From
Gary Yakesch, Assistant Director of Parks Finance
Title
Purchase of monuments and accessories offered for resale by Grand Prairie Memorial Gardens with Matthews International Corp. in an annual amount not to exceed $100,000; Memorial Monuments, Inc. in an annual amount not to exceed $100,000; and Family Bronze, LLC. in an annual amount not to exceed $60,000, each for one year with up to four additional one-year periods cumulatively totaling approximately $1,300,000; 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
Duane Strawn, Director of Parks, Arts and Recreation
Recommended Action
Approve
Analysis
Monuments (grave markers) are purchased by the City for customers at Grand Prairie Memorial Gardens; these monuments (grave makers) are procured and used exclusively for subsequent retail sales. Customers seeking to acquire a monument (grave marker) and any other related accessory, such as a monument plaque or other monument accessory, will obtain cemetery guidelines as it relates to these monuments. Cemetery staff coordinates design and layout of each monument individually and will procure the special order monument from the selected vendor. Monuments offered for resale are priced accordingly to prevailing market rates and the costs are fully recovered at the time of resale.
Local government code 252 provides an exemption from the competitive bid process when the goods purchased by a municipality are for subsequent retail sale by the municipality.
City Council authorization is required due to this expenditure surpassing $50,000. If approved, City staff will be authorized to make purchases of the specified goods/services for subsequent retail sales, as authorized by the Texas Local Government Code, so long as Council continues to appropriate funds and approve those future year's budgets for these resale items.
Financial Consideration
Resale expenses are recuperated during the subsequent retail sale. Funding is provided in the FY 2019/2020 Cemetery Fund (316210-60690). Funding for future fiscal years will be paid from that year's approved budgets so long as Council continues to appropriate funds and approve those future year's budgets for these resale items.