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Item Number: H.5. CITY COUNCIL REPORT SUBJECT: Third Amendment to Cooperative Purchasing Agreement with Border States Industries, Inc. for Maintenance, Repair and Operation Equipment, Supplies, Materials and Services MEETING DATE: May 26, 2026 TO: Mayor and Council FROM: Jamie McCracken, Utilities Director REVIEWED: Reyes Medrano, Jr., City Manager PURPOSE: The Utilities Department is requesting approval of the Third Amendment to the Cooperative Purchasing Agreement with Border States Industries, Inc. for Maintenance, Repair and Operation (MRO) Equipment, Supplies, Materials and Services utilized by the Utilities Department. BACKGROUND: On April 30, 2025, the City entered into a Cooperative Purchasing Agreement with Border States Industries, Inc. for the purchase of Maintenance, Repair and Operation Equipment, Supplies, Materials and Services. The Agreement allows the City to procure operational materials and related services necessary to support the Utilities Department’s infrastructure maintenance and daily operations. The Agreement has previously been amended and remains in effect. The proposed Third Amendment will increase the annual aggregate compensation amount and extend the term of the Agreement. DISCUSSION: Border States Industries, Inc. provides a variety of Maintenance, Repair and Operation products and related services used by the Utilities Department to maintain and operate utility infrastructure and systems. The additional funding authority is necessary to accommodate increased operational needs and anticipated purchases during the extended contract term. The Third Amendment increases the annual aggregate amount from $150,000 to $250,000 and extends the Agreement through April 30, 2027. All other terms and conditions of the Agreement shall remain unchanged. BUDGET IMPACT: The annual aggregate amount under the Agreement will increase by $100,000, for a new annual aggregate amount not to exceed $250,000. Funding for purchases under this Agreement is included within the Utilities Department operating budget. RECOMMENDATION: Staff recommends approval of the Third Amendment to the Cooperative Purchasing Agreement between the City of Tolleson and Border States Industries, Inc. for Maintenance, Repair and Operation Equipment, Supplies, Materials and Services, and authorization for the City Manager to execute and deliver the Amendment. ATTACHMENTS: 1. 05 26 26 UT - Third Amendment to CPA - Border States Industries Inc - End Date 04 30 27