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8i4 <br />INDIAN RIVER COUNTY <br />OFFICE OF MANAGEMENT AND BUDGET <br />PURCHASING DIVISION <br />DATE: June 28, 2019 <br />TO: BOARD OF COUNTY COMMISSIONERS <br />THROUGH: Jason E. Brown, County Administrator <br />Kristin Daniels, Director, Office of Management and Budget <br />FROM: Jennifer Hyde, Purchasing Manager <br />SUBJECT: Authorization to Increase Blanket Purchase Orders <br />BACKGROUND: <br />Blanket Purchase orders are issued at the request of using departments to enable as needed <br />purchases over the course of the fiscal year. The Purchasing Manager may approve purchase <br />orders up to $25,000 (not associated with a bid or contract), and the Administrator is currently <br />authorized in Chapter 105 of the County Code to approve purchase orders up to $50,000. <br />DISCUSSION: <br />The needs of some departments may exceed the Administrator's approval authority during the <br />course of a fiscal year. Many of these purchases reflect needs that are not easily addressed <br />through the bid process. <br />The Road and Bridge Division owns 17 pieces of Caterpillar equipment: seven Motor Graders, <br />four Large Excavators (2 Wheel, 2 Track), two Mini Excavators, two Front End Loaders, one Skid <br />Steer Loader and one Vibratory Roller. Maintenance and as needed repairs are completed by <br />the Fleet Division, with common parts kept on hand and other parts ordered as necessary. Kelly <br />Tractor is the authorized Caterpillar Dealer for parts and service for our area. <br />The need for non -OEM parts to maintain and repair County vehicles has increased. Staff is <br />working to ensure available cooperative contracts for parts are utilized. <br />The price of some chemicals used by the Department of Utility Services fluctuates greatly, <br />making it difficult to lock in pricing via bid for more than a few months at a time. As such, the <br />department obtains a minimum of three quotes for those materials, which the vendors will <br />honor for a specific period (typically 90 days). A blanket Purchase Order is issued to the lowest <br />quoting vendor and utilized until the quote is no longer valid. <br />The Department of Utility Services has been utilizing directional boring, rather than pavement <br />cutting, in the last few years to connect new, or replace existing water service in cases where <br />63 <br />