Title
Consider and take action on a resolution authorizing a one-year renewal agreement with Texas Materials Group, Inc. dba Gulf Coast for the purchase of crushed limestone for use by the Streets Department in an amount not to exceed $62,500 (Director of Public Works)
Background:
Approval of this item will authorize a one-year agreement with Texas Materials Group, Inc. dba Gulf Coast for the purchase of crushed limestone for use by the Streets Department from July 24, 2024 through July 23, 2025 in an amount not to exceed $62,500 with one (1) additional one-year extension option.
On July 25, 2023, City Council approved a one-year agreement with Texas Materials Group, Inc. dba Gulf Coast for the purchase of crushed limestone beginning July 25, 2023 through July 24, 2024 in an amount not to exceed $62,500, with the option to renew for two (2) additional one-year periods.
The City has an existing Interlocal Agreement for Joint Purchasing (see Attachment 4) with Galveston County that affords the City the opportunity to purchase crushed limestone with Texas Materials Group, Inc. dba Gulf Coast under contract CM23179 associated with Galveston County’s Bid #B232015 (Exhibit A) for $46.50 per ton delivered. This contract bid was opened on April 6, 2023, resulting in three bid submissions from Texas Materials Group, Inc dba Gulf Coast ($46.50 per ton delivered), Vulcan Construction Materials, LLC ($54.16 per ton delivered), and Martin Marietta ($59.00 + FSC per ton delivered). Current pricing is $44.16 per ton delivered.
Texas Materials Group, Inc. dba Gulf Coast has agreed to the terms of this renewal and Staff’s recommendation is to renew the agreement for the purchase of crushed limestone based on performance history and fair market pricing.
Crushed limestone material is a critical component for street repair/rehabilitation, culvert installations, and maintenance of the City’s remaining four miles of unimproved City roadways.
Attachments:
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