SUBJECT
Consideration to award a two-year material/labor contract RFB 2026-090 to the following low bidders:
1 Sima Contractors, Laredo, Texas, as the primary vendor, in a total amount up to $1,369,800.00 for the initial two-year term, with three additional one-year renewal options upon mutual agreement of the parties.
2 Sal Construction, Weslaco, Texas, as the secondary vendor, in a total amount up to $1,000,000.00 for the initial two-year term, with three additional one-year renewal options upon mutual agreement of the parties.
The contracts are for concrete repairs of sidewalks, driveways, curbs, streets, and other paved areas resulting from water line repairs and related Utilities Department work. The initial term of the contracts shall be for a period of two years beginning on the date of execution and shall be contingent upon the availability of appropriated funds. All work will be performed on an as-needed basis as required by the Utilities Department. The contracts may be renewed for three additional one-year periods, upon mutual agreement of the parties. Funding is available in the Waterworks and Sewer System Funds.
VIVA LAREDO PLAN ALIGNMENT
Alignment Rating: High
Supporting goal(s)/policy(ies): Supports the City’s goals related to resilient infrastructure, environmental stewardship, public health, responsible utility management, and long-term protection of water resources.
Summary of alignment:
PREVIOUS COUNCIL ACTION
None
BACKGROUND
The City received three (3) formal bid submittals through Cit-E-Bid for awarding a material/labor contract for concrete repairs caused by water line breaks. This contract establishes pricing for concrete repair services for the Utilities Department. Bid pricing is based on square footage and includes all the necessary equipment, personnel, and materials needed to repair streets, sidewalks, curb, and driveways damaged by water line repairs and water line replacements.
Staff has reviewed the bids and is recommending that this contract be awarded to Sima Contractors as a primary vendor and Sal Construction as a secondary vendor. The term of this contract shall be for a period of two (2) year beginning as of the date of its execution. This contract may be extended for three, additional one-year periods. This contract shall be the responsibility of and administered by the vendor and the City of Laredo Utilities Department.
A complete bid tabulation is attached.
COMMITTEE RECOMMENDATION
None
STAFF RECOMMENDATION
It is recommended that these contracts be approved.
Fiscal Impact
Fiscal Year: 2026.
Budgeted Y/N?: Yes.
Source of Funds: Waterworks and Sewer System
Account #: 557-4130-533-2015 and 559-4220-533-2015
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.