STRATEGIC PRIORITY: Government Performance & Financial Management
AGENDA DATE: September 11, 2024
COUNCIL DISTRICT(S): All
DEPARTMENT: Office of Procurement Services
EXECUTIVE: Donzell Gipson
______________________________________________________________________
SUBJECT
Title
Authorize a five-year service price agreement for vehicle and heavy equipment rental for citywide use - H&E Equipment Services, Inc. in the estimated amount of $218,300.00, EAN Holdings, LLC dba Enterprise Rent-A-Car in the estimated amount of $128,508.00.00, and United Rentals, Inc. in the estimated amount of $107,131.00, lowest responsible bidders of four - Total estimated amount of $453,939.00 - Financing: General Fund ($243,561.00) and Dallas Water Utilities Fund ($210,378.00) (subject to annual appropriations)
Body
BACKGROUND
This action does not encumber funds; the purpose of a service price agreement is to establish firm pricing for services, for a specific term, which are ordered on an as needed basis according to annual budgetary appropriations. The estimated amount is intended as guidance rather than a cap on spending under the agreement, so that actual need combined with the amount budgeted will determine the amount spent under this agreement.
This service price agreement will provide for vehicle and heavy equipment rental for citywide use. This agreement will enable City departments to rent various types of vehicles and equipment on an as needed basis to perform day-to-day construction, operational, and emergency services Citywide.
This agreement is advantageous to the City because it provides immediate access to a variety of equipment without the purchase, inventory, depreciation, and maintenance cost associated with ownership of the equipment.
Types of equipment include, but are not limited to the following:
• Excavators
• Backhoe tractor loaders
• Graders and tractors
• Flat-bed trucks
• Pick-up trucks
• Cargo and passenger vans
• Compact and full size vehicles
• Lifts
• Pumps
• Padfoot rollers
• Sewer cleaners
• Sweepers
• Trailers
• Bucket trucks
• Dump trucks
• Portable air conditioners
This agreement also makes available smaller construction and maintenance equipment such as generators, light towers, concrete saws, jackhammers, air compressors, pressure washers, walk behind rollers and trenchers. The vendors are responsible for the maintenance, repair or replacement of all wear items such as brakes, flats, and clutches relieving the City of these routine repairs.
As part of the solicitation process and in an effort to increase competition, the Office of Procurement Services used its procurement system to send out email notifications to vendors registered under relevant commodity codes. To further increase competition, the Office of Procurement Services uses historical solicitation information, the Internet, and vendor contact information obtained from user departments to contact additional vendors.
On November 10, 2015, the City Council authorized a living wage policy that requires contractors to pay their employees a “living wage” rate as established annually by the Massachusetts Institute of Technology Living Wage Calculator for Dallas County by Resolution No. 15-2141. The calculated living wage during the solicitation process of this contract is $18.24; the selected vendor meets this requirement.
PRIOR ACTION/REVIEW (COUNCIL, BOARDS, COMMISSIONS)
On August 24, 2022, the City Council authorized a five-year service price agreement for vehicle and equipment rental with Ahern Rentals, CLS Sewer Equipment Co. Inc., EAN Holdings, LLC dba Enterprise Rent-A-Car, H&E Equipment Services, Inc., Herc Rentals, Inc., Holt Texas, LTD., Metro Golf Cars, National Equipment Dealers, LLC., Rush Co Energy Specialists, Inc., Sunbelt Rentals, Inc., Sunstate Equipment Company, and UnitedRentals (NorthAmerica), Inc. dba Reliable Onsite Services by Resolution No. 22-1220.
FISCAL INFORMATION
|
Fund |
FY 2024 |
FY 2025 |
Future Years |
|
General Fund |
$40,561.00 |
$50,750.00 |
$152,250.00 |
|
Dallas Water Utilities Fund |
$42,378.00 |
$42,000.00 |
$126,000.00 |
|
Total |
$82,939.00 |
$92,750.00 |
$278,250.00 |
M/WBE INFORMATION
In accordance with the City’s Business Inclusion and Development Policy adopted on September 23, 2020, by Resolution No. 20-1430, as amended, the M/WBE participation on this contract is as follows:
|
Contract Amount |
Procurement Category |
M/WBE Goal |
|
$453,939.00 |
Other Services |
N/A |
|
M/WBE Subcontracting % |
M/WBE Overall % |
M/WBE Overall Participation $ |
|
N/A |
N/A |
N/A |
|
• This item is Other Services which does not have an availability and disparity participation goal. |
|
• H&E Equipment Services, Inc. - Local; Workforce - 0.00% Local |
|
• EAN Holdings, LLC dba Enterprise Rent-A-Car - Local; Workforce - 30.13% Local |
|
• United Rentals, Inc. - Non-local; Workforce - 0.00% Local |
PROCUREMENT INFORMATION
Method of Evaluation for Award Type:
|
Low Bid |
• Recommended vendor is based on the lowest competitive quoted price, who is also technically and financially capable of performing and completing the contract, and otherwise meets all material specification requirements |
|
|
• Negotiations are not allowed |
The Office of Procurement Services received the following bids from solicitation number BF24-00024272. We opened them on April 5, 2024. We recommend the City Council award this service price agreement to the lowest responsive and responsible bidders by line. Information related to this solicitation is available upon request.
*Denotes successful bidders
Bidders Address Amount
*H&E Equipment Services, 3040 Roy Orr Blvd. Multiple lines
Inc. Grand Prairie, TX 75050
*Enterprise Rent A Car 8200 John Carpenter Frwy. Multiple lines
Dallas, TX 75247
*United Rentals 100 First Stamford Pl. Multiple lines
(North America), Inc. Suite 700
Stamford, CT 06902
Herc Rentals 10966 Harry Hines Blvd. Multiple lines
Dallas, TX 75220
OWNERS/EXECUTIVES
H&E Equipment Services, Inc.
Brad Barber, Chief Executive Officer
Enterprise Rent A Car
Eric Heideloff, Regional Vice President
United Rentals (North America), Inc.
Matt Flannery, Chief Executive Officer