SUBJECT
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Consideration to award contract FY24-081 to sole bidder Anderson Columbia, Weslaco, Tx. for the supply of Asphalt Hot Mix Type B & D, for street paving projects for an annual amount of $6,500,000.00. The term of this contract shall be for a period of one year and may be extended for three, additional one year periods. All materials will be purchased on an as-needed basis. Funding is available in General Fund-Public Works Department and other construction project budget.
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PREVIOUS COUNCIL ACTION
None
BACKGROUND
The City went out on formal bid solicitations through Cit-E-Bid for awarding a contract for the supply of supply of Asphalt Hot Mix Type B & D used in street paving, street construction, and general repair projects for all City departments. Sole bidder was Anderson Columbia, Weslaco, Tx. The term of this contract shall be for a period of one year and may be extended for three, additional one year periods. Should the vendor desire to extend the contract for the additional one year period, it must so notify the City in writing no later than sixty (60) days before the expiration of the prior term. Such notification shall be effective upon actual receipt by the City. Renewals shall be in writing and signed by the City's Purchasing Manager & City Manager or his designee, without further action by the Laredo City Council, subject to and contingent upon appropriation of funding therefore. All annual contracts shall bound by the terms of the bid documents. The City shall also have the right to extend this contract under the same terms and conditions beyond the original term or any renewal thereof, on a month to month basis, not to exceed 3 months. Said month to month extensions shall be in writing, signed by the City's Purchasing Manager & City Manager or his designee, and shall not require City Council approval, subject to and contingent upon appropriation of funding therefore.
Price Summary:
Section I
Asphalt Type B Hot Mix (Picked up by City Trucks)
Price per ton: $73.00
Annual Amount $1,500,000.00.
Section II
Asphalt Type D Hot Mix (Picked up by City Trucks)
Price per ton: $75.00
Annual Amount $5,000,000.00.
COMMITTEE RECOMMENDATION
None
STAFF RECOMMENDATION
recommendation
It is recommended that this contract be approved.
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Fiscal Impact
Fiscal Year: 2024
Budgeted Y/N?: Yes
Source of Funds: Construction Project Budget
Account #: 101-2730-532-3014
Change Order: Exceeds 25% Y/N: Click or tap here to enter text.
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.