HomeMy WebLinkAbout8 Heavy Duty Vehicle Repairs Bid Process AGENDA ITEM #8
Public Utility District m
MEETING DATE: December 6, 2023
TO: Board of Directors
FROM: Brian Yohn, General Services Manager
Michael Salmon, Chief Financial Officer
SUBJECT: Consideration to Dispense with the Public Bid Process for Heavy
Duty Vehicle Repairs
APPROVED BY:
Brian C. Wright, General Manager
RECOMMENDATION:
a) Dispense with competitive bidding.
b) Authorize the General Manager to negotiate directly with vendors for Heavy Duty
Truck Repair services
BACKGROUND:
Code section 3.08.030 — Bid Procedure for Issuance of Service Contracts Over $15,000
Estimated amount for FY24: $61,600
Budget Account GL: 2.7.950.00.838
The District utilizes International and Freightliner brand heavy duty diesel trucks during
the normal maintenance and repair of electrical and water distribution systems within
the District. District mechanics can perform the vast majority of maintenance, service,
and repairs for all medium and heavy-duty service vehicles in use by the Electric and
Water Departments. However, certain repairs are extensive in nature and require
specialized facilities, equipment, and licensed re-certification by the manufacturer after
completion of repairs. There are repair and maintenance needs for our heavy duty
diesel fleet that may exceed the capabilities of on-staff fleet mechanics due to
limitations of maintenance shop size and configuration and heavy duty vehicle repairs
requiring specific expertise.
In September and October of 2023, staff engaged the public bid process to solicit bids
for heavy duty vehicle repair services in preparation for the annual procurement
process. No responsive bids were received and staff was unable to present a vendor
contract recommendation for approval in the annual procurement process.
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ANALYSIS AND BODY:
During FY23, a heavy duty vehicle repair contract was established with Silver State
International, Inc., the International truck dealer located in Sparks, NV. The District has
incurred heavy duty vehicle repair expenses totalling $37,943 YTD in FY23.
Establishing an annual service contract with a service vendor for large vehicle repair
needs reduces "out of service" time impacts on the District's heavy duty fleet.
The District fleet currently includes the following:
2 — International Bucket Trucks
2 — International Dump Trucks
2 — International Digger Derricks
1 — International VACCON
1 — Freightliner Bucket Truck
Pending approval to dispense with competitive bidding, staff would negotiate directly
with vendors and bring back a proposed service agreement for review and approval by
the Board.
GOALS AND OBJECTIVES:
District Code 1.05.020 Objectives:
1. Responsibly serve the public.
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:
This item is related to approval by the Board of Directors to dispense with the
competitive bidding and to negotiate with vendors for heavy duty truck repair services
with a FY24 budget of$61,600. The FY24 budget for account GL: 2.7.950.00.836
(vehicle repair and maintenance) totals $140,000 and is estimated to be sufficient to
fund this item.
As indicated, the negotiation for the contract resulting recommendation will be
presented to the Board at a subsequent board meeting for review and consideration for
approval.
ATTACHMENTS:
None
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