5997-AIS -contract pricing informationAGENDA INFORMATION SHEET
AGENDA DATE: March 1, 2016 Questions concerning this
acquisition may be directed
DEPARTMENT: Materials Management to Vance Kemler at 349-8044
ACM: Bryan Langley
SUBJECT
Consider adoption of an ordinance of the City of Denton authorizing the City Manager or his designee to execute a contract through the Houston-Galveston Area Council of Governments (H-GAC)
for the acquisition of residential refuse and recycling carts including replacement parts, for the City of Denton Solid Waste Department; and providing an effective date (File 5997-Purchase
of Residential Recycling and Refuse Carts awarded to Rehrig Pacific Company in the three (3) year not-to-exceed amount of $875,000). The Public Utilities Board recommends approval
(5-0).
FILE INFORMATION
The City’s Solid Waste Department must purchase additional refuse and recycling carts due to wear and tear, loss, and residential growth in the City of Denton. The new carts will serve
customers within newly annexed areas within the city and are also used to upsize and replace older carts currently in service. All carts will be equipped with Radio Frequency Identification
(RFID) tags for monitoring service frequency, inventory control, and location purposes.
The refuse and recycling carts will be purchased through H-GAC Cooperative Purchasing Contract# RC01-16. Rehrig Pacific Company also provides an additional pricing discount of approximately
15% off the H-GAC list price because of the large volume of carts purchased by the City of Denton (Exhibit 1).
Since 2008, Rehrig Pacific Company has been the provider of the City’s residential refuse and recycling carts. Currently over 80% of the refuse and recycling carts in the field are provided
by Rehrig. By continuing to use Rehrig as the cart provider, the wheels, axles, and other parts for the carts will be more standardized, thus reducing the number of line items of replacement
parts needed to maintain the carts (Exhibit 2). Therefore, staff recommends continuing to use Rehrig carts as the best value for the City.
PRIOR ACTION/REVIEW (COUNCIL, BOARDS, COMMISSIONS)
On February 22, 2016, the Public Utilities Board recommended approval to forward this item to the City Council for consideration.
Agenda Information Sheet
March 1, 2016,
Page 2
RECOMMENDATION
Approve the purchase of refuse carts and recycling carts through the Houston-Galveston Area Council of Governments from Rehrig Pacific Company in the not-to-exceed amount of $875,000.
PRINCIPAL PLACE OF BUSINESS
Rehrig Pacific Company
Dallas, TX
ESTIMATED SCHEDULE OF PROJECT
Delivery of the carts is estimated to be within 60 days of the manufacturer’s receipt of the order.
FISCAL INFORMATION
The approved Fiscal Year 2016-17 Solid Waste Department Capital Improvement Program provides for Certificate of Obligation bond funding of $275,000 for refuse and recycling carts. The
Fiscal Year 2017-18 Solid Waste Department Capital Improvement Program provides for Certificate of Obligation bond funding of $300,000 for refuse and recycling carts. The Fiscal Year
2018-19 Solid Waste Department Capital Improvement Program provides for Certificate of Obligation bond funding of $300,000 for refuse and recycling carts.
Refuse and Recycling Carts:
2016 funding available $275,000
2017 funding available $300,000
2018 funding available $300,000
Total $875,000
EXHIBITS
Exhibit 1: H-GAC Pricing
Exhibit 2: Staff memo
Exhibit 3: Public Utilities Board Minutes
Exhibit 4: Ordinance
Respectfully submitted:
Chuck Springer, 349-8260
Director of Finance