DEPARTMENT: Finance
DEPARTMENT HEAD: Troy Elliott
COUNCIL DISTRICTS IMPACTED: Citywide
SUBJECT:
3/7/2019 Annuals
SUMMARY:
An ordinance awarding five contracts to provide the City with commodities and services on an annual basis for the term of the contract, for an estimated annual cost of $978,776.00. This ordinance provides the procurement of the following items, as needed, and dependent on the Department's available budget, for the term of the contract:
A. Timeless Solutions for Cleaning and Sanitation of Vehicles for SAPD and SAFD, $47,000.00 annually; $188,000.00 total contract value (1 contract, San Antonio Police Department and San Antonio Fire Department)
B. Dallas Trailer Repair Co., Inc. for Dadee/Scorpion Refuse Truck Body Parts, $150,000.00 annually (1 contract, Solid Waste Management Department)
C. Cartegraph Systems, LLC for a Cartegraph Upgrades with Maintenance & Support, $37,595.00 Year One; $205,170.50 total contract amount (1 contract, Transportation & Capital Improvements)
D. HD Supply Maintenance, Ltd. for Maintenance, Repair and Operating Supplies, $700,000.00 annually (1 contract, Citywide)
E. EBSCO Publishing for an amendment to the EBSCO Database subscription licenses, $44,181.00 Year One; $135,116.00 total contract value (1 contract, San Antonio Public Library)
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. Timeless Solutions for Cleaning and Sanitation of Vehicles for SAPD and SAFD, $47,000.00 annually; $188,000.00 total contract value, upon award through January 31, 2021, with two, one-year renewal options - will provide the City with a supplier to provide cleaning and sanitation services of emergency vehicle interiors, ambulances and contaminated office areas on occasion. These services will be utilized by the San Antonio Police Department (SAPD) and San Antonio Fire Department (SAFD) to remove bio-hazardous materials, decontaminate and disinfect office areas, and clean and sanitize various vehicles within SAPD’s fleet and the SAFD EMS vehicles.
Sole Source:
B. Dallas Trailer Repair Co., Inc., for Dadee/Scorpion Refuse Truck Body Parts, $150,000.00 annually, upon award through December 31, 2022, with two, one-year renewal options - This contract will be utilized by the Solid Waste Management Department for the purchase of parts to repair the Dadee and Scorpion Automated Side Loader refuse trucks. The contract will allow for the purchase of parts for in-house repairs only.
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.
C. Cartegraph Systems, LLC for a Cartegraph Upgrades with Maintenance & Support, $37,595.00 Year One; $205,170.50 total contract amount, upon award through February 23, 2020 with four, one-year renewal options - will provide the Transportation & Capital Improvements (TCI) Department with Cartegraph Upgrades to include Maintenance and Support. The Cartegraph Operations Management System is utilized by TCI as a system of record for the tracking of infrastructure assets throughout the City such as streets, sidewalks and storm channels. This tool is also used to develop budget scenarios for the City’s Infrastructure Maintenance Program.
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.
Cooperative:
D. HD Supply Maintenance, Ltd. for Maintenance, Repair and Operating Supplies, $700,000.00 annually, April 1, 2019 through December 31, 2021, with five, one-year renewal options - will provide the City departments with one supplier to provide Maintenance, Repair and Operating (MRO) supplies for the City of San Antonio. City departments will be able to access online ordering through the vendor’s website, which is integrated into the City’s electronic procurement system for the purchase of items to assist with operational needs such as: plumbing supplies, heating, ventilation, and air conditioning/refrigeration (HVAC) supplies, swimming pool supplies, hardware, outdoor garden supplies, paint, equipment and accessories, plumbing, hand tools, power tools, and appliances. Delivery will occur within 2 days of order placement. All items under this contract are discounted off the published catalog price. The HD Supply catalog contains over 40,000 items and represents products from over 750 suppliers.
The use of the “punch-out” to the HD Supply Facilities Maintenance catalog through SAePS ensures a reliable and efficient process for City departments to use with consistently applied contractual discount pricing. HD Supply Facilities Maintenance maintains a 96% fill ratio of orders placed online. The HD Supply Facilities Maintenance contract rebate structure provides a 1% quarterly rebate based on all net purchases.
Amendment:
E. EBSCO Publishing for Amendment 3 to the EBSCO Database subscription licenses, $44,181.00 Year One; $135,116.00 total contract value, July 1, 2019 through June 30, 2020, with two, one-year renewal options - This amendment to City approved Ordinance 2011-09-29-0771 that awarded to EBSCO Publishing will extend the term of the contract by three additional years and continue the current database subscriptions to NoveList Plus, NoveList Select, and ArtSource database subscriptions to the San Antonio Public Library’s repertoire of online resources utilized by library patrons.
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. Cleaning and Sanitation of Vehicles for SAPD and SAFD - 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 Preference Program does not apply to goods/supplies contracts, so no preference was applied to this contract.
B. Dadee/Scorpion Refuse Truck Body Parts - 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.
C. Cartegraph Upgrades with Maintenance & Support - 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. Maintenance, Repair and Operating Supplies - 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 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.
E. Amendment 3 to the EBSCO Database subscription licenses - This amendment is exempt from competitive bidding and is excluded from the scope of the SBEDA program.
This amendment 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. Cleaning and Sanitation of Vehicles for SAPD and SAFD - Should this contract not be approved, the SAPD would be required to hire trained and certified bio-technicians to be on staff to perform these services resulting in increased costs to the department. In addition, SAPD will be required to purchase materials on an as needed basis, wherein increased costs due to non-contract buying could be realized and increase vehicle down time.
B. Dadee/Scorpion Refuse Truck Body Parts - Should this contract not be approved, increased costs could be incurred by the Solid Waste Management Department due to processing individual procurements as needed. Replacement equipment would have to be purchased or rented if equipment repairs could not be performed.
C. Cartegraph Upgrades with Maintenance & Support - The software provided by Cartegraph Systems, LLC is a proprietary-owned product. Should this contract not be approved, TCI would need to go back to the competitive bid process to identify a new vendor and product to provide these services.
D. Maintenance, Repair and Operating Supplies - Should this contract not be approved, City departments will be required to procure materials on an as needed basis. The City could lose the pricing advantage afforded through the cooperative contract. While the items could be solicited individually, the department’s budget could be negatively impacted through price variations and longer delivery lead times.
E. Amendment 3 to the EBSCO Database subscription licenses - Should this contract not be approved, patrons of the San Antonio Public Library system would have to manually conduct their own research from various platforms that could be time consuming. Patrons would not be afforded the opportunity to utilize electronic databases that will provide an access point to quickly deliver research information required for personal, academic, or work-related use.
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 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, cooperative purchasing, and amendment and Contract Disclosure Forms are not required.