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Council hears why low bid for Tejano Utilities came in under budget; staff says firm vetted
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Summary
Council members questioned a contract with Tejano Utilities after it came in well under the budgeted amount; procurement staff said the bid was vetted and the remaining funds would stay in the same fund and roll to the next project.
Council members asked questions about a planned contract with Tejano Utilities after the low bid came in substantially below the budgeted amount.
Councilman Neal said the council had budgeted about $1.5 million for the work and noted the bid appeared to come in significantly lower. Procurement staff told the council they had reviewed the bidder’s line items, completed background checks and were confident the firm can perform the work despite the low number. Staff said any funds not used for this contract should remain in the same fund and roll forward to the next project.
Councilman Neal expressed concern that a low bid might indicate a missing scope item and asked whether the firm had omitted work. Procurement staff said they had checked bid line items and confirmed completeness. No formal award or vote occurred during the study session; staff indicated the item will proceed through the regular procurement process with documentation of the review.
The study session did not record specific contract or ordinance numbers for the item; council members asked staff to include the procurement review as part of the regular meeting packet.
