DEPARTMENT: Finance
DEPARTMENT HEAD: Troy Elliott
COUNCIL DISTRICTS IMPACTED: City Wide
SUBJECT:
09/11/2014 Annual Contracts
SUMMARY:
An ordinance awarding twelve contracts to provide the City with commodities and services on an annual basis for the terms of the contracts, for an estimated annual cost of $1,542,000.00. This ordinance provides the procurement of the following items, as needed, and dependent on the Department's available budget, for the terms of the contracts:
A. Casco Industries for Firefighting Foam, $37,000.00 annually; $182,500.00 contract period (1 contract, Fire Department)
B. Grande Truck Center for Telma Brake Retarders Parts and Service, $50,000.00 annually (1 contract, Building and Equipment Services Department)
C. Vulcan Construction Materials, LP for Purchase of Rock Products, $82,000.00 annually (1 contract, Transportation and Capital Improvements Department)
D. DeWinne Equipment Co., James Lawnmower and John H. Sorola, Inc. for Lawnmowers, Edgers, Chain Saws, Parts and Service, $61,000.00 annually (3 contracts, City Wide)
E. Johnson Controls, Inc. for Amendment to Maintenance Agreement for METASYS System at Alamodome, $317,000.00 contract period (1 amendment, Convention and Sports Facilities Department)
F. Austin Vacuum S.A., Inc. and Gulf Coast Paper Co. for City Wide Janitorial Supplies, $710,000.00 annually (2 contracts, City Wide)
G. Gulf Coast Paper Co. for City Wide Janitorial Supplies - Trash Liners, $168,000.00 annually (1 contract, City Wide)
H. HLP, Inc. for Shelter Software Case Management Maintenance and Support, $24,000.00 annually; $72,000.00 contract period (1 contract, Animal Care Service Department)
I. TASER International, Inc. for SAPD Taser Supplies, $93,000.00 annually (1 contract, San Antonio Police Department)
BACKGROUND INFORMATION:
The City of San Antonio utilizes annual contracts for procuring high volume repetitive purchases. Annual contracts are an efficient method of securing the best prices through volume purchasing and reducing large amounts of work related to the bid process. Utilization of annual contracts allows the City to procure numerous different commodities in support of the normal daily operations.
Contracts procured on the basis of low bid:
A. Casco Industries for Firefighting Foam, $37,000.00 annually; $182,500.00 contract period, upon award through December 31, 2017 with two, one year renewal options - will provide the City of San Antonio Fire and Aviation Departments with a vendor for the purchase and delivery of firefighting foam. This firefighting foam shall be utilized by the San Antonio Fire and Aviation Firefighting Departments to fight Class A and Class B fires, by definition from the National Fire Protection Association.
The foam selection is used to help extinguish multiple types of fires. The Class A Foam is used to extinguish grass, vehicle and building fires. The foam also helps keep fires suppressed until final clean up is made.
Class B Foam is used to suppress hydrocarbon fires, fuel fires from small containers as well as large containers. Fuels such as gasoline, diesel and oil products. This foam can be used on pesticides and other liquids to suppress vapors as well.
Aviation utilizes the Class B Foam product on airplane fires as well as keeping pools of fuel safe with suppression of vapors, preventing unwanted ignition.
B. Grande Truck Center for Telma Brake Retarders Parts and Service, $50,000.00 annually, upon award through September 30, 2017 with two, one year renewal options - will provide the Building and Equipment Services Department with Telma Brake Retarders parts and service for the electromagnetic induction braking systems installed in City refuse trucks. These braking systems significantly improve vehicle safety levels by handling up to 80% of the vehicles braking demands. They increase the reliability of conventional braking systems and allow them to remain available and effective in emergency situations, while reducing, by approximately five times, maintenance operations related to the replacement of brake pads and discs.
C. Vulcan Construction Materials, LP for Purchase of Rock Products, $82,000.00 annually, upon award through December 31, 2017 with two, one year renewal options - will provide the Transportation and Capital Improvements Department with a contractor to furnish and deliver crushed rock for use on various public works projects throughout the City. These rock products are utilized in roadwork construction and drainage projects throughout the City.
Contract procured on the basis of low qualifying bid:
D. DeWinne Equipment Co., James Lawnmower and John H. Sorola, Inc. for Lawnmowers, Edgers, Chain Saws, Parts and Service, $61,000.00 annually, upon award through September 30, 2017 with two, one year renewal options - will provide the Development Services, Solid Waste Management, Downtown Operations, Transportation and Capital Improvements, San Antonio Fire, Aviation, and Parks and Recreation departments with parts and repair services for ground maintenance equipment. Departments utilize these services for repairs, parts, equipment warranty work, and to maintain equipment.
