Posting Language
Title
Authorize five contracts for three-phase distribution pad-mount transformers designed for underground distribution electrical facilities for Austin Energy with CribProcure Inc., Kllen Group America, Inc., Techline Inc., Texas Electric Cooperatives, and Texas Meter & Device Co. LLC d/b/a Texas Meter & Device, for an initial term of two years in an estimated amount of $20,000,000 with up to three one-year extension options each in an estimated amount of $10,000,000 for a total contract amount not to exceed $50,000,000, divided among the contractors. Funding: $10,000,000 is available in the Operating Budget of Austin Energy. Funding for the remaining contract term is contingent upon available funding in future budgets.
Body
Lead Department
Austin Financial Services.
Client Department(s)
Austin Energy.
Fiscal Note
Funding in the amount of $10,000,000 is available in the Fiscal Year 2026-2027 Operating Budget of Austin Energy.
Funding for the remaining contract term is contingent upon available funding in future budgets.
Procurement Language:
Austin Financial Services issued a Request for Proposals solicitation RFP 1100 EAL3030 for these goods. The solicitation was published on March 30, 2026, and closed on April 21, 2026. Of the twenty-five offers received, the proposals submitted by the recommended contractors represented best value to the City based on the solicitation’s evaluation criteria. A complete solicitation package, including a log of offers 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=143886.
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 the 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.
Council Committee, Boards and Commission Action:
October 19, 2026 - To be reviewed by the Electric Utility Commission.
Additional Backup Information:
The contract will provide three-phase pad-mount distribution transformers to Austin Energy on an as needed basis. These transformers are intended for use on concrete slabs and are designed for underground distribution electrical facilities. Contracting with multiple vendors will allow Austin Energy to diversify its supplier base in the event of delays, shortages or price increases.
Three-phase pad-mount transformers step the voltage of Austin Energy's underground distribution lines down to the lower voltage used by customers. They are installed at ground level on concrete pads and typically serve commercial buildings, multifamily properties, and other larger electric loads. Austin Energy uses them to connect new customers and developments, to replace aging or failed units, and to restore service after equipment failures.
This will replace the current contract which expires November 15, 2026. Techline Inc is a current provider of these goods. CribProcure Inc., Techline Inc, and Texas Electric Cooperatives are local.
An evaluation team with expertise in this area evaluated the offers and scored CribProcure Inc., Kllen Group America, Inc., Techline Inc, Texas Electric Cooperatives, and Texas Meter & Device Co LLC d/b/a Texas Meter & Device as the best to provide these services based on price, small business preference, local business preference, technical understanding, delivery lead time, and prior experience and personnel.
This request allows for the development of contracts with qualified offerors selected by Council. If the City is unsuccessful in negotiating satisfactory contracts with the selected offerors, negotiations will cease with those providers. Staff will return to Council so that another qualified offeror may be selected, authorizing new contract negotiations.
A delay in contract approval could impact the City’s ability to secure power as these transformers play a vital role in ensuring stable voltage of the distribution system, putting customers at risk.
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Contract Details: |
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Contract Term |
Length of Term |
Contract Authorization |
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Initial Term |
2 years |
$20,000,000 |
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Optional Extension 1 |
1 year |
$10,000,000 |
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Optional Extension 2 |
1 year |
$10,000,000 |
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Optional Extension 3 |
1 year |
$10,000,000 |
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Total |
5 years |
$50,000,000 |
Note: Contract Authorization amounts are based on the City’s estimated annual usage and may be more or less in the initial term and in each exercised optional extension; however, the total contract amount will not exceed $50,000,000.