Dun Fleet Services proposes $14.9M equipment contract with Holtcap for city operations

The Denton City Council convened on June 17, 2025, to discuss several key initiatives aimed at enhancing city services and supporting local economic growth. Among the most significant proposals was a contract for construction equipment and repair services, which is expected to streamline operations across multiple city departments.

The Fleet Services Department proposed a contract with Holtcap for the purchase, rental, and repair of Caterpillar construction equipment, with a total estimated value of $14,983,500 over five years. This contract will allow the city to efficiently manage its equipment needs, particularly for essential services like wastewater drainage and solid waste management. The flexibility of rental options will enable the city to respond to varying operational demands without committing to long-term purchases. Council members expressed concerns about the balance between renting and purchasing equipment, emphasizing the importance of evaluating costs to avoid excessive rental expenses.

In addition to equipment management, the council approved a contract with TAC Energy for bulk fuel purchases, which will provide significant savings compared to retail fuel prices. This contract, valued at $24,440,000 over five years, will ensure reliable access to fuel for the city’s fleet, which includes over 1,600 vehicles. The move to bulk fuel is expected to reduce costs and improve efficiency in city operations.

Another highlight of the meeting was the proposal for an economic development agreement with Mayday Manufacturing, a local aerospace parts manufacturer. The company is seeking incentives for a $14.5 million expansion that would create 50 new jobs and enhance its facility by 45,000 square feet. The council discussed the potential economic benefits of this expansion, including increased tax revenue and job creation, and ultimately approved the incentive package, which includes a 60% rebate on new improvements and a direct cash grant from the Catalyst Fund.

These discussions reflect the city’s commitment to improving infrastructure and supporting local businesses, ultimately aiming to enhance the quality of life for Denton residents. The council's decisions are expected to have a lasting impact on city operations and economic development, paving the way for future growth and community support.