HomeMy WebLinkAbout#8 Heavy Duty Vehicle Repair Services AGENDA ITEM #8
Public Utility District m
MEETING DATE: January 17, 2024
TO: Board of Directors
FROM: Brian Yohn, General Services Manager
SUBJECT: Consideration of Approving an Agreement for Heavy-Duty Vehicle
Repair Services.
APPROVED BY:
Brian C. Wright, General Manager
RECOMMENDATION:
Authorize the General Manager to execute an agreement for the repair of heavy-duty
fleet vehicles with Silver State International, Inc. of Sparks, Nevada for an amount not
to exceed $61,600 for FY24, with the option to extend for an additional four years
(FY2025 - 2028).
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: 2.7.950.00.836/838
The District utilizes International and Freightliner brand heavy-duty diesel trucks during
the normal maintenance and repair of electrical and water utility 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 occasional 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.
District heavy-duty fleet:
❑ 2010 International / Navistar 7400
❑ 2012 International / Navistar 7400
❑ 2013 International / Navistar 7400
❑ 2014 International / Navistar 7500 SFA
❑ 2016 International / Navistar 7400
❑ 2018 International / Navistar 7500 SFA
❑ 2019 International / Navistar 7400
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u 2020 Freightliner 108 SD
During October and November 2023, staff engaged the public bid process to solicit bids
for heavy-duty vehicle repair services in preparation for the annual procurement budget
approval process. No responsive bids were received at the conclusion of the public bid
process.
ANALYSIS AND BODY:
At the December 6, 2023, Board of Directors Meeting, the Board made a finding to
dispense with competitive bidding and authorized the General Manager to negotiate
directly with vendors to establish a service agreement for heavy-duty vehicle repairs
with a budget not to exceed $61,600 for FY24.
Staff is presenting to the Board for consideration for approval of an Agreement for FY24
with Silver State International, Inc. for heavy-duty vehicle repair needs to reduce out of
service time impacts on the District's heavy-duty vehicles.
Staff negotiated favorable terms and pricing with Silver State International, Inc. and
received price sheets for specific repairs utilizing a "market basket" approach to
typical repair and maintenance service items which may be required during the contract period for
a representative sampling of District fleet vehicles.
The District and Silver State International, Inc. have maintained a favorable working
relationship throughout Silver State International, Inc.'s extensive history of servicing
the District's heavy-duty vehicles and staff is recommending the option to extend the
agreement for an additional four years (FY2025 — 2028).
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 the December 6, 2024, approval by the Board of Directors to
dispense with the competitive bidding and to negotiate with vendors for heavy-duty
truck repair services at an estimated cost of $61,600. The adopted FY24 budget for
accounts GL: 2.7.950.00.836/838 (vehicle repair and maintenance accounts) combined
for a total of $197,000 and is estimated to be sufficient to fund this item.
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ATTACHMENTS:
None
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