CITY COUNCIL AGENDA ITEM
ACTION REQUESTED:
title
Table the award of Cooperative Procurement 20-154, Unit 238 and 293 Equipment Replacement, to JX Peterbilt for an amount not to exceed $403,388.97 to the August 18, 2020 meeting.
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DEPARTMENT: Department of Public Works
SUBMITTED BY: Richard Dublinski, Director
BOARD/COMMISSION REVIEW:
N/A
BACKGROUND:
Units 238 and 293 were reviewed and approved by the Fleet Economic Committee and Fleet Services Project Manager for replacement in the 2020 budget. Vehicles are scored for replacement based on four criteria: age, usage, condition and repair costs. Recommending a vehicle for replacement requires a score 28.0 or greater. Unit 238 scored 39.68 and Unit 293 scored 37.32.
DISCUSSION:
Unit 238 is a 2005 single-axle dump body with plow and Unit 293 is a 2007 tandem-axle dump body with plow. Both units are used by the Department of Public Works - Streets Division for asphalt patching, leaf and brush pick-up, salt applications and snow removal. Both units will each be replaced with a 2021 Peterbilt 348 with dump body and plow.
The new units are available on the Sourcewell Cooperative, an approved cooperative through National Auto Fleet Group, Contract #081716-PMC.
Using the City’s specifications, JX Peterbilt has quoted the Peterbilt with dump body and plow. The retired units will be traded in to JX Peterbilt to offset the purchase cost of the new units. A cost breakdown is provided in the table below:
|
Unit |
Original Price |
Less Cooperative Discount |
Less Trade-In |
Net Price |
|
238 - Single Axle |
$266,585.52 |
($56,555.55) |
($13,000) |
$197,029.97 |
|
293 - Tandem Axle |
$287,688.28 |
($63,329.28) |
($18,000) |
$206,359.00 |
The units will be delivered in approximately 9 months.
Tabling the consideration of the purchase of these vehicles until August 2020 will allow for greater understanding of the financial impacts of COVID 19 while still accommodating for delivery in advance of the 2021 snow season.
FISCAL IMPACT:
CIP #: VEH002
Vehicle replacements for DPW are expensed to the vehicles and equipment account below. A total of $360,000 was budgeted in 2020 for Units 238 and 293. Due to the delivery lead time, purchase of these vehicles will not occur until the 2021 budget year. Public Works will adjust their 2021 vehicle request to accommodate this purchase.
|
Account Number |
Fund Description |
Total Budget Amount |
|
31102200-551505 |
Capital Projects Fund |
$1,789,000 |
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