M&C Review


COUNCIL ACTION:  Approved on 4/18/2017 

DATE: 4/18/2017 REFERENCE NO.: **P-12029 LOG NAME: 13P17-0222 CATERPILLAR EQUIPMENT REPAIR LSJ PMD
CODE: P TYPE: CONSENT PUBLIC HEARING: NO
SUBJECT:  

Authorize Purchase Agreement with Holt Texas LTD d/b/a Holt Cat, for Original Equipment Manufacturer Caterpillar Heavy Equipment Parts and Repairs in an Amount Up to $400,000.00 Annually, Using a Cooperative Contract for the Property Management Department (ALL COUNCIL DISTRICTS)


RECOMMENDATION:

It is recommended that the City Council authorize Purchase Agreement with Holt Texas LTD d/b/a Holt Cat for original equipment manufacturer Caterpillar heavy equipment parts and repairs, using Buyboard Contract No. 515-16 in an amount up to $400,000.00 annually for the Property Management Department.

 
DISCUSSION:

The Property Management Department will use this Agreement to purchase original equipment manufacturer (OEM) Caterpillar heavy equipment replacement parts, maintenance and service repairs from the authorized service facility Holt Texas LTD d/b/a Holt Cat.  Caterpillar heavy equipment is used for various purposes at construction sites throughout the City.

COOPERATIVE PURCHASE - State law provides that a local government purchasing item(s) under a Cooperative Purchasing Agreement satisfies state laws requiring that the local government seek competitive bids for purchase of the item(s).  Buyboard contracts have been competitively bid to increase and simplify the purchasing power of government entities.

PRICE ANALYSIS - Pricing remains the same as the previous Agreement.  Staff reviewed the pricing and determined it to be fair and reasonable.

ADMINISTRATIVE CHANGE ORDER - An administrative change order or increase may be made by the City Manager in the amount up to $100,000.00 and does not require specific City Council approval as long as sufficient funds have been appropriated.

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

AGREEMENT TERMS - Upon City Council approval, this Agreement will begin on April 12, 2017 and end on November 30, 2017 to coincide with the Buyboard contract dates.

RENEWAL OPTIONS - This Agreement may be renewed for up to two successive one-year terms at the City's option.  This action does not require specific City Council approval provided that the City Council has appropriated sufficient funds to satisfy the City's obligations during the renewal term.





 
FISCAL INFORMATION/CERTIFICATION:

The Director of Finance certifies that funds are available in the current operating budgets, as appropriated, of the participating Department. Prior to an expenditure being made, the Property Management Department has the responsibility to validate the availability of funds.

BQN\17-0222\LSJ
TO
    Fund Department
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Account Project
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Program Activity Budget
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Reference #
(Chartfield 2)
Amount

FROM
    Fund Department
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Account Project
ID
Program Activity Budget
Year
Reference #
(Chartfield 2)
Amount

Submitted for City Manager's Office by:
Jay Chapa (8180)
Originating Department Head:
Aaron Bovos (8517)
Additional Information Contact:
Jack Dale (8357)
LaKita Slack-Johnson (8314)

 
 
ATTACHMENTS
  HOLT CAT 1295 FORM -17-0222.pdf