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Exhibit 1-Agenda Information SheetCity of Denton _____________________________________________________________________________________ AGENDA INFORMATION SHEET DEPARTMENT: Materials Management CM: Todd Hileman DATE: February 6, 2018 SUBJECT Consider adoption of an ordinance accepting competitive bids and awarding a contract for the supply of Utility Polymer Insulators for Denton Municipal Electric to be stocked in the City of Denton Distribution Center; providing for the expenditure of funds therefor; and providing an effective date (IFB 6550-awarded to the lowest responsible bidder meeting specification, Wesco Distribution, Inc. in the three (3) year not- to-exceed amount of $821,280). FILE INFORMATION Denton Municipal Electric (DME) has transmission line, distribution line, and substation projects approved in its five year Capital Improvement Plan that will require installation of polymer insulators. Polymer insulators are used to isolate electrical conductors from ground potential. 138kV and 25kV polymer insulators of several different types are required. Polymer insulators are constructed with a fiberglass core and a silicone rubber exterior. The insulators have metal end pieces for attaching to structures, bus, or conductors. The Distribution Center orders goods in coordination with DME for specific projects under construction. The items are temporarily stored in the Distribution Center until they are needed on the jobsite and then transferred to DME through an inventory management system. The items are ordered as needed, taking into account the contracted lead time and the need by date by the using department. The need by date is established by ensuring that citizen, customer, and developer timelines all form the basis of when the construction work must be complete by with an operational City of Denton service; furthermore, it factors in City of Denton construction crew schedules and construction sequencing with job site contractors. Invitations for Bid were sent to 257 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. Four (4) bids were received with Wesco Distribution, Inc. submitting the lowest overall bid that met the specifications of the IFB specifications. RECOMMENDATION Award to Wesco Distribution, Inc. in the three (3) year not-to-exceed amount of $821,280. City Hall 215 E. McKinney Street Denton, Texas www.cityofdenton.co m PRINCIPAL PLACE OF BUSINESS Wesco Distribution, Inc. Pittsburgh, PA ESTIMATED SCHEDULE OF PROJECT This is an initial one (1) 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 The items in this bid will be funded out of the Distribution Center working capital account and charged back to the using department. The costs for material purchased under the proposed agreement will be funded out of amounts budgeted for specific projects. The work proposed will be in the transmission category. These costs for transmission projects will ultimately be recovered through the Public Utility Commission Transmission Cost of Service Program (TCOS). 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: Bid Tabulation Exhibit 3: Ordinance Exhibit 4: Contract Respectfully submitted: Karen Smith, 349-7100 Purchasing Manager For information concerning this acquisition, contact: Karen Smith at 349-8436.