AGENDA INFORMATION SHEET
DEPARTMENT: Materials Management
ACM: Bryan Langley
AGENDA DATE: August 16, 2016
SUBJECT
Title
Consider adoption of an ordinance authorizing the City Manager to execute an Interlocal Agreement with the Texas Department of Public Safety (TxDPS) under Section 791.001 of the State of Texas Government Code, to authorize the City of Denton Fleet Department to perform maintenance and general repair services on TxDPS vehicles in return for payment as stipulated in the Interlocal Agreement; and declaring an effective date (File 6194).
Body
FILE INFORMATION
This agreement will allow the City of Denton Fleet Services to perform scheduled Preventative Maintenance services and minor repairs on Texas Department of Public Safety (TxDPS) vehicles in the North Texas area. This is a “pilot program” under which the TxDPS will stage a minimum number of vehicles at the Fleet Shop to exchange for units requiring services. Fleet Services staff will then work those vehicles into the maintenance schedule as practicable. Initially, the additional workload will be handled with current staffing. The benefit to TxDPS is a lower cost of transport and maintenance, while the City will benefit by adding revenue to the Fleet Services budget. This will also provide the potential for lowering operating costs for Fleet Services through an additional revenue source. The estimated yearly cost associated with services provided under the agreement is $50,000. Actual yearly costs will be determined by TxDPS vehicle maintenance requirements. The Fleet Services Department will submit monthly invoices to TxDPS for payment. The agreement allows for a 90 day written notice to cancel, by either party, should the program or level of service agreed to become unsustainable for either party.
Section 791.001 of the Texas Government Code requires that all interlocal contracts must be authorized by the governing body, regardless of the dollar amount.
RECOMMENDATION
Approve an Interlocal Agreement with the Texas Department of Public Safety to authorize the City of Denton Fleet Department to perform maintenance and general repair services on TxDPS vehicles.
PRINCIPAL PLACE OF BUSINESS
Texas Department of Public Safety
Denton, TX
ESTIMATED SCHEDULE OF PROJECT
This initial period of performance for the services ends on June 20, 2017. The Agreement will automatically renew on an annual basis unless terminated by either party.
FISCAL INFORMATION
The vehicle parts will be funded upfront from the Fleet Services Fund account 820100.7899. This account will be reimbursed from TxDPS payments made on a monthly basis. Fleet Services staff labor costs are already included in the department’s budget, therefore payments from TxDPS have the potential to help offset City of Denton internal customer costs.
STRATEGIC PLAN RELATIONSHIP
The City of Denton’s Strategic Plan is an action-oriented road map that will help the City achieve its vision. The foundation for the plan is the five long-term Key Focus Areas (KFA): Organizational Excellence; Public Infrastructure; Economic Development; Safe, Livable, and Family-Friendly Community; and Sustainability and Environmental Stewardship. While individual items may support multiple KFAs, this specific City Council agenda item contributes most directly to the following KFA and goal:
Related Key Focus Area: Organizational Excellence
Related Goal: 1.6 Collaborate with local, regional, state, and federal partners
EXHIBITS
Exhibit 1: Ordinance
Exhibit 2: Interlocal Agreement
Respectfully submitted:
Chuck Springer, 349-8260
Director of Finance
For information concerning this acquisition, contact: Terry Kader at 349-8729.