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HomeMy WebLinkAbout13 Purchase Medium Duty Vehicles AGENDA ITEM # 13 Page 1 of 2 MEETING DATE: February 3, 2021 TO: Board of Directors FROM: Keith Renshaw, Assistant Electric Operations Manager SUBJECT: Consideration to Purchase Replacement Medium Duty Vehicles APPROVED BY______________________________ Brian C. Wright, Interim General Manager/ Water Utility Director RECOMMENDATION: a) Authorize the Interim General Manager to execute a contract with Altec Industries of Dixon, CA, for the purchase of three (3) Altec crane service bodies on 2021 Ford F550 4X4 chassis in the amount of $369,507, plus a 10% change order authorization, for a total not to exceed amount of $406,458 plus tax and fees. b) Declare Units 323, 324 & 325 surplus and authorize the Interim General Manager to dispose of the Units at public auction, applying sale funds to the Water Vehicle Reserve Fund. BACKGROUND: In 2011, the District purchased Units 323, 324 & 325, which are utility trucks based on a Ford F550 chassis. These trucks are used daily by the Water Department in the course of routine work inspecting and maintaining the water distribution systems. These vehicles are also utilized in winter months for snow clearing operations at the 51 District owned water facilities within the service territory. Units 323, 324 and 325 are ten years old and collectively they have in excess of 235K miles. Over the course of normal use they have reached the end of their useful service life. Staff has investigated several vehicle replacement options and has determined the best fit based on the needs of the District is an Altec crane service body on a 2021 Ford 5500 4X4 chassis. On December 17, 2020, staff requested and received a cost proposal from Altec Industries. The cost for each vehicle is $123,169, plus tax and fees. Sourcewell, formerly National Joint Purchasing Alliance, has identified Altec Industries of Dixon, CA as a competitive bidder for Specialized Public Utility Equipment, including service bodies, through an RFP process. Section 3.08.060 of the District Code (Joint Page 2 of 2 Purchasing with the State of California and other public agencies) permits the District to take advantage of other agencies competitive procurement processes. Altec Industries is a qualified Sourcewell vendor, and their bid is consistent with the District Code requirements. The existing Ford Units 323, 324 & 325 can be declared surplus and sent to public auction, with the proceeds being used to offset the purchase of the new vehicle. Staff estimates the value of the existing vehicles to be approximately $7,500 each. After the sale of Units 323, 324 & 325, the net cost of each new vehicle is estimated to be $115,669, plus tax and fees. This item is in support of the following objectives and goals identified by the District. 1.05.020 Objectives: 1. Responsibly serve the public. 6. Manage the District in an effective, efficient, and fiscally responsible manner. 1.05.030 Goals: 3.4. Conduct effective and efficient operations, maintenance, and replacement programs. 6.1. Utilize modern, cost effective work methods and equipment. FISCAL IMPACT: Unit 323 was budgeted for replacement in fiscal year 2020, with units 325 and 324 budgeted for replacement in fiscal year 2021. Due to COVID 19, significant delays were encountered during the vehicle planning and design stages delaying the 2020 purchases to 2021. The available balance in the Water Department Vehicle Reserve fund is $439,659. An estimated $71,542 will remain in the Water Department Vehicle Reserve Fund for FY 21. This does not include the estimated $22,500 in surplus vehicle sale revenue. ATTACHMENTS: Attachment 1: Sourcewell Vehicle quote 12-20-2020 Attachment 2: Altec Vehicle Specification Drawing