STRATEGIC PRIORITY: Government Performance & Financial Management
AGENDA DATE: November 13, 2024
COUNCIL DISTRICT(S): All
DEPARTMENT: Office of Procurement Services
EXECUTIVE: Donzell Gipson
______________________________________________________________________
SUBJECT
Title
Authorize a three-year service price agreement for the inspection, maintenance, repair, parts and labor of the overhead gantry crane system and hoist at citywide department locations - Royal Arc Welding Company, lowest responsible bidder of two - Estimated amount of $337,308.00 - Financing: General Fund ($3,674.00), Dallas Water Utilities Fund ($270,925.50), Stormwater Drainage Management Fund ($54,854.50), Equipment and Fleet Management Fund ($6,402.00), and Sanitation Operation Fund ($1,452.00) (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. We anticipate the following City departments will use this agreement:
• Dallas Fire-Rescue Department
• Dallas Water Utilities Department
• Department of Equipment and Fleet Management
• Department of Sanitation Services
• Park & Recreation Department
This service price agreement will provide for the inspection, maintenance, repair, parts, and labor of the overhead gantry crane system and hoist at citywide department locations. These cranes are installed at various locations throughout the City.
Periodic inspections and maintenance services are required for these cranes in order to remain in full compliance with all applicable American National Standards Institute and Occupational Safety and Health Administration standards, rules and regulations. The frequency of service required on each crane varies due to the age, usage and working conditions at the specific location.
These services will also help City staff to identify potential safety hazards in operation and placement of cranes. Work service log books and written reports are maintained by City staff for each inspection and repair as proof of compliance and protects City property from future liability.
Crane inspection requires specialized equipment designed for the inspection and testing of overhead and gantry cranes which will be provided on site by the vendor.
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 January 8, 2020, the City Council authorized a three-year service price agreement for overhead and gantry crane periodic inspections, maintenance, repairs, and parts with Royal Arc Welding Co. by Resolution No. 20-0120.
FISCAL INFORMATION
|
Fund |
FY 2025 |
FY 2026 |
Future Years |
|
General Fund |
$ 1,189.00 |
$ 1,250.00 |
$ 1,235.00 |
|
Dallas Water Utilities Fund |
$45,095.00 |
$ 90,190.00 |
$135,640.50 |
|
Stormwater Drainage Management Fund |
$ 9,142.50 |
$ 18,285.00 |
$ 27,427.00 |
|
Equipment and Fleet Management Fund |
$ 1,778.30 |
$ 2,133.95 |
$ 2,489.75 |
|
Sanitation Operation Fund |
$ 484.00 |
$ 484.00 |
$ 484.00 |
|
Total |
$57,688.80 |
$112,342.95 |
$167,276.25 |
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 |
|
$337,308.00 |
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 and no disparity and availability in the market. |
|
• Royal Arc Welding Company - 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 BN24-00024613. We opened them on May 24, 2024. We recommend the City Council award this service price agreement in its entirety to the lowest responsive and responsible bidder.
*Denotes successful bidder
Bidders Address Amount
*Royal Arc Welding Company 23851 Vreeland Rd. $337,308.00
Flat Rock, MI 48134
C & C Professional Services, 918 Stanley Dr. Non-responsive
Inc. dba Sherwood Lifting Suite A
Euless, TX 76040
OWNER/EXECUTIVE
Royal Arc Welding Company
Robert Siemens, President