Exhibit 1 - Agenda Information SheetCity of Denton
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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 City Manager to execute a contract with SAE Towers LTD, for the purchase of galvanized
steel transmission poles, anchor cages, and associated hardware for Denton Municipal Electric; providing
for the expenditure of funds therefor; and providing an effective date (RFP 8270 – awarded to SAE Towers
LTD, in the not-to-exceed amount of $5,609,888.00).
INFORMATION/BACKGROUND
Denton Municipal Electric’s annual transmission system planning study has identified a single contingency
overload on the Denton West to RD Wells 138kV transmission line by Summer 2025. The solution to
resolve the overload is to reconstruct the approximately 4.6 mile transmission line to increase the capacity
to meet the projected load requirements and maintain system reliability. The work required by this RFP is
to fabricate 72 galvanized steel poles including galvanized steel hardware, anchor bolt cage assemblies, and
any other material required to make the poles complete and functional assemblies in accordance with the
requirements of the technical specification provided in the solicitation. This transmission line project is
listed on Denton Municipal Electric’s approved five-year Capital Improvement Plan.
The contract price includes a 20% contingency for steel and other material cost fluctuations and possible
design changes. A portion of the costs are recoverable through the Transmission Cost of Services (TCOS)
program.
Description Propose Contract Cost
Galvanized steel poles, anchor cages, and hardware $ 4,674,903
20% contingency $ 934,985
Total: $5,609,888
Request for Proposals was sent to 199 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. Five (5) proposals were received, references were checked, and proposals
were evaluated based upon published criteria including price, delivery, compliance with specifications, and
probable performance. Best and Final Offers (BAFO) were requested from the top firm. Based upon this
evaluation, SAE Towers LTD was ranked the highest and determined to be the best value for the City.
City Hall
215 E. McKinney Street
Denton, Texas
www.cityofdenton.com
NIGP Code Used for Solicitation: 570 - Metals: Bars, Plates, Rods, Sheets,
Strips, Structural Shapes, Tubing, and
Fabricated Items & 839 - Telephone
Equipment, Accessories and Supplies
Notifications sent for Solicitation sent in IonWave: 199
Number of Suppliers that viewed Solicitation in IonWave: 11
HUB-Historically Underutilized Business Invitations sent out: 24
SBE-Small Business Enterprise Invitations sent out: 84
Responses from Solicitation: 5
PRIOR ACTION/REVIEW (COUNCIL, BOARDS, COMMISSIONS)
On October 23, 2023, this item will be presented to the Public Utilities Board (PUB) for consideration.
RECOMMENDATION
Award a contract with SAE Towers LTD, for the purchase of galvanized steel transmission poles, anchor
cages, and associated hardware for Denton Municipal Electric, in a not-to-exceed amount of $5,609,888.
PRINCIPAL PLACE OF BUSINESS
SAE Towers LTD
Houston, TX
ESTIMATED SCHEDULE OF PROJECT
Delivery of the items will occur within 25 weeks after receipt of order.
FISCAL INFORMATION
These items will be funded from Capital Improvement Project (CIP) 604933500, and the cost will ultimately
be recovered through the Public Utility Commission Transmission Cost of Service Program (TCOS).
Requisition #161698 has been entered into the Purchasing software system in the amount of $5,609,888.
The budgeted amount for this item is $5,609,888.
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.