DEPARTMENT: Finance
DEPARTMENT HEAD: Troy Elliott
COUNCIL DISTRICTS IMPACTED: CityWide
SUBJECT:
8/4/2016 Annual Contracts
SUMMARY:
An ordinance awarding six 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 $510,456.75. 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. Premier Courts LTD for Plexipave Sport Court Resurfacing, $233,000.00 annually (1 contract, Parks and Recreation Department)
B. American Air Conditioning & Heating Co. for Preventive Maintenance and Repair Services of HVAC Systems, $81,000.00 annually (1 contract, Building and Equipment Services Department)
C. Aquatic Landscapes & Design for Maintenance of Filtration System at Japanese Tea Garden, $24,000.00 annually; $120,000.00 contract period (1 contract, Parks and Recreation Department)
D. Enterprise Holdings LLC for SWMD Equipment Rental, $70,000.00 annually (1 contract, Solid Waste Management Department)
E. Biocycle, Inc. for Medical Waste Disposal Services, $30,000.00 annually; $150,000.00 contract period (1 contract, Health, Police, and Fire Departments)
F. Bentley Systems, Inc. for Bentley Enterprise License Subscriptions, $72,456.75 Year 1; $239,831.74 contract period (1 contract, Transportation and Capital Improvements 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. Premier Courts LTD for Plexipave Sport Court Resurfacing, $233,000.00 annually, upon award through September 30, 2019 with two, one year renewal options - will provide the Parks and Recreation Department with a contractor that will provide all labor, materials and equipment as required for the application of Plexipave sport court re- surfacing system over existing asphalt and concrete surfaces within San Antonio Parks on an as needed basis. The contractor will furnish all labor, materials and equipment for leveling, crack repair, and application of Plexipave sport court surface in up to three standard colors per court. The surfacing material is used on tennis, basketball, and track surfaces throughout the city. The annual total includes $184,500.00 for plexipave court re-surfacing and $48,500.00 for minor repairs for a total annual contract amount of $233,000.00.
B. American Air Conditioning & Heating Co. for Preventive Maintenance and Repair Services of HVAC Systems, $81,000.00 annually, October 1, 2016 through September 30, 2019, with two, one year renewal options - will be utilized by the Building and Equipment Services Department to provide maintenance and repair services of heating, ventilation and air conditioning (HVAC) systems and equipment at various City-owned Building and Equipment Services (BES) managed facilities. The regularly scheduled preventive maintenance and repair services are required to maintain peak operational efficiencies while extending the life cycle of the equipment. Maintenance services shall be provided on a quarterly basis. The estimated contract amount includes $51,000.00 for preventive maintenance services, labor for repairs and $30,000.00 for repair parts for a total annual contract amount of $81,000.00.
C. Aquatic Landscapes & Design for Maintenance of Filtration System at Japanese Tea Garden, $24,000.00 annually; $120,000.00 contract period, upon award through September 30, 2019 with two, one year renewal options - will provide the Parks and Recreation Department with a contractor to perform monthly preventive maintenance services to the automated filtration system for the two ponds located at the Japanese Tea Garden. The contractor will furnish all labor, materials, chemicals and equipment necessary to maintain a healthy environment for the aquatic life in the two ponds.
D. Enterprise Holdings LLC for SWMD Equipment Rental, $70,000.00 annually, upon award through September 30, 2019 with two, one year renewal options - will provide for the rental of 26’ straight trucks with lift gates to be utilized by the Solid Waste Management Department (SWMD) for the delivery of refuse containers to the City of San Antonio residents.
E. Biocycle, Inc. for Medical Waste Disposal Services, $30,000.00 annually; $150,000.00 contract period, upon award through December 31, 2019 with two, one year renewal options - will provide all labor, equipment, materials, and tools required for the collection, transportation, and disposal of regulated medical waste. These services are required by various City facilities to establish a program that will ensure the proper disposal of regulated medical waste.
