SUBJECT
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Consideration to renew annual parts/service contract FY23-039 for repairs to the City's lawn maintenance equipment, to the following vendors:
1) Mechanical Shop of Laredo, Laredo, Texas in an amount up to $220,000.00;
2) Bone's Custom Cycles, Laredo, Texas in an amount up to $220,000.00;
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 can be renewed (2) two additional one-year extension periods upon mutual agreement of the parties. Funding is available in the Fleet Management Fund.
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PREVIOUS COUNCIL ACTION
Approved a one-year contract on 4/3/23.
BACKGROUND
This contract establishes an hourly labor rate for repair services and percentage discount for parts needed for the City’s lawn maintenance equipment. All repairs shall be done at the local vendors shop. There was no price increase during the last extension period. The term of this contract shall be for a period of one (1) year beginning as of the date of its execution. This contract shall be the responsibility of and administered by the vendor and the City of Laredo Fleet Department.
A complete bid tabulation is attached (Pricing).
COMMITTEE RECOMMENDATION
None.
STAFF RECOMMENDATION
recommendation
It is recommended that these contracts be renewed.
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Fiscal Impact
Fiscal Year: 2024.
Budgeted Y/N?: Yes.
Source of Funds: Fleet Management Fund.
Account #: 593-2810-533-2078.
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.