DEPARTMENT: Finance
DEPARTMENT HEAD: Troy Elliott
COUNCIL DISTRICTS IMPACTED: Citywide
SUBJECT:
6/14/2018 Annuals
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 $828,500.00. 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. Shelton Presort for Automated & Non-Automated Presort & Basic Flat Mail Service, $27,000.00 annually; $135,000.00 contract period (1 contract, Finance Department)
B. The Brandt Companies, LLC. for Henry B. Gonzalez Convention Center Boiler Maintenance, $85,000.00 annually (1 contract, Convention and Sports Facilities)
C. Jones Holt Enterprise dba San Antonio Foam Fabricators for Foam Contoured Head Blocks, $38,000.00 annually; $190,000.00 total contract value (1 contract, San Antonio Fire Department)
D. Cengage Learning for Gale Online Subscriptions, $117,000.00 initial term; $200,000.00 total contract value (1 contract, San Antonio Public Library)
E. Municipal Emergency Services, Inc. for Barrier Hoods & Gloves, $561,500.00 year one; $804,000.00 total contract value (1 contract, San Antonio Fire 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. Shelton Presort for Automated & Non-Automated Presort & Basic Flat Mail Service, $27,000.00 annually; $135,000.00 contract period, upon award through March 31, 2021 with two, one year renewal options - will provide automated and non-automated presort and basic flat mail services. Various City departments will utilize these services to pick-up and sort their outgoing mail. The City currently meters over 850,000 pieces of mail annually for various City departments.
B. The Brandt Companies, LLC. for Henry B. Gonzalez Convention Center Boiler Maintenance, $85,000.00 annually, upon award through June 30, 2021 with two, 1 year renewal options - will provide the Convention and Sports Facilities Department with a contractor to perform annual inspections, quarterly preventive maintenance and corrective repairs to the hot water boilers at the Henry B. Gonzalez Convention Center. The contract also includes capacity for any required labor and parts on corrective repairs.
C. Jones Holt Enterprise dba San Antonio Foam Fabricators for Foam Contoured Head Blocks, $38,000.00 annually; $190,000.00 total contract value, July 1, 2018 through December 31, 2021, with two, one year renewal options - will provide the San Antonio Fire Department with the purchase and delivery of foam contoured head blocks. SAFD utilizes the foam head blocks during emergency responses to immobilize patients with possible head and neck injuries.
Sole Source:
D. Cengage Learning for Gale Online Subscriptions, $117,000.00 initial term; $200,000.00 total contract value, July 1, 2018 through June 30, 2021 with two, one year renewal options - will provide the San Antonio Public Library (SAPL) with online database subscriptions that offer a wide variety of research topics at all library locations used extensively by the community. The contract provides for the continuation of the following online database subscriptions: Gale Opposing Viewpoints In Context, Chilton Library, and Gale Biography In Context.
These items are being procured 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.
Public Health or Safety Exemption:
E. Municipal Emergency Services, Inc. for Barrier Hoods & Gloves, $561,500.00 year one; $804,000.00 total contract value, upon award through December 31, 2021, with two, one year renewal options - will provide the San Antonio Fire Department with the purchase of Particulate Blocking Protective Hoods and Structural Firefighting Gloves for the San Antonio Fire Department. The Hood and Gloves shall meet the National Fire Protection Act of 1971 or current edition in effect at the time of delivery. The selection process consisted of three days of live fire testing at the SAFD Fire Training Academy burn building. Four brands of barrier hoods and four brands of gloves were worn by six fire crews every day for a total of 72 firefighters participating in the evaluation process. Fit, function, dexterity, heat resistance, durability and particulate infiltration were among the categories evaluated. The selected items recommended from the testing process were the only brands that met or exceeded expectations in all categories.
ISSUE:
This contract represents 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. Automated & Non-Automated Presort & Basic Flat Mail Service - This contract is within the scope of the SBEDA Program. However, due to the 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 Preference Program does not apply to non-professional services contracts, so no preference was applied to this contract.
B. Henry B. Gonzalez Convention Center Boiler Maintenance - 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 (VOSB) Preference Program does not apply to non-professional service contracts, so no preference was applied to this contract.
C. Foam Contoured Head Blocks - This contract is within the scope of the SBEDA Program. However, due to the 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 Business Program does not apply to goods/supplies contracts, so no preference was applied to this contract.
D. Gale Online Subscriptions - This contract is exempt from competitive bidding and is excluded from the scope of the SBEDA program.
This award is an exception to the Local Preference Program.
The Veteran-Owned Business Program does not apply to goods/supplies contracts, so no preference was applied to this contract.
E. Barrier Hoods & Gloves - 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 Business Program does not apply to goods/supplies contracts, so no preference was applied to this contract.
ALTERNATIVES:
A. Automated & Non-Automated Presort & Basic Flat Mail Service - Should this contract not be approved, Mailroom Operations would perform the work. However, this would not be as cost effective as outsourcing the work due to additional equipment and staffing requirements.
B. Henry B. Gonzalez Convention Center Boiler Maintenance - Should this contract not be approved, the Convention and Sports Facilities Department would be required to process individual procurements on an as needed basis. However, processing purchases as services are needed could result in paying higher than contract rates and delay the timely receipt of services.
C. Foam Contoured Head Blocks - Should this contract not be approved, the San Antonio Fire Department would have to procure items on an as-needed basis. This may increase the cost of items as well as impact delivery of emergency and non-emergency services provided to the citizens of San Antonio.
D. Gale Online Subscriptions - Should this contract not be approved, the Library would revert to print materials where available. Print materials are, in most cases, becoming the least desirable form of research media. Most library patrons prefer doing research online.
E. Barrier Hoods & Gloves - Should this contract not be approved, the San Antonio Fire Department would have to procure items on an as-needed basis. This may increase the cost of items as well as impact delivery of emergency and non-emergency services provided to the citizens of San Antonio.
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, and Public Health or Safety Exemption and Contract Disclosure Forms are not required.