HomeMy WebLinkAboutExhibit 1 - Agenda Information Sheet - Amendment 2City of Denton
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AGENDA INFORMATION SHEET
DEPARTMENT: Procurement
ACM: Christine Taylor
DATE: February 17, 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 extension between the City of Denton and WSP USA
Inc., for program management services for the Denton Municipal Electric Capital Improvement Plan
projects; and declaring an effective date (RFQ 6862 – extending a contract with WSP USA Inc., until project
completion). The Public Utilities Board recommends approval (6 - 0).
STRATEGIC ALIGNMENT
This action supports Key Focus Area: Enhance Infrastructure and Mobility.
INFORMATION/BACKGROUND
Denton Municipal Electric (DME) is actively advancing its Capital Improvement Program (CIP), which
includes a range of substation and transmission line projects critical to the city's electric infrastructure. To
support the successful execution of these projects, DME has relied on the services of WSP USA Inc. under
contract 6862 for the past five (5) years. WSP USA Inc. has provided essential program management,
construction inspection, and supplemental engineering services throughout this period.
The scale and complexity of DME’s CIP projects necessitate comprehensive program management. This
includes detailed scheduling, coordination, tracking, and reporting to ensure efficient execution. Effective
sequencing is essential to minimize outage durations and maintain the highest safety standards.
Currently, WSP USA Inc. is managing 14 active projects and has a full-time inspector dedicated to
overseeing DME construction activities. Given the ongoing nature of these projects and the continued need
for inspection and management services, DME is requesting an extension of WSP USA Inc.’s services until
the completion of the active project. This will allow the projects started during the contract period to be
completed by WSP USA Inc. City of Denton staff are in the process of developing a new agreement to
cover program management, inspection, and engineering services for future projects, which is anticipated
to be in place within the next four (4) to six (6) months.
To date, WSP USA Inc. has billed $2,649,518.35 under contract 6862, leaving a remaining balance of
$2,420,785.65. No additional funding is required to continue services under the existing contract.
City Hall
215 E. McKinney Street
Denton, Texas
www.cityofdenton.com
The following is a list of projects currently under program management oversight.
Project Estimated Completion Date
Hickory Substation Feb 2026
Industrial Substation TM Bypass Feb 2026
Brinker SS - Phase II Feb 2026
Denton West - RDW TM Line Feb 2026
Masch Branch Transformer Addition October 2026
North Lakes SSVT Addition August 2027
Kings Row SSVT Addition August 2027
Underwood Substation August 2027
DC Data center August 2027
Jim Christal Transformer Addition August 2027
Locust SSVT Addition August 2027
Denton West - Brazos Tie-In August 2028
Fort Worth Transformer Replacement August 2028
PRIOR ACTION/REVIEW (COUNCIL, BOARDS, COMMISSIONS)
On May 12, 2020, City Council approved a contract with Power Engineers, Inc., in the not-to-exceed
amount of $5,070,304 (Ordinance 20-905).
On December 16, 2022, Purchasing approved a no-cost change to the Schedule of Charges.
On December 19, 2024, Purchasing approved a six (6) month contract extension to November 12, 2025.
On December 11, 2025, Purchasing approved an Assignment of Contract from Power Engineers, Inc. to
WSP USA Inc.
On February 9, 2026, the Public Utilities Board (PUB) recommended this item to the City Council for
consideration.
RECOMMENDATION
Award a contract extension with WSP USA Inc., for program management services for the Denton
Municipal Electric Capital Improvement Plan projects.
PRINCIPAL PLACE OF BUSINESS
WSP USA Inc.
New York, NY
FISCAL INFORMATION
The costs for materials and services purchased under the proposed agreement will be funded out of amounts
budgeted for specific CIP projects. The majority of the work proposed will be in the transmission category.
Therefore, these costs for transmission projects will ultimately be recovered through the Public Utility
Commission of Texas, Transmission Cost of Service Program (TCOS). 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, Contract, Amendment 1, Extension, and Assignment of Contract
Exhibit 3: Ordinance and Amendment 2
Respectfully submitted:
Lori Hewell, 940-349-7100
Purchasing Manager
For information concerning this acquisition, contact: Mark Zimmerer, 940-349-7169.
Legal point of contact: Leah Bush at 940-349-8333.