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HomeMy WebLinkAbout10 Leak Trailer AGENDA ITEM #10 Public Utility District m MEETING DATE: June 7, 2023 TO: Board of Directors FROM: Brian Yohn, General Services Manager SUBJECT: Consideration for Procurement of Leak Trailer APPROVED BY: Brian C. Wright, General Manager RECOMMENDATION: a) Authorize the General Manager to execute a contract with Sundowner of California, for the procurement of a Leak Trailer for Water Operations with a total amount not to exceed $50,467, plus all applicable taxes and fees. b) Declare the replaced vehicle no. 379, 2006 Hallmark Leak Trailer surplus and authorize the General Manager to dispose of vehicle no. 379 at public auction, applying the proceeds from the auction sale to the Vehicle Reserve Fund. BACKGROUND: Code section 3.08.010 — Bid Procedure for Purchase of Commodities or Equipment Over $15,000 Water Operations currently uses an enclosed trailer to store equipment and materials used primarily during emergency response to water leak occurrences. The trailer, named the "Leak Trailer", is a sixteen foot long 2006 Hallmark brand enclosed trailer that is customized to best support emergency responses to water leaks. Vehicle Maintenance staff collaborated with Water Operations to develop trailer specifications with additional customizations to include a recreational vehicle (RV) style toilet restroom and related winterization measures. The custom trailer specifications were submitted and published to the public bid process in September 2022, for which one bid was received at bid opening from Phoenix Contracting, LLC. in the amount of $67,975. The bid received is $12,767 or 23% higher than the amount budgeted in the Vehicle Reserve Fund for the trailer replacement. At the April 5, 2023 Board of Director meeting, the Board approved staff to reject the bid received for the replacement of the Hallmark Leak Trailer, direct staff to evaluate and modify trailer specifications and re-publish for the public bid process with updated specifications. Staff engaged the public bid process for the trailer replacement with updated specifications to solicit bid estimates for a "leak Trailer" replacement with reduced customizations. Bid documents were published April 24, 2023 with Bid Page 1 of 3 Page 16 of 315 Opening held on May 18, 2023 at 2PM. One qualified bid was received from Sundowner of California with custom fabrication and build cost of $50,467. Staff recommends authorizing the General Manager to execute a contract with Sundowner of California, for the procurement of a Leak Trailer for Water Operations with a total amount not to exceed $50,467, plus all applicable taxes and fees. Vehicle no. 379 has over 17 years of service to the District and satisfies the age and condition level for replacement. Staff recommends declaring vehicle no. 379, 2006 Hallmark Leak Trailer surplus and dispose of the unit at public auction, applying the funds to the Vehicle Reserves Fund. ANALYSIS AND BODY: The Board approved FY22/23 Budget included the budgeted and scheduled replacement of the 2006 Hallmark leak trailer for Water Operations. The FY22/23 budget for the trailer replacement expenditure is $55,208. GOALS AND OBJECTIVES: District Code 1 .05.020 Objectives: 1. Responsibly serve the public. 3. Provide reliable and high quality water supply and distribution system to meet current and future needs. 6. Manage the District in an effective, efficient and fiscally responsible manner. District Code 1 .05.030 Goals: 1. Manage for Financial Stability and Resiliency 4. Take the best of private sector thinking to modernize the utility and add value to our communities. FISCAL IMPACT: The replacement of the 2006 Hallmark Leak Trailer was included in the Districts approved FY22-23 Vehicle Reserve Fund Budget. The FY22/23 budget for the trailer replacement expenditure is $55,208. Staff solicited bids through the public bid process and received one bid for a 2023 enclosed trailer built to custom specification. Staff recommends awarding the contract to purchase the Leak Trailer to the lowest responsible bidder, Sundowner of California. Estimated total expenses for the vehicle procurements are projected to be: 2023 Leak Trailer— Water Operations is $50,467 plus all applicable taxes and fees is approximately $54,630, is $578 or 0.1% below the FY22/23 Board approved budget. Page 2 of 3 Page 17 of 315 ATTACHMENTS: None Page 3 of 3 Page 18 of 315