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Exhibit 1 - Agenda Information SheetCity of Denton _____________________________________________________________________________________ AGENDA INFORMATION SHEET DEPARTMENT: Procurement ACM: Cassey Ogden DATE: June 27, 2023 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 Southern Petroleum Laboratories, Inc. dba SPL, Inc., for lab analysis for the Municipal Laboratory, Industrial Pretreatment, and Watershed Protection Departments; providing for the expenditure of funds therefor; and providing an effective date (RFP 8134 – awarded to Southern Petroleum Laboratories, Inc. dba SPL, Inc., 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 $485,200.00). The Public Utilities Board recommends approval (5-0). STRATEGIC ALIGNMENT This action supports Key Focus Area: Promote Sustainability and the Environment. INFORMATION/BACKGROUND Laboratory analytical testing is essential for verifying compliance with numerous State and Federal regulations applicable to city services. The Watershed Protection, Municipal Laboratory, and Industrial Pretreatment divisions have a continuous need for accredited laboratory analytical services for drinking water, wastewater, stormwater, compost, and sludge that meets guidelines established by the Texas Commission of Environmental Quality (TCEQ) and US Environmental Protection Agency (EPA). FY 22-23 FY 23-24 FY 24-25 FY 25-26 FY 26-27 Watershed $5,000 $8,000 $8,000 $8,000 $8,000 Industrial Pretreatment $10,000 $38,000 $38,000 $38,000 $38,000 Municipal Laboratory $25,000 $60,000 $60,000 $60,000 $60,000 Contingency - $5,300 $5,300 $5,300 $5,300 Total $40,000 $111,300 $111,300 $111,300 $111,300 Request for Proposals was sent to 281 prospective suppliers, including thirteen (13) 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 delivery, compliance with specifications, probable performance, pick-up/drop-off, and price. Best and Final Offer (BAFO) was requested from the top firms. Based upon this evaluation, Southern Petroleum Laboratories, Inc. dba SPL, INC. was ranked the highest and determined to be the best value for the City, for Sections A-D and Pace Analytical Services, LLC for Section E. City Hall 215 E. McKinney Street Denton, Texas www.cityofdenton.com NIGP Code Used for Solicitation: 926 - (Service Only) - Environmental and Ecological Service Notifications sent for Solicitation sent in IonWave: 283 Number of Suppliers that viewed Solicitation in IonWave: 12 HUB-Historically Underutilized Business Invitations sent out: 28 SBE-Small Business Enterprise Invitations sent out: 107 Responses from Solicitation: 2 PRIOR ACTION/REVIEW (COUNCIL, BOARDS, COMMISSIONS) On June 12, 2023, the Public Utilities Board (PUB) recommended this item to the City Council for consideration. RECOMMENDATION Award a contract for lab analysis for the Municipal Laboratory, Industrial Pretreatment, and Watershed Protection Departments, 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 $485,200. There is only one (1) contract over the $50,000 amount, which will be sent through for signature. The other one (1) contract is under the $50,000 total dollar amount, which will be signed after the RFP has been awarded by Council and it is under the legally approved signing level for Purchasing. Company Awarded Amount Section Awarded Southern Petroleum Laboratories, Inc. dba SPL, INC. $485,200 Sections A – D Pace Analytical Services, LLC $40,000 Section E PRINCIPAL PLACE OF BUSINESS Southern Petroleum Laboratories, Inc. dba SPL, INC. Plano, TX Pace Analytical Services, LLC Allen, 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 items/services will be funded from a combination of the accounts listed below. Municipal Laboratory 640750.7898 $25,000.00 Industrial Pretreatment 640600.7898 $10,000.00 Watershed Protection 640500.7898 $5,000.00 Requisition #159373 has been entered into the Purchasing software system in the amount of $40,000. The budgeted amount for this item is $485,200. 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: Deborah Viera, 940-349-7162. Legal point of contact: Marcella Lunn at 940-349-8333.