Item 8C on the consent agenda of the July 30, 2013 city council meeting is troubling.
The item asks permission to reject the sole bid received by the city for some airport property.
It reads:
Request that the Purchasing Manager, Financial Services, Purchasing Division, be authorized to reject the sole bid received for solicitation No. 2013-192 (Sale of Real Property Improvement, Airport Hangar #7) as the bidder did not agree to the terms and conditions of the Contract.
The backup material tells us that the city solicited bids from 16 parties. One responded. The backup material tells us:
Department of Aviation has reviewed solicitation 2013-192 and recommends rejection of the sole bid received as the bidder did not agree to the minimum lease rate for the ground lease.
The item will be rebid.
What gives?
The city sent out a bid. Sixteen parties were invited to bid. Only one spent the time and money it takes to bid. The bidder made an offer. The airport does not think it was good enough.
What are the chances that the sole bidder will try next time? Slim is the word that comes to my mind.
What went wrong?
Did the city send the bid to 15 parties that would have no interest in the deal? We can see the city doing that from time to time when they want to be able to say that they asked for bids but do not really want a wide field of bidders.
Does the city really want to lease the property or were they just testing the waters? That would be a shameful waste of a private concern’s money.
Does the city want to hold out for a higher bid? That is what this looks like. Was the bid low because the solicitation was written poorly?
What makes the city think that they will get a better offer next time? What will they do differently? Was the bid poorly written and thus a waste of everyone’s time?
It seems to me that the sole bidder has set the market value for the deal and is being treated poorly.
Not alone
I have written before that I know many firms in El Paso that will not even bid for city business. They feel the process is unfair and a waste of their time and money.
This bidder has the right to be furious. It seems the bidder played by the rules but ended up wasting time and money.
We deserve better
Brutus
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