From
Glenda Peterson
Title
Change Order No.1 to the Interlocal Price Agreement with awarding entity (City of Arlington) to Reynold Asphalt in the amount of $75,000; future renewals are also requested to be increased to a total annual amount of $375,000
Presenter
Ron McCuller, Public Works Director
Recommended Action
Approve
Analysis
On December 10, 2013 an Interlocal Price Agreement was approved by City Council (13-3282) for the purchase of hot mix asphalt to be utilized by the Street Services Division for pavement repairs to asphalt streets. City staff recommends a Change Order in the amount of $75,000 to complete various in-house projects within the City.
State purchasing laws, Local Government Code, Chapter 271, authorize local governments to enter into joint contracts and cooperative agreements for the performance of governmental functions normally associated with the operation of governments, such as purchasing necessary materials and supplies.
We are currently in our third contractual term with Reynolds Asphalt, and the estimated annual expenditure of $300,000 is insufficient to last the City the remainder of this term (exp. Dec 31, 2017). Future terms are also requested to be increased to a total annual expenditure not to exceed $375,000, to reflect the contract renewal. An increase in the amount of $75,000 for this term and future terms represents a 25% change to the original contract value.
Financial Consideration
Funds are available in FY 2017/2018 General Fund Budget, Street Maintenance (251210) Roads & Hwy Maintenance account 63030; and will be charged accordingly on orders through the end of the current fiscal year. Funding for future fiscal years will be paid from that year’s approved budgets.