DEPARTMENT: Finance
DEPARTMENT HEAD: Troy Elliott
COUNCIL DISTRICTS IMPACTED: CityWide
SUBJECT:
6/30/2016 Annual Contracts
SUMMARY:
An ordinance awarding five contracts to provide the City with commodities and services on an annual basis for the terms of the contract, for an estimated annual cost of $302,000.00. This ordinance provides the procurement of the following items, as needed, and dependent on the Department's available budget, for the terms of the contract:
A. Fire & Life Safety America, Inc. for CSF Fire Sprinkler Inspection, Maintenance and Repair, $31,000.00 annually; $155,000.00 contract period (1 contract, Convention and Sports Facilities Department)
B. Aluminum Lamps & Patio Furniture for Decorative Metal Chairs and Benches, $93,000.00 annually (1 contract, Parks & Recreation Department)
C. Remier Distributing, Inc. for Gelled Electrolyte Solar Batteries, $67,000.00 annually (1 contract, Transportation and Capital Improvements Department)
D. Propane Specialty Services, LLC for Propane Refueling System Maintenance & Repair, $21,000.00 annually; $105,000.00 contract period (1 contract, Building and Equipment Services Department)
E. Unifirst Corporation for Amendment I to Work Uniform Rental and Laundry Service, $90,000.00 annually; $570,000.00 contract period (1 contract, Building and Equipment Services, Solid Waste Management, San Antonio Public Library, Department of Human Services, Metropolitan Health, Police, and Pre-K Departments)
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 qualifying bid:
A. Fire & Life Safety America, Inc. for CSF Fire Sprinkler Inspection, Maintenance and Repair, $31,000.00 annually; $155,000.00 contract period, July 1, 2016 through June 30, 2019 with two, one year renewal options - will provide the Convention and Sports Facilities Department with a contractor to provide all supervision, labor, materials and equipment necessary to provide fire sprinkler systems services for 3 year and 5 year testing; quarterly, semi-annual and annual inspections; repair services (emergency call out, non-emergency call out, and routine maintenance) at the Henry B. Gonzalez Convention Center, Lila Cockrell Theatre, Institute of Mexican Cultures and Carver Community Cultural Center as required by the National Fire Protection Association.
B. Aluminum Lamps & Patio Furniture for Decorative Metal Chairs and Benches, $93,000.00 annually, upon award through September 30, 2019 with two, one year renewal options - will provide the Parks and Recreation Department with decorative metal chairs and 6 foot metal benches on as needed basis. The chairs and benches will replace older chairs and benches and will also be installed by the department at new parks located throughout the city.
Contracts procured on the basis of low bid:
C. Remier Distributing, Inc. for Gelled Electrolyte Solar Batteries, $67,000.00 annually, upon award through June 30, 2018 with two, one year renewal options - will provide the Transportation and Capital Improvements Department with a contractor that will furnish and deliver gelled-electrolyte solar batteries for warning signals at various school zone locations throughout the City of San Antonio. These batteries will be utilized by the Transportation and Capital Improvements Department in the school crossing zone areas.
D. Propane Specialty Services, LLC for Propane Refueling System Maintenance & Repair, $21,000.00 annually; $105,000.00 contract period, upon award through September 30, 2019, with two, one year renewal options - will provide maintenance and repair services for propane pumps, motors, dispensing equipment, lines, and tanks at three propane vehicle refueling facilities located throughout the City to be utilized by the Building and Equipment Services Department.
Amendment:
E. Unifirst Corporation for an Amendment I to Work Uniform Rental and Laundry Service, $90,000.00 annually; $570,000.00 contract period, May 8, 2014 through May 31, 2017 with two, one year renewal options - will provide the City of San Antonio with an extension to the initial term of the contract, approved by Ordinance No. 2014-05-08-0314 to May 31, 2017, which will provide City departments with work uniform rental and laundry service. The City shall have the option to renew this contract on the same terms and conditions for a renewal period that is consistent with any renewal of the BuyBoard Contract No. 507-16 for up to two, one-year renewal options.
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. CSF Fire Sprinkler Inspection, Maintenance and Repair - 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 was applied.
In accordance with the Local Preference Program, no local preference was applied, since the local bidder is not within 3% of the recommended lowest non-local bidder.
The Veteran-Owned Small Business Preference Program does not apply to non-professional service contracts, so no preference was applied to this contract.
B. Decorative Metal Chairs and Benches - 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 was applied.
In accordance with the Local Preference Program, no local preference was applied, since the local bidder is not within 3% of the recommended lowest non-local bidder.
The Veteran-Owned Business Preference Program does not apply to good/supplies contracts, so no preference was applied to this contract.
C. Gelled Electrolyte Solar Batteries - 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
In accordance with the Local Preference Program, no local preference was applied, since the local bidder is not within 3% of the recommended lowest non-local bidder.
The Veteran-Owned Small Business Preference Program does not apply to good/supplies contracts, so no preference was applied to this contract.
D. Propane Refueling System Maintenance & Repair - The SBEDA Ordinance requirements were waived due to the lack of qualified SMWBE’s available to provide the 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 Small Business Preference Program does not apply to goods/supplies contracts, so no preference was applied to this contract.
E. Amendment I to Work Uniform Rental and Laundry Service - 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.
This contract is an exception to the Local Preference Program.
The Veteran-Owned Small Business Preference Program does not apply to goods/supplies contracts, so no preference was applied to this contract.
ALTERNATIVES:
A. CSF Fire Sprinkler Inspection, Maintenance and Repair - Should this contract not be approved, the Convention and Sports Facilities Department will be required to solicit for inspections and repairs on an as-needed basis wherein increased costs due to non-contract buying would be realized and delay the timeliness of inspections which are required by the National Fire Protection Association.
B. Decorative Metal Chairs and Benches - Should this contract not be approved, the City would be required to purchase these items on an as needed basis. Lack of a contract could result in higher pricing and delay of receipt of chairs and benches for City parks.
C. Gelled Electrolyte Solar Batteries - Should this contract not be approved, the Transportation and Capital Improvements Department will have to purchase on an as needed basis which may result in higher pricing and affect delivery time. This could potentially cause a public safety issue.
D. Propane Refueling System Maintenance & Repair - Should this contract not be approved, the Building and Equipment Services Department will be required to procure maintenance and repair services for propane pumps, motors, dispensing equipment, lines, and tanks on an as-needed basis which may result in higher pricing and delays on maintenance of City owned fuel dispensing equipment.
E. Amendment I to Work Uniform Rental and Laundry Service - Should this contract not be approved, the City of San Antonio will be required to process individual procurements on an as needed basis. Therefore, the user departments will not realize the cost savings of utilizing a cooperative agreement.
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. Purchases made by the Department are as needed and dependent upon available funds within their adopted budget.
RECOMMENDATION:
Staff recommends the acceptance of five 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 qualifying, low bid and contract amendment and Contract Disclosure Forms are not required.