement, delivery and whenever appropriate, haul away and recycle of appliances for the Palm Desert Housing Authority owned residential rental properties. Lowes is invested in improving the health and sustainability of the communities it serves when possible, and offers to haul away and recycle customer's old appliances for free. The condition of the appliances to be hauled away may range from non- functioning to non -efficient or obsolete to repair. Lowes agrees that all appliances that are removed from the property will be disposed of or recycled in accordance with Environmental Protection Agency (EPA) standards for responsible appliance disposal at the the appropriate recycling centers. Any appliances not recycled by Lowes will be removed from the property and recycled in accordance with EPA standards. Such recycled appliances are hereby declared as surplus at the time they are removed from the property. Lowe's is a vendor that will be utilized by the contracted management company for the purchase of materials, supplies, maintenance items and other routine items that are of a continuing nature for ongoing activities (including but not limited to paints, building materials, plumbing, hardware, janitorial, hand held general purpose tools and any other miscellaneous maintenance, repair and operating supplies). In addition, with this approval, Lowe's will also be utilized for the purchase of varying appliances (including but not limited to refrigerators with freezer, microwaves, freestanding ranges, range hoods, dishwashers and other appliance accessories). G \HOUSINGWess,ca Gonzales\STAFF REPORT S12016I2016 PDHA 1 owes - Appliances_Staf Rpt for FY 2016-2017 Final doc STAFF REPORT FY 2016/2017 Palm Desert Housing Authority Lowe's - Appliances April 28, 2016 Page 3 Staff recommends approval of this request to facilitate the continued procurement, delivery and whenever appropriate, haul away and recycle inefficient, damaged, obsolete or non-functioning appliances for the units at the properties. Fiscal Analysis Approval of staff's recommendation would result in an expenditure in an amount not to exceed $60,000.00. Submitted by: Department Head: Gonzales Man gement Analyst - Housing oore, Director of Housing Finainc Depent: li- Paul Gibson, Director of Finance Approval: McCarthy, Interim Executiv NO BY HOUSG AUTH L/ oN/ VERIFIED BY: .Pk1I C „ Original on file with City Clerk's Officer l�4'ES' hY rr_r1. rc nofr, t a r' Oarn ik ctor Noti5%\C\Y1 _ RB.STAIA/: AIL\ 1 f G:\HOUSING1Jessica Gonzales\STAFF REPORTS1201612016 PDHA Lowes - Appliances_Staff Rpt for FY 2016-2017 Final.doc 16851 SIERRA LAKES PARKWAY FONTANA, CA, 92336 Irillt!bil Phone: (909) 350-7900 ProServices Fax: (909)350-7903 4/18/2016 This letter is to confirm that RPM is part of the Palm Desert Housing Authority and with Lowe's TCPN program. Lowe's TCPN contract # R142104 with the local Palm Desert location. Thank you, Michelle Revoner Account Executive for Lowe's