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HomeMy WebLinkAboutExhibit 1 - Agenda Information SheetCity of Denton _____________________________________________________________________________________ AGENDA INFORMATION SHEET DEPARTMENT: Procurement ACM: Christine Taylor DATE: April 21, 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 T&W Tire, L.L.C., for the purchase and repairs of wheels and tires for heavy-duty vehicles and equipment for the Fleet Services Department; providing for the expenditure of funds therefor; and providing an effective date (RFP 8988 - awarded to T&W Tire, L.L.C., 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 $2,211,300.00). The Public Utilities Board recommends approval (4 - 0). 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 procurement, maintenance, and repair of tires and wheels for its heavy-duty vehicle and equipment fleet, which consists of over 400 assets. Reliable tire and wheel maintenance is essential to keeping city operations running efficiently, particularly in supporting critical services such as solid waste collection, emergency response, and public works. Proper tire pressure maintenance, timely flat repairs, and routine tire rotations help maximize the lifespan of tires, ensuring the fleet remains operational with minimal disruptions. Given the specialized equipment, safety risks, and expertise required for heavy-duty tire repairs and replacements, Fleet Services has determined that outsourcing these services to qualified providers is the most effective solution. The contract will cover on-site flat repairs, tire replacements, dismounting and mounting of various tire sizes, heavy-duty tire rotations, and the supply of essential components such as valve stems, tubes, and tire plugs. Additionally, contracted providers will conduct periodic fleet tire inspections to identify potential issues before they impact operations. This contract is structured to enhance service efficiency by ensuring rapid response times, 24/7 availability for emergency repairs, and high-quality maintenance that extends the lifespan of fleet assets. By securing a reliable tire service provider, the City of Denton will reduce downtime, improve fleet safety, and maintain uninterrupted delivery of essential public services, including solid waste collection and infrastructure maintenance. The contract value is based on historical fleet maintenance expenditures while accounting for future growth and service demands. By securing this agreement, the City ensures cost stability, reliable parts availability, City Hall 215 E. McKinney Street Denton, Texas www.cityofdenton.com and uninterrupted service delivery, while reinforcing fiscal responsibility and strengthening the ability to maintain a safe and dependable fleet. We are returning for approval because some services were not fully captured in the initial research, and a deeper review revealed overlapping services previously sourced from other vendors. Consolidating all fleet- related tire services under this contract requires increased spend authority, but it delivers economies of scale, reduces the price per service or item purchased, and ensures greater efficiency, transparency, and fiscal stewardship. Estimated Contract Expenses Category FY 25/26 FY 26/27 FY 27/28 FY 28/29 FY 29/30 Total Tire Replacements $120,000.00 $126,000.00 $133,000.00 $140,000.00 $147,000.00 $666,000.00 Repair Services 260,000.00 273,000.00 287,000.00 302,000.00 318,000.00 1,440,000.00 Sub Total $380,000.00 $399,000.00 $420,000.00 $442,000.00 $465,000.00 $2,106,000.00 Contingency 5% 19,000.00 19,950.00 21,000.00 22,100.00 23,250.00 105,300.00 Total $399,000.00 $418,950.00 $441,000.00 $464,100.00 $488,250.00 $2,211,300.00 Request for Proposals was sent to 539 prospective suppliers, including 16 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 compliance with specifications, experience, qualifications, and performance, and price. Best and Final Offer (BAFO) was requested from the top firm. Based upon this evaluation, T&W Tire, L.L.C. was ranked the highest and determined to be the best value for the City. NIGP Code Used for Solicitation: 863-Tires & Tubes (Incl. Recapped/Retreaded Tires), 968- (Service Only)-Public Works & Related Services Notifications sent for Solicitation sent in IonWave: 539 Number of Suppliers that viewed Solicitation in IonWave: 18 HUB-Historically Underutilized Business Invitations sent out: 61 SBE-Small Business Enterprise Invitations sent out: 178 Responses from Solicitation: 2 PRIOR ACTION/REVIEW (COUNCIL, BOARDS, COMMISSIONS) On April 13, 2026, the Public Utilities Board (PUB) recommended this item to the City Council for consideration. RECOMMENDATION Award a contract with T&W Tire, L.L.C., for the purchase and repairs of wheels and tires for heavy-duty vehicles and 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 $2,211,300. PRINCIPAL PLACE OF BUSINESS T&W Tire, L.L.C. Lancaster, 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 Fleet Services operating accounts. Requisitions will be entered on an as-needed basis. The budgeted amount for this item is $2,211,300. 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: Pricing Evaluation Exhibit 3: 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.