DEPARTMENT: Finance
DEPARTMENT HEAD: Troy Elliott
COUNCIL DISTRICTS IMPACTED: Citywide
SUBJECT:
4/4/2019 Annual Contracts
SUMMARY:
An ordinance awarding three 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 $128,000.00. 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. Buckeye Cleaning Center San Antonio for Concentrated Chemicals with Dilution System, $56,000.00 annually (1 contract, Citywide)
B. Reddy Ice for Ice, $37,000.00 annually; $185,000.00 contract period (1 contract, Citywide)
C. Dataminr, Inc. for Incident Detection and Alerting System, $35,000.00 Initial Nine Month Term; $129,000.00 Total Contract Value (1 contract, San Antonio 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.
Contracts procured on the basis of low bid:
A. Buckeye Cleaning Center San Antonio for Concentrated Chemicals with Dilution System, $56,000.00 annually, upon award through January 31, 2021, with two, one-year renewal options - will provide various City departments with a contractor to furnish janitorial concentrated chemicals and dilution dispensing systems. These concentrated chemicals can be utilized in various applications such as glass cleaner, restroom cleaner, multi-use cleaner and germicidal cleaner, depending on the dilution ratio. Contractor will also provide maintenance at no additional cost to the City to the dispensing systems to achieve maximum longevity of use. Supply orders are placed by individual departments and delivered to an estimated 37 City facility locations which include approximately 76 storage areas with dilution dispensing systems.
B. Reddy Ice for Ice, $37,000.00 annually; $185,000.00 contract period, upon award through March 31, 2022 with two, one-year renewal options - will provide ice for various city departments on an as-needed basis. The ice will be delivered to designated locations throughout the city and will be purchased in various forms: 10 lb block ice; 10 lb crushed or cubed ice; and 20 lb crushed or cubed ice. Freezer boxes (sizes will vary per location) will also be provided for on-site ice storage.
Amendment:
C. Dataminr, Inc. for Incident Detection and Alerting System, $35,000.00 Initial Nine Month Term; $129,000.00 Total Amendment Value, upon award through September 30, 2019, with two, one-year renewal options - will provide the San Antonio Police Department with incident detection and alerting system that uses geo-predictive algorithms to identify threat information within a specific social media platform. Dataminr, Inc.’s incident detection and alerting system is the only certified, official Twitter data partner with proprietary real-time and direct public Twitter API access.
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. Concentrated Chemicals with Dilution System - 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 goods/supplies contracts, so no preference was applied to this contract.
B. Ice - 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.
C. Incident Detection and Alerting System - 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. Concentrated Chemicals with Dilution System - Should this contract not be approved, City departments would be required to procure concentrated chemicals on an as needed basis which could result in higher costs and not realize a cost savings customarily associated with long-term contracts.
B. Ice - Should this contract not be approved, user departments within the City of San Antonio will be required to purchase required ice on an as-needed basis, leading to increased costs and a delay in delivery time.
C. Incident Detection and Alerting System - Should this amendment not be approved, the City of San Antonio Police Department would not have Twitter alerting functionalities and incident detection capabilities.
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 and amendment, and Contract Disclosure Forms are not required.