STRATEGIC PRIORITY: Government Performance & Financial Management
AGENDA DATE: October 8, 2024
COUNCIL DISTRICT(S): All
DEPARTMENT: Office of Procurement Services
EXECUTIVE: Donzell Gipson
______________________________________________________________________
SUBJECT
Title
Authorize a three-year master agreement for the purchase of industrial, medical, welding gases, and breathing air for the Dallas Water Utilities Department - Airgas USA LLC, only bidder - Estimated amount of $814,671.44 - Financing: Dallas Water Utilities Fund
Body
BACKGROUND
This action does not encumber funds; the purpose of a master agreement is to establish firm pricing for goods, 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 master agreement will provide for the purchase of industrial, medical, welding gases, and breathing air for the Dallas Water Utilities Department. Welding gases are utilized by various City departments to cut, weld, and fabricate metal used in the repair of equipment and infrastructure. The work accomplished with these gases includes the repairs to City vehicles, heavy equipment, and metal structures; such as safety hand railing, security fencing, traffic signals, plumbing, heating, ventilation and air conditioning, playground equipment and electrical boxes at lighted ball diamonds.
This agreement also provides industrial and medical gases used by the Fire-Rescue Department to be readily available in Fire-Rescue units and HazMat units for medical emergencies and calibration for HazMat sensors. Gases are used to provide medical grade oxygen for the animal surgery clinics. Gases such as nitrogen, helium, and carbon monoxide are for the operation and calibration of laboratory instrumentation and personnel safety sensors.
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.
PRIOR ACTION/REVIEW (COUNCIL, BOARDS, COMMISSIONS)
On March 25, 2020, the City Council authorized a three-year master agreement for industrial, medical, and welding gases with Airgas USA LLC by Resolution No. 20-0480.
On August 11, 2021, the City Council authorized a three-year master agreement for industrial, medical, and welding gases with Airgas USA LLC and The Habits Group, LLC by Resolution No. 21-1259.
FISCAL INFORMATION
|
Fund |
FY 2025 |
FY 2026 |
Future Years |
|
Dallas Water Utilities Fund |
$135,778.57 |
$339,446.44 |
$339,446.43 |
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 |
|
$814,671.44 |
Goods |
32.00% |
|
M/WBE Subcontracting % |
M/WBE Overall % |
M/WBE Overall Participation $ |
|
0.00% |
0.00% |
$0.00 |
|
• The Request for Bid method of procurement resulted in the lowest responsive bidders being select, which resulted in no M/WBE. |
|
• Airgas USA LLC - 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 bid from solicitation number BE23-00023191. We opened it on January 5, 2024. We recommend the City Council award this master agreement in its entirety to the only bidder.
Bidder Address Amount
*Airgas USA LLC 801 West Carrier Parkway $814,671.44
Grand Prairie, TX 75050
Note: The Office of Procurement Services conducted a single bid review and found no exceptions.
OWNER/EXECUTIVE
Airgas USA LLC
Monica Delagarza, President