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HomeMy WebLinkAboutExhibit 1 - Agenda Information SheetCity of Denton _____________________________________________________________________________________ AGENDA INFORMATION SHEET DEPARTMENT: Procurement ACM: Christine Taylor DATE: March 24, 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 Closner Equipment Co., Inc., for the acquisition, rental, maintenance, and repairs of various medium-duty and heavy-duty construction equipment for the Fleet Services Department; providing for the expenditure of funds therefor; and providing an effective date (RFP 8987 – awarded to Closner Equipment Co., 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 $4,168,500.00). The Public Utilities Board will consider this item on Monday, March 23, 2026. STRATEGIC ALIGNMENT This action supports Key Focus Area: Enhance Infrastructure and Mobility. INFORMATION/BACKGROUND The City of Denton Fleet Services Department is establishing a contract for the acquisition, rental, repairs, and maintenance of various medium-duty and heavy-duty construction equipment. Current assets are utilized by various departments, including Streets, Electric, Water, and Wastewater, to maintain City operations such as maintenance of streets, water and sewer mains, electrical underground and overhead power, mowing, and landfill waste management. Existing construction equipment includes, but is not limited to, asphalt milling machines and pavers, road graders and rollers, and road sweepers. Reliable equipment is essential for both citizen safety and uninterrupted City services, as any downtime caused by vehicle malfunctions or acquisition delays can disrupt these services. Having contracts in place will assist in continued timely repairs and maintenance, allowing for minimized vehicle downtime. Closner Equipment plays a central role in the existing fleet strategy and is a firm specializing exclusively in asphalt and concrete paving machinery, offering a large selection of road construction equipment, alongside comprehensive repair and onsite training services. Leveraging the vendor’s regional presence also reduces downtime through specialized mobile field service, specialized parts availability, warranty administration, and technical support for the heavy-duty equipment in the City’s fleet. Additionally, the proposed contract streamlines the procurement of vehicles and parts, allowing the City to address both current needs and future growth. The contract supports scalable operations, enabling the City to adapt to evolving requirements while maintaining high service standards, ensuring public services remain reliable and efficient. Fleet Services strategizes asset management, including planning for new acquisitions and asset replacement, integrated within the City’s annual budget process. Additions are based on projected City Hall 215 E. McKinney Street Denton, Texas www.cityofdenton.com 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. Estimated Contract Expenses Category FY 25/26 FY26/27 FY 27/28 FY28/29 FY 29/30 Total Asset Additions $ - $210,000 $ - $230,000 $ - $440,000 Asset Replacements - 210,000 440,000 450,000 230,000 1,330,000 Repair Services 420,000 440,000 440,000 450,000 450,000 2,200,000 Sub Total $420,000 $860,000 $880,000 $1,130,000 $680,000 $3,970,000 Contingency 21,000 43,000 44,000 56,500 34,000 198,500 Total $441,000 $903,000 $924,000 $1,186,500 $714,000 $4,168,500 Request for Proposals was sent to 801 prospective suppliers, including 47 Denton firms. In addition, specifications were placed on the Procurement website for prospective suppliers to download and advertised in the local newspaper. One (1) proposal was received, and references were checked to ensure the vendor can provide the services requested in the Scope of Work. The proposal was evaluated based upon published criteria including compliance with specifications, probable performance, and price. Best and Final Offer (BAFO) was requested from the firm. The department is awarding the contract to Closner Equipment Co., Inc. NIGP Code Used for Solicitation: 913 - (Service Only) - Construction Services, Heavy (Incl. Maintenance and Repair Services) Notifications sent for Solicitation sent in IonWave: 801 Number of Suppliers that viewed Solicitation in IonWave: 17 HUB-Historically Underutilized Business Invitations sent out: 90 SBE-Small Business Enterprise Invitations sent out: 247 Responses from Solicitation: 1 PRIOR ACTION/REVIEW (COUNCIL, BOARDS, COMMISSIONS) On March 23, 2026, this item will be presented to the Public Utilities Board (PUB) for consideration. RECOMMENDATION Award a contract with Closner Equipment Co., Inc., for the acquisition, rental, maintenance, and repairs of various medium-duty and heavy-duty construction equipment 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 $4,168,500. PRINCIPAL PLACE OF BUSINESS Closner Equipment Co., Inc. Schertz, 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 Operating and Capital Fund accounts. The City will only pay for services rendered and is not obligated to pay the full contract amount unless needed. Requisitions will be entered on an as-needed basis. The budgeted amount for this item is $4,168,500. 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: Leah Bush at 940-349-8333.