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Item 4DCITY OF SOUTHLAKE MEMORANDUM (January 19, 2016) To: Shana Yelverton, City Manager From: Robert H. Price, P.E., Director of Public Works Item 4D Subject: Approve an annual purchase agreement with various vendors for the purchase of asphalt through an interlocal agreement with Tarrant County Action Requested: Approve an annual purchase agreement with various vendors for the purchase of asphalt through an interlocal agreement with Tarrant County. Background Information: The Public Works Streets Division requires the purchase of asphalt paving materials for the purpose of building and repairing streets. Chapter 271 of the Texas Local Government Code allows governmental entities to enter into interlocal agreements with other governmental entities to share contracts which have met the statutory bidding requirements as prescribed by the State of Texas. The City of Southlake has such an agreement with Tarrant County. In September 2015, Tarrant County awarded bid number 2015-189 with two (2) twelve (12) month renewal periods for an annual contract to six suppliers of asphalt road surfacing products. The City anticipates only using the following three vendors due to favorable service history and availability of product. • Reynold's Asphalt & Construction • Austin Asphalt, LP • JLB Contracting, LLC The City anticipates primarily using Reynolds Asphalt due to their pricing for Fine Grade Surface Course Hot Mix Asphaltic Concrete Type "D" being the lowest price per ton. City of Southlake Values: Integrity ♦ Innovation ♦ Accountability ♦ Commitment to Excellence ♦ Teamwork Page 2 of 2 Financial Considerations: Item 4D The total of all the purchases during the twelve month contract will exceed the $50,000 authorization power of the City Manager; therefore, this agreement requires City Council Approval. With the favorable pricing received in this contract and our experience with the vendors, staff recommends approval of the annual purchase agreement. Funding for this contract is provided in the FY2016 annual operating budget for the Streets Division and the FY2016 CIP budget. Expenditures will not exceed budgeted funds. In FY2014, the City spent a combined total of $384,261 with JLB Contracting, LLC and Reynolds Asphalt & Construction. In FY2015, the City spent $185,899 with JLB Contracting, LLC and Reynolds Asphalt & Construction, and in FY2016 to date, the City has spent $56,069 with Reynolds Asphalt & Construction. Strategic Link: This item relates to the City's strategy map focus areas of Infrastructure and Partnerships & Volunteerism. It specifically relates to the City's Corporate Objectives to invest to provide and maintain high quality public assets and to collaborate with select partners to implement service solutions. Citizen Input/ Board Review: N/A Legal Review: This agreement conforms with previous interlocal agreements that have been reviewed by the City attorney. Alternatives: The City Council may approve or deny this purchasing agreement. Supporting Documents: County Commissioners Court Award Documents Bid Award Recommendation Staff Recommendation: Approve an annual purchase agreement with various vendors for the purchase of asphalt through an interlocal agreement with Tarrant County. Staff Contact: Robert H. Price, P.E., Public Works Director Cristina McMurray, C.P.M, Public Works Dep. Director/Operations City of Southlake Values: Integrity ♦ Innovation ♦ Accountability ♦ Commitment to Excellence ♦ Teamwork .'e�pouryT N ; > COMMISSIONERS COURT COMMUNICATION REFERENCE NUMBER / 0 ( n PAGE I OF 11 DATE: 9/8/2015 SUBJECT: BID NO. 2015-189 — ANNUAL CONTRACT FOR ASPHALT ROAD SURFACING PRODUCTS — ALL PRECINCTS — VARIOUS VENDORS - PER UNIT PRICE AND DISCOUNT FROM LIST PRICE COMMISSIONERS COURT ACTION REQUESTED: It is requested that the Commissioners Court award Bid No. 2015-189, Annual Contract for Asphalt Road Surfacing Products, for all Precincts, to the following vendors at the per unit price and discount from list price: Primary APAC-Texas Austin Asphalt JLB Contracting Lane Construction Reynolds Asphalt & Construction Zack Burkett BACKGROUND: Notice of the County's intent to bid was advertised in local newspapers, as required by State statute, and posted on the Internet, the Arlington Black Chamber of Commerce, the Fort Worth Hispanic Chamber of Commerce, the Fort Worth Metropolitan Black Chamber of Commerce, and the Tarrant County Asian American Chamber of Commerce. Seventy (70) vendors were contacted and requested to participate in this bid process. All documents pertaining to this bid were posted on the Tarrant County website and were downloaded by interested bidders. Six (6) bids were received. Bids were evaluated by the four (4) Maintenance Precincts and Purchasing representatives. Primary award recommendations are to all vendors meeting specifications. Zack Burkett did not meet specifications for Item 15A because vendor did not provide a delivery time as required. The term of the contract is twelve (12) months, effective October 1, 2015, with two (2) options for renewal periods of twelve (12) months each. SUBMITTED BY: Purchasing PREPARED BY: Tim Jones % �! APPROVED BY: COMMISSIGNERS COURT � COMMUNICATION * •• *• REFERENCE NUMBER: DATE: 9/8/2015 PAGE 2 OF IE Therefore, it is the joint recommendation of the four (4) Maintenance Precincts and Purchasing that Bid No. 2015-189, Annual Contract for Asphalt Road Surfacing Products be awarded to the vendors listed above vendors at the per unit price and discount from list price. FISCAL IMPACT: Expenses from last year are approximately $2,888,000.00. Orders are placed on an as -needed basis. 4 U 'C O L a al C O c� t Q. N a L v L c O C Q Co T_ L6 r N M W LL w 3 i 'O Z "O �_ :2 E I m m m m m m m m Co D O Z O Z O Z O Z O Z O Z O Z v T 2 N O X U) m a) c W O c� c CL .-- E c m 0 ' N �— V Z C o 0 C C) O C C) O C o 0 C O O C o 0 ca E E r p In - Off- Off- O Off- O O C C C C) `ted CD L d a N L L!)a CO �- a N L �a 00 VCL co c a) U) c C. 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