256009 Notice Intent to Award.pdf

This document is a Notification of Intent to Award from the City of Salem's Administrative Services Department, Contracts and Procurement Division, concerning Bid No. 256009 for Liquid Oxygen Supply and Maintenance Services. The City intends to award the contract to Eugene Welders Supply on April 15, 2025, following a competitive bidding process. The procurement is specifically for the Geren Island Water Treatment Plant and involves supplying approximately 330 tons of liquid oxygen, with comprehensive inspection and maintenance services for a 15,000-gallon horizontal liquid oxygen storage tank and three ambient air LOX vaporizers. The initial contract term is set from July 1, 2025, to June 30, 2026, with potential for four additional one-year renewal periods subject to City approval and satisfactory performance.

The contract will be awarded to the lowest responsive bidder, with the successful vendor required to provide liquid oxygen meeting ANSI/AWWA B304-18 standards, including a minimum 99.0% oxygen content and NSF/ANSI Standard 60 certification for potable water treatment. The existing infrastructure features a sophisticated liquid oxygen storage system engineered to ASME Code Case 2596 standards. The contractor will be required to maintain liability insurance with a combined single limit of $2,000,000 per occurrence and comply with municipal contractual provisions. While specific budget ranges are not explicitly stated, the services agreement suggests a total compensation structure with potential price adjustments through an escalation/de-escalation clause, and the City reserves the right to cancel the procurement or reject bids not deemed in its best interest.