Amendment:
E. Johnson Controls, Inc. for Amendment to Maintenance Agreement for METASYS System at Alamodome, $317,000.00 contract period, October 1, 2014 through September 30, 2015 - will extend the term of the contract and increase the estimated contract value to provide the Convention and Sports Facilities Department with a contractor that will provide the Alamodome with monitoring, maintenance and repair services of the facility's METASYS Building Automation and Control System. This service is required to monitor and maintain the safety and functionality of the system which controls the fire detection system, automatic temperature controls, electrical switchgear, and associated equipment. This contract includes labor and materials for contract repairs and non-covered repairs.
On September 10, 2009, City Council approved and issued Ordinance 2009-09-10-0697 authorizing the City to execute a one year contract with four, one year renewal options for the maintenance and repair of the METASYS Building Automation and Control System for a total estimated contract value of $1,283,000.00. The contract term will expire on September 30, 2014. The one year amendment is necessary to extend the term of the current contract while the department reassesses the requirements of the METASYS Building Automation and Control System.
The amendment for this contract is in the amount of $317,032.00, which is the same as the current year five maintenance price, $277,032.00, and $40,000.00 to provide for any repairs that are not covered under the maintenance agreement.
Contracts procured on the basis of cooperative purchasing:
F. Austin Vacuum S.A., Inc. and Gulf Coast Paper Co. for City Wide Janitorial Supplies, $710,000.00 annually, upon award through August 31, 2015 - will provide City departments with two contractors to provide and deliver janitorial supplies in the categories of chemicals & cleaners, cleaning equipment and supplies and hand soap and sanitizers on an as needed basis. These janitorial supplies will be utilized by staff to provide custodial services throughout city offices and facilities. Additionally, the catalog awards will allow the City access to a variety of janitorial supplies and departments will have the option to select janitorial supplies from either contractor.
G. Gulf Coast Paper Co. for City Wide Janitorial Supplies - Trash Liners, $168,000.00 annually, upon award through August 31, 2015 - will provide City departments with the supply and delivery of various sized plastic refuse trash liners. These can and drum refuse bags are utilized for the collection and disposal of refuse generated in city offices and other facilities.
Contract procured on the basis of sole source:
H. HLP, Inc. for Shelter Software Case Management Maintenance and Support, $24,000.00 annually; $72,000.00 contract period, October 1, 2014 through September 30, 2015 with two, one year renewal options - will provide the Animal Care Services Department (ACS) with Chameleon software maintenance from HLP, Inc. This software is used to manage pet adoptions, facility management, medical records, tag information, inventory, people and pet pictures.
These items are being purchased as Sole Source according to the provisions of Texas Statutes Local Government Code 252.022.07. No other source can supply the items listed nor can any comparable item fulfill the same requirements. Vendor acknowledges, with his/her signature, that all items offered are considered a Sole Source.
Contract procured on the basis of public health or safety exemption:
I. TASER International, Inc. for SAPD Taser Supplies, $93,000.00 annually, upon award through June 30, 2016 - will provide the City of San Antonio Police and Parks Police Departments with Taser cartridges and X26 Digital Power Magazine and Extended Grip (XDPM) batteries. These Taser cartridges and batteries are utilized by San Antonio Police and Parks Police Departments during training for certification, and to restore Tasers to service. The use of Tasers has a proven record to lessen injuries to officers and the public in order to avoid the use of deadly force.
ISSUE:
These contracts represent a portion of approximately 250 annual contracts that will be brought before City Council throughout the fiscal year. These products and services are used by city departments in their daily operations.
A. Firefighting Foam - This contract is within the scope of the Small Business Economic Development Advocacy (SBEDA) Program. However, due to the type of commodities/services being procured and value of the contract, no SBEDA tool is available.
There were no bids submitted from local bidders for this contract; therefore, the Local Preference Program (LPP) was not applied.
The Veteran-Owned Small Business Preference Program (VOSBPP) does not apply to goods/supplies contracts, so no preference was applied to this contract.
B. Telma Brake Retarders Parts and Service - This contract is within the scope of the SBEDA Program. However, due to the type of commodities/services being procured and value of the contract, no SBEDA tool is available.
The recommended award is to the lowest responsive bidder, who is also a local business. Therefore, application of the LPP is not required.
The VOSBPP does not apply to goods/supplies contracts, so no preference was applied to this contract.
C. Purchase of Rock Products - This contract is within the scope of the SBEDA Program. However, due to the type of commodities/services being procured and value of the contract, no SBEDA tool is available.
The recommended award is to the lowest responsive bidder, who is a local business. Therefore, application of the local preference program was not required.
The VOSBPP does not apply to goods/supplies contracts, so no preference was applied to this contract.
D. Lawnmowers, Edgers, Chain Saws, Parts and Service - This contract is within the scope of the SBEDA Program. However, due to the type of commodities/services being procured and value of the contract, no SBEDA tool is available.
DeWinne Equipment Co., James Lawnmower and John H. Sorola, Inc. - The recommended award is to the lowest responsive bidder, who is also a local business. Therefore, application of the LPP was not required.
