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Home My WebLink AboutItem ESEAL F jOf ~ 6\ v0=l AGENDA STAFF REPORT A,V, DATE: September 25, 2017 TO: Honorable Mayor and City Council THRU: Jill R. Ingram, City Manager FROM: Steve Myrter P.E., Director of Public Works SUBJECT: FISCAL YEAR 2017 -18 FLEET REPLACEMENT SUMMARY OF REQUEST: That the City Council adopt Resolution No. 6769: 1. Approving Budget Amendment No. 18 -03 -02 for $10,300; 2. Authorizing the purchase of two replacement vehicles and equipment for the City's fleet at a total of $126,573.91, in accordance with the breakdown set out in this staff report, pursuant to Seal Beach Municipal Code Section 3.20.025(B); 3. Authorizing the City Manager to approve purchase orders for the new vehicles, equipment and payment of all State taxes and fees required for delivery for vehicle and equipment purchases; 4. Authorizing the City Manager to surplus existing vehicles and equipment upon the completion of the new vehicle and equipment purchase and retrofitting; and 5. Superseding and replacing Resolution No. 6766. BACKGROUND AND ANALYSIS: This agenda item for approval of the fleet replacement was previously approved on the September 11, 2017 City Council Meeting. However, there was an inadvertent error in the approved Resolution 6766, which did not reference Budget Amendment No. 18- 03 -02. The attached Resolution No. 6769 incorporates the appropriate budget amendment and supersedes and replaces Resolution No. 6766. 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 Plan established a vehicle and equipment replacement Agenda Item E schedule based on years of service and mileage. Currently, the replacement schedule allows the City to effectively plan and budget for vehicle and equipment replacements. The overall goal of the Fleet Management Plan is to maximize efficiency and value. As part of the annual budget process, staff hosted a Budget Study Session on May 30, 2017, presenting vehicles to be replaced as part of the 2017/18 Fleet Replacement Program to the City Council. Procurement Process The City's purchasing and contract policies are set out in the Seal Beach Municipal Code (SBMC) and Charter. The cost for goods or services to be purchased dictates how they are to be procured such as through an informal or formal bidding process. SBMC Section 3.20.025 lists certain exemptions from the bidding process, including for purchases of a commodity that can be obtained only from one vendor. The following are a list of procurement methods used to obtain quotes to purchase the vehicles. 1. "Piggy- back" — Is a commonly used term to competitively bid contracts awarded by other National Joint Powers Alliance (NJPA) and State public agencies to ensure the best pricing for purchases. The following table shows which vehicle is being purchased through which piggy -back contract: Contract # Ford Interceptor 1 Folsom Lake Ford i State of California B -1 1- 15- 23 4 - - -- 3 -.-..4 Tractor Loader i Coastline Equipment National Joint Powers Alliance 032515 -JDC With respect to the tractor loader, National Joint Powers Alliance (NJPA) is a government agency offering national cooperative contract purchasing solutions on behalf of its member agencies which include all government, education and non - profit agencies nationwide. These cooperative contract opportunities offer both time and money savings for their users by consolidating the efforts of numerous individually prepared solicitations to one national, cooperatively shared process. This process leverages the aggregation of volume from members nationwide. Membership for all members is free and voluntary at no cost to join and no obligation to participate. The NJPA was used to procure the John Deere Beach Tractor. The City's purchasing and contract policies allows the City to purchase directly from the manufacturer. 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. Page 2 ENVIRONMENTAL IMPACT: There is no environmental impact associated with this item. LEGAL ANALYSIS: The City Attorney has reviewed and approved the resolution as to form. FINANCIAL IMPACT: In the approved FY 2017 -18 Budget, $80,000 has been allocated from the Tidelands account to replace the tractor. $100,000 has been allocated from the Vehicle Replacement Fund to replace and up -fit the police vehicle. The following is a funding breakdown of the budgeted funds. Tidelands $80,000 Vehicle Replacement $100,000 Total $180,000 Below is a complete breakdown of the recommended vehicle and equipment purchases: Due to the final cost of the tractor at $90,282.17 and only $80,000 budgeted from the Tidelands account, the following Budget Amendment No. 18 -03 -02 is required to cover the shortfall. The total cost for the vehicle purchases is $126,573.91. Any remaining funds will be returned back the original funding source. RECOMMENDATION: That the City Council adopt Resolution No. 6769: 1. Approving Budget Amendment No. 18 -03 -02 for $10,300; Page 3 2. Approving the purchase of two replacement vehicles, up- fitting and equipment for the City's fleet at a total of $126,573.91, in accordance with the following breakdown: 3. Authorizing the City