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HomeMy WebLinkAbout(0029) M&C 21-0139City of Fort Worth, Texas Mayor and Council Communication DATE: 03/02/21 M&C FILE NUMBER: M&C 21-0139 LOG NAME: 13P AMEND FASTENAL MRO FMS MG SUBJECT (ALL) Authorize Increase to Cooperative Agreement with Fastenal Company in the Amount of $100,000.00 for a New Total Annual Amount of $300,000.00 for Facilities Maintenance, Repair and Operations, and Industrial Supplies for All City Departments RECOMMENDATION: It is recommended that the City Council authorize an increase to the Cooperative Agreement with Fastenal Company in the amount of $100,000.00 for a new total annual amount of $300,000.00 for facilities maintenance, repair and operations, and industrial supplies for all City Departments. DISCUSSION: On June 2, 2020, the City of Fort Worth entered into an agreement with Fastenal Company under Texas Multiple Award Schedule (TXMAS) Cooperative Agreement, No. TXMAS-18-51 V07, for an annual amount up to $200,000.00. This agreement allows the City to purchase facilities maintenance and industrial supplies. The increased spending with Fastenal Company is being requested because the Water Department is in the process of changing all of the City's water meters to smart meters. The Water Department uses this agreement to purchase steel nuts, bolts, meter plugs, meter locks and keys, and various minor equipment. Purchasing requests that City Council authorize an increase to the above -described contract by $100,000.00 to accommodate this increased, and necessary, spending. The new total annual amount of the agreement would be $300,000.00. AGREEMENT TERM - The current agreement term is from July 1, 2020 to June 30, 2021. Upon the expiration of the current term, the City will have two (2) options to renew the agreement. ADMINISTRATIVE CHANGE ORDER - An administrative change order or increase may be made by the City Manager up to the amount allowed by relevant law and the Fort Worth City Code and does not require specific City Council approval as long as sufficient funds have been appropriated. COOPERATIVE PURCHASE - State law provides that a local government purchasing an item under a Cooperative Purchasing Agreement satisfies state laws requiring that the local government seek competitive bids for purchase of the item. The Cooperative Agreement serves ALL COUNCIL DISTRICTS. M/WBE: A MBE/SBE goal is not assigned when purchasing from an approved purchasing cooperative or public entity. A Form 1295 is not required because: This contract will be with a publicly -traded business entity or a wholly -owned subsidiary of a publicly -traded business entity: Fastenal Company FISCAL INFORMATION / CERTIFICATION: The Director of Finance certifies that funds are available in the current operating budget, as previously appropriated, in the participating departments' Operating Funds to support approval of the above recommendation and execution of the agreement. Prior to any expenditure being incurred, the participating departments have the responsibility to validate the availability of funds. Submitted for City Manager's Office by. Jay Chapa 5804 Originating Business Unit Head: Reginald Zeno 8517 Additional Information Contact: Cynthia Garcia 8525 Michelle Green 2058