STRATEGIC PRIORITY: Core
AGENDA DATE: August 27, 2025
COUNCIL DISTRICT(S): Citywide
DEPARTMENT: Office of Procurement Services
EXECUTIVE: Donzell Gipson
______________________________________________________________________
SUBJECT
Title
Authorize (1) the rejection of bids received for Group 2 for analytical laboratory testing services; and (2) a three-year service price agreement for Groups 1, 3, and 4 for analytical laboratory testing services for the Dallas Water Utilities Department - Southern Petroleum Laboratories, Inc. in the estimated amount of $6,153,236.00 and North Water District Laboratory Services, Inc. in the estimated amount of $59,840.00, lowest responsible bidders of six - Total estimated amount of $6,213,076.00 - Financing: Dallas Water Utilities Fund ($5,823,270.00) and Stormwater Drainage Management Fund ($389,806.00) (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 analytical laboratory testing services for the Dallas Water Utilities Department (DWU). The analytical services will be used to support stormwater monitoring, illicit discharge investigations, enforcement investigations, hazardous and non-hazardous waste management, industrial waste monitoring, publicly owned treatment works, influent and effluent monitoring, and other water/wastewater testing for the City. These services will analyze samples to ensure compliance with state and federal regulations including The Clean Water Act, Safe Drinking Water Act, Clean Air Act, Comprehensive Environmental Response, Compensation and Liability Act, Resource Conservation and Recovery Act, and Solid Waste Disposal Act.
These services will also allow for mandated Environmental Protection Agency analysis in situations where the City's laboratories lack the proper equipment, lab instrumentation, and resources to perform the needed tasks.
DWU determined that it is in the best interest of the City to reject all bids received for Group 2, as the only responsive bid resulted in an impractical award amount under the current solicitation. An alternative procurement method will be pursued to meet DWU's needs for these services.
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 $22.05; the selected vendor meets this requirement.
PRIOR ACTION/REVIEW (COUNCIL, BOARDS, COMMISSIONS)
On December 8, 2021, the City Council authorized a three-year service price agreement for analytical laboratory testing services for the Water Utilities Department with Eurofins-Xenco, LLC by Resolution No. 21- 1987.
FISCAL INFORMATION
|
Fund |
FY 2025 |
FY 2026 |
Future Years |
|
Dallas Water Utilities Fund |
$323,512.00 |
$1,941,089.00 |
$3,558,669.00 |
|
Stormwater Drainage Management Fund |
$21,655.00 |
$129,935.00 |
$238,216.00 |
|
Total |
$345,167.00 |
$2,071,024.00 |
$3,796,885.00 |
LOCAL PARTICIPATION
|
Prime |
Status |
Workforce % |
|
Southern Petroleum Laboratories, Inc. |
Non-local |
12.50% |
|
North Water District Laboratory Services, Inc. |
Non-local |
0.00% |
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 BW24-00026115. We opened them on April 4, 2025. We recommend the City Council award this service price agreement to the lowest responsive and responsible bidders by group. Information related to this solicitation is available upon request.
*Denotes successful bidders
Bidders Address Amount
*Southern Petroleum 1825 East Plano Parkway Multiple groups
Laboratories, Inc. Plano, TX 75074
*North Water District 130 South Trade Center Parkway Multiple groups
Laboratory Services, Inc. Conroe, TX 77385
A&B Environmental 10100 East Freeway Multiple groups
Services, Inc. Suite 100
Houston, TX 77029
ALS Group USA, Corp. 10450 Stancliff Road Multiple groups
Houston, TX 77099
Eurofins Environment 2501 Mayes Road Multiple groups
Testing Ecotoxicology Suite 100
LLC Carrollton, TX 75006
Eurofins Environment 9701 Harry Hines Boulevard Multiple groups
Testing South Central, Dallas, TX 75220
LLC
OWNERS/EXECUTIVES
Southern Petroleum Laboratories, Inc.
Colin Duncan, Chief Executive Officer
North Water District Laboratory Services, Inc.
Whitney McCoy, President