DEPARTMENT: Finance
DEPARTMENT HEAD: Troy Elliott
COUNCIL DISTRICTS IMPACTED: City Wide
SUBJECT:
12/1/2016 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 $393,500.00. 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. Follett Higher Education Group, Inc. for Textbooks, $50,000.00 annually (1 contract, Department of Human Services)
B. Artesia Springs LLC for Bottled Water, $132,000.00 annually (1 contract, Citywide)
C. Flint Trading, Inc. for Hot Applied Thermoplastic and Permanent Prefabricated Pavement Markings, $93,000.00 annually (1 contract, Transportation & Capital Improvements Department)
D. GT Distributors Inc. for Streamlight Firefighter Flashlights, Batteries & Ancillaries, $22,500.00 annually; $90,000.00 contract period (1 contract, Fire and Aviation Departments)
E. LexisNexis Claims Solutions, Inc. for LexisNexis Desk Officer Reporting System including Implementation and Maintenance & Support, $96,000.00 year one; $285,601.98 contract period (1 contract, 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.
Contract procured on the basis of low qualifying bid:
A. Follett Higher Education Group, Inc. for Textbooks, $50,000.00 annually, upon award through December 31, 2020 with two, one year renewal options - will provide the Department of Human Services educational support and resources to clients enrolled in long term case management who want to achieve financial self-sufficiency through higher education and gainful employment. Textbooks and educational resources are intended for use by the clients of the Department of Human Services, Family Assistance Division through a voucher program. Funding is provided by the Texas Department of Housing and Community Affairs.
Contracts procured on the basis of low bid:
B. Artesia Springs, LLC for Bottled Water, $132,000.00 annually, January 1, 2017 through December 31, 2019, with two, one year renewal options - will provide City departments with bottled water and related dispensers as needed to be utilized for City related functions and operations. The contractor will provide and deliver 8 ounce bottles, 16.9 ounce bottles, 5 gallon containers, 9 ounces plastic cups and cold and hot temperature water dispensers. Contractor will deliver to approximately 140 locations throughout the City.
C. Flint Trading, Inc. for Hot Applied Thermoplastic and Permanent Prefabricated Pavement Markings, $93,000.00 annually, January 1, 2017 through September 30, 2020 with two, one year renewal options - will provide the Transportation & Capital Improvements Department - Traffic Division with a contractor to furnish hot applied thermoplastic and permanent prefabricated pavement marking materials utilized throughout the City. This material is used to mark directional legends and symbols in intersections for school cross walk routes and bicycle lanes in neighborhoods where the appropriate traffic control is needed.
Contract procured on the basis of public health & safety exemption:
D. GT Distributors Inc. for Streamlight Firefighter Flashlights, Batteries & Ancillaries, $22,500.00 annually; $90,000.00 contract period, January 1, 2017 through September 30, 2019 with one, one year renewal option - will provide the San Antonio Fire and Aviation Departments with a contract to purchase firefighter flashlights, batteries, and ancillary supplies.
Contract procured on the basis of sole source:
E. LexisNexis Claims Solutions, Inc. for LexisNexis Desk Officer Reporting System including Implementation and Maintenance & Support, $96,000.00 year one; $285,601.98 contract period, upon award through November 30, 2017, with four, one year renewal options - will provide the San Antonio Police Department (SAPD) with the Desk Officer Reporting System (DORS). The DORS system will interface with the Records Management System currently in place. The DORS system will provide the community with the opportunity to report incidents and offenses on-line designated by SAPD as reportable.
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.
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. Textbooks - 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 was not applied.
The Veteran-Owned Business Program does not apply to good/supplies contracts, so no preference was applied to this contract.
B. Bottled Water - 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 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. Hot Applied Thermoplastic and Permanent Prefabricated Pavement Markings - 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.
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 goods/supplies contracts, so no preference was applied to this contract.
D. Streamlight Firefighter Flashlights, Batteries & Ancillaries - Due to the lack of small, minority, and/or women businesses available to provide these goods and services, the SBEDA Program did not apply to this solicitation.
There were no offers submitted from local vendors 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. LexisNexis Claims Solutions, Inc. for LexisNexis Desk Officer Reporting System including Implementation and Maintenance & 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 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. Textbooks - Should this contract not be approved, the City will be required to purchase the textbooks for clients on an as needed basis wherein increased cost due to non-contract buying could be realized.
B. Bottled Water - Should this contract not be approved, the City of San Antonio will be required to procure water on an as-needed basis which may result in higher pricing and delays in receiving the items ordered.
C. Hot Applied Thermoplastic and Permanent Prefabricated Pavement Markings - Should this contract not be approved, Traffic Division will be required to process individual procurements as needs arise. Therefore, processing requirements as spot-purchases will not realize the volume discounts customarily associated with long-term agreements.
D. Streamlight Firefighter Flashlights, Batteries & Ancillaries - Should this contract not be approved, the Fire and Aviation Departments will be required to procure flashlights, batteries and ancillaries on an as needed basis wherein increased cost due to non-contract buying could be realized.
E. LexisNexis Desk Officer Reporting System including Implementation and Maintenance & Support - Should this contract not be approved, the San Antonio Police Department would have to continue utilizing the Expediters who receive the reports via telephone and populate the reports which can be a lengthy process and efficiencies will not 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. 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 bid, low bid, public health & safety exemption, and sole source, and Contract Disclosure Forms are not required.