REPORT TO THE CITY COUNCIL
FROM: JOE VARGAS, Director
Department of Transportation
BY: BRIAN BARR, Assistant Director
Department of Transportation
SUBJECT
Title
Approve the award of a cooperative purchase agreement to Golden State Peterbilt of Fresno, CA, for the purchase of one Peterbilt 567 dump truck in the amount of $229,086, procured by means of a cooperative purchase agreement with Sourcewell, for the Department of Public Utilities Wastewater Management Division
Body
RECOMMENDATION
Staff recommends Council approve the award of a cooperative purchase agreement to Golden State Peterbilt of Fresno, CA, for the purchase of one Peterbilt 567 dump truck in the amount of $229,086.
EXECUTIVE SUMMARY
The Department of Public Utilities, Wastewater Management Division seeks to purchase one Peterbilt 567 dump truck to transport concrete, dirt, and other material as needed to complete projects. The new truck will be purchased as a replacement through a competitively solicited cooperative procurement process administered by Sourcewell, formerly the National Joint Powers Alliance (NJPA).
On July 15, 2021, Council awarded a cooperative purchase agreement to Pape Kenworth for a Kenworth dump truck for the Department of Public Utilities. On November 4, 2021, Pape Kenworth cancelled the purchase order citing pandemic caused supply chain issues impacting the manufacture and could no longer fulfil the order. No funds were spent on the order with Pape Kenworth. The award of this contract to Golden State Peterbilt replaces the order previously held with Pape Kenworth.
BACKGROUND
The Department of Public Utilities, Wastewater Management Division is responsible for the collection and treatment of wastewater produced by the City of Fresno. This is accomplished through the operation and maintenance of 1,750 acres of percolation ponds located at the Wastewater Treatment Plant. These 100 ponds are utilized for the settlement stage of the wastewater treatment process, operating in three-year intervals before being drained for maintenance and rehabilitation. During the rebuilding stage the soil of each pond is broken up, turned, and reshaped into new basins. This process requires tractors to disk, loaders to load, and dump trucks to transport and spread excess soil.
The new Peterbilt 567 dump truck will be built to a specification similar to the units identified for replacement, upgraded with the latest technology to offer superior maneuverability, visibility, and performance. The new units will be compliant to the applicable US 2010 emissions standard, while providing improved fuel economy and power.
The heavy truck class is on a 10 year or 100,000-mile replacement schedule, which has been established by the Municipal Fleet Division as the optimum replacement time. The unit identified for replacement is more than 16 years old and has well exceeded its useful life. The Municipal Fleet Division recommends replacement based on the age and condition of the equipment.
The new unit will be purchased through a competitively solicited cooperative procurement process administered by Sourcewell, formerly the National Joint Powers Alliance (NJPA). The purchase price is $229,086. This price includes the Sourcewell cooperative purchasing discount applied to City purchases as well as local 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 was not implemented, the City is using a cooperative purchase agreement to purchase this item.
FISCAL IMPACT
No general funds will be used to purchase this item. The original funding for this project was appropriated in FY2021 under the operations of the Department of Public Utilities, Wastewater Management Division. The source of funding is the Department of Transportation, Municipal Fleet Division Replacement Fund and the Wastewater Operating Fund. Due to uncertain tax revenues at the start of the pandemic, equipment acquisitions began after Council adopted the budget in October 2020. This resulted in a shorter than typical schedule to procure acquisitions and could not be completed in FY2021.
On July 15, 2021, Council re-appropriated the funding to FY2022 and approved a cooperative purchase agreement for a dump truck with Pape Kenworth for the Department of Public Utilities. On November 4, 2021, Pape Kenworth cancelