title
ADOPT RESOLUTION TO PURCHASE MISCELLANEOUS EQUIPMENT
recommended action
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. 122220-WWI, 032119-CAT, and 012418-TER to provide the City access to preferential pricing of equipment from Westward Industries, Caterpillar Inc., and Terex Utilities, Inc.
3. Authorize the City Manager to execute a contract in the amount of $128,309.76 with Westward Industries through affiliated vendor, Municipal Maintenance Equipment, Inc. of Sacramento, CA, to purchase two GO-4 parking enforcement carts.
4. Authorize the City Manager to execute a contract in the amount of $73,564.77 with Caterpillar Inc. through affiliated vendor, Holt of CA of Stockton, CA, to purchase two forklifts.
5. Authorize the City Manager to execute a contract in the amount of $238,545.41 with Terex Utilities, Inc. of Stockton, CA, to purchase one tree 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.
body
Summary
The Public Works Department recommends the replacement purchase of equipment utilized by Parking Enforcement, Administrative Services Division (ASD/Stores), and the Public Works Department. The proposed replacement units have surpassed their stated lifecycles, 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 GO-4 parking enforcement carts, forklifts, and tree truck 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 three Cooperative Purchasing Agreements through Sourcewell, formerly National Joint Powers Alliance (NJPA), for a total of $440,419.94 for the purchase of two GO-4 parking enforcement carts, two forklifts, and one tree truck.
DISCUSSION
Background
Parking Enforcement, ASD/Stores, and the Public Works Department have several pieces of equipment that have surpassed their lifecycles and have multiple mechanical deficiencies.
• Parking Enforcement - The Parking Enforcement division utilizes GO-4 parking carts for daily operations. Proposed GO-4 replacements will have license plate recognition that will improve efficiency for the division.
• Handling Goods - ASD/Stores and the Public Works Department utilize forklifts daily for hauling and storage of goods for all City departments. Proposed forklifts will replace older models that are unsafe and non-compliant with California Air Pollution Control District standards.
• Tree Maintenance - The Public Works Department’s tree trimmer truck has recently been removed from service due to consistent mechanical and hydraulic failures.
The City’s replacement criteria for miscellaneous equipment, based on industry standards for performance and efficiency, is 15 years for small equipment and 20 years for large equipment. 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 five pieces of equipment that exceed the age and/or have recurring mechanical or operational issues (Attachment A). Replacement of these units is recommended.
Present Situation
The Public Works Department recommends the replacement purchases of two GO-4 parking enforcement carts, two forklifts, and one tree 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 three Cooperative Purchasing Agreements through Sourcewell, formerly NJPA, for a total of $440,419.94 for the following purchases:
• $128,309.76 with Westward Industries through affiliated vendor, Municipal Maintenance Equipment, Inc. of Sacramento, CA, to purchase two GO-4 parking enforcement carts (Attachment B).
• $73,564.77 with Caterpillar Inc. through affiliated vendor, Holt of CA of Stockton, CA, to purchase two forklifts (Attachment C and D).
• $238,545.41 with Terex Utilities, Inc. of Stockton, CA, to purchase one tree 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 equipment, including two GO-4 parking enforcement carts with Westward Industries; two forklifts with Caterpillar Inc.; and one tree truck with Terex Utilities, Inc.
2. The Westward Industries, Caterpillar Inc., and Terex Utilities, 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 Fleet Equipment Acquisition Fund, Account No. 4530-718-800004-500-000-00-45-000-000, for the purchase of two GO-4 parking enforcement carts, two forklifts, and one tree trimmer truck, for a total amount of $440,419.94.
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 - Equipment Replacement List
Attachment B - Municipal Maintenance Equipment (GO-4 Parking Enforcement Carts)
Attachment C - Holt of CA (Stores Forklift)
Attachment D - Holt of CA (Fleet Forklift)
Attachment E - Terex Utilities, Inc. (Tree Truck)