AGENDA INFORMATION SHEET
DEPARTMENT: Materials Management
ACM: Bryan Langley
AGENDA DATE: February 21, 2017
SUBJECT
Title
Consider adoption of an ordinance accepting competitive proposals and awarding a contract for the purchase of electric substation class porcelain post insulators for Denton Municipal Electric to be stocked in the City of Denton Distribution Center; providing for the expenditure of funds therefor; and providing an effective date (RFP 6289-awarded to Anixter Inc. in the three (3) year not-to-exceed amount of $340,000).
Body
RFP INFORMATION
Denton Municipal Electric (DME) has substation projects approved in its five year Capital Improvement Plan that will require the installation of porcelain post insulators. The insulators are used to isolate electrical conductors from ground potential. The insulators are constructed of glazed porcelain and have metal end pieces for attaching to structures, switches, or bus material. DME uses these types of porcelain station post insulators in substations for three different voltages; 138kV, 69kV, and 13.2kV. Materials will be ordered on an as needed basis to maintain appropriate stocking levels in the City’s Distribution Center. As these commodities are “common stock items” in the Distribution Center working capital inventory under City of Denton General Government, they are not reviewed by the Public Utilities Board.
Request for Proposals were sent to 312 prospective suppliers, including five Denton firms. In addition, specifications were placed on the Purchasing website for prospective suppliers to download. Twelve proposals were received. Proposals were evaluated based upon published criteria, including price, delivery and probable performance by the supplier. A Best and Final Offer was conducted which resulted in Anixter, Inc. deceasing their average number of delivery days from 44 to 28. Anixter Inc.’s proposal provided the highest evaluated score, resulting in the best value for the City (Exhibit 1).
RECOMMENDATION
Approve a contract with Anixter, Inc. in the three (3) year not-to-exceed amount of $340,000.
PRINCIPAL PLACE OF BUSINESS
Anixter, Inc.
Corinth, TX
ESTIMATED SCHEDULE OF PROJECT
This is an initial one (1) year contract with options to extend the contract for two (2) additional one (1) year periods, with all terms and conditions remaining the same.
FISCAL INFORMATION
The costs for material purchased under the proposed agreement will be funded from project accounts on an as needed basis. The work proposed will be in the transmission category. These costs for transmission projects will ultimately be recovered through the Public Utility Commission Transmission Cost of Service Program (TCOS).
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: Evaluation/Ranking sheet
Exhibit 2: Ordinance
Exhibit 3: Contract
Respectfully submitted:
Ethan Cox, 349-7421
Customer Service Manager
For information concerning this acquisition, contact: Elton Brock at 349-7133.