REPORT TO THE CITY COUNCIL
FROM: BRIAN BARR, Director
General Services Department
BY: CLIFF TRAUGH, Administrative Manager
General Services Department
SUBJECT
Title
Approve the award of a cooperative purchase agreement to Pape Kenworth of Fresno, CA, for the purchase of one Kenworth T880 water pump hoist truck in the amount of $535,605 for the Department of Public Utilities, Water Operations Division.
Body
RECOMMENDATION
Staff recommends Council approve the award of a cooperative purchase agreement to Pape Kenworth of Fresno, CA, for the purchase of one Kenworth T880 water pump hoist truck in the amount of $535,605.
EXECUTIVE SUMMARY
The Department of Public Utilities (DPU), Water Operations Division seeks to purchase one Kenworth T880 water pump hoist truck to remove and install water pumps at various lift stations throughout the city. The new truck will be purchased as a replacement and will be purchased through a competitively solicited cooperative procurement process administered by Sourcewell.
BACKGROUND
DPU, Water Operations Division is responsible for delivering safe drinking water to approximately 500,000 residential, commercial, and industrial customers over a 114 square mile area. This mission is accomplished through continuous maintenance of the freshwater system, which requires water pumps at lift stations to be removed at replaced periodically as they experience maintenance issues. To do this a specialized hoist is required that has the capacity to lift both the water pump and hundreds of feet of water pipe reaching deep underground.
This work is currently being completed with one aging truck struggling with maintenance issues. The new unit will be a Hunke R36 pump hoist built on a Kenworth T880 cab and chassis, which has proven to be a reliable platform within the fleet. The truck will feature the latest emissions technology, exceeding the US 2010 emissions standard.
The truck identified for replacement is on a 10 year or 5,000-hour replacement schedule which has been established by the Fleet Management Division as the optimum replacement time. Currently the truck is more than 24 years old and has experienced significant repairs costs, staff recommends replacement of this unit based on age and condition.
The truck will be purchased through a competitively solicited cooperative procurement process administered by Sourcewell. The purchase price is $535,605. This price includes the Sourcewell, cooperative purchasing discount applied to City purchases as well as sales tax at 8.35%. The Purchasing Division has approved this contract and recommends Council to approve. The City Attorney has reviewed and approved to form.
ENVIRONMENTAL FINDINGS
By the definition provided in the California Environmental Quality Act (CEQA) Guidelines Section 15378, the award of this contract does not qualify as a “project” as defined by CEQA.
LOCAL PREFERENCE
Local preference is not applicable because this is a cooperative purchase. However, Pape Kenworth is located in the city of Fresno.
FISCAL IMPACT
No general funds will be used to purchase this item. The funding to cover the purchase cost of the Kenworth T880 water pump hoist truck has been included in the FY2023 adopted budget under the DPU, Water Operations Division. The source of funding for this project is the General Services Department, Fleet Management Division Replacement Fund and the Water Operating Fund generated primarily by the collection of customer user fees.
Due to global supply chain constraints the automotive industry has faced shortages of raw materials which has created massive under production in many vehicle types. This resulted in a lack of availability causing projects to not get completed within the typical 12-month period. Therefore, the funding for this truck was not spent in FY2023 and if approved, the FY2023 funds will be re-appropriated to FY2024 to complete the acquisition.
Attachments:
Cooperative Purchase Agreement
Pape Kenworth Contract#060920-KTC
Original RFP
Proof of Publication
Proposal Opening Record
Proposal Evaluation
Comment and Review
Board Resolutions