Legislation Details

File #: 26-2504   
Type: Consent Status: Agenda Ready
File created: 8/26/2026 In control: City Council
On agenda: 9/24/2026 Final action:
Title: Authorize a contract for compressed medical-grade oxygen for all City departments with Nippon Sanso Matheson Inc., for an initial term of two years with up to three one-year extension options in an amount not to exceed $544,275. Funding: $9,071 is available in the Fiscal Year 2025-2026 Operating Budget of various City departments. $99,784 is available in the Fiscal Year 2026-2027 Operating Budget of various City departments. Funding for the remaining contract term is contingent upon available funding in future budgets.
Attachments: 1. Recommendation for Action
Date Action ByActionAction DetailsMeeting Details
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Posting Language
Title

Authorize a contract for compressed medical-grade oxygen for all City departments with Nippon Sanso Matheson Inc., for an initial term of two years with up to three one-year extension options in an amount not to exceed $544,275. Funding: $9,071 is available in the Fiscal Year 2025-2026 Operating Budget of various City departments. $99,784 is available in the Fiscal Year 2026-2027 Operating Budget of various City departments. Funding for the remaining contract term is contingent upon available funding in future budgets.

 

De

Lead Department

Austin Financial Services.

 

Client Department(s)
All City Departments.

 

Fiscal Note

Funding in the amount of $9,071 is available in the Fiscal Year 2025-2026 Operating Budget of various City departments.

 

Funding in the amount of $99,784 is available in the Fiscal Year 2026-2027 Operating Budget of various City departments.

 

Funding for the remaining contract term is contingent upon available funding in future budgets.

 

Procurement Language:

Austin Financial Services issued an Invitation for Bids solicitation IFB 5000 JRN1037REBID for these goods. The solicitation was published on May 25, 2026, and closed on June 18, 2026. The recommended contractor submitted the only responsive offer. A complete solicitation package, including a tabulation of the bid received, is available for viewing on the City’s website. This information can currently be found at https://financeonline.austintexas.gov/afo/account_services/solicitation/solicitation_details.cfm?sid=144188.

 

MBE/WBE:

This contract will be awarded in compliance with the City Code Chapter 2-9B (Minority-Owned and Women-Owned Business Enterprise Procurement Program). For the goods required for this solicitation, there were no subcontracting opportunities; therefore, no subcontracting goals were established.

 

For More Information:

Direct questions regarding this Recommendation for Council Action to Austin Financial Services - Central Procurement at: FSDCentralProcurementRCAs@austintexas.gov or 512-974-2500. Respondents to the solicitation and their Agents should direct all questions to the Authorized Contact Person identified in the solicitation.

 

Additional Backup Information:

This contract provides rental of compressed medical-grade oxygen cylinder tanks. Maintaining adequate supply of medical-grade oxygen is essential to ensuring the safety and well-being of the public. The oxygen cylinders are provided in five sizes to support medic units, fire apparatus, ambulances, bicycles, and wilderness rescue kits.

 

This contract replaces a contract which expires on February 27, 2027. Requested authorization is based on historical spending and departmental estimates of future needs. The recommended contractor is not the current provider of these goods.

 

If this contract is not secured, the risk of delayed or inadequate emergency medical care will increase due to the potential unavailability of medical-grade oxygen. This could affect the ability for emergency responders to provide timely, lifesaving treatment and may compromise public health and safety.

 

 

 

 

 

Contract Details:

 

 

Contract Term

Length of Term

Contract Authorization

Initial Term

 2 years

$217,710

Optional Extension 1 

 1 year

$108,855

Optional Extension 2

 1 year

$108,855

Optional Extension 3

 1 year

$108,855

Total

 5 years

$544,275

 

Note: Contract Authorization amounts are based on the City’s estimated annual usage.