Exhibit 1 - Agenda Information SheetCity of Denton
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AGENDA INFORMATION SHEET
DEPARTMENT: Procurement
ACM: Christine Taylor
DATE: June 17, 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 Holt Texas, LTD., through the Buy Board
Cooperative Purchasing Network Contract Nos. 685-22 and 740-24, for authorized repair services,
purchases, and rentals of Caterpillar construction equipment for the Fleet Services Department; providing
for the expenditure of funds therefor; and providing an effective date (File 8805 – awarded to Holt Texas,
LTD., 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 $14,983,500.00). The Public Utilities Board recommends approval (6 - 0).
STRATEGIC ALIGNMENT
This action supports Key Focus Area: Enhance Infrastructure and Mobility.
INFORMATION/BACKGROUND
The proposed contract will be utilized by the Fleet Services Department to repair, procure, maintain, and
rent Caterpillar construction equipment for various departments, including Beneficial Reuse, Wastewater,
Drainage, and Solid Waste. The City’s current inventory includes 24 pieces of Caterpillar equipment, which
are actively utilized across these departments. This quantity may increase or decrease based on the fleet
replacement schedule, evolving departmental requirements, and new fleet additions approved through the
Capital Improvement Budget.
Examples of the equipment covered under this contract include dozers, excavators, and wheel loaders,
which are primarily utilized for construction activities such as moving bulk materials like sand, dirt, trash,
or debris. Establishing this contract with Holt Texas, LTD, the authorized Caterpillar repair facility for the
North Texas Region, ensures access to specialized repair services, including warranty work, internal engine
repairs, and services requiring proprietary software. These specialized services are essential for minimizing
downtime, maintaining operational efficiency, and supporting uninterrupted service delivery for
departments with responsibilities critical to the City’s infrastructure and services.
The asset replacement projections are determined through a combination of asset lifecycle analysis,
operational demands, and budget considerations. Fleet Services utilizes a 15-point maintenance system to
track the age, usage, and maintenance history of assets to identify when replacements are necessary to
maintain a cost-efficient and safe fleet. Additions are based on projected department growth, service
expansions, or new operational requirements that necessitate increased fleet capacity. The contract value is
based on historical spending levels and includes estimates for future assets and services.
City Hall
215 E. McKinney Street
Denton, Texas
www.cityofdenton.com
Estimated Contract Expenses
Category FY 24/25 FY 25/26 FY 26/27 FY 27/28 FY 28/29 Total
Asset Additions $ - $420,000 $870,000 $900,000 $920,000 $3,110,000
Asset Replacements 2,050,000 2,530,000 1,310,000 1,340,000 920,000 8,150,000
Repair Services 530,000 560,000 600,000 640,000 680,000 3,010,000
Sub Total $2,580,000 $3,510,000 $2,780,000 $2,880,000 $2,520,000 $14,270,000
Contingency 5% 129,000 175,500 139,000 144,000 126,000 713,500
Total $2,709,000 $3,685,500 $2,919,000 $3,024,000 $2,646,000 $14,983,500
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.
PRIOR ACTION/REVIEW (COUNCIL, BOARDS, COMMISSIONS)
On February 1, 2005, City Council approved the interlocal agreement with the Buy Board Cooperative
Purchasing Network (Ordinance 2005-034).
On June 9, 2025, the Public Utilities Board (PUB) recommended this item to the City Council for
consideration.
RECOMMENDATION
Award a contract with Holt Texas, LTD., for authorized repair services, purchases, and rentals of Caterpillar
construction equipment for the Fleet Services Department, in a 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 $14,983,500.
PRINCIPAL PLACE OF BUSINESS
Holt Texas, LTD.
San Antonio, 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. Buy Board contract 685-22 expires on November
30, 2025, and Buy Board contract 740-24 expires on June 30, 2027.
FISCAL INFORMATION
Repair services will be funded through Fleet Services Operating budget 820100.7879. Equipment purchases
will be funded through the Capital Improvement Budget. The budgeted amount for this item is $14,983,500.
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: Cooperative Pricing
Exhibit 3: Presentation
Exhibit 4: 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.