S40-E26076 - Approve the purchase of twelve (12) excavators through the Houston-Galveston Area Council (H-GAC) in the total amount of $4,495,770.20 for the Department of Public Works and Engineering.
Specific Explanation:
The Director of the Department of Public Works and Engineering and the Chief Procurement Officer recommend that City Council approve the purchase of twelve (12) excavators equipment through the Houston-Galveston Area Council (H-GAC) in the total amount of $4,495,770.20 for the Department of Public Works and Engineering and that authorization be given to issue purchase orders to the H-GAC contractor's as shown below. These new excavators will be used citywide by the department to de-silt and re-grade major ditches and for the maintenance of city bridges and streets. The funding for this equipment is included in the FY17 Equipment Acquisition Plan.
H-GAC Contractors:
Associated Supply Company, Inc. (ASCO): Approve the purchase of eleven (11) excavators in the amount of $3,953,606.90.
These new diesel powered excavator units will meet the EPA's current emission standards for vehicles/equipment powered with diesel engines. The hydraulic excavators will come with warranties of two years/3000 hours on the complete units and five years/8000 hours on the diesel engines and the life expectancy is 12 - 15 years. These new excavators will replace existing units that have reached their useful life and will be sent to auction for disposition.
Menzi USA Sales, Inc.: Approve the purchase of one excavator in the amount of $542,163.30.
This new excavator unit will meet the EPA's current emission standards for equipment powered with diesel engines. The excavator will come with a full one-year/ 1500 hours warranty and two year warranty for the engine. The life expectancy is 10 years. This new excavator will replace an existing unit that has reached its useful life and will be sent to auction for disposition.
M/WBE:
Zero-Percentage Goal document approved by Office of Business Opportunity.
Hire Houston First:
This procurement is exempt from the City's Hire Houston First ordinance. Bids/proposals were not solicited because the department is utilizing an Interlocal Agreement dor this purchase.
Fiscal Note:
Funding for this item is included in the FY17 adopted budget. Therefore, no Fiscal Note is required as stated in the Financial Policy Ord. 2014-1078.
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John J. Gillespie, Chief Procurement Officer Department Approval Authority Signature
Finance/Strategic Procurement Division