Item Coversheet

CITY OF HOUSTON - CITY COUNCIL

Meeting Date: 8/26/2025
ALL
Item Creation Date:

ITB-2025-0046 - Automatic Transmission Rebuild and Remanufactured Services for Light-Duty Vehicles

Agenda Item#: 33.


 
                               
Summary:

ORDINANCE approving and authorizing contract between City of Houston and HIGHWAY 6 TRANSMISSION CENTER, INC for Automatic Transmission Rebuild and Remanufactured Services for Light-Duty Vehicles for the Houston Fleet Management Department; providing a maximum contract amount - 3 Years with 2 one-year options - $2,113,350.10 - Fleet Management Fund

Background:

Formal Bids Received May 29, 2025, for ITB-2025-0046 - Approve an ordinance awarding a contract to Highway 6 Transmission Center, Inc. in an amount not to exceed $2,113,350.10, for automatic transmission rebuild and remanufactured services for light-duty vehicles for a three (3) year term with two (2) one-year options for the Fleet Management Department.

 

Specific Instructions

The Director of the Fleet Management Department (FMD) and the Chief Procurement Officer recommend that City Council approve an ordinance awarding a three-year contract, with two one-year options, to Highway 6 Transmission Center, Inc. on its low bid in an amount not to exceed $2,113,350.10 for automatic transmission rebuild and remanufactured services for light-duty vehicles for the FMD.

 

This project was advertised in accordance with the requirements of the State of Texas bid laws.  Two electronic bids were received as outlined below.

 

 

Company

Total Amount

1.

Highway 6 Transmission Center, Inc.

$2,113,350.10

2.

Hardy Collision Center, Inc.

$2,198,137.56

 

  • Subsequent to receipt of the bid, the Strategic Procurement Division contacted potential bidders to determine the reason for the limited response to the ITB. Potential bidders stated they were not in the core business of providing these services or could not be competitive.

 

The Contractor shall furnish all labor, tools, supplies, parts, materials, equipment, and facilities necessary to provide automatic transmission repair/exchange (remanufactured) services for the FMD.

 

M/WBE Subcontracting:

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 proposed contractor has elected to pay into the Contractor Responsibility Fund in compliance with City Policy.

 

Hire Houston First:

The proposed contract requires compliance with the City’s ‘Hire Houston First’ ordinance that promotes economic opportunity for Houston businesses and supports job creation. In this case, Highway 6 Transmission Center, Inc. does not meet the requirements for HHF designation. No HHF firms were within three percent. 

 

Fiscal Note:

Funding for this item is included in the FY2026 Adopted Budget.  Therefore, no Fiscal Note is required as stated in the Financial Policies.

 

 

_____________________________________________________

________________________________________

Jedediah Greenfield, Chief Procurement Officer

Department Approval Authority Signature

Finance/Strategic Procurement Division

 

 

 

Estimated Spending Authority

Department

FY2026

Out Years

Total

Fleet Management

$350,662.68

$1,762,687.42

$2,113,350.10


Amount and Source of Funding:

$2,113,350.10

Fleet Management Fund

Fund: 1005

Contact Information:

Desiree Heath

SPD

832-393-8742

Candice Gambrell

SPD

832-393-9129

Jedediah Greenfield

SPD

832-393-9126