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HomeMy WebLinkAboutExhibit 1 - Agenda Information SheetCity of Denton _____________________________________________________________________________________ AGENDA INFORMATION SHEET DEPARTMENT: Procurement ACM: Christine Taylor DATE: September 15, 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 Hawk Builders, LLC, for the construction of the Hickory Substation Transmission Reels Storage Building for Denton Municipal Electric; providing for the expenditure of funds therefor; and providing an effective date (RFP 9040 – awarded to Hawk Builders, LLC, in the not-to-exceed amount of $319,803.00). 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) requires a structure to house transmission conductors. DME currently has two spare reels of underground transmission conductor, which include an outer sheathing that will deteriorate over time if exposed to weather conditions such as sunlight, moisture, and temperature fluctuations. To maintain the integrity of these spare reels over time, they must be stored inside a building or protective structure that shields them from environmental exposure. Each reel holds approximately 3,000 feet of 5,000 kcmil conductor and measures 14 feet in diameter, eight (8) feet in width, and roughly 84,000 pounds in weight. The reel size makes it difficult to move and store without appropriate equipment and accommodations. Because this specific type of underground transmission conductor serves the Hickory Substation, locating the storage structure at this facility makes practical sense. Underground transmission conductor carries a long procurement lead time of 2 - 3 years, and the cost for the two reels of conductor is approximately $715,000. To reduce the risk of extended outages in the event of a failure, DME purchased two additional reels to maintain as spares. Proper storage of these reels ensures timely replacement capability, enhances system reliability, and supports long-term operational resilience. The construction of the Hickory Substation Transmission Reels Storage Building has a total estimated cost of $319,803. This estimate includes a $290,730 total base bid amount and a contingency of $29,073. A contingency allowance, if any, is for the sole use of the City and will be subject to written authorization by the City’s Project Manager and Program Manager. City Hall 215 E. McKinney Street Denton, Texas www.cityofdenton.com Project Description Estimated Expenditure Hickory Substation Transmission Reels Storage Building $290,730.00 Contingency 29,073.00 Total $319,803.00 Request for Proposals was sent to 1,495 prospective suppliers of this item, including 89 Denton firms. In addition, specifications were placed on the Procurement website for prospective suppliers to download and advertised in the local newspaper. Three (3) proposals were received and evaluated based upon published criteria including delivery, quality/reputation/ability to complete, safety record, and price. Best and Final Offers (BAFO) were requested from the top firm. Based upon this evaluation, Hawk Builders, LLC was ranked the highest and determined to be the best value for the City. NIGP Code Used for Solicitation: 911, 912, 913, & 914 Notifications sent for Solicitation sent in IonWave: 1,495 Number of Suppliers that viewed Solicitation in IonWave: 52 HUB-Historically Underutilized Business Invitations sent out: 179 SBE-Small Business Enterprise Invitations sent out: 471 Responses from Solicitation: 3 PRIOR ACTION/REVIEW (COUNCIL, BOARDS, COMMISSIONS) On August 24, 2026, the Public Utilities Board (PUB) recommended this item to the City Council for consideration. RECOMMENDATION Award a contract with Hawk Builders, LLC, for the construction of the Hickory Substation Transmission Reels Storage Building for Denton Municipal Electric, in a not-to-exceed amount of $319,803. PRINCIPAL PLACE OF BUSINESS Hawk Builders, LLC Gunter, TX ESTIMATED SCHEDULE OF PROJECT Construction will begin within 10 days of Notice to Proceed and will be completed within 136 days. FISCAL INFORMATION These services will be funded by bond funds from Hickory Substation TM Reel Enclosure project account 605798500. Requisition OR #176352 has been entered into the Purchasing software system in the amount of $290,730. 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: Mark Zimmerer, 940-349-7169. Legal point of contact: Leah Bush at 940-349-8333.