Sole Source for S63-E29438 - Approve an ordinance awarding a sole source Agreement to Industrial Disposal Supply Company, LLC for parts and services for TYMCO Sweepers in the maximum contract amount not to exceed $1,321,186.52 for the Fleet Management Department.
Specific Explanation:
The Director of the Fleet Management Department and the Chief Procurement Officer recommend that City Council approve an ordinance awarding a sole source agreement for a three year term, with two one-year renewal options to Industrial Disposal Supply Company, LLC for parts and services for TYMCO Sweepers in the maximum contract amount not to exceed $1,321,186.52 for the Fleet Management Department (FMD).
The scope of work requires the contractor to provide parts and services necessary to manage day-to-day maintenance operations for TYMCO Regenerative Air Sweepers located at facilities used by both Houston Public Works and the Houston Airport System. The contractor will be required to provide diagnostic and repair services to sweeper components on various types of cab and chassis operated by the City of Houston (City). The Contractor will also be required to pick up equipment within twenty-four (24) hours upon receipt of notification. Repairs shall be completed within five (5) working days after approval for the repairs is obtained from the City. Repairs requiring additional time beyond the agreed upon time must be approved by the Director of FMD or his or her designee. A minimum of one-hundred and twenty (120) days warranty on both materials and workmanship shall be provided.
Industrial Disposal Supply Company, LLC is the sole source authorized dealer for sales, repair parts, labor and related items for TYMCO Regenerative Air Sweepers in the state of Texas.
This recommendation is made pursuant to subsection 252.022(a)(7)(D) of the Texas Local Government Code, which provides that “a procurement of items that are available from only one source including captive replacement parts or components for equipment" is exempted from competitive bidding.
M/WBE Subcontracting:
M/WBE zero percentage goal document approved by the Office of Business Opportunity.
Pay or Play Program:
The proposed contract requires compliance with the City's 'Pay or Play' ordinance regarding health benefits for employees of City contractors. In this case, the Contractor has elected to play by providing health benefits to each covered employee in compliance with City policy.
Hire Houston First:
This procurement is exempt from the City’s Hire Houston First (HHF) Ordinance. Bids/proposals were not solicited because the department is utilizing a sole source contractor for this purchase.
Fiscal Note:
Funding for this item is included in the FY 2021 Adopted Budget. Therefore, no Fiscal Note is required as stated in the Financial Policies.
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Jerry Adams, Chief Procurement Officer Department Approval Authority
Finance/Strategic Procurement Division
ESTIMATED SPENDING AUTHORITY
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DEPARTMENT
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FY2021
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OUT YEARS
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TOTAL
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Fleet Management Department
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$277,403.76
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$1,043,782.76
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$1,321,186.52
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