The VOSBPP does not apply to goods/supplies contracts, so no preference was applied to this contract.
E. Amendment to Maintenance Agreement for METASYS System at Alamodome - This is an amendment to a contract awarded in 2009 prior to the implementation of the revised SBEDA ordinance.
The LPP does not apply to this contract since it was solicited prior to May 1, 2013, the effective date of the program.
The VOSBPP does not apply to this contract since it was solicited on or prior to January 15, 2014, the effective date of the program.
F. City Wide Janitorial Supplies - This contract is within the scope of the SBEDA Program. However, due to lack of available firms and/or subcontracting opportunities, the Goal Setting Committee was unable to apply a SBEDA tool to this contract.
The recommended award is an exception to the LPP.
The VOSBPP does not apply to goods/supplies contracts, so no preference was applied to this contract.
G. City Wide Janitorial Supplies - Trash Liners - This contract is within the scope of the Small Business Economic Development Advocacy (SBEDA) Program. However, due to the type of commodities/services being procured and value of the contract, no SBEDA tool is available.
The recommended award is an exception to the LPP.
The VOSBPP does not apply to goods/supplies contracts, so no preference was applied to this contract.
H. Shelter Software Case Management Maintenance and Support - This contract is exempt from competitive bidding and is excluded from the scope of the SBEDA Program.
This contract is an exception to the LPP.
The VOSBPP does not apply to goods/supplies contracts, so no preference was applied to this contract.
I. SAPD Taser Supplies - The SEBDA ordinance requirements were waived due to lack of qualified SMWBE's suppliers available to provide the required goods and services.
There were no bids submitted from local bidders for this contract; therefore the Local Preference Program was not applied.
The Veteran-Owned Business Program does not apply to good/supplies contracts, so no preference was applied to this contract.
ALTERNATIVES:
A. Firefighting Foam - Should this contract not be approved, the Fire and Aviation Departments would be required to purchase firefighting foam on an as needed basis. As a result, economies of scale associated with having a term contract in place would not be realized and the departments will have to procure foam on an as needed basis wherein increased cost and delivery times due to non-contract buys would be realized.
B. Telma Brake Retarders Parts & Service - Should this contract not be approved, the City will be required to purchase Original Equipment Manufacturer brake retarder parts and service on an as needed basis wherein increased cost due to non-contract buying could be realized. In addition, this may increase the down time of vehicles, thus delaying timely completion of maintenance and repair.
C. Purchase of Rock Products - Should this contract not be approved, the City will be required to purchase rock on an as needed basis not realizing cost savings associated with having a contract in place. Processing procurements as the needs arise will negatively impact timely delivery of rock products needed for urgent requirements.
D. Lawnmowers, Edgers, Chain Saws, Parts and Service - Should this contract not be approved, increased cost could be incurred by the departments for the procurement of small equipment parts and repairs from non-annual contract sources. Replacement equipment would have to be purchased or rented if small equipment repairs could not be performed.
E. Amendment to Maintenance Agreement for METASYS System at Alamodome - Should this contract not be approved, the Alamodome will be required to purchase maintenance services and repairs on an as needed basis, where increased costs due to non-contract buying could be realized and compromise the integrity and functionality of the building's automated control system.
F. City Wide Janitorial Supplies - Should this contract not be approved, the departments would be required to process solicitations on an as needed basis. However, processing procurements as the inventory diminishes will force the departments to pay non-contract rates.
G. City Wide Janitorial Supplies - Trash Liners - Should this contract not be approved, the departments would be required to process solicitations on an as needed basis. However, processing procurements as the inventory diminishes will force the departments to pay non-contract rates.
H. Shelter Software Case Management Maintenance and Support - Should this contract not be approved, the City would lose the right to receive updates, upgrades, patches and technical support services. Any support for the shelter care management system would have to be secured on an as-needed basis wherein increased cost and delivery times due to non-contract buying would be realized.
I. SAPD Taser Supplies - Conductive energy devices have proven record to reduce injuries to officers, the public and avoid the use of deadly force. Should this contract not be approved, the San Antonio Police and Parks Police Departments would have to procure items on an as-needed basis wherein increased cost and delivery times due to non-contract buying would be realized.
FISCAL IMPACT:
Funds are not encumbered by this ordinance. All expenditures will be in accordance with the Department's adopted budget approved by City Council. The estimated annual cost for the contracts listed on this ordinance is approximately $1,542,000.00. Purchases made by the Department are as needed and dependent upon available funds within their adopted budget.
RECOMMENDATION:
Staff recommends the acceptance of twelve contracts submitted through this ordinance to provide the City with specified services on an annual contract basis. These annual contracts are critical to the City's daily operations. These contracts were procured on the basis of low bid, low qualifying, amendment, cooperative purchasing, sole source and public health or safety exemption and Contracts Disclosure Forms are not required.