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HomeMy WebLinkAboutItem 10 - Equipment Rental ITEM # MEMO TO: HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL FROM: BRUNO RUMBELOW, CITY MANAGER MEETING DATE: OCTOBER 2, 2012 SUBJECT: APPROVAL TO RENEW CERTAIN ANNUAL CONTRACTS FOR EQUIPMENT RENTAL SERVICES RECOMMENDATION: City Council to consider approval to renew annual contracts with Fox Rental and Kirby Smith Machinery for equipment rental services on an as-needed basis and not renew contracts with HiWay Equipment Company and Sunbelt Rentals. FUNDING SOURCE: Funds are limited to the budgeted amount for each department. Total estimated amount $100,000.00. BACKGROUND: Bids were taken in accordance with Local Government Code Chapter 252, Subchapter B, Section 252.021 (a) and Section 252.041 (a). The bid advertisement was posted in the Fort Worth Star Telegram on August 31 and September 7, 2011. The bid was opened publicly on September 20, 2011. The purpose of this bid is to establish fixed annual pricing for heavy equipment rental services to be available to various City departments on an as-needed basis. The bid is for a one-year period with options to renew for four additional one-year periods. This is the first renewal of the four available. There were 24 vendors notified of the bid. Bid packets were sent to eight vendors that requested it. Four bids were received. This is a multiple award contract based on the various price schedules that were bid. When a need is identified, the equipment rental order will go to the vendor whose bid is the lowest based on our requirements of a daily, weekly, or monthly rental and whether it needs to be delivered or not. The City would like the Council to consider not renewing the contracts with HiWay Equipment Company and Sunbelt Rentals equipment rental services. The City's Departments did not utilize these vendors during the past contract year due to non- 1:06:53 PM 9/26/2012 availability of equipment, lack of specified equipment and extremely long lead times for requested equipment. Staff recommends the renewal of Bid 373-2011 for an annual contract only to Fox Rental and Kirby Smith Machinery, Inc. for equipment rental services on an as-needed basis. BS 1:06:53 PM 9/26/2012