DEPARTMENT: Finance
DEPARTMENT HEAD: Troy Elliott
COUNCIL DISTRICTS IMPACTED: Citywide
SUBJECT:
8/6/2020 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 $1,117,500.00. This ordinance provides the procurement of the following items, as needed, and dependent on the Department's available budget, for the term of the contract:
A. Longhorn, Inc. for Sprinkler Irrigation Repair Parts, $78,000.00 annually (1 contract, Parks and Recreation)
B. General Traffic Equipment Corporation for Traffic Signal Control Conflict Monitors, $67,500.00 annually (1 contract, Public Works)
C. Ergon Asphalt & Emulsions, Inc. for Mastic Surface Sealer, $972,000.00 annually (1 contract, Public Works)
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. Longhorn, Inc. for Sprinkler Irrigation Repair Parts, $78,000.00 annually, upon award through September 30, 2022 with two, one year renewal options - will provide the Parks and Recreation Department with a contractor that will furnish and deliver a full line of Weathermatic, Hunter and Rainbird sprinkler and irrigation parts on an as needed basis. The parts are needed to support and maintain the whole components of the sprinkler irrigation systems at parks located throughout the City.
B. General Traffic Equipment Corporation for Traffic Signal Control Conflict Monitors, $67,500.00 annually, upon award through September 30, 2023, with two, one-year renewal options - will provide the Public Works Department with traffic signal conflict monitors for new and replacement installations. Traffic signal conflict monitors are electronic devices installed at all signalized intersections to store and process the traffic signal functions. Installation is to be performed by City staff and/or provided to contractors to install on city projects.
C. Ergon Asphalt & Emulsions, Inc. for Mastic Surface Sealer, $972,000.00 annually, October 1, 2020 through September 30, 2023 with two, one-year renewal options - will provide Mastic Surface Sealer material to the Public Works Department with vendor to furnish asphalt pavement sealant materials. The asphalt surface sealer material will be utilized for the maintenance and preservation of city streets throughout the City of San Antonio.
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. Sprinkler Irrigation Repair Parts - 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.
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.
B. Traffic Signal Control Conflict Monitors - 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.
C. Mastic Surface Sealer - 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.
ALTERNATIVES:
A. Sprinkler Irrigation Repair Parts - Should this contract not be approved, the department would be required to purchase these sprinkler and irrigation parts on an as needed basis, wherein increased costs and delivery time due to non-contract buying could be realized.
B. Traffic Signal Control Conflict Monitors - Should this contract not be approved, Traffic Operations Divisions will have to spot purchase from various contractors on an as needed basis which may result in higher pricing and affect delivery time. This could potentially cause a public safety issue.
C. Mastic Surface Sealer - Should this contract not be approved, the Public Works department will be required to purchase surface sealer material on an as needed basis where increased costs and delivery times would occur and result in delays in the completion and preservation of City street projects.
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 a Contract Disclosure Form is not required.