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HomeMy WebLinkAboutExhibit 1 - Agenda Information SheetCity of Denton _____________________________________________________________________________________ AGENDA INFORMATION SHEET DEPARTMENT: Procurement ACM: Christine Taylor DATE: February 3, 2026 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 Rene’ Bates Auctioneers, Inc., for the management of auction services to the City of Denton for the Warehouse Department; providing for the expenditure of funds therefor; and providing an effective date (RFP 8949 – awarded to Rene’ Bates Auctioneers, Inc., for a three (3) year term, with the option for two (2) additional one (1) year extensions). INFORMATION/BACKGROUND This item pertains to auction services used to facilitate the sale of City-owned salvage and equipment on behalf of all City of Denton departments. These services enable the City to generate revenue from assets that are no longer needed or in use. All auction activities are managed through the City of Denton Warehouse. Before initiating an auction, photographs of the items are taken and distributed to all City departments to confirm that no other department has a potential use for them. Once confirmed, the Warehouse documents each item to ensure complete cradle-to-grave tracking. Items are generally grouped and sold in lots of similar materials to provide bidders with comprehensive packages and to maximize value returned to the City. Each auction is advertised on the City’s public website and remains posted for a minimum of 14 days. The Auctioneer is responsible for conducting the bidding process, verifying bid accuracy, collecting payment, and providing detailed reports for each auction. After the auction concludes, the Auctioneer remits payment to the City, less the agreed-upon auctioneer fee. All proceeds are deposited into the City of Denton General Fund with projected revenue of $200,000 for the full contract term. Rene’ Bates is a well-established business that has provided quality work for the City of Denton on previous occasions. They have provided continuity in the service delivery without any complaints from the City of Denton. Request for Proposals was sent to 412 prospective suppliers of this item. including 25 Denton firms. In addition, specifications were placed on the Procurement website for prospective suppliers to download and advertised in the local newspaper. Two (2) proposals were received, references were checked, and proposals were evaluated based upon published criteria, including experience and qualification, technology and platform capabilities, marketing and outreach, and price. Based upon this evaluation, Rene’ Bates Auctioneers, Inc. was ranked the highest and determined to be the best value for the City. City Hall 215 E. McKinney Street Denton, Texas www.cityofdenton.com NIGP Code Used for Solicitation: 962 - (Service Only) - Miscellaneous Services, No. 2 (Not Otherwise Classified) Notifications sent for Solicitation sent in IonWave: 412 Number of Suppliers that viewed Solicitation in IonWave: 20 HUB-Historically Underutilized Business Invitations sent out: 56 SBE-Small Business Enterprise Invitations sent out: 163 Responses from Solicitation: 2 RECOMMENDATION Award a contract with Rene’ Bates Auctioneers, Inc., for the management of auction services to the City of Denton for the Warehouse Department, in a three (3) year, with the option for two (2) additional one (1) year extensions, in the total five (5) year term. PRINCIPAL PLACE OF BUSINESS Rene’ Bates Auctioneers, Inc. McKinney, 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 There is no expense related to this contract. Revenue generated from the auction will be deposited in 8000.8159 auction proceeds. EXHIBITS Exhibit 1: Agenda Information Sheet Exhibit 2: Pricing Evaluation Exhibit 3: Ordinance and Contract Respectfully submitted: Lori Hewell, 940-349-7100 Purchasing Manager For information concerning this acquisition, contact: Keith Kading, 940-349-7178. Legal point of contact: Leah Bush at 940-349-8672.