CITY COUNCIL AGENDA ITEM
ACTION REQUESTED:
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Approve the award of Cooperative Procurement 19-066, Unit 233 and Unit 234 Vehicle Replacement, to J X Enterprises Inc. for an amount not to exceed $393,046.50
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DEPARTMENT: Department of Public Works
SUBMITTED BY: Richard Dublinski, Director
BOARD/COMMISSION REVIEW:
N/A
BACKGROUND:
Unit 233 and Unit 234 are planned 2019 vehicle replacements that were approved through the 2019 budget process. Vehicles and equipment are evaluated for replacement based on four criteria: age, usage, condition and repair costs. Units must receive a score of 28.0 or greater to be recommended for replacement; these vehicles exceed the minimum score as shown in the table below.
|
Unit # |
Year |
Amortized Life Cycle |
Replacement Age |
Minimum Criteria |
Scored Criteria |
Hour Guidelines |
Usage Hours |
Repair Costs |
|
233 |
2007 |
10 yrs |
11.75 yrs |
28.0 |
34.11 |
6,000 |
6,632 |
$117,799.03 |
|
234 |
2007 |
10 yrs |
11.75 yrs |
28.0 |
35.06 |
6,000 |
7,702 |
99,749.67 |
DISCUSSION:
Units 233 and 234 are 2007 International 7400 dump trucks. Both are used by the Department of Public Works-Operations Division in various capacities throughout the year, including leaf pick-up, hauling soil and asphalt, salt applications and snow removal. Each unit will be replaced by a 2020 Peterbilt Model 348 cab and chassis and will perform the same duties as the current units. The plow on Unit 233 will include a wing attachment for greater operational efficiency where needed. The units will maintain fleet conformity which minimizes operational, inventory, service, repair, safety, and training costs.
The Peterbilt Model 348 units are available on the Sourcewell (Formerly National Joint Powers Alliance - NJPA) Cooperative Contract # 081716-PMC, an approved cooperative through JX Enterprises, Inc.
Using the City’s specifications, JX Enterprises Inc., has quoted the 2020 Peterbilt Model 348 cab and chassis with wing attachment in the amount of $206,062.75 and the 2020 Peterbilt Model 348 cab and chassis without wing attachment in the amount of $186,983.75. The quote includes trading in both current unites to JX Peterbilt for $36,000 to offset the purchase cost of the new units. Both units will be delivered in approximately nine months.
|
Original Cost |
Less NJPA Discount |
Less Trade-In |
Net Price |
|
$283,329 |
$59,266.25 |
$18,000 |
$206,062.75 |
|
$264,271 |
$59,287.25 |
$18,000 |
$186,983.75 |
FISCAL IMPACT:
CIP #: N/A
The two 2020 Peterbilt Model 348 Cab and Chassis are expensed to the vehicles and equipment account below. In 2019, $215,000 and $195,000 have been budgeted for the replacement of Units 233 and 234, respectively. The requested award of $393,046.50 is within the budgeted amount for this expense.
|
Account Number |
Fund Description |
Total Budget Amount |
|
31102200-551505 |
Capital Projects Fund |
$1,502,900 |