Exhibit 1 - Agenda Information Sheet - Amend 1City of Denton
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AGENDA INFORMATION SHEET DEPARTMENT: Procurement
ACM: Christine Taylor
DATE: May 6, 2025 SUBJECT
Consider adoption of an ordinance of the City of Denton, a Texas home-rule municipal corporation, authorizing the approval of a first amendment to a contract between the City of Denton and 3C Industrial LLC, amending the contract approved by City Council on November 14, 2023, in the not-to-exceed amount of $500,000.00; said first amendment to continue to provide air compressor services for the Facilities
Management Department; providing for the expenditure of funds therefor; and providing an effective date
(RFP 8323 – providing for an additional first amendment expenditure amount not-to-exceed $125,000.00, with the total contract amount not-to-exceed $625,000.00). STRATEGIC ALIGNMENT
This action supports the Key Focus Area: Enhance Infrastructure and Mobility. INFORMATION/BACKGROUND
In November 2023, 3C Industrial, LLC was awarded the contract for Air Compressor Services, which
includes the installation, troubleshooting, and repair of all air compressors. This contract is vital for ensuring the smooth operation and longevity of air compressors across various city facilities. These air compressors are crucial for powering numerous mechanical systems, fire water systems, and tools, all of which are indispensable for the day-to-day operations of city services.
During the initial assessment, it was discovered that the Denton Energy Center housed many large air compressors, all of which required extensive maintenance and repairs. The scope of work needed to restore these air compressors to optimal condition was more substantial than anticipated. This situation led to the rapid depletion of contract funds, highlighting the urgent need to address deferred maintenance.
The expedited expenditure of the contract funds underscores the importance of proactive maintenance and regular servicing to prevent unexpected issues. This experience has provided valuable insights into the challenges associated with maintaining critical systems and emphasized the necessity of a more proactive approach in the future. The collaboration with 3C Industrial, LLC has not only resolved immediate issues
but also paved the way for better maintenance planning, ensuring the reliability and efficiency of air
compressors across the city. Moving forward, we will actively solicit input from all departments to comprehensively assess their air compressor requirements.
City Hall 215 E. McKinney Street Denton, Texas www.cityofdenton.com
PRIOR ACTION/REVIEW (Council, Boards, Commissions)
On November 13, 2023, City Council approved a contract with 3C Industries, LLC, in the not-to-exceed
amount of $500,000 (Ordinance 23-2122). RECOMMENDATION
Award Amendment No. 1 with 3C Industries, LLC, to continue to provide air compressor services for the
Facilities Management Department, in a not-to-exceed amount of $125,000, for a total amended contract amount of $625,000. PRINCIPAL PLACE OF BUSINESS
3C Industrial, LLC Fort Worth, TX ESTIMATED SCHEDULE OF PROJECT
This contract expires on November 14, 2028. FISCAL INFORMATION
These services will be funded from the Facilities Management Operating budget 880200.6545. Requisitions
will be entered into the Purchasing software system on an as-needed basis. The total amended amount of this contract is $625,000. 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: Original Ordinance and Contract Exhibit 3: Ordinance and Amendment 1
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.