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Exhibit 1 - Agenda Information SheetCity of Denton _____________________________________________________________________________________ AGENDA INFORMATION SHEET DEPARTMENT: Procurement ACM: Christine Taylor DATE: April 15, 2025 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 Altec Industries, Inc., for Altec branded equipment inspections, maintenance, and repairs for the Fleet Services Department, which is the sole provider of this service, in accordance with Texas Local Government Code 252.022, which provides that procurement of commodities and services that are available from one source are exempt from competitive bidding, and if over $50,000, shall be awarded by the governing body; providing for the expenditure of funds therefor; and providing an effective date (File 8757 – awarded to Altec Industries, Inc., for three (3) years, with the option for two (2) additional one (1) year extensions, in the total five (5) year not-to-exceed amount of $780,000.00). The Public Utilities Board will consider this item on Monday, April 14, 2025. STRATEGIC ALIGHMENT This action supports Key Focus Area: Enhance Infrastructure and Mobility. INFORMATION/BACKGROUND The City of Denton Fleet Services Department is establishing a maintenance, repairs, inspections, and certification contract for Altec-branded vehicles and equipment utilized by various City departments. The contract will be used to keep Altec branded equipment in the best condition possible to avoid service interruption throughout the City. Denton Municipal Electric, Traffic, and Parks & Recreation departments currently have twenty-two (22) pieces of equipment in use with both replacements and additions in the order/planning stages. Due to the risk and liability involved in the repair, maintenance, and inspections of aerial equipment, Fleet Services staff are not certified to work on Altec vehicles and equipment. Altec factory-trained field technicians are necessary to keep City vehicles and equipment maintained. To standardize aerial equipment, the majority of City-owned equipment is Altec. Estimated Contract Expenses Category Year 1 Year 2 Year 3 Year 4 Year 5 Total Repair Services $140,000 $144,200 $148,526 $152,759 $157,351 $742,836 Contingency 5% 7,000 7,210 7,426 7,649 7,879 37,164 Total $147,000 $151,410 $155,952 $160,408 $165,230 $780,000 Section 252.022 of the Local Government Code provides that procurement of sole source commodities and services is exempt from competitive bidding if over $50,000, shall be awarded by the governing body. City Hall 215 E. McKinney Street Denton, Texas www.cityofdenton.com PRIOR ACTION/REVIEW (COUNCIL, BOARDS, COMMISSIONS) On April 14, 2025, this item will be presented to the Public Utilities Board (PUB) for consideration. RECOMMENDATION Award with a contract to Altec Industries, Inc., as a sole source supplier, for Altec branded equipment inspections, maintenance, and repairs for the Fleet Services Department, in a three (3) year, with the option for two (2) additional one (1) year extensions, in the total five (5) year not-to-exceed amount of $780,000. PRINCIPAL PLACE OF BUSINESS Altec Industries, Inc. Houston, TX ESTIMATED SCHEDULE OF PROJECT This is an initial three (3) year contract with options to extend the contract for two (2) additional one (1) year periods, with all terms and conditions remaining the same. FISCAL INFORMATION These products and services will be funded through Capital Fund accounts. Requisitions will be entered on an as-needed basis. The budgeted amount for this item is $780,000. The City will only pay for services rendered and is not obligated to pay the full contract amount unless needed. EXHIBITS Exhibit 1: Agenda Information Sheet Exhibit 2: 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.