AGENDA INFORMATION SHEET
DEPARTMENT: Denton Municipal Electric
CM: Todd Hileman
AGENDA DATE: March 13, 2017
SUBJECT
Title
Consider recommending adoption of an ordinance of the City Council of the City of Denton, Texas authorizing the City Manager to execute an interconnect agreement with Enterprise Texas Pipeline, LLC for professional engineering and construction services relating to the construction of the Denton Energy Center; authorizing the expenditure of funds therefor; in the amount of not-to-exceed $1,326,000 and providing an effective date.
Body
BACKGROUND
In order to provide a fuel supply for the Denton Energy Center, Denton Municipal Electric will contract with Enterprise Texas Pipeline, LLC to provide the infrastructure necessary to connect the Denton Energy Center to the pipeline owned by Enterprise. This infrastructure includes the pipeline tap, lateral line, water separator and associated water storage tanks, meters and various types of valves. Enterprise has extensive experience providing this type of infrastructure to facilities such as the Denton Energy Center.
In accordance with Texas Local Government Code 252.022(a)(14), the procurement of goods purchased by a municipality for subsequent sale by the municipality is exempt from the requirement of competition based selection. Based upon the Firm’s professional qualifications, expertise, reputation, knowledge of operations and economics, and the existence of the Firm’s main pipeline on the property where the Denton Energy Center is being constructed, staff is of the opinion that Enterprise is a good fit to provide the needed infrastructure.
RECOMMENDATION
Approve a contract with Enterprise Texas Pipeline, LLC in the not-to-exceed amount of $1,326,000.
PRINCIPAL PLACE OF BUSINESS
Enterprise Texas Pipeline, LLC
Houston, TX
ESTIMATED SCHEDULE OF PROJECT
This agreement will be in effect until all required services are completed or until all authorized funds have been expended. The estimated completion of construction is in July 2017.
FISCAL INFORMATION
The construction services will be funded from Denton Municipal Electric account 603996501.1360.3410.
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: Public Infrastructure
Related Goal: 2.3 Promote superior utility services and facilities
EXHIBITS
1. Presentation
Draft Interconnection Agreement will be handed out at the PUB Meeting.
Respectfully submitted:
Phil Williams
General Manager