P13-L26375.A1 - Approve an amending ordinance to Ordinance No. 2019-0915 approved on November 20, 2019, to increase the maximum contract amount from $5,750,000.00 to $8,050,000.00 for the Contract No. 4600015803 between the City of Houston and American Mechanical Services of Houston, LLC for plumbing services in the community and employees in citywide facilities for various departments.
Specific Explanation:
The Director of the General Services Department and the Chief Procurement Officer recommend that City Council approve an amending ordinance to increase the maximum contract amount from $5,750,000.00 to $8,050,000.00 for the contract between the City of Houston and American Mechanical Services of Houston, LLC for plumbing services in the community and employees in citywide facilities for Houston Public Works, Houston Airport System, Houston Parks & Recreation and General Services departments.
Contract was awarded by Council on November 20, 2019, by Ordinance No. 2019-0915 for a 36-month term, years with two one-year renewal option years, in the amount not to exceed $5,750,000.00. Expenditures totaled $5,340,677.22 as of October 3, 2023. The requested increase of $2,300,000.00 is needed due to additional services provided, a funding shortfall exists for Fiscal 2024, the final year of the agreement. Increasing the maximum contract amount would allow for additional contract capacity for unforeseen plumbing repairs that pose a great threat to the health and safety of the community and employees in citywide facilities for forthcoming emergency repair and replacement services.
This recommendation is made pursuant to subsection 252.022(a)(2) of the Texas Local Government Code, which provides that "a procurement necessary to preserve or protect the public health or safety of the municipality’s residents” is exempt from the competitive requirements for purchases.
MWBE Participation:
The Contract was awarded with an 11% M/WBE participation goal and American Mechanical Services of Houston, LLC is currently achieving a 15.92% participation level. The Office of Business Opportunity will continue to monitor the contract to ensure the M/WBE participation is met.
Fiscal Note:
Funding for this item is included in the FY24 Adopted Budget. Therefore, no Fiscal note is required as stated in the Financial Policies.
____________________________________ __________________________
Jedediah Greenfield, Chief Procurement Department Approval Authority
Officer Finance/Strategic Procurement Division
|
Estimated Spending Authority
|
|
Department
|
FY2024
|
Out-Years
|
Award Amount
|
|
General Services Department (GSD)
|
$300,000.00
|
$2,000,000.00
|
$2,300,000.00
|