STRATEGIC PRIORITY: Government Performance & Financial Management
AGENDA DATE: September 25, 2024
COUNCIL DISTRICT(S): All
DEPARTMENT: Office of Procurement Services
EXECUTIVE: Donzell Gipson
______________________________________________________________________
SUBJECT
Title
Authorize a five-year service price agreement for parts and labor for repair and maintenance of machine shop related equipment for the Water Utilities Department and the Department of Aviation - Two Elk Investments, LLC dba Billor McDowell, only bidder - Estimated amount of $310,005.00 - Financing: Dallas Water Utilities Fund ($281,780.00) and Aviation Fund ($28,225.00) (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 parts and labor for repair and maintenance of machine shop related equipment for Dallas Water Utilities (DWU) and the Department of Aviation.
DWU maintenance shops, located at 4120 Scottsdale Drive and 9805 Harry Hines Boulevard, provide emergency support to pumping and distribution divisions by fabricating parts for valves, pumps, and light construction equipment. DWU operates and maintains water distribution system that contains 29 pump stations and over 5,000 miles of potable water pipelines and provide drinking water to 2.6 million customers in Dallas and 23 customer cities.
The Department of Aviation will be utilizing this agreement to maintain equipment needed for fabrication and service heavy equipment on airfield projects. Mandatory annual inspections will be performed by this contract as regulated by federal, state, and local governances. The majority of repairs and maintenance will be performed at the Airfield Management Facility (3387 Hawes Avenue, Dallas, TX 75235).
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 June 24, 2020, the City Council authorized a three-year service price agreement for repair, maintenance, parts, and labor for machine shop related equipment with Jamet, Inc. by Resolution No. 20-1010.
FISCAL INFORMATION
|
Fund |
FY 2024 |
FY 2025 |
Future Years |
|
Dallas Water Utilities Fund |
$56,356.00 |
$56,356.00 |
$169,068.00 |
|
Aviation Fund |
$ 4,225.00 |
$ 6,000.00 |
$ 18,000.00 |
|
Total |
$60,581.00 |
$62,356.00 |
$187,068.00 |
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 |
|
$310,005.00 |
Other Services |
N/A |
|
M/WBE Subcontracting % |
M/WBE Overall % |
M/WBE Overall Participation $ |
|
N/A |
N/A |
N/A |
|
• The Request for Bid method of procurement resulted in the lowest responsive bidders being seleted. |
|
• Two Elk Investments, LLC dba Billor McDowell - 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 BM24-00023796. We opened it on June 14, 2024. We recommend the City Council award this service price agreement in its entirety to the only bidder.
Bidder Address Amount
Two Elk Investments, LLC 6025 Commerce Dr. $310,005.00
dba Billor McDowell Suite 510
Irving, TX 75063
Note: The Office of Procurement Services conducted a single bid review and found no exceptions.
OWNER/EXECUTIVE
Two Elk Investments, LLC dba Billor McDowell
Luke Shagets, President