STRATEGIC PRIORITY: Government Performance and Financial Management
AGENDA DATE: January 8, 2020
COUNCIL DISTRICT(S): All
DEPARTMENT: Office of Procurement Services
EXECUTIVE: Elizabeth Reich
______________________________________________________________________
SUBJECT
Title
Authorize a three-year service price agreement for the rental of cranes with operators for the Department of Equipment and Fleet Management - Maxim Crane Works, L.P., lowest responsible bidder of two - Estimated amount of $485,170 - Financing: General Fund
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 enable the Department of Equipment and Fleet Management to provide crane rental services with operators to various City departments. This agreement allows for the rental of a variety of cranes with operators on a short-term basis to accomplish day-to-day construction and special needs operations. This arrangement is advantageous to the City as it provides immediate access to various types and sizes of cranes with operators without the purchase, inventory, depreciation, and disposal cost associated with ownership of the equipment. This agreement will provide approximately 350 hours of crane rental with operators to be used citywide.
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.
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 current calculated living wage during the solicitation process of this contract is $11.15; the selected vendor meets this requirement.
PRIOR ACTION/REVIEW (COUNCIL, BOARDS, COMMISSIONS)
On October 8, 2014, City Council authorized a three-year service contract for the rental of cranes with operators with TNT Crane & Rigging, Inc. by Resolution No. 14-1666.
FISCAL INFORMATION
General Fund - $485,170.00 (Estimated amount)
|
Fund |
FY 2019-20 |
FY 2020-21 |
Future Years |
|
General Fund |
$161,723.33 |
$161,723.33 |
$161,723.34 |
|
Total |
$161,723.33 |
$161,723.33 |
$161,723.34 |
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 $ |
|
$485,170.00 |
Other Services |
N/A |
N/A |
N/A |
|
• M/WBE goal waived due to no M/WBE availability |
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 BN1912. We opened them on March 15, 2019. 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
*Maxim Crane 5701 Denton Highway $485,170.00
Works, L.P. Haltom City, TX 76148
TNT Crane & 925 South Loop West Non-responsive
Rigging, Inc. Houston, TX 77054
OWNER
Maxim Crane Works, L.P.
Keith Desalvo, Director of Sales