AGENDA CAPTION:
Title
Consider approval of Resolution 2024-254R, approving an Authorization for Change in Service to extend a contract with McCoy Tree Surgery Company, through an Interlocal Agreement with the Lower Colorado River Authority (“LCRA”), for continued tree trimming services for the San Marcos Electric Utility Division through September 30, 2027, with two additional possible one-year extensions for an annual amount not to exceed $2,000,000.00 and a total contract price not to exceed $10,000,000.00; authorizing the City Manager, or her designee, to execute the Authorization for Change in Service and related documents on behalf of the city; and declaring an effective date.
Body
Meeting date: December 17, 2024
Department: Utilities Department - Brian McHenry, Assistant Director
Amount & Source of Funding
Funds Required: $10,000,000 ($2,000,000 per contract year)
Account Number: 21006319-52251
Funds Available: Budgeted annually
Account Name: Vegetation Management
Fiscal Note:
Prior Council Action: Res 2019-232R on November 19, 2019, approving the initial contract with McCoy Tree Surgery
City Council Strategic Initiative: [Please select from the dropdown menu below]
Public Safety, Core Services & Fiscal Excellence
Environmental Protection
Quality of Life & Sense of Place
Comprehensive Plan Element (s): [Please select the Plan element(s) and Goal # from dropdown menu below]
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Background Information:
By authority of the interlocal agreement with Lower Colorado River Authority (“LCRA”), the City will extend the current contract #220-072.2R with McCoy Tree Surgery, located in Norman, Oklahoma, through September 30, 2027. The contract is subject to two (2) additional one-year extension periods ending September 30, 2028, and September 30, 2029, respectively.
The estimated not-to-exceed cost of the initial extension period is $6,000,000. Each optional annual extension is estimated at a not-to-exceed cost of $2,000,000 per year. Therefore, this request is for approval of the total not-to-exceed amount of $10,000,000 for the five-year extension.
The purpose of the contract is to continue vegetation management (trimming, removing, or clearing) already in process the City’s electrical easements and rights-of-way to prevent damage to transmission lines and equipment as well as prevent interruption of electric services to City customers.
This contract is critical to ongoing electric utility system reliability and both electrical worker and customer safety in and around City utility lines. The continued work is part of multi-year plan for established zones throughout the City’s service area.
Council Committee, Board/Commission Action:
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Alternatives:
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Recommendation:
Approve the contract extension with McCoy Tree Surgery