STRATEGIC PRIORITY: Government Performance and Financial Management
AGENDA DATE: September 25, 2019
COUNCIL DISTRICT(S): All
DEPARTMENT: Office of Procurement Services
EXECUTIVE: Elizabeth Reich
______________________________________________________________________
SUBJECT
Title
Authorize the purchase of (1) sixty-two mobile vehicle lift systems for the Equipment and Fleet Management Department with Reeder Distributors, Inc. in the amount of $686,285.00, and twenty-nine pieces of fleet vehicles and equipment with Rush Truck Center in the amount of $529,503.80, Box Gang Manufacturing LLC in the amount of $159,973.00, Tom Loftus Inc dba Austin Turf & Tractor in the amount of $117,690.21, and Deere & Company in the amount of $77,624.82, through the Texas Association of School Boards cooperative agreement; (2) two pieces of fleet equipment with Holt Texas, LTD in the amount of $127,924.00 through the Sourcewell cooperative agreement; (3) three pieces of fleet equipment with Siddons Martin Emergency Group, LLC in the amount of $1,599,998.00, Aries Industries, Inc. in the amount of $164,890.00, and Houston Freightliner in the amount of $60,480.00, through the Houston Galveston Area Council of Governments cooperative agreement; (4) one piece of equipment with Hanko’s Metal Works in the amount of $96,700.00 through the General Services Administration cooperative agreement; and (5) two pieces of fleet equipment with Kut Kwick Corp. in the amount of $69,936.00 and H & E Equipment Services in the amount of $60,075.00, lowest responsible bidders of three - Total not to exceed $3,751,079.83 - Financing: General Fund ($277,174.35), Dallas Water Utilities Fund ($1,296,657.86), Storm Drainage Management Operations Fund ($266,318.80), DHS-FY2018 Homeland Security Grant UASI 18-20 Fund ($1,599,998.00), Aviation Fund ($4,007.34), Aviation Transportation Regulation Fund ($667.89), Building Inspection Fund ($2,671.56), Equipment and Fleet Management Fund ($18,395.00), and Sanitation Operation Fund ($285,189.03)
Body
BACKGROUND
This purchase will allow the Equipment and Fleet Management Department to purchase 62 mobile vehicle lift system and allow various City departments to procure 37 pieces of equipment that will be utilized in daily operations.
The City conducts an evaluation on vehicles and equipment using established criteria before replacement occurs. This evaluation includes life-to-date maintenance cost, recommended replacement mileage, and recommended replacement life. This purchase includes the replacement of 4 pieces of equipment and 33 additions.
The approach for this fleet purchase is greatly influenced by a Fleet Efficiency Study conducted in 2018. Specifically, the recommendations to implement a Total Cost of Ownership (TCO) procurement strategy to achieve the most effective life cycle return on the fleet investment.
This item will allow for the purchase of a total of 99 pieces of fleet equipment. Below is a list of the units:
• Mobile vehicle lift systems - 62
• Man lift - 1
• Slope mower - 1
• 20CY roll-off containers - 22
• Skid steer loaders - 2
• Rotary mowers - 2
• Tractors - 2
• Cargo van - 1
• Portable Pathfinder CCTV System - 1
• Sewer cleaner - 1
• Sewer cleaner with lateral camera - 2
• Flat bottom barge - 1
• Unified command vehicle - 1
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. Additionally, in an effort to secure more competition, the Office of Business Diversity sent notifications to chambers of commerce and advocacy groups to ensure maximum vendor outreach.
The Texas Association of School Boards, Sourcewell, Houston Galveston Area Council of Governments, and General Services Administration cooperative agreements are authorized by Chapter 791 of the Texas Government Code and Subchapter F, Chapter 271, Texas Local Government Code. Section 271.102 of the Texas Local Government Code authorizes a local government to participate in a Cooperative Purchasing Program with another local government or a local cooperative organization.
PRIOR ACTION/REVIEW (COUNCIL, BOARDS, COMMISSIONS)
On May 11, 2016, City Council authorized the purchase of eleven pieces of fleet vehicles and equipment with Briggs Equipment, Darr Equipment, Southwest International Trucks, Inc., Kirby-Smith Machinery, RDO Equipment, Austin Truck and Equipment, LTD dba Freightliner of Austin, Central Texas Heavy Equipment Co., Inc.; four pieces of fleet vehicles with Sam Pack’s Five Star Ford; two pieces of fleet equipment with Rush Truck Centers of Texas, LP; and two fleet vehicles with Freedom Dodge dba Duncanville Automotive by Resolution No. 16-0717.
On June 22, 2016, City Council authorized the purchase of twenty-three pieces of fleet vehicles and equipment with Hudson Bus Sales, LLC and Metro Fire Apparatus Specialists, Inc.; one pumper truck with Brasada Ford, Ltd.; and one excavator with mower attachment with Landmark Equipment, Inc. by Resolution No. 16-1053.
On May 24, 2017, City Council authorized the purchase of 28 pieces of fleet vehicles and equipment with Metro Fire Apparatus Specialists, Daco Fire Equipment, Hudson Bus Sales, LLC, Rush Truck Centers of Texas, LP, Silsbee Ford, Inc., Cues, Inc., Johnston North America, Inc., and Houston Freightliner, Inc.; 8 pieces of fleet and equipment with Bond Equipment, Austin Truck & Equipment, Ltd. dba Freightliner of Austin, RDO Equipment, Chastang Ford, and Briggs Equipment; and 20 pieces of fleet and equipment with Sam Pack’s Five Star Ford by Resolution No. 17-0827.
