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HomeMy WebLinkAboutCC AG PKT 2014-11-10 #M AGENDA STAFF REPORT c4OFORN\Qi DATE: November 10, 2014 TO: Honorable Mayor and City Council THRU: Jill R. Ingram, City Manager FROM: Sean P. Crumby, P.E., Director of Public Works SUBJECT: FISCAL YEAR 2014-15 FLEET REPLACEMENT SUMMARY OF REQUEST: That the City Council adopt Resolution No. 6516 authorizing the City Manager to purchase replacement vehicles and equipment for the City's fleet as follows: • Purchase four Ford Explorer Police Units from Downtown Ford Sales in the amount of$139,133.92; • Purchase one Kia Sportage from Garden Grove Kia in the amount of $21,704.75; • Purchase one Auto Crane from Morgan Company in the amount of $23,000; • Purchase one trailer from Direct Edge Inc., in the amount of $12,793.80 • Purchase one 4-1 loader bucket from Sonsray Machinery in the amount of $20,925; and • Authorize up-fitting of vehicles in the amount of $37,500. BACKGROUND AND ANALYSIS: On June 11, 2012, the City Council adopted the 2012 Fleet Management Plan and directed staff to implement the recommendations contained therein. The Fleet Management Report established a vehicle and equipment replacement schedule based on years of service and mileage. Insofar as the replacement schedule allows the City to effectively plan and budget for vehicle and equipment replacement, the overall goal of the Fleet Management Program is to maximize efficiencies and value. On February 10, 2014, the City Council approved the replacement of five (5) existing City vehicles for Fiscal Year (FY) 2014-15 as part of the annual budget preparation process. Funds to replace those vehicles, as well as purchase new maintenance equipment and fund vehicle up-fitting costs were included in the proposed FY 2014-15 Operating Budget which was subsequently approved by the City Council. Agenda Item M Procurement Process The City's purchasing and contract policies are defined within the City's Municipal Code and Charter. The cost for goods or services to be purchased dictates how they are to be procured. The City is also able to "piggy-back" onto competitively bid contracts awarded by other public agencies throughout the State. The City is able to purchase the police units through a competitive bid and contract awarded by the City of Sacramento, The City has purchased vehicles and equipment through State-wide public bids in the past. Staff obtained cost proposals for the new Kia unit and maintenance equipment from local vendors. The City's purchasing and contract policies also allow for sole-source purchases when a product or service is only available through one source. The new motorized crane staff proposes to purchase is sold through area manufacturer representatives. The manufacturer's sales representatives in California are located in Fresno, Bakersfield and Fontana. A sole-source purchase through the manufacturer's Fontana representative is required as an existing City maintenance truck will be fitted with the crane and it is not feasible or cost effective to ship the truck to Fresno or Bakersfield. The proposed purchase of the 4-1 loader bucket will be fitted onto the City's existing wheel loader and will provide staff with added flexibility to be able to move and pick up large objects, sand piles and debris with the wheel loader. The new loader bucket is being purchased from the same dealer the City purchased the wheel loader from as they are local and the loader will need to be transported to their facility for installation of the new bucket. The proposed new trailer is sold direct by the manufacturer so multiple cost proposals were unavailable however the cost of this trailer is comparable to other available products. Staff solicited three cost proposals for the Kia unit and only two local dealers elected to submit proposals: • Garden Grove Kia: $21,704.75 • Kia of Cerritos: $24,207.00 Vehicle and Equipment Surplus After the new vehicles are purchased and up-fitted with necessary equipment and placed into service, the vehicles that were replaced will be sent to auction. The sales proceeds from those auctions will be deposited back into the fleet replacement fund. ENVIRONMENTAL IMPACT: There is no environmental impact associated with this item. LEGAL ANALYSIS: The City Attorney has reviewed and approved as to form. Page 2 FINANCIAL IMPACT: The total cost for the purchases and up-fitting is $217,557.47. The cost allocation for the replacement of these vehicles and equipment by Fund is as follows: Fund Amount Fleet Replacement Fund $172,852.72 Water Enterprise Fund $21,704.75 Sewer Enterprise Fund $23,000 The Fiscal Year 2014-15 Operating Budget includes $267,500 for vehicle and equipment replacement and up-fitting equipment. RECOMMENDATION: That the City Council adopt Resolution No. 6516 authorizing the City Manager to purchase replacement vehicles and equipment for the City's fleet as follows: • Purchase four Ford Explorer Police Units from Downtown Ford Sales in the amount of $139,133.92; • Purchase one Kia Sportage from Garden Grove Kia in the amount of $21,704.75; • Purchase one Auto Crane from Morgan Company in the amount of $23,000; • Purchase one trailer from Direct Edge Inc., in the amount of $12,793.80 • Purchase one 4-1 loader bucket from Sonsray Machinery in the amount of $20,925; and • Authorize up-fitting of vehicles in the amount of $37,500. SUBMITTED BY. NOTED AND APPROVED: Sean P. Crumby, P.E. ill . Ingram, C y Man er Director of Public Works Prepared by: Luis Estevez, Deputy Director of Public Works, Maintenance & Utilities Attachments: A. Resolution No. 6516 Page 3 RESOLUTION NUMBER 6516 A RESOLUTION OF THE SEAL BEACH CITY COUNCIL APPROVING THE PURCHASE OF REPLACEMENT VEHICLES AND EQUIPMENT FOR THE CITY'S FLEET AND THE SLUSIG OF EXISTING VEHICLES AND EQUIPMENT FOR FISCAL YEAR 2014-15 WHEREAS, the City Council adopted the 2012 Fleet Management Plan on June 12, 2012; and WHEREAS, the Fleet Management Plan established a vehicle and equipment replacement schedule and scoring methodology to evaluate the condition of vehicles and equipment requiring replacement; and WHEREAS, the City's fleet is evaluated on an annual basis and five existing vehicles require replacement and three new pieces of maintenance equipment are needed; and WHEREAS, the City Council approved funds for replacement vehicles and new maintenance equipment in the Fiscal Year 2014-15 Operating Budget. NOW, THEREFORE, THE SEAL BEACH CITY COUNCIL DOES HEREBY RESOLVE: Section 1. The City Council hereby approves the purchase of five replacement vehicles and three pieces of maintenance equipment for a total cost of $217,557.47. Section 2. The City Council hereby authorizes the City Manager to approve purchase orders for the new vehicles and equipment. Section 3. The City Council hereby authorizes the City Manager to surplus existing vehicles and equipment. PASSED, APPROVED AND ADOPTED by the Seal Beach City Council at a regular meeting held on the 10th day of November, 2014 by the following vote: AYES: Council Members NOES: Council Members ABSENT: Council Members ABSTAIN: Council Members Mayor ATTEST: City Clerk STATE OF CALIFORNIA } COUNTY OF ORANGE } SS CITY OF SEAL BEACH } I, Linda Devine, City Clerk of the City of Seal Beach, do hereby certify that the foregoing resolution is the original copy of Resolution Number 6516 on file in the office of the City Clerk, passed, approved, and adopted by the City Council at a regular meeting held on the 10th day of November 2014. City Clerk