AGENDA INFORMATION SHEET
DEPARTMENT: Materials Management
ACM: Bryan Langley
AGENDA DATE: September 20, 2016
SUBJECT
Title
Consider adoption of an ordinance of the City of Denton authorizing the City Manager or his designee to execute a contract through the National IPA Purchasing Program for the acquisition of one (1) 2014 CAT model MH3037 materials handler for the City of Denton Solid Waste Department; and providing an effective date (File 6224-awarded to Holt CAT in the amount of $455,584.49). The Public Utilities Board recommends approval (7-0).
Body
FILE INFORMATION
This item is an addition for the Solid Waste Department and will be used as part of their upcoming mining operation. The unit that staff is recommending is a demonstration (demo) model that currently has 800 hours of use. The equipment will have the same warranty as a new unit and will be fully serviced by the vendor prior to the City of Denton accepting delivery. Quotes were obtained from four (4) vendors-two (2) Cooperative Purchase Program vendors and two (2) non-contract vendors (Exhibit 1). Staff requested quotes on demo models with up to 1000 hours of use but Holt CAT was the only vendor with a demo unit that met specifications. Staff is recommending the purchase of the demo equipment quoted by Holt CAT due to an $83,349.75 savings over the newer CAT model. There is also a $62,060.38 savings over the next lowest quote. The demo equipment is also immediately available so there will be no order lead time. The materials handler will be purchased through the National IPA Cooperative Purchasing Network Contract# 120377.
RECOMMENDATION
Award the purchase of one (1) 2014 CAT model MH3037 to Holt CAT in the amount of $455,584.49.
PRINCIPAL PLACE OF BUSINESS
Holt CAT
Fort Worth, TX
ESTIMATED SCHEDULE OF PROJECT
The purchase and delivery the materials handler will occur within 5 days of purchase order issuance.
FISCAL INFORMATION
The materials handler (Fleet ID#SW1684) will be funded from Solid Waste Capital Fund account 660180595.1355.30100. Requisition #130316 has been entered in the Purchasing software system.
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: 1.1 Manage financial resources in a responsible manner
EXHIBITS
Exhibit 1: Comparison and Quotes
Exhibit 2: PUB Minutes
Exhibit 3: Ordinance
Respectfully submitted:
Chuck Springer, 349-8260
Director of Finance
For information concerning this acquisition, contact: Terry Kader at 349-8729.