STRATEGIC PRIORITY: Government Performance and Financial Management
AGENDA DATE: January 13, 2021
COUNCIL DISTRICT(S): All
DEPARTMENT: Office of Procurement Services
EXECUTIVE: Elizabeth Reich
______________________________________________________________________
SUBJECT
Title
Authorize a three-year master agreement for a variety of mulching materials for citywide use - Naturomulch, LLC in the estimated amount of $756,664.65 and The LETCO Group, LLC dba Living Earth in the estimated amount of $99,618.30, lowest responsible bidders of two - Total estimated amount of $856,282.95 - Financing: General Fund ($739,660.70) and Dallas Water Utilities Fund ($116,622.25)
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 a variety of mulching materials. These mulching materials are to be used throughout the City’s various parks, recreation centers, service centers, and other facilities. This agreement will assist the City in its facility-specific condition monitoring, predictive, and preventative maintenance programs.
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 October 26, 2016, City Council authorized a three-year master agreement for the purchase of mulch materials with The LETCO Group, LLC dba Living Earth, GWG Wood Group, Inc., and Blackson, Inc.; and a three-year service contract for the delivery and installation of playground chips with Naturomulch, LLC by Resolution No. 16-1727.
FISCAL INFORMATION
|
Fund |
FY 2021 |
FY 2022 |
Future Years |
|
General Fund |
$240,231.04 |
$240,202.00 |
$259,227.66 |
|
Dallas Water Utilities Fund |
$ 39,207.00 |
$ 39,207.00 |
$ 38,208.25 |
|
Total |
$279,438.04 |
$279,409.00 |
$297,435.91 |
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 |
Category |
M/WBE Goal |
M/WBE % |
M/WBE $ |
|
$856,282.95 |
Goods |
18.00%* |
90.46% |
$774,595.95 |
|
*This item reflects previous Business Inclusion and Development Policy M/WBE goal. |
|
• This contract exceeds the M/WBE goal. |
|
• Naturomulch, LLC - Local; Workforce - 62.50% Local • The LETCO Group, LLC dba Living Earth - Local; Workforce - 23.52% 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 bids from solicitation number BY20-00014172. We opened them on September 4, 2020. We recommend the City Council award this master agreement to the lowest responsive and responsible bidders by group.
*Denotes successful bidders
Bidders Address Amount
*Naturomulch, LLC 602 Davis St. Group 1 - No Bid
Grand Prairie, TX 75050 Group 2 - $756,664.65
*The LETCO Group, LLC 1901 California Crossing Rd. Group 1 - $ 99,618.30
dba Living Earth Dallas, TX 75220 Group 2 - $908,415.00
OWNERS
Naturomulch, LLC
Omprakash Goyal, Managing Member
Shobha Goyal, Member
The LETCO Group, LLC dba Living Earth
Eoin Lehane, Chief Executive Officer
Scott Donahue, Chief Financial Officer