On August 22, 2018, City Council authorized the purchase of 21 pieces of fleet vehicles and equipment with Siddons Martin Emergency Group, LLC, Dickson Equipment Co., Inc., Rush Truck Centers of Texas, LP, Kirby-Smith Machinery, Four Brothers Outdoor Power, RDO Equipment Co., Scully's Aluminum Boats, Inc., Sam Pack’s Five Star Ford; two pieces of fleet vehicles and equipment with Siddons Martin Emergency Group, LLC; six pieces of fleet equipment with Dickson Equipment Co.; five pieces of fleet equipment with Rush Truck Centers of Texas, LP, Kirby-Smith Machinery, Four Brothers Outdoor Power, and RDO Equipment Co.; four pieces of fleet vehicles and equipment with Scully's Aluminum Boats, Inc.; and four pieces of fleet vehicles with Sam Pack’s Five Star Ford by Resolution No. 18-1145.
FISCAL INFORMATION
General Fund - $277,174.35
Dallas Water Utilities Fund - $1,296,657.86
Storm Drainage Management Operations Fund - $266,318.80
DHS-FY2018 Homeland Security Grant UASI 18-20 Fund - $1,599,998.00
Aviation Fund - $4,007.34
Aviation Transportation Regulation Fund - $667.89
Building Inspection Fund - $2,671.56
Equipment and Fleet Management Fund - $18,395.00
Sanitation Operation Fund - $285,189.03
M/WBE INFORMATION
In accordance with the City’s Business Inclusion and Development Plan adopted on October 22, 2008, by Resolution No. 08-2826, as amended, the M/WBE participation on this contract is as follows:
|
Contract Amount |
Category |
M/WBE Goal |
M/WBE % |
M/WBE $ |
|
$3,621,068.83 |
CO-OP |
N/A |
N/A |
N/A |
|
• The Business Inclusion and Development Plan does not apply to Cooperative Purchasing Agreements (CO-OPs). |
|
Contract Amount |
Category |
M/WBE Goal |
M/WBE % |
M/WBE $ |
|
$130,011.00 |
Goods |
N/A |
N/A |
N/A |
|
• M/WBE goal waived due to no M/WBE availability |
PROCUREMENT INFORMATION
Method of Evaluation for Award Type:
|
Cooperative Purchasing |
• Cooperative Purchasing Agreements enable the City to associate with State agencies, other local governments, or local cooperative organizations comprised of other state and local governments, to leverage market buying power and enable the City to purchase goods or services at lower prices |
|
|
• Cooperative Purchasing is an alternative method of meeting the requirements for competitive bidding or competitive sealed proposals, not an exception from that requirement |
|
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 BN19-00010341. We opened them on June 20, 2019. We recommend the City Council award this purchase to the lowest responsible bidders by line.
*Denotes successful bidders
Bidders Address Amount
*Kut Kwick Corp 1927 Newcastle St. Line 1 - $69,936.00
Brunswick, GA 31520 Line 2 - No bid
*H & E Equipment 3040 Roy Orr Blvd. Line 1 - No bid
Services Grand Prairie, TX 75050 Line 2 - $60,075.00
Kirby-Smith Machinery, 8505 South Central Expy. Line 1 - No bid
Inc. Dallas, TX 75241 Line 2 - $62,425.00
OWNERS (Including COOP purchases)
Reeder Distributors, Inc.
Gary Reeder, President
Jason Reeder, Vice President
Bob Krause, Chief Financial Officer
Kathy Johnson, Secretary
Box Gang Manufacturing, LLC
Rafael Marrero, President
Susan Marrero, Vice President
Tom Loftus Inc dba Austin Turf & Tractor
Tom Loftus, President
Harry Jukes, Vice President
Margaret Loftus, Secretary
Nathan Nelo, Treasurer
Deere & Company
John May, President
John Lagemann, Vice President
Shane Edwards, Secretary
Thomas Spitzfaden, Treasurer
Holt Texas, LTD
Peter J. Holt, Executive Vice President
Kut Kwick Corp
Daren Pietsch, President
J. Brian Torras, Vice President
Deborah J. Torras, Secretary
Robert M. Torras, Sr., Treasurer
H & E Equipment Services
Brad Barber, President
John Engquist, Jr., Vice President
Leslie Magee, Secretary
Houston Freightliner
Bob Garwood, President
Rick Stewart, Vice President
Roger Poser, Secretary
John Ellsworth, Treasurer
Aries Industries, Inc.
Larry Brown, Chief Executive Officer
Dirk Smith, Chief Operating Officer
Rush Truck Centers of Texas, LP
W.M. Rush, President
Derrek R. Weaver, Vice President
Hanko’s Metal Works
Harry K Hoffpauir, President
Hanko R Hoffpauir, Vice President
Diane Hoffpauir, Secretary
Siddons Martin Emergency Group, LLC
Leon Martin, Jr. and Patrick Siddons, President
Jeffrey Keiser, Vice President
Kathryn Williams, Secretary