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HomeMy WebLinkAboutItem 23 - Hot Mix Asphalt MEMO TO: HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL 2 FROM: BRUNO RUMBELOW, CITY MANAGER MEETING DATE: DECEMBER 5, 2017 SUBJECT: APPROVAL TO RENEW ANNUAL CONTRACTS FOR HOT MIX ASPHALT RECOMMENDATION: City Council to consider approval to renew annual contracts for hot mix asphalt with Austin Asphalt, JLB Contracting, LLC and Reynolds Asphalt and not renew with The Lane Construction Corporation. FUNDING SOURCE: Funds are available in account 174-43301-415-090 (Street Maintenance/Capital Replacement/Transportation Infrastructure Maintenance) in an estimated budgeted amount of $600,000.00. BACKGROUND: The purpose of this bid is to establish fixed indefinite quantity annual pricing for hot mix asphalt. The Public Works Street Department will use this material for street repairs and road construction projects. Material will be picked-up at the plant or delivered to jobsite locations on an as-needed basis. Based on the evaluation of the bid by Purchasing and the Public Works Department it was determined that a primary award be made to Austin Asphalt and secondary awards be made to JLB Contracting, LLC and Reynolds Asphalt to ensure availability of materials without interruption of road projects. All vendors have agreed to renew with no increase in pricing. The Lane Construction Corporation made a business decision not to renew. Bids were taken in accordance with Local Government Code Chapter 252, Subchapter B, Section 252.021 (a) and Section 252.041 (a). The contract was for an initial one-year period with four, one-year renewal options. If approved, this would be the third renewal available. Staff recommends approval. KH/LW