HomeMy WebLinkAbout7 Replacement of a Line TruckAgenda Item #7
TRUCKEE DONNER
Public Utility District
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CONSENT
To:
From:
Date:
Subject:
Board of Directors
Jim Wilson
February 17,2016
Consideration of Purchasing a Replacement Line Truck
1.WHY THIS MATTER IS BEFORE THE BOARD
Board approval is required for procurements in excess of $15,000 and only the Board
can declare vehicles surplus.
2.HISTORY
In 2008,the District established the Electric and Water Vehicle Replacement Funds to
provide a source of funds for periodic vehicle replacement.Funds are added each
year by both the Water and Electric Departments as described in the adopted budget.
3.NEW INFORMATION
Unit 226 is a 1999 Digger-Derrick with with 71,000 miles and 9,228 hours on the
machine.Unit 226 is at the end of its useful life and needs to be replaced.
Staff utilized the services of the National Joint Powers Alliance (NJPA),a national
purchasing alliance that bring the benefit of volume pricing to it's members.The NJPA
solicited purchase pricing of the vehicle through a competitive bid process.
The replacement cost of this vehicle is $340,668,with a projected lead time of 12
months.
4.FISCAL IMPACT
Sufficient funds exist in the Electric Utility Vehicle Reserve Fund for the purchase of
the vehicle.
Due to the long lead time associated with buying this type of vehicle,this vehicle will
be received in 2017,and paid for from the 2017 budget.
Recovery of some of the initial investment will be made through the sale of the surplus
vehicle at public auction.Proceeds from this sale will be transferred to the Electric
Utility Vehicle Reserve Fund.
5.RECOMMENDATION
1)Award the purchase of one Altec Model DM47B to Altec Industries,Inc.for the
amount of $340,668 with a 5%change order authorization,not to exceed $357,702
plus tax.
2)Declare Unit 226 surplus and apply the sales proceeds to the Electric Utility Vehicle
ReseNe Fund.
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Stephen Hollabaugh
Assistant General Manager
Michael D.Holley
General Manager