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Exhibit 1 - Agenda Information SheetCity of Denton _____________________________________________________________________________________ AGENDA INFORMATION SHEET DEPARTMENT: Procurement & Compliance ACM: David Gaines DATE: January 5, 2021 SUBJECT Consider adoption of an ordinance of the City of Denton, a Texas home-rule municipal corporation, authorizing the City Manager, or his designee, to execute a contract with Eurovia Atlantic Coast LLC, dba Sunmount Paving Company as the primary vendor and Jagoe-Public Company as the secondary vendor for the supply and installation of Hot Mix Asphalt Concrete for the Streets Department; providing for the expenditure of funds therefor; and providing an effective date (RFP 7486 – awarded to Eurovia Atlantic Coast LLC, dba Sunmount Paving Company and Jagoe-Public Company, for one (1) year, with the option for three (3) additional one (1) year extensions, in the total four (4) year not-to-exceed amount of $12,000,000.00). INFORMATION/BACKGROUND This proposed contract is for the supply of hot mix asphalt concrete and installation services as needed. This contract is utilized in the construction, rehabilitation, and maintenance of City streets. The contract allows for the delivery of asphalt to the job site and pickup of asphalt using City trucks at the plant. In addition, the contract gives access to a price per ton for equipment and operations or installation of the asphalt at the direction of the Streets Division. The Dallas/Fort Worth area continues to experience a major increase in economic growth and highway construction. This has put a strain on the availability of materials and labor causing the unit price to increase for asphalt, concrete, and building materials. As a result, it is in the best interest of the City to secure a unit cost on an annual basis. Historically the City has spent an average of $2,500,000 annually on hot mix asphalt. Estimated Annual Usage + Inflation (8%) Year 1 $ 2,500,000 Year 2 $ 2,700,000 Year 3 $ 2,916,000 Year 4 $ 3,149,280 Contingency (~7%) $ 734,720 Total $ 12,000,000 City Hall 215 E. McKinney Street Denton, Texas www.cityofdenton.com Requests for Proposals were sent to 78 prospective suppliers of this item, including six (6) Denton firms. In addition, specifications were placed on the Materials Management website for prospective suppliers to download and advertised in the local newspaper. Three (3) proposals were received, references were checked, and proposals evaluated based upon published criteria including delivery, compliance with specifications, probable performance, and price. Based upon this evaluation, staff recommends awarding to a primary and secondary vendor as follows and also shown on Exhibit 2 for a combined not-to-exceed amount of $12,000,000. NIGP Code Used for Solicitation: 745 - Road and Highway Building Materials (Asphaltic) Notifications sent for Solicitation sent in IonWave: 78 Number of Suppliers that viewed Solicitation in IonWave: 11 HUB-Historically Underutilized Business Invitations sent out: 4 SBE-Small Business Enterprise Invitations sent out: 20 Responses from Solicitation: 3 RECOMMENDATION Award a contract with Eurovia Atlantic Coast LLC, dba Sunmount Paving Company and Jagoe-Public Company, for the supply and installation of Hot Mix Asphalt Concrete for the Streets Department, in the not-to-exceed amount of $12,000,000. PRINCIPAL PLACE OF BUSINESS Eurovia Atlantic Coast LLC, dba Sunmount Paving Company Justin, TX Jagoe-Public Company Denton, TX ESTIMATED SCHEDULE OF PROJECT This is an initial one (1) year contract with options to extend the contract for three (3) additional one (1) year periods, with all terms and conditions remaining the same. FISCAL INFORMATION These items will be funded through the department’s budget on an as-needed basis. The City will only pay for service rendered and is not obligated to pay the full Contract amount unless needed. EXHIBITS Exhibit 1: Agenda Information Sheet Exhibit 2: Pricing Evaluation Exhibit 3: LLC Members Exhibit 4: Presentation Exhibit 5: Ordinance and Contracts Respectfully submitted: Lori Hewell, (940)-349-7100 Purchasing Manager For information concerning this acquisition, contact: Daniel Kremer, 940-349-7193. Legal point of contact: Marcella Lunn at 940-349-8333.