AGENDA INFORMATION SHEET
DEPARTMENT: Materials Management
ACM: Bryan Langley
AGENDA DATE: March 21, 2017
SUBJECT
Title
Consider adoption of an ordinance accepting competitive proposals and awarding a contract for the purchase of high density polyethylene pipe for the City of Denton Landfill; providing for the expenditure of funds therefor; and providing an effective date (RFP 6236-awarded to Scheele Engineering Corporation in the three (3) year not-to-exceed amount of $780,000). The Public Utilities Board recommends approval (5-0).
Body
RFP INFORMATION
The City’s Solid Waste Department performs anaerobic leachate recirculation at the City’s landfill. This technology requires the application of liquid nutrients to the municipal solid waste that is placed within the landfill, in order to enhance microbic activity and waste decomposition within the waste pack. Liquid nutrients are introduced into the waste pack through a High Density Polyethylene Pipe (HDPE) piping system, which is installed within the waste pack as each waste cell is filled. The piping system allows for the controlled application of liquid nutrients throughout the waste cell, which then accelerates the landfill waste decomposition process, and the generation of methane gas.
In 2008, the City’s Solid Waste Department installed a landfill gas collection system to collect and use the methane gas as a green energy source. HDPE piping is used to collect and direct the gas to the electric power generator which is tied into the Denton Municipal Utilities power grid. The landfill gas collection system and the electric power generation station were designed for expansion as the methane gas production increases.
Liquid nutrients and landfill gas piping (HDPE) and piping accessories, are generally purchased one to two times per year, and routinely installed throughout the fiscal year as the landfill receives waste.
Request for Proposals were sent to 110 prospective suppliers, including five Denton firms. In addition, specifications were placed on the Purchasing website for prospective suppliers to download. Three proposals were received. Proposals were evaluated based upon published criteria, including price, delivery and probable performance by the supplier. Scheele Engineering Corporation was the only vendor to provide pricing on all items and was ranked the highest, resulting in the best value for the City (Exhibit 1).
Due to sudden unanticipated market fluctuation, Sheele Engineering Corporation notified Purchasing that they could not honor the prices submitted and would need to modify several line items. This took place one business day prior to the Public Utilities Board meeting in which the contract was recommended for approval. Sheele Engineering Corporation then sent modified pricing, resulting in an increase of the total not-to-exceed amount based on the estimated quantities. This adjustment did not change the outcome of the scoring, therefore Scheele Engineering Corporation remains the best value for the City.
PRIOR ACTION/REVIEW (COUNCIL, BOARDS, COMMISSIONS)
On February 13, 2017, the Public Utilities Board recommended approval to forward this item to the City Council for consideration.
RECOMMENDATION
Award a contract with Scheele Engineering Corporation in the three (3) year not-to-exceed amount of $780,000.
PRINCIPAL PLACE OF BUSINESS
Scheele Engineering Corporation
Houston, 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 pipe will be purchased on as needed basis and will be funded from Solid Waste Capital Fund account numbers 660590594.1350.30100 and 660597594.1350.30100.
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
Exhibit 1: Evaluation and Ranking Sheet
Exhibit 2: Draft Public Utilities Board Minutes
Exhibit 3: Ordinance
Exhibit 4: Contract
Respectfully submitted:
Ethan Cox, 349-7421
Customer Service Manager
For information concerning this acquisition, contact: David Dugger at 349-8001.