DEPARTMENT: Finance
DEPARTMENT HEAD: Troy Elliott
COUNCIL DISTRICTS IMPACTED: Citywide
SUBJECT:
12/3/2020 Annual Contracts
SUMMARY:
An ordinance awarding four 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 $581,000.00. 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. Terrabella Environmental Services, Inc. for Mud Sump Service and Drain Line Cleaning, $208,000.00 annually (1 contract, Citywide)
B. Grande Truck Center for Autocar Truck Parts, $240,000.00 annually (1 contract, Solid Waste Management)
C. General Traffic Equipment Corp. for Pedestrian Countdown Timers, $117,000.00 annually (1 contract, Public Works)
D. Digital Display Solutions, Inc. for Audio/Video Equipment Preventive Maintenance and Repair Services for San Antonio Airport System, $16,000.00 annually; $80,000.00 total contract value (1 contract, Aviation)
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. Terrabella Environmental Services, Inc. for Mud Sump Service and Drain Line Cleaning, $208,000.00 annually, January 1, 2021 through December 31, 2023 with two, one-year renewal options - will provide mud sump service, drain line cleaning, oil/water separator service and waste disposal services for the Departments of Building and Equipment Services, Solid Waste Management, Fire, Aviation and Parks and Recreation. This service shall include removal, transportation and disposal of the waste, and cleaning of septic tanks, grit tanks, storm lift stations, sewer lift stations, sand oil separators, grit traps and grease traps at various locations throughout the City.
B. Grande Truck Center for Autocar Truck Parts, $240,000.00 annually, upon award through December 31, 2023, with two, one-year options to renew - will provide Solid Waste Management, Fleet Operations Division, with a contractor to furnish replacement parts for in-house repair of Autocar refuse trucks used for garbage collection. There are currently one hundred and twenty-two (122) Autocar Truck units in the City’s inventory.
C. General Traffic Equipment Corp. for Pedestrian Countdown Timers, $117,000.00 annually, January 1, 2021 through December 31, 2023 with two, one-year renewal options - will provide the Public Works Department with a contractor that will furnish and deliver pedestrian countdown timers. These countdown timers are pedestrian crosswalk signals with illuminated LED countdown timers showing time allowed for pedestrian crossing.
D. Digital Display Solutions, Inc. for Audio/Video Equipment Preventive Maintenance and Repair Services for San Antonio Airport System, $16,000.00 annually; $80,000.00 total contract value, January 1, 2021 through December 31, 2023 with two, one-year renewal options - will provide the Aviation Department with preventive maintenance, repairs and programming services, and stand-by services for existing Audio/Video (A/V) equipment located at San Antonio International Airport (SAT) and at Stinson Municipal Airport (Stinson).
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. Mud Sump Service and Drain Line Cleaning - 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. Autocar Truck 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 goods/supplies contracts, so no preference was applied to this contract.
C. Pedestrian Countdown Timers - 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.
D. Audio/Video Equipment Preventive Maintenance and Repair Services for San Antonio Airport System - 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 (VOSBPP) does not apply to good/supplies contracts, so no preference was applied to this contract.
ALTERNATIVES:
A. Mud Sump Service and Drain Line Cleaning - Should this contract not be approved, the City will be required to procure the mud sump service and drain line cleaning on an as needed basis wherein an increased cost due to non-contract buying could be realized.
B. Autocar Truck Parts - Should this contract not be approved, the department will be required to process individual procurements as needs arise. As a result, processing requirements would delay the timely repair of refuse trucks, and the department will not realize the cost savings customarily associated with long-term agreements.
C. Pedestrian Countdown Timers - Should this contract not be approved, the Public Works Department would be required to spot purchase from various vendors on an as needed basis which may result in higher pricing and affect delivery time. This could potentially cause a public safety issue.
D. Audio/Video Equipment Preventive Maintenance and Repair Services for San Antonio Airport System - Should this contract not be approved, the Aviation Department will be required to process individual procurements to provide preventive maintenance, repairs, and stand-by services on an as needed basis. Procuring outside of a contract will likely result in service delays, quality of service inconsistencies, and higher costs to provide the services needed.
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 Contract Disclosure Forms are not required.