Exhibit 1 - Agenda Information SheetCity of Denton
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AGENDA INFORMATION SHEET
DEPARTMENT: Procurement & Compliance
CFO: Antonio Puente, Jr.
DATE: March 17, 2020
SUBJECT
Consider adoption of an ordinance of the City of Denton, a Texas home-rule municipal corporation,
authorizing the City Manager to execute a contract with ABB, Inc., for the supply of ABB Turbo Charger
Cartridges for the electric generating equipment at the Denton Energy Center; providing for the expenditure
of funds therefor; and providing an effective date (IFB 7247 – awarded to ABB, Inc., in the not-to-exceed
amount of $418,061.60). The Public Utilities Board recommends approval (7 - 0).
INFORMATION /BACKGROUND
The Denton Energy Center (DEC) was an approved CIP project for DME that reached commercial operation
in June 2018. The DEC provides power at times that renewable energy sources are not readily available.
The DEC is a key component of Denton Renewable Resouce Plan’s goal to provide the citizens of Denton
with cost-effective electricity from 100% renewable resources.
The DEC’s electric generating equipment (12 Gensets and Auxiliaries) requires regular scheduled and
unscheduled maintenance to maintain a high level of operational reliability during the period of high
wholesale energy prices. The maintenance activities are performed as preventative, predictive and
corrective maintenance activities. Maintenance activities are performed as scheduled maintenance based on
hours of operation and corrective maintenance are unplanned component failures that most often cause unit
outages.
In order for the DEC team to maintain high unit availability, replacement parts called “swing sets” must be
purchased and placed in on-site parts inventory to reduce downtime. This permits the DEC staff to perform
necessary repairs expeditiously and return the generating units to service. The turbo cartridge swing sets
are components of the engine that require rebuilding or repair during overhauls. The rebuilding of the
component is removed utilizing DEC staff and sent offsite for inspection and repair. This inspection is time
consuming resulting in long outage timeframes where the loss of energy revenues has the potential of
exposing DME customers to high market prices. With these major components onsite as swing sets, the
outage times will be drastically reduced due to off-site shipping time frames and inspection/repair time.
With these requested parts, the parts requiring maintenance are simply taken off the unit and the swing set
part is installed allowing for the repair work of the removed component to take place after the unit is
returned to operating status.
Invitation for Bids was sent to 140 prospective suppliers of this item. In addition, specifications were placed
on the Materials Management website for prospective suppliers to download and advertised in the local
newspaper. Two (2) bids meeting specifications were received. The lowest bid was received by ABB, Inc.
City Hall
215 E. McKinney Street
Denton, Texas
www.cityofdenton.com
NIGP Code Used for Solicitation: 690-Power Generator Equipment,
Accessories & Supplies
Notifications sent for Solicitation sent in IonWave: 140
Number of Suppliers that viewed Solicitation in IonWave: 7
HUB-Historically Underutilized Business Invitations sent out: 6
SBE-Small Business Enterprise Invitations sent out: 34
Responses from Solicitation: 2
PRIOR ACTION/REVIEW (COUNCIL, BOARDS, COMMISSIONS)
On March 19, 2020, the Public Utilities Board (PUB) recommended this item to the City Council for
consideration.
RECOMMENDATION
Award a contract with ABB, Inc., for the supply of ABB Turbo Charger Cartridges for the electric
generating equipment at the Denton Energy Center, in a not-to-exceed amount of $418,061.60.
PRINCIPAL PLACE OF BUSINESS
ABB, Inc.
Deer Park, TX
ESTIMATED SCHEDULE OF PROJECT
Materials will be ordered upon approval and ongoing for the duration of the not-to-exceed contract.
FISCAL INFORMATION
These items will be funded from DEC project account 603996501.1365.3460. Requisition #145449 has
been entered into the Purchasing software system in the amount of $418,061.60. The budgeted amount for
this item is $418,061.60.
EXHIBITS
Exhibit 1: Agenda Information Sheet
Exhibit 2: Bid Tabulation
Exhibit 3: Presentation
Exhibit 4: Ordinance and Contract
Respectfully submitted:
Lori Hewell, 940-349-7100
Purchasing Manager
For information concerning this acquisition, contact: Jason Brown at 940-349-7140.
Legal point of contact: Mack Reinwand at 940-349-8333.