Authorize Execution of Change Order No. 1 to City Secretary Contract No. 42732 in the Amount of $1,501,937.00 for the Parts Supply and Management Services Agreement Between the City of Fort Worth and Genuine Parts Company/NAPA Auto Parts to Extend the Contract Terms by Three Months (ALL COUNCIL DISTRICTS)

It is recommended that the City Council authorize execution of Change Order No. 1 to City Secretary Contract No. 42732 in the amount of $1,501,937.00 for the Parts Supply and Management Services Agreement between the City of Fort Worth and Genuine Parts Company/NAPA Auto Parts to extend the contract terms by three months to end on March 31, 2017.

The Parts Supply and Management Services Agreement is one of the primary contracts used by the Property Management Department - Fleet Division to maintain the City of Fort Worth Fleet.  The Fiscal Year 2017 Budget includes an appropriation of $1,501,937.00 for the Parts Supply and Management Services Agreement for January 1, 2017 through March 31, 2017.  

The Internal Audit Department included an audit of Fleet Maintenance in the 2017 Audit Plan.  The contract extension is recommended to allow the preliminary results of the Fleet Maintenance audit to be included in the next Request for Proposal (RFP) issued for the Parts Supply and Management Services Agreement.  Any additional audit recommendations may be included in the contract negotiations. The next RFP will be for a three and one half year initial term with a two year renewal option.  The change of the contract term to coincide with the fiscal year will provide more efficient processing of contractual requirements including issuing purchase orders, verification of purchases and timely payment of invoices.

AGREEMENT TERMS - This change order will be a three month extension commencing on January 1, 2017 and ending on March 31, 2017.

M/WBE OFFICE - A waiver of the goal for MBE/SBE subcontracting requirements was requested by the Property Management Department and approved by the MWBE Office in accordance with the BDE Ordinance, because the purchase of goods or services is from sources where subcontracting or supplier opportunities are negligible.