Contract procured on the basis of sole source:
F. Bentley Systems, Inc. for Bentley Enterprise License Subscriptions, $72,456.75 Year 1; $239,831.74 contract period, upon award through July 31, 2019 - will provide the Transportation and Capital Improvements Department with a consolidated annual contract for Bentley Enterprise Subscription software licenses including maintenance and support. Engineering/manufacturing software and training will be provided via an Online Learning Center with unlimited access for employees by way of a terminal server environment. The software system serves as the primary in-house design format package for Traffic, Stormwater, and Project Management Divisions of Transportation and Capital Improvements. The Bentley program package is used to create in-house storm water designs, review plats, review building permits and analyze floodplain models. In addition, the package will be utilized in Capital Improvement Projects to create future projects and address City Council requests.
These items are being purchased as Sole Source according to the provisions of Texas Statues 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.
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. Plexipave Sport Court Resurfacing - 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 Local Preference Program does not apply to non-professional service contracts of $500,000 or more, so no preference was applied to this contract.
The Veteran-Owned Small Business Preference Program does not apply to non-professional service contracts, so no preference was applied to this contract.
B. Preventive Maintenance and Repair Services of HVAC Systems - 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 to the lowest responsive bidder, who is also a local business. Therefore application of the Local Preference Program was not required.
The Veteran-Owned Small Business Program does not apply to non-professional service contracts, so no preference was applied to this contract.
C. Maintenance of Filtration System at Japanese Tea Garden - 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 to the lowest responsive bidder, who is also a local business. Therefore application of the Local Preference was not required.
The Veteran-Owned Small Business Preference Program does not apply to non-professional services contracts, so no preference was applied to this contract.
D. SWMD Equipment Rental - 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 the lowest responsive bidder, who is also a local business. Therefore, application of the Local Preference Program was not applied.
The Veteran-Owned Small Business Preference Program does not apply to good/supplies contracts, so no preference was applied to this contract.
E. Medical Waste Disposal Services - 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.
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 Program does not apply to non-professional service contracts, so no preference was applied to this contract.
F. Bentley Enterprise License Subscriptions - This contract is exempt from competitive bidding and is excluded from the scope of the SBEDA program.
This contract is an exception to the Local Preference Program
The Veteran-Owned Small Business Preference Program does not apply to good/supplies contracts, so no preference was applied to this contract.
ALTERNATIVES:
A. Plexipave Sport Court Resurfacing - Should this contract not be approved, the City would be required to purchase plexipave re-surfacing on an as needed basis. Non-contract rates may result in increased costs and adversely affect timeliness of services.
B. Preventive Maintenance and Repair Services of HVAC Systems - Should this contract not be approved, the Building and Equipment Services Department will be required to procure preventive maintenance and repairs on an as-needed basis which may result in higher pricing and delays in returning the units to service.
C. Maintenance of Filtration System at Japanese Tea Garden - Should this contract not be approved, the City would be required to purchase services on an as needed basis which may result in increased cost due to non-contract rates and timeliness of services which would affect the aquatic life in the ponds. Parks staff does not have the technical expertise to perform ongoing maintenance services required for the ponds.
D. SWMD Equipment Rental - Should this contract not be approved, the SWMD will be required to rent 26’ straight trucks with lift gates on an as needed basis. Lack of a contract could result in an inefficient and less cost effective method of delivering refuse containers to residents.
E. Medical Waste Disposal Services - Should this contract not be approved, City departments may request medical waste disposal services as the need arises. However, City departments may not be in conformance with the expeditious removal of regulated waste as required by Federal, State, or Local laws.
F. Bentley Enterprise License Subscriptions - Should this contract not be approved, the Transportation and Capital Improvements Department would not be able to do in-house design for storm water designs, review plats, review of building permits and analyze floodplain models. Staff would be required to find alternative methods for designing and reviewing maintenance and capital engineering projects.
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 six 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 and Sole Source and Contract Disclosure Forms are not required.