STRATEGIC PRIORITY: Government Performance & Financial Management
AGENDA DATE: May 25, 2022
COUNCIL DISTRICT(S): All
DEPARTMENT: Office of Procurement Services
EXECUTIVE: Elizabeth Reich
______________________________________________________________________
SUBJECT
Title
Authorize a five-year service contract for the collection and recycling of scrap metal materials for City departments - Okon Metals, Inc., most advantageous proposer of three - Estimated annual revenue: $202,606.64 - Express Business Center Fund ($81,042.65), Dallas Water Utilities Fund ($81,042.65), Sanitation Operation Fund ($20,260.66), Convention and Event Services Fund ($14,182.46), and Aviation Fund ($6,078.22)
Body
BACKGROUND
This service contract will provide for the collection and recycling of scrap metal materials for various City departments. The City has over 30 collection locations available for various City departments to dispose of recyclable materials, which are collected and recycled by the contractor. This contract will provide revenue from the sale of recyclable materials.
Items that are collected include broken or damaged:
• Cast iron pipe/fittings
• Ductile iron pipe/fittings
• Steel water distribution pipe
• Old fire hydrants
• Damaged street signs
• Water meters
• Gate valves
The contract price is based on a percentage of the highest price posted in the American Metal Market (AMM) daily new price listed for ferrous and non-ferrous metal.
A four-member committee from the following departments reviewed and evaluated the qualifications:
• Department of Sanitation Services (1)
• Water Utilities Department (1)
• Office of Procurement Services (2)*
*The Office of Procurement Services only evaluated cost.
The committee selected the successful respondent on the basis of demonstrated competence and qualifications under the following criteria:
• Cost 30 points
• Capability and expertise 35 points
• Overall approach and methodology 35 points
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 current calculated living wage during the solicitation process of this contract is $12.38, the selected vendor meets this requirement.
PRIOR ACTION/REVIEW (COUNCIL, BOARDS, COMMISSIONS)
On January 9, 2013, City Council authorized a five-year service contract for the collection and recycling of various materials with Okon Metals, Inc by Resolution No. 13-0105.
FISCAL INFORMATION
Estimated Annual Revenue:
Express Business Center Fund - $81,042.65.00
Dallas Water Utilities Fund - $81,042.65.00
Sanitation Operation Fund - $20,260.66
Convention Center Fund - $14,182.46
Aviation Fund - $6,078.22
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 |
M/WBE % |
M/WBE $ |
|
$202,606.64 |
Revenue |
N/A |
N/A |
N/A |
|
• The Business Inclusion and Development Policy does not apply to Revenue contracts. |
|
• Okon Metals, Inc. - Local; Workforce - 100.00% Local |
PROCUREMENT INFORMATION
Method of Evaluation for Award Type:
|
Request for |
• Utilized for professional, personal, revenue, and planning services |
|
Proposal |
• Recommended offeror is the responsible offeror whose proposal most closely meets established criteria for the services advertised, based on demonstrated competence and qualifications at a fair and reasonable price |
|
|
• Always involves the evaluation by committee |
|
|
• Allows for negotiation on contract terms, including price |
The Office of Procurement Services received the following proposals from solicitation number BVZ20-00014531. We opened them on October 9, 2020. We recommend the City Council award this service contract in its entirety to the most advantageous proposer.
*Denotes successful proposer
Proposers Address Score
*Okon Metals, Inc. 2001 South Industrial 70.00
Dallas, TX 75207
Venture Metals 10848 Luna Rd. 10.21
International Dallas, TX 75220
NH Kelman 41 Euclid St. 0.65
Cohoes, NY .12047
OWNER
Okon Metals, Inc.
Louis Okon, President