Manager to approve purchase orders for the new vehicles, equipment and payment of all State taxes and fees required for delivery for vehicle and equipment purchases; 4. Authorizing the City Manager to surplus existing vehicles and equipment upon completion of the new vehicle and equipment purchase and retrofitting; and 5. Superseding and replacing Resolution No. 6766. SUBMITTED BY: Steve Myrter, P. . Director of Public Works NOTED AND APPROVED: �!. Prepared by: Michael Ho, P.E., Deputy Director of Public Works Attachments: A. Resolution No. 6769 Page 4 NAMM .. Attachment "A" RESOLUTION NUMBER 6769 A RESOLUTION OF THE SEAL BEACH CITY COUNCIL APPROVING BUDGET AMENDMENT 18 -03 -02 AND THE PURCHASE OF REPLACEMENT VEHICLES AND EQUIPMENT FOR THE CITY'S FLEET, RETROFITTING OF FLEET, AND AUTHORIZING THE CITY MANAGER TO SURPLUS EXISTING VEHICLES AND EQUIPMENT FOR FISCAL YEAR 2017 -18, AND SUPERSEDING AND REPLACING RESOLUTION NO. 6766 WHEREAS, the City Council adopted the 2012 Fleet Management Plan on June 12, 2012; 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; WHEREAS, the City's fleet is evaluated on an annual basis and two existing vehicles and equipment require replacement; WHEREAS, the City Council approved funds for replacement vehicles and new maintenance equipment in the Fiscal Year 2017 -18 Operating Budget; and, WHEREAS, in accordance with the Seal Beach Charter and the City's purchasing ordinance set forth in Chapter 3.20 of the Seal Beach Municipal Code, in order to obtain the replacement vehicles and new maintenance equipment, the City solicited requests for quotations for purchase of vehicles, and also determined that the retrofitting of the fleet can be obtained only from one vendor in order to ensure the standardized retrofitting of the vehicles and equipment. WHEREAS, on September 11, 2017 City Council approved Resolution 6766 authorizing the purchase of replacement of vehicles and equipment for the City's fleet, retrofitting of fleet, and authorizing the City Manager to surplus existing vehicles and equipment for fiscal year 2017 -18, which inadvertently omitted authorization for Budget Amendment No. 18- 03 -02. NOW, THEREFORE, THE SEAL BEACH CITY COUNCIL DOES HEREBY RESOLVE: Section 1. The City Council hereby approves Budget Amendment No. 18 -03 -02 with the following breakdown: Resolution Number 6769 Section 2. The City Council hereby approves the purchase of two replacement vehicles, up- fitting and equipment for the City's fleet a total cost of $126,573.91, in accordance with the following breakdown: Section 3. The City Council hereby authorizes the City Manager to approve purchase orders for the new vehicles, equipment, retrofitting, up- fitting and to pay all sales tax and fees required for delivery for vehicle and equipment purchases. Section 4. The City Council hereby authorizes the City Manager to surplus existing vehicles and equipment upon the completion of the new vehicle and equipment purchase and retrofitting. Section 5. Resolution No. 6766 is hereby superseded and replaced by this Resolution No. 6769. PASSED, APPROVED AND ADOPTED by the Seal Beach City Council at a regular meeting held on the 11th day of September. 2017 by the following vote: AYES: Council Members: NOES: Council Members: ABSENT: Council Members: ABSTAIN: Council Members: ATTEST: Robin L. Roberts, City Clerk STATE OF CALIFORNIA } COUNTY OF ORANGE } SS CITY OF SEAL BEACH } Sandra Massa - Lavitt, Mayor I, Robin Roberts, City Clerk of the City of Seal Beach, do hereby certify that the foregoing resolution is the original copy of Resolution Number 6769 on file in the office of the City Clerk, passed, approved, and adopted by the City Council at a regular meeting held on the 11 "' day of Seotember 2017. Robin L. Roberts, City Clerk Pu Make Motlel Dealer Procurement TataVtax PD Patrol Ford Police Interco for Folsom Lake $fate $36,291.74 PW Beach Deere 210E Coastline NJPA $90,262.17 Grand Total $126 573 91 Section 3. The City Council hereby authorizes the City Manager to approve purchase orders for the new vehicles, equipment, retrofitting, up- fitting and to pay all sales tax and fees required for delivery for vehicle and equipment purchases. Section 4. The City Council hereby authorizes the City Manager to surplus existing vehicles and equipment upon the completion of the new vehicle and equipment purchase and retrofitting. Section 5. Resolution No. 6766 is hereby superseded and replaced by this Resolution No. 6769. PASSED, APPROVED AND ADOPTED by the Seal Beach City Council at a regular meeting held on the 11th day of September. 2017 by the following vote: AYES: Council Members: NOES: Council Members: ABSENT: Council Members: ABSTAIN: Council Members: ATTEST: Robin L. Roberts, City Clerk STATE OF CALIFORNIA } COUNTY OF ORANGE } SS CITY OF SEAL BEACH } Sandra Massa - Lavitt, Mayor I, Robin Roberts, City Clerk of the City of Seal Beach, do hereby certify that the foregoing resolution is the original copy of Resolution Number 6769 on file in the office of the City Clerk, passed, approved, and adopted by the City Council at a regular meeting held on the 11 "' day of Seotember 2017. Robin L. Roberts, City Clerk