One More No-Bid Contract by City Manager John Shay

[XLFD]

When City Manager John Shay submitted proposals for the repainting of the water towers in front of the City Council he neglected to have any competitive bids on this massive affair which cost the City over $1.2 million.  The previous City Manager had it done for less than a sixth of that just ten years prior, with more surface being repainted and repairs to the Danaher tower.

 

When the DDA administrators (Heather Venzke and Treasurer Kathy MacLean) okayed the $15,000 expenditure on wayfinding signs in 2009 to a fellow DDA member's company Tye's Inc. (Tye's Signs), before any bids were officially sent out to anyone in April 2010, then gave them the multi-year $150,000 contract [at least I think so, the public record (DDA minutes) doesn't clearly say so] for signage after a mysterious process   Signs of Love 

 

These are some massive commitments by the City that seem to blatantly go against the City Code, and common sense.  I can't print out the latter for them , but here's our City law that applies to contracts:

 

"Sealed bids shall be asked for in all transactions involving the expenditure of $10,000.00 or more..."

 

Sealed, competitive bids leads to better deals for the City, and leads to more trust in the system by the public looking in on such things.  Yet, just about every time I check into purchases and contracts made by the City leader, with willing complicity by an "out-of-the-loop" city council, on contracts above $10,000, there seems to be something that is consistent-- both the City Manager and the City Council are not following the law made and established by our City over the years, to get sealed and competitive bids for major purchases. 

The latest insult to the people of this city on July 11, 2011.  Of course, the City was looking to outlaw the feeding of animals and looking to dilute the duties to Ludington of Police Chief Barnett and CDD Venzke by letting Scottville have their 'services' at the time (our gain, their loss, IMHO), so this was a minor issue at this meeting:

This looks like it could be a great money-saver for the City, but the cost of this contract with Orion is over $28,000 and it looks as a pretty high amount for lighting and who's to say that Orion's salesman was giving them the best savings value or the best system for the money spent.

 

So I decided to double check the contract by asking for:  "The competitive bids for the lighting project that was approved in the 7-11-2011 City Council Meeting that were received by the City of Ludington , and the communication(s) sent to each competitive bidder."  I even included section 2.4 from the City Code as a header for the request. 

 

I received the following  7-11-2011 Memorandum to Council  and a twelve page presentation by Orion determining the costs of this specific project, here's the cover letter:   Determination of Costs by Orion April 2011   the rest of it tells how beneficial to the consumer their system is.  But the Orion representative likely knew he did not have to compare their system with any other, except for the old system.
 

There was no shopping around; no competitive bids.  Competition is as American as you can get, isn't it?  And what was needed here, for our City Code to have any meaning-- to be legally binding on those supposed to follow it (all involved) and to enforce it (John Shay)-- for common sense in government to have any meaning.  But the City Manager and the Public Utilities Committee, the same leader and committee that gave us the cat ordinance and most of the new beach regulations, decided that Orion via C&I Electric were the companies for the job.  One must ask:  How did they arrive at this conclusion?

[Sweater Cows!]

Ididn't read all of that but on the lighting I am curious if it "non-polluting lighting"? Look for "Dark sky maps"

 

This is light pollution in the USA, here is the site the pic came from. Dark sky pic of USA

[Sweater Cows!]

Read it now, appears it is indoor lighting then?

[XLFD]

That's the indication I get from the brochure.

[AQUAMAN]

Shopping around for the best deal NEVER GOES OUT OF STYLE! Esp. is these financially hard times, and also esp. for a municipality spending this kind of doe. The present regime seems to pride itself on how many city codes and rules it can ignore, time after time. Esp. now when it comes to "competitive bidding for city work". So, there is NO ELECTRIC Contractors in the area besides Orion and C&I that were given the notice to bid, or could not qualify for the work? Sure looks shady Shay, shame on you again. Gotta just wonder, who are those guys that got the contract? And/or how are they related to or are connected to someone in the regime? Notice the timing: 7/11/11, at the Peak of SUMMER? When everyone is looking the other way busy with gardening, picnics, vacations and the like, just ducky. I dare say this is also the kind of stunts they pull about Xmas and New Years time, or during blizzards, as we have noticed in the not so distant past. Good work X, you're on a continuous roll.

[XLFD]

Thanks, Aq; shopping is indeed mandated and getting favorable reviews from local businesses cannot replace it totally.  Particularly for government agencies who show no interest in getting competitive bids once their mind is made up.  Shay, via your tax dollars, will be paying $900 for the proverbial toilet seat one of these days-- like the federal government sometimes does-- if he continues to purchase things like this with no pretension for following the law. 

[Willy]

Nice work X. I can understand the Mayor and Shay operating in this manner because that seems to be thier MO, however why aren't the members of the Public Utilities Committee asking about and requiring competetive bidding. A bigger question is why aren't City Council members questioning the no bid policy of the Mayor and Shay regime? How about it Wanda. Have you questioned the reason for no the bids policy? If not, why not?

[XLFD]

Public Safety/Public Utilities are a committee that consists of CC Castonia (chair), Peterson, and Johnson.  Moe, Curly, and Larry.  I have yet to see a public safety issue adequately addressed by them since at least 2008.

I will presume Wanda was not apprised by Shay or the committee that there was no bids, just about the potential savings from the old system, unless she corrects me.  She may have just presumed that protocol was followed, which most people do.

[Wanda Marrison]

You are right. By the time it get to council all the proper ground work should be done. That is what a committee is for.

[Sweater Cows!]

So the whole council doesn't see the bids? only the committee? Is there any reason(aside from personal fears) that you can't ask during the meeting before approving something who the other bidder was and how much the bid was compared to the one your being asked to approve (that's rhetorical). I would always be wanting to know who bid whether on committee or not.

[Willy]

Wanda

I think it's time that City Coucil members stop going along with the flow and seriously take charge of the responsibilties that have been assigned to them. Now that you are aware of the situation, it would be very much appreciated if you would question what they are doing. 

[AQUAMAN]

Quite right Dag and Willie, take charge of your duties is what the job is supposed to be all about, not just going along for a ride into oblivion and the same old lack of interest. The committee should have made ALL the bidders information available, and specifically stated they only had ONE bidder, if that's the case. But again, the questions that are there for the asking, just don't get asked. Assuming the best in these contracts isn't coming up to par on responsibilities to any constituents nor the city taxpayers at large. The committee chairman in the old days made all this information available to the entire council for consideration BEFORE it's voted on, what's up with that evasive conduct? Or is it intentional to protect someone/some business? ANY AND ALL CONTRACTS over $10,000 are to be scrutinized and have multiple bidders per the City's own code and policy. Why isn't it being done?

[Lisa O'Brien]

That's really not a fair assessment. It is not the council members job to look at every proposal and pick the best proposal, that is the committee's job - it is the job of the council to approve or not to approve it. They are not there to micromanage the city - they rely that other members are doing their jobs and following the proper procedures. Maybe the council should recommend an outside company come in and audit them to see if procedures are being followed.