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APPROVE LARGE EQUIPMENT PURCHASES FOR MUNICIPAL UTILITIES DEPARTMENT
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RECOMMENDATION
It is recommended that the City Council adopt a resolution to:
1. Approve findings pursuant to Stockton Municipal Code section 3.68.070 in support of an exception to the competitive bidding process.
2. Approve the use of Cooperative Purchasing Agreements through Sourcewell Contract Nos. 121918-FTS, 121918-MNR, 060920-NAF, and 122017-AMI/VAC to provide the City access to preferential pricing of miscellaneous equipment from Felling Trailers, Inc., Monroe Towmaster, LLC, National Auto Fleet Group, and Vac-Con, Inc.
3. Authorize the City Manager to execute a contract in the amount of $37,201.61 with Felling Trailers, Inc. through affiliated vendor, Holt of CA of Stockton, CA, to purchase one 40’ flatbed trailer.
4. Authorize the City Manager to execute a contract in the amount of $22,920.31 with Monroe Towmaster, LLC through affiliated vendor, Holt of CA of Stockton, CA, to replace one backhoe trailer.
5. Authorize the City Manager to execute a contract in the amount of $176,684.08 with National Auto Fleet Group through affiliated vendor, Municipal Maintenance Equipment, Inc. of Sacramento, CA, to replace one PipeHunter truck.
6. Authorize the City Manager to execute a contract in the amount of $508,394.27 with Vac-Con, Inc. through affiliated vendor, Municipal Maintenance Equipment, Inc. of Sacramento, CA, to replace one hydro-vac sewer cleaning truck.
It is also recommended that the City Manager be authorized to take appropriate and necessary actions to carry out the purpose and intent of this resolution.
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Summary
The Public Works Department recommends the acquisition of one 40’ flatbed trailer, and replacement purchases of one backhoe trailer, one PipeHunter truck, and one hydro-vac sewer cleaning truck utilized by the Municipal Utilities Department (MUD). The proposed replacement units have surpassed their stated lifecycles and hours and have multiple mechanical deficiencies.
Sourcewell is a public agency based in Minnesota that issues Cooperative Purchasing Agreements to simplify the procurement process for public agencies and take advantage of volume purchasing. Use of a Cooperative Purchasing Agreement streamlines administrative costs and procedures while maintaining the integrity of the competitive bidding process. The specifications for the trailers and hydro-vac sewer cleaning trucks available through Sourcewell meet the City’s requirements for this type of equipment.
It is recommended that Council adopt a resolution authorizing the City Manager to execute four Cooperative Purchasing Agreements through Sourcewell, formerly National Joint Powers Alliance (NJPA), for a total of $745,200.27 for the purchase of one 40’ flatbed trailer, one backhoe trailer, one PipeHunter truck, and one hydro-vac sewer cleaning truck.
DISCUSSION
Background
The MUD utilizes various heavy equipment daily in maintaining City utilities and to support emergency response.
• Trailers are used to transport large equipment, materials, and supplies around the plant and citywide.
• Sewer cleaning trucks remove solid and viscous obstructions from underground utilities, such as pump stations, sanitary sewer, and storm drain collections systems. The units are truck mounted hydraulic cleaning and vacuum systems.
The City’s replacement criteria for heavy and large equipment, based on industry standards for performance and efficiency, is 15 years. Adherence to this standard replaces equipment before routine failures and breakdowns are experienced, reducing the demand for extensive mechanical repairs. The replacement standard increases the resources available for preventative maintenance and is critical to the availability and performance of all fleet equipment, which includes all public safety and emergency response vehicles. Public Works staff identified multiple pieces of equipment in service that exceed the age and/or mileage criteria or have recurring mechanical or operational issues (Attachment A). Replacement of these units is recommended.
Present Situation
The Public Works Department recommends the acquisition of one 40’ flatbed trailer, and replacement purchases of one backhoe trailer, one PipeHunter truck, and one hydro-vac sewer cleaning truck utilizing Cooperative Purchasing Agreements with Sourcewell.
Sourcewell is a public agency based in Minnesota that serves as a municipal contracting agency to streamline the procurement process for public agencies and takes advantage of volume purchasing. All Sourcewell contracts have been competitively bid, solicited nationally, reviewed, evaluated by a committee, and recommended to the Sourcewell Board of Directors for consideration of award. The use of these contracts is optional and is available to California State and local government agencies.
The recommended resolution authorizes the City Manager to execute four Cooperative Purchasing Agreements through Sourcewell, formerly NJPA, for a total of $745,200.27 for the following purchases:
• $37,201.61 with Felling Trailers, Inc. through affiliated vendor, Holt of CA of Stockton, CA, to purchase one 40’ flatbed trailer (Attachment B).
• $22,920.31 with Monroe Towmaster, LLC through affiliated vendor, Holt of CA of Stockton, CA, to replace one backhoe trailer (Attachment C).
• $176,684.08 with National Auto Fleet Group through affiliated vendor, Municipal Maintenance Equipment, Inc. of Sacramento, CA, to replace one PipeHunter truck (Attachment D).
• $508,394.27 with Vac-Con, Inc. through affiliated vendor, Municipal Maintenance Equipment, Inc. of Sacramento, CA, to replace one hydro-vac sewer cleaning truck (Attachment E).
The equipment being replaced will be removed from the fleet and sold at public auction.
Findings
Pursuant to Stockton Municipal Code (SMC) section 3.68.070, Council may approve findings which support an exception to the competitive bidding process. These findings include:
1. Sourcewell established Cooperative Purchasing Agreements for the purchase of various heavy equipment with Felling Trailers, Inc., Monroe Towmaster, LLC, National Auto Fleet Group, and Vac-Con, Inc.
2. The Felling Trailers, Inc., Monroe Towmaster, LLC, National Auto Fleet Group, and Vac-Con, Inc. Cooperative Purchasing Agreements were established pursuant to formal competitive bidding processes conducted by Sourcewell on behalf of its governmental members, of which the City is one.
3. Taking advantage of the leveraged procurement agreements negotiated by Sourcewell will save the administrative expense of City staff conducting separate procurements.
4. The specifications for the replacement equipment available through the Sourcewell contracts meet the City’s requirements for their equipment type.
FINANCIAL SUMMARY
There are sufficient funds available in the MUD Capital Outlay accounts listed below for the purchase of one 40’ flatbed trailer, one backhoe trailer, one PipeHunter truck, and one hydro-vac sewer cleaning truck.
DEPARTMENT ACCOUNT ACCOUNT NO. AMOUNT
Municipal Utilities - Wastewater (50%) 6512-000-800003-610 $ 37,201.61
Maintenance (50%) 6511-000-800003-610
Municipal Utilities - Water 6512-000-800003-600 $ 22,920.31
Distribution
Municipal Utilities - Water 6512-000-800004-600 $ 176,684.08
Distribution
Municipal Utilities - 6520-000-800003-610 $ 508,394.27
Wastewater Collect
TOTAL $ 745,200.27
There is no impact to the City’s General Fund or any other unrestricted fund as a result of taking the recommended actions.
Attachment A - List of Equipment to Add/Replace
Attachment B - Holt of CA Quote (40’ Flatbed Trailer)
Attachment C - Holt of CA Quote (Backhoe Trailer)
Attachment D - Municipal Maintenance Equipment, Inc. (PipeHunter Truck)
Attachment E - Municipal Maintenance Equipment, Inc. (Hydro-vac Sewer Cleaning Truck)