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Item Number: H.6. CITY COUNCIL REPORT SUBJECT: Second Amendment to Cooperative Purchasing Agreement with WACO, LLC for Emergency Pipeline Repair Services MEETING DATE: January 27, 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 Second Amendment to the Cooperative Purchasing Agreement between the City of Tolleson and WACO, LLC to increase the annual compensation for emergency pipeline repair services. BACKGROUND: On April 11, 2025, the City entered into a Cooperative Purchasing Agreement with WACO, LLC, based on a City of Scottsdale cooperative contract, to provide emergency pipeline repair services for the City’s water and wastewater infrastructure. The cooperative purchasing method allows the City to utilize competitively procured contracts from other public agencies, resulting in efficient procurement and cost-effective pricing. Emergency pipeline repair services are critical to maintaining the integrity, reliability, and safety of the City’s water and wastewater systems, particularly in response to unexpected line failures or infrastructure emergencies. DISCUSSION: The Second Amendment increases the annual not-to-exceed compensation amount from $200,000 to $350,000 per year to address increased demand for emergency repair services and to ensure adequate contract capacity is available when urgent repairs are required. All other terms and conditions of the original Agreement remain unchanged. The Second Amendment to the Cooperative Purchasing Agreement with WACO will include major repair services for City equipment, with the contractor available on an on-call basis to respond to repair needs as they arise. Maintaining WACO as an on-call service provider ensures timely repairs that support uninterrupted operations. The City requires multiple on-call vendors to ensure service availability in the event one contractor is unavailable or engaged elsewhere, providing operational redundancy and minimizing potential service delays. BUDGET IMPACT: Funding for emergency pipeline repair services is included in the Utilities Department’s adopted budget. The Agreement, as amended, establishes a not-to-exceed annual amount of $350,000 per year, subject to budget appropriation. RECOMMENDATION: Staff recommends approval of the Second Amendment to the Cooperative Purchasing Agreement between the City of Tolleson and WACO, LLC for emergency pipeline repair services, and authorization for the City Manager to execute the Amendment. ATTACHMENTS: 1. 01 27 26 UT - Second Amendment to CPA - WACO