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Exhibit 1 - Agenda Information SheetCity of Denton _____________________________________________________________________________________ AGENDA INFORMATION SHEET DEPARTMENT: Procurement ACM: Cassey Ogden DATE: September 19, 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 HACH Company, for the purchase of HACH brand products, including instrumentations and chemistry for the Water and Wastewater Departments, which is the sole provider of this software, in accordance with Texas Local Government Code 252.022, which provides that procurement of commodities and services that are available from one source are exempt from competitive bidding, and if over $50,000, shall be awarded by the governing body; providing for the expenditure of funds therefor; and providing an effective date (File 8263 – awarded to HACH Company, 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 $770,000.00). The Public Utilities Board recommends approval (4 - 0). STRATEGIC ALIGNMENT This action supports Key Focus Area: Enhance Infrastructure and Mobility. INFORMATION/BACKGROUND The Water and Wastewater Departments use various HACH Company products in their daily operations for testing, monitoring, and real-time control of plant operations as well as flow measurement in the wastewater collection system. HACH Company is the sole source manufacturer for all HACH-branded instrumentation and chemistry. There are no other recognized or authorized sources to purchase HACH-branded instrumentation and chemistry products. Service isn't performed or available by any recognized company and unauthorized repairs will void the warranty. These products from HACH are fully integrated into the daily water and wastewater plant operations and are only available from HACH. To streamline these purchases and stay within the State-mandated purchasing guidelines, the Water and Wastewater Departments are requesting approval of a contract for the proposed amount that will meet the needs of the departments. Instrumentation and Chemistries Estimated 5-Year Expenditure Year 1 $ 140,000 Year 2 $ 140,000 Year 3 $ 140,000 City Hall 215 E. McKinney Street Denton, Texas www.cityofdenton.com Year 4 $ 140,000 Year 5 $ 140,000 Contingency for Inflation $ 70,000 Total $770,000 Section 252.022 of the Local Government Code provides that procurement of sole source commodities and services are exempt from competitive bidding, if over $50,000, shall be awarded by the governing body. PRIOR ACTION/REVIEW (COUNCIL, BOARDS, COMMISSIONS) On September 11, 2023, the Public Utilities Board (PUB) recommended this item to the City Council for consideration. RECOMMENDATION Award with a contract to HACH Company, for the purchase of HACH brand products including instrumentations and chemistry for the Water and Wastewater Departments, in a three (3) year, with the option for two (2) additional one (1) year extensions in the not-to-exceed amount of $770,000. PRINCIPAL PLACE OF BUSINESS HACH Company Loveland, CO 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 services will be funded by Water and Wastewater Department Operating Funds. Requisitions will be entered on an as-needed basis. The budgeted amount for this item is $770,000. 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: Ordinance and Contract Respectfully submitted: Lori Hewell, 940-349-7100 Purchasing Manager For information concerning this acquisition, contact: Daniel Parish, 940-349-7522. Legal point of contact: Marcella Lunn at 940-349-8333.