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Exhibit 1 - Agenda Information SheetCity of Denton _____________________________________________________________________________________ AGENDA INFORMATION SHEET DEPARTMENT: Procurement ACM: Cassey Ogden DATE: July 23, 2024 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 Texan Waste Equipment, Inc., dba Heil of Texas, through the Buy Board Cooperative Purchasing Network Contract # 686-22, for the purchase, service, and repairs of sewer equipment, sweepers, brush handling trucks, and similar equipment for the Fleet Services Department; providing for the expenditure of funds therefor; and providing an effective date (File 8600 – awarded to Texan Waste Equipment, Inc., dba Heil of Texas, for one (1) year, with the option for four (4) additional one (1) year extensions, in the total five (5) year not-to-exceed amount of $4,059,173.00). STRATEGIC ALIGNMENT This action supports the Key Focus Area: Enhance Infrastructure and Mobility. INFORMATION/BACKGROUND The proposed contract will be utilized by the Facilities & Fleet Services Department for service and repairs of existing and future Heil-equipped vehicles for various city departments engaged in sewer line maintenance, street maintenance, and refuse disposal. Examples of the equipment to be repaired include Vac-Con sewer equipment, Schwarze sweepers, Palfinger brush handling trucks, and similar equipment. Heil of Texas is the factory-authorized local vendor for sales and service, providing field service and repairs in Irving, Texas. Funding for service and repairs is allocated to the department’s operating budget. The contract value is based on historical spending levels and includes future assets and service estimates. Estimated Contract Expenses Category Year 1 Year 2 Year 3 Year 4 Year 5 Total Asset Additions $300,000 $300,000 $300,000 $300,000 $300,000 $1,500,000 Asset Replacements 300,000 300,000 300,000 300,000 300,000 1,500,000 Asset Repairs 190,000 195,700 201,571 207,618 213,847 1,008,736 Sub Total $790,000 $795,700 $801,571 $807,618 $813,847 $4,008,736 Contingency 5% 9,500 9,785 10,079 10,381 10,692 50,437 Total $799,500 $805,485 $811,650 $817,999 $824,539 $4,059,173 Pricing obtained through the Buy Board Cooperative Purchasing Network has been competitively bid and meets the statutory requirements of Texas Local Government Code 271.102. City Hall 215 E. McKinney Street Denton, Texas www.cityofdenton.com PRIOR ACTION/REVIEW (COUNCIL, BOARDS, COMMISSIONS) On February 1, 2005, the City Council approved the interlocal agreement with the Buy Board Cooperative Purchasing Network (Ordinance 2005-034). RECOMMENDATION Award a contract with Texan Waste Equipment, Inc., dba Heil of Texas, for the purchase, service, and repairs of sewer equipment, sweepers, brush handling trucks, and similar equipment for the Fleet Services Department, in a one (1) year, with the option for four (4) additional one (1) year extensions, in a total five (5) year not-to-exceed amount of $4,059,173. PRINCIPAL PLACE OF BUSINESS Texan Waste Equipment, Inc., dba Heil of Texas Houston, TX ESTIMATED SCHEDULE OF PROJECT This is an initial one (1) year contract with options to extend the contract for four (4) additional one (1) year periods, with all terms and conditions remaining the same. This Buy Board contract expires on November 30, 2025. FISCAL INFORMATION The proposed contract will be funded using the department’s Operating Budget on an as-needed basis. The City will only pay for services rendered and is not obligated to pay the total contract amount unless necessary. EXHIBITS Exhibit 1: Agenda Information Sheet Exhibit 2: Pricing Sheet Exhibit 3: Ordinance and Contract Respectfully submitted: Lori Hewell, 940-349-7100 Purchasing Manager For information concerning this acquisition, contact Tom Gramer, 940-349-7467. Legal point of contact: Marcella Lunn at 940-349-8333.