DEPARTMENT: Finance
DEPARTMENT HEAD: Troy Elliott
COUNCIL DISTRICTS IMPACTED: Citywide
SUBJECT:
5/10/2018 Annual Contracts
SUMMARY:
An ordinance awarding five contracts to provide the City with commodities and services on an annual basis for the term of the contracts, for an estimated annual cost of $2,853,500.00. This ordinance provides the procurement of the following items, as needed, and dependent on the Department's available budget, for the term of the contracts:
A. McCombs HFC Ltd. dba Red McCombs Ford for Ford Captive Parts, $730,000.00 annually (1 contract, Building and Equipment Services)
B. Ingram Park Chrysler Jeep Dodge for Captive Fiat Chrysler Parts, $120,000.00 annually (1 contract, Building and Equipment Services)
C. Physio-Control, Inc. for Lucas Devices and Maintenance, $1,712,500.00 total contract value through FY 2021 with two additional one-year renewal options (1 contract, San Antonio Fire Department)
D. Fire Pump Specialty for Fire Truck Water Pumps, Pump Parts & Accessories, $21,000.00 annually; $105,000.00 contract term (1 contract, San Antonio Fire Department)
E. McCombs HFC Ltd. dba Red McCombs Ford for On-Call Ford Service, $270,000.00 annually (1 contract, Building and Equipment Services)
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 bid:
A. McCombs HFC Ltd. dba Red McCombs Ford for Ford Captive Parts, $730,000.00 annually, upon award through March 31, 2021 with two, one-year renewal options - will furnish Ford captive replacement parts to complete in-house repairs for approximately 1,914 sedan and light duty Ford brand motor vehicles varying in models, vehicle type, and year in the City’s fleet.
B. Ingram Park Chrysler Jeep Dodge for Captive Fiat Chrysler Parts, $120,000.00 annually, upon award through September 30, 2021 with two, one-year renewal options - will furnish Fiat Chrysler captive replacement parts to complete in-house repairs for approximately 310 Fiat Chrysler brand motor vehicles (Ram, Dodge, Jeep, and Chrysler) currently in the City’s fleet.
Sole Source:
C. Physio-Control, Inc. for Lucas Devices and Maintenance, $1,712,500.00 Total contract value, upon award through September 30, 2021 with two additional one year renewal options - will provide the City of San Antonio Fire Department with the purchase, delivery and maintenance of Lucas 3 Chest Compression Systems. The Lucas 3 device is an automated piece of equipment that first responders will use to conduct CPR on patients during emergency medical responses.
Physio-Control, Inc. is the sole-source provider in the Hospital (hospitals and hospital-owned facilities), Emergency Response Services and Emergency Response Training (paramedics, professional and volunteer fire) markets for the LUCAS® Chest Compression Systems and TrueCPR™ Coaching Devices.
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 Sole Source.
Public Health or Safety Exemption:
D. Fire Pump Specialty for Fire Truck Water Pumps, Pump Parts & Accessories, $21,000.00 annually; $105,000.00 Contract period, upon award through March 31, 2021, with two, one year renewal options - will furnish the San Antonio Fire Department, Logistics & Services Division with the purchase and delivery of Waterous Pumps, Pump Parts and accessories. The contract will provide the department with parts for in-house repairs and maintenance of Fire Engine Water Pumps, and pump parts and pump accessories for fire pumper trucks and other fire trucks in the City’s fleet.
Unforeseen Damage Exemption:
E. McCombs HFC Ltd. dba Red McCombs Ford for On-Call Ford Service, $270,000.00 annually, upon award through March 31, 2021 with two, one-year renewal options - This contract will furnish on-call Ford service and original equipment manufacturer replacement parts to repair approximately 1,914 Ford brand motor vehicles varying in models, vehicle type, and years in the City’s fleet.
ISSUE:
A. Ford Captive Parts - The Small Business Economic Development Advocacy (SBEDA) Ordinance requirements were waived due to the lack of small, minority, and/or women businesses available to provide these goods and services.
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 Preference Program does not apply to non-professional service contracts, so no preference was applied to this contract.
B. Captive Fiat Chrysler Parts - The Small Business Economic Development Advocacy (SBEDA) Ordinance requirements were waived due to the lack of small, minority, and/or women businesses available to provide these goods and services.
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 Business Preference Program does not apply to goods/supplies contracts, so no preference was applied to this contract.
C. Lucas Devices and Maintenance - This contract is exempt from competitive bidding and is excluded from the scope of the SBEDA program.
The recommended award 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.
D. Fire Truck Water Pumps, Pump Parts & Accessories - The Small Business Economic Development Advocacy (SBEDA) Ordinance requirements were waived due to the lack of small, minority, and/or women businesses available to provide these 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. On-Call Ford Service - The Small Business Economic Development Advocacy (SBEDA) Ordinance requirements were waived due to the lack of small, minority, and/or women businesses available to provide these goods and services.
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 Preference Program does not apply to non-professional service contracts, so no preference was applied to this contract.
ALTERNATIVES:
A. Ford Captive Parts - Should this contract not be approved, the Building and Equipment Services Department would be required to procure parts for the City’s Ford branded vehicles on an as needed basis which may result in higher prices and delays in vehicle repairs.
B. Captive Fiat Chrysler Parts - Should this contract not be approved, the Building and Equipment Services Department would be required to procure parts for the City’s Fiat Chrysler branded vehicles on an as needed basis which may result in higher prices and delays in vehicle repairs.
C. Lucas Devices and Maintenance - Should this contract not be approved, the Fire Department would have to continue with manual CPR methods and not benefit from the Lucas 3 devices which have proven to be effective lifesaving equipment. Paramedics would be unable to provide enhanced medical care to patients.
D. Fire Truck Water Pumps, Pump Parts & Accessories - Should this contract not be approved, the San Antonio Fire Department (SAFD), Logistics & Services Division, will be required to purchase required items as the need arises leading to increased costs and a delay in delivery time.
E. On-Call Ford Service - Should this contract not be approved, Building and Equipment Services Department would be required to procure repairs to the City’s Ford branded vehicles on an as needed basis which may result in higher prices and delays in vehicle repairs.
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 these 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 bid, sole source, Public Health or Safety Exemption, and Unforeseen Damage Exemption and Contract Disclosure Forms are not required.