AGENDA INFORMATION SHEET
DEPARTMENT: Denton Municipal Electric
CM: Todd Hileman
AGENDA DATE: April 18, 2017
SUBJECT
Title
Consider adoption of an ordinance of the City Council of the City of Denton, Texas, a home-rule municipal corporation, providing for, authorizing, and approving the execution by the City Manager, or his designee, of an interconnect agreement between the City of Denton and Enterprise Pipeline Texas, LLC, a Texas limited liability company, in the amount of $1,386,000.00 for the construction of gas supply and metering infrastructure in conjunction with the Denton Energy Center project; approving the execution of such other and further related documents deemed necessary to effectuate this agreement by the City Manager or his designee, which are incident or related thereto; authorizing the expenditure of funds therefore; and providing an effective date. The Public Utilities Board recommends approval (5-0).
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 prov...
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