Exhibit 1 - Agenda Information Sheet - Amendment 2City of Denton
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AGENDA INFORMATION SHEET
DEPARTMENT: Procurement
ACM: Cassey Ogden
DATE: February 20, 2024
SUBJECT
Consider adoption of an ordinance of the City of Denton, a Texas home-rule municipal corporation,
authorizing the approval of a second amendment to a Professional Services Agreement between the City of
Denton and Stearns, Conrad and Schmidt Consulting Engineers, Inc., amending the contract approved by
Purchasing on December 16, 2020, in the not-to-exceed amount of $23,000.00; amended by Amendment 1
approved by Purchasing; said second amendment to provide a pricing evaluation and update of the original
Scope of Work for the Landfill Gas To Energy Project for the Solid Waste and Recycling Department;
providing for the expenditure of funds therefor; and providing an effective date (RFQ 7109-017 – providing
for an additional second amendment expenditure amount not-to-exceed $30,000.00, with the total contract
amount not-to-exceed $55,435.00).
STRATEGIC ALIGNMENT
This action supports Key Focus Area: Promote Sustainability and the Environment.
INFORMATION/BACKGROUND
The City of Denton operated a Landfill Gas to Energy (LFGE) project to create electricity through the
combustion of landfill gas until 2020. Denton Municipal Electric (DME) bought out the contract for this
end-use and decommissioned the project. It was determined the project was not financially advantageous
to DME, the City, and its ratepayers. The City commissioned SCS Engineers to conduct a study on possible,
alternative uses of landfill gas (LFG) generated at the landfill. The following conclusions were derived:
• Sufficient LFG exists to support beneficial reuse
• Only Flaring and High BTU (energy recovery) is financially viable
o The Return on Investment (ROI) for High BTU is driven by:
▪ Sale of LFG on the open market at a discounted Natural Gas Price
▪ Viability and continued demand for Green Energy RINs and RNGs
The Solid Waste and Recycling (SWR) Department is seeking to resume the LFGE project. In restarting
the program, the City would pursue entering into a revenue-generating contract where the City would
receive an allocation of the Net Sales Revenue from the sale of gas to Third Party Purchasers, subject to the
terms and conditions to increase the economic viability of an LFGE project, additional biogas from the
Pecan Creek Wastewater Treatment Plant (WWTP) and Recycling would be included and revenue shared
between SWR and Wastewater Department.
City Hall
215 E. McKinney Street
Denton, Texas
www.cityofdenton.com
The purpose of the proposed contract with Steams, Conrad, and Schmidt Consulting Engineers, Inc. is to
obtain professional, third-party services to aid the City in the preparation of a request for proposal to obtain
LFGE services, help in the evaluation of submittals, and complete a net present value evaluation of the
proposed LFGE contract.
Request for Qualifications for professional engineering services was solicited using the City’s formal
solicitation process. City Council approved a pre-qualified list of engineering firms on October 8, 2019
(Ordinance 19-2305).
PRIOR ACTION/REVIEW (Council, Boards, Commissions)
On October 8, 2019, City Council approved RFQ 7109 for a prequalified list of professional engineering
firms (Ordinance 19-2305).
This item will be presented to the Public Utilities Board (PUB) on February 26, 2024, retroactively, due to
the February 12, 2024 meeting not having a quorum.
RECOMMENDATION
Award Amendment No. 2 with Stearns, Conrad and Schmidt Consulting Engineers, Inc., to provide a
pricing evaluation and update of the original Scope of Work for the LFGE Project for the Solid Waste and
Recycling Department, in a not-to-exceed amount of $30,000, for a total amended contract amount of
$55,435.
PRINCIPAL PLACE OF BUSINESS
Stearns, Conrad and Schmidt Consulting Engineers, Inc.
Bedford, TX
SUSTAINABILITY MEASURES
To manage the landfill gas as required by TCEQ regulations, landfill gas is diverted to a flare station and
destroyed through the flaring process. Operational costs and significant maintenance expenses for this
process result in a financial loss.
Several advantages can be gained by producing a clean, reusable landfill gas. Implementing an LFGE
program can help reduce gas emissions which minimizes greenhouse emissions and improves air quality.
A program would also produce a renewable energy source with a strong potential of generating revenue.
ESTIMATED SCHEDULE OF PROJECT
This project will be started upon approval with a completion date of 4-6 weeks.
FISCAL INFORMATION
These services will be funded from Solid Waste account 660300.7879. Purchase Order #195654 will be
revised to include the second amendment amount of $30,000. The total amount of this contract is $55,435.
EXHIBITS
Exhibit 1: Agenda Information Sheet
Exhibit 2: Original Contract and Amendment 1
Exhibit 3: Ordinance and Amendment 2
Respectfully submitted:
Lori Hewell, 940-349-7100
Purchasing Manager
For information concerning this acquisition, contact: Eugene McKinnie, 940-349-8043.
Legal point of contact: Marcella Lunn at 940-349-8333.