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Exhibit 1 - Agenda Information Sheet - Amend 1City of Denton _____________________________________________________________________________________ AGENDA INFORMATION SHEET DEPARTMENT: Procurement ACM: Cassey Ogden DATE: October 24, 2023 SUBJECT Consider adoption of an ordinance of the City of Denton, a Texas home-rule municipal corporation, authorizing the approval of a first amendment to a contract between the City of Denton and Anixter, Inc., amending the contract approved by City Council on February 4, 2020, in the not-to-exceed amount of $8,000,000.00; said first amendment to continue to purchase electric utility pad-mounted switchgears for Denton Municipal Electric and extend the contract through August 4, 2024; providing for the expenditure of funds therefore; and providing an effective date (RFP 7126 – providing for an additional first amendment expenditure amount not-to-exceed $2,000,000.00, with the total contract amount not-to-exceed $10,000,000.00 and extending the contract to August 4, 2024). INFORMATION/BACKGROUND Electric Utility Pad-Mounted Switchgears are used by Denton Municipal Electric (DME) to provide circuit switching and power restoration capability on its underground distribution system. DME is experiencing a tremendous amount of growth in the number of projects that require switchgears. Switchgear pricing has increased 50 percent or more and lead times are over a year. The current contract is scheduled to expire in February 2024. DME has begun the process of obtaining a new contract for switchgears and other automation controls that will be brought to the City Council for approval. DME is requesting an additional 25% in funding and an extension of the contract to continue purchasing the needed equipment until the new contract is in place. PRIOR ACTION/REVIEW (COUNCIL, BOARDS, COMMISSIONS) On February 4, 2020, City Council approved a contract with Anixter, Inc., in the not-to-exceed amount of $8,000,000 (Ordinance 20-236). On October 23, 2023, this item will be presented to the Public Utilities Board (PUB) for consideration. RECOMMENDATION Award Amendment No. 1 with Anixter, Inc., to continue to purchase electric utility pad-mounted switchgears for Denton Municipal Electric, in a not-to-exceed amount of $2,000,000, for a total amended contract amount of $10,000,000. City Hall 215 E. McKinney Street Denton, Texas www.cityofdenton.com PRINCIPAL PLACE OF BUSINESS Anixter, Inc. Fort Worth, TX ESTIMATED SCHEDULE OF PROJECT The contract is scheduled to expire on February 3, 2024. The proposed extension is to August 4, 2024. FISCAL INFORMATION These products and services will be funded by the Warehouse Capital account 800100 and charged back to the user department. Requisitions will be entered on an as-needed basis. 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: Original Ordinance and Contract Exhibit 3: Ordinance and Amendment 1 Respectfully submitted: Lori Hewell, 940-349-7100 Purchasing Manager For information concerning this acquisition, contact: Randy Key, 940-349-7665. Legal point of contact: Marcella Lunn at 940-349-8333.