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Exhibit 1 - Agenda Information SheetCity of Denton _____________________________________________________________________________________ AGENDA INFORMATION SHEET DEPARTMENT: Procurement ACM: Cassey Ogden DATE: August 15, 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 Techline, Inc., for the purchase of electric utility substation instrument transformers for Denton Municipal Electric; providing for the expenditure of funds therefor; and providing an effective date (RFP 8210 – awarded to Techline, 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 $755,410.00). STRATEGIC ALIGNMENT This action supports Key Focus Area: Enhance Infrastructure and Mobility. INFORMATION/BACKGROUND Denton Municipal Electric (DME) has substation projects approved in its five-year Capital Improvement Plan that will require the purchase and installation of electric utility instrument transformers. Instrument transformers are used to step down currents and voltages from 345kV, 138kV, and 69kV to levels that can be used in relaying equipment for system monitoring, protection, and control. Three types of instrument transformers will be purchased under this contract – Potential Transformers (PT), Current Transformers (CT), and Coupling Capacitor Voltage Transformers (CCVT). The transformed voltages and currents from the instrument transformers are accurate representations of the 345kV, 138kV, and 69kV quantities. The voltages and currents from instrument transformers are interpreted, calculated, compared, and managed by protective relays, meters, and other sensing devices. These sensing devices will then transmit values to SCADA, monitor for abnormal conditions, and initiate actions to protect DME’s electrical system. Project Description Estimated Expenditure Underwood Substation $ 262,100 RD Wells and Masch Branch Substations $ 68,320 Denton West Substation $ 68,320 Brinker Substation $ 68,320 New Substation Southwest $ 202,100 Spare Equipment $ 86,250 Total $755,410 City Hall 215 E. McKinney Street Denton, Texas www.cityofdenton.com Requests for Proposals were sent to 777 prospective suppliers of this item, including 32 Denton firms. In addition, specifications were placed on the Procurement website for prospective suppliers to download and advertised in the local newspaper. Eight (8) proposals were received and evaluated based on published criteria including delivery, compliance with specifications, probable performance, and price. Based upon this evaluation, Techline, Inc. was ranked the highest and determined to be the best value for the City. NIGP Code Used for Solicitation: 285, 287, 553, 578, and 691 Notifications sent for Solicitation sent in IonWave: 777 Number of Suppliers that viewed Solicitation in IonWave: 44 HUB-Historically Underutilized Business Invitations sent out: 67 SBE-Small Business Enterprise Invitations sent out: 320 Responses from Solicitation: 8 PRIOR ACTION/REVIEW (COUNCIL, BOARDS, COMMISSIONS) On August 14, 2023, this item will be presented to the Public Utilities Board (PUB) for consideration. RECOMMENDATION Award a contract with Techline, Inc., for the purchase of electric utility substation instrument transformers for Denton Municipal Electric, in a three (3) year, with the option for two (2) additional one (1) year extensions, for a total five (5) year not-to-exceed amount of $755,410. PRINCIPAL PLACE OF BUSINESS Techline, Inc. Fort Worth, 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. Orders will be placed as project schedules require and will be delivered within 32-34 weeks. FISCAL INFORMATION The costs for material purchased under the proposed agreement will be funded out of amounts budgeted for specific projects and costs will ultimately be recovered through the Public Utility Commission Transmission Cost of Service Program (TCOS). The total budgeted amount for this item is $755,410. Requisition OR# 160983 has been entered into the Purchasing software system in the amount of $30,000 for the Brinker Substation project funded from the Brinker Substation Addition account 605358500. The City will only pay for services rendered and is not obligated to pay the full contract amount unless needed. 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: Marcella Lunn at 940-349-8333.