Exhibit 1 - Agenda Information SheetCity of Denton
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AGENDA INFORMATION SHEET
DEPARTMENT: Materials Management
CM: Todd Hileman
DATE: December 11, 2018
SUBJECT
Consider adoption of an ordinance of the City of Denton, Texas, a Texas home-rule municipal corporation,
authorizing the City Manager to execute a contract for the Supply of Underground Distribution Cables and
Substation Control Cables for the City of Denton Distribution Center; providing for the expenditure of
funds therefor; and providing an effective date (RFP 6842-awarded to the lowest responsive bidder for each
line item, Techline, Inc., for a five (5) year not-to-exceed amount of $18,000,000 and Stuart C. Irby, for a
five (5) year not-to-exceed amount of $1,400,000, in a total not-to-exceed amount of $19,400,000 for all
years).
RFP INFORMATION
This Request for Proposals (RFP) is to supply primary 15kV, secondary 600V insulated service cable, and
multi-conductor substation control cable. The service cable is a key component in Denton Municipal
Electric’s (DME) installation of distribution level underground electrical service to its customers. The
service cable will be used to replace existing underground cable that has failed and to extend service to new
residential, commercial, and industrial customers. Multi-conductor substation control cable is utilized solely
within substations between equipment for AC and DC equipment power, and system monitoring, metering,
and control. The control cable will be used to interconnect devices (i.e. relays, circuit breakers, transformers,
switches, etc.) for interaction and retrieval of information. These items will be carried in the Distribution
Center Working Capital inventory. The items are stocked by the Distribution Center and used as needed.
Volatility in copper and aluminum prices have made it mandatory and prudent that a procurement method
be crafted that recognizes the reality of conditions in the marketplace and also minimizes cost exposure by
locking in projected quantities. The unit prices recommended for award are based upon published third-
party indices for raw materials provided in the specifications. Throughout the contract, the prices will adjust
(increase or decrease) based upon the previous month’s basis for raw materials. Line Items 1-22 of the
pricing evaluation will adjust based upon the current raw material price at the time the order is placed and
accepted.
Request for proposals was sent to 143 prospective suppliers of this item. In addition, specifications were
placed on the Materials Management website for prospective suppliers to download and advertised in the
local newspaper. Five (5) proposals were received and evaluated based upon published criteria including
performance, lead time, compliance with specifications, and price. Based upon this evaluation, multiple
vendors were ranked the highest and determined to be the best value for the City.
City Hall
215 E. McKinney Street
Denton, Texas
www.cityofdenton.com
RECOMMENDATION
Award a contract with Techline, Inc. for supply of electric utility underground cable (Exhibit 2, Sections A
& C) in a five (5) year not-to-exceed amount of $18,000,000.
Award a contract with Stuart C. Irby Company for supply of substation cable (Exhibit 2, Section B) in a
five (5) year not-to-exceed amount of $1,400,000.
PRINCIPAL PLACE OF BUSINESS
Techline, Inc.
Fort Worth, TX
Stuart C. Irby Company
Fort Worth, TX
ESTIMATED SCHEDULE OF PROJECT
This is a five (5) year contract with the sole option of the City of Denton to extend as needed, not to exceed
a total of six (6) months, with all terms and conditions remaining the same.
FISCAL INFORMATION
These items will be funded out of the Distribution Center Working Capital account and charged back to the
using department.
STRATEGIC PLAN RELATIONSHIP
The City of Denton’s Strategic Plan is an action-oriented road map that will help the City achieve its vision.
The foundation for the plan is the five long-term Key Focus Areas (KFA): Organizational Excellence;
Public Infrastructure; Economic Development; Safe, Livable, and Family-Friendly Community; and
Sustainability and Environmental Stewardship. While individual items may support multiple KFAs, this
specific City Council agenda item contributes most directly to the following KFA and goal:
Related Key Focus Area: Organizational Excellence
Related Goal: 2.3 Promote superior utility services and City facilities
EXHIBITS
Exhibit 1: Agenda Information Sheet
Exhibit 2: Pricing Evaluation
Exhibit 3: Staff Presentation
Exhibit 4: Ordinance and Contracts
Respectfully submitted:
Lori Hewell, 940-349-7100
Purchasing Manager
For information concerning this acquisition, contact: Laura Hermosillo at 349-8438
Legal point of contact: Mack Reinwand at 940-349-8333.