From
Anda Upchurch
Title
Assignment of Contract for Fleet Hydraulic Equipment Maintenance and Repairs from CMB Industries, LLC to TLR Hydraulics, Inc. in the amount of $50,000 annually for one year, with the option to renew for four additional one-year periods, totaling $250,000 if all renewal options are exercised; and authorize the City Manager to execute the renewal options with aggregate price fluctuations of the lesser of up to $50,000 or 25% of the original maximum price so long as sufficient funding is appropriated by the City Council to satisfy the City's obligation during the renewal terms
Presenter
Jayson R. Ramirez, Fleet Services Manager
Recommended Action
Approve
Analysis
The City has an active price agreement with CMB Industries, LLC, which will expire January 31, 2021 with three one-year renewals remaining, approved by City Council in January of 2019 (#19-8565). This contract is utilized by Fleet Services for maintenance and repairs for hydraulic equipment owned by the City.
In February of 2020, the City received notice that CMB Industries, LLC. was acquired by TLR Hydraulics, Inc. If approved, an assignment of contract will be executed for TLR Hydraulics, Inc. to assume the contract at the same pricing, terms, and conditions, and all future renewals will be to TLR Hydraulics, Inc.
Financial Consideration
Funding is available in the FY 2019/2020 Fleet Services budget 225510-63195 for cost of outside labor and will be charged accordingly on orders through the end of the current fiscal year. Funding for future fiscal years will be paid from their years' approved budgets.