SUBJECT
title
Consideration to award two-year service contract FY25-057 to the following vendors:
1). Gutierrez Machine Shop, Laredo, Texas in an annual amount of $575,000.00 and two year amount of $1,150,000.00;
2). JMF Repair Services LLC., Corpus Christi, Texas in an annual amount of $475,000.00 and two year amount of $950,000.00;
3). Lewis Electric Motors and Pumps, Harlingen, Texas in an annual amount of $475,000.00 and two year amount of $950,000.00;
for water treatment and wastewater treatment, booster stations, and lift station pump repairs. This contract establishes hourly rates and a percentage discount on parts utilized during emergency pump repairs. All services will be purchased on an as needed basis. The term of the contract shall be for a period of two years. This contract may be extended for three, additional one-year periods, upon mutual agreement of the parties. Funding is available in the Waterworks and Sewer System Funds.
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PREVIOUS COUNCIL ACTION
None
BACKGROUND
The City received four (4) proposals through Cit-E-Bid for awarding multiple service contracts for water treatment and wastewater treatment, booster stations, and pump lift stations. This contract establishes hourly shop and field rates and a percentage discount on parts utilized during emergency and critical pump repairs. The term of the contract shall be for a period of two years. This contract may be extended for three, additional one-year periods, upon mutual agreement of the parties. This contract shall be the responsibility of and administered by the vendor and the City of Laredo Utilities Department.
In determining the best value for the City of Laredo, the following factors were considered by the Utilities Department, in accordance with corresponding weights, in evaluating the proposals:
Description Maximum Points
Contractor’s Profile, Qualifications, Location. 30
An evaluation of pricing. 50
The bidder’s past relationship with the City of Laredo. 20
Total 100
Summary:
Vendor Evaluation Score
Gutierrez Machine & Welding Shop 87.50
JMF Repair Services LLC. 79.00
Lewis Electric Motor & Pump 72.50
Texas Machine Pump Shop Service 55.00
A complete bid tabulation is attached (Pricing).
COMMITTEE RECOMMENDATION
None
STAFF RECOMMENDATION
recommendation
It is recommended that these contracts be awarded.
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Fiscal Impact
Fiscal Year: 2025
Budgeted Y/N?: Yes
Source of Funds: Funding is available in the Water Works and Sewer System funds
Account #: 559-4210-533-2037,5594220-533-2037,557-4120-533-2037,and 557-4120-533-2030
Change Order: Exceeds 25% Y/N: No
FINANCIAL IMPACT:
All services will be purchased on an as need basis. 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.