SUBJECT
title
Consideration to renew contract FY23-029 with Nueces Power Equipment, Laredo, Texas in an annual amount up to $250,000.00 for the purchase of Original Equipment Manufacturer (OEM) parts/services for the City's Liebherr heavy equipment. The term of this contract shall be for a period of one (1) year beginning as of the date of its execution and is contingent upon the availability of appropriated funds. There was no price increase during the last extension period. This contract may be extended for one (1) additional one (1) year period. Funding is available in the Fleet Management Fund.
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PREVIOUS COUNCIL ACTION
Approved a one-year contract on 2/5/24.
BACKGROUND
This contract establishes a percentage discount on original equipment manufacturer parts and a labor rate for the City’s Liebherr heavy equipment. Staff is recommending awarding this contract to the sole bidder Nueces Power Equipment. The term of this contract shall be for a period of one (1) year beginning as of the date of its execution. The contract may be extended for one, additional one (1) year period. This contract will be the responsibility of and administered by the vendor and the City of Laredo Fleet.
Current Pricing:
Description Pricing
Discount Offered 0.00%
Hourly Labor Rate for Services (Field) $175.00
Hourly Labor Rate for Services (Shop) $150.00
Mileage Rate per mile $ 0.00
A complete bid tabulation is attached.
COMMITTEE RECOMMENDATION
None.
STAFF RECOMMENDATION
recommendation
It is recommended that this contract be renewed.
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Fiscal Impact
Fiscal Year: 2025.
Budgeted Y/N?: Yes.
Source of Funds: Fleet Management Fund,
Account #: 593-2810-533-2072.
Change Order: Exceeds 25% Y/N: No.
FINANCIAL IMPACT:
The purpose of this contract is to establish prices for the commodities or services needed, should the City need to purchase these commodities or services. The City's obligation for performance of an annual supply contract beyond the current fiscal year is contingent upon the availability of appropriated funds from which payments for the contract purchases can be made. If no funds are appropriated and budgeted during the next fiscal year, this contract becomes null and void.