R2010-38 RESCINDING BID AND AWARDING PURCHASE ORDER

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COUNCIL COMMUNICATION FORM PURCHASING & INTERNAL SERVICES MEMORANDUM #10-16 February 24, 2010 TO: Honorable Mayor McElroy and City Cpuncil � FROM: Ryan P. McCrady, City Manager � Ron Neufeld Financial Mana ement Director , g ' Deborah M. Perr , Purchasin Su ervisor��Q' � Y g P SUBJECT: Purchase of ammunition SUMMARY RECOMMENDATION: Staff recommends awarding contract to Kiesler Police Supply, Inc. to furnish 71,000 rounds of.45 caliber auto 230 grain full metal jacket ammunition I and 31,500 rounds of 5.56 _caliber 55 grain full metal jacket ammunition. BACKGROUND: On June 1, 2009 City Council approved a bid for various types of ammunition. In particular was the award to Central States Tactical Inc. for 80,000 rounds of 45 caliber auto 230 grain full metal jacket, and 30,000 rounds of 223 caliber 55 grain ammunition. Central States Tactical had received the State of Illinois bid for ammunition. The State allows other entities to purchase off their contract. The City of Decatur placed orders with Central States immediately after council's approval. To date, we have never received the ammunition. Since June, staff has been in contact with Central States weekly to check the status of our order. It seems the State ordered ammunition from Central States but has not paid for it. In turn, Central States has not been able to pay the manufacturer. So the manufacturer, Remington has refused to ship Central States any more ammunition. Due to this, the City of Decatur's ammunition order is on hold. Central States has refused to respond to our inquiries and has far exceeded their contractual delivery date of November 2009. The ammunition is used by the Police Department for duty ammo and also for range practice. State law requires all police officers to qualify for mandated annual firearms training. The Police Department is in need of ammunition and cannot afford to be on an indefinite hold for delivery. It is time for officers to do their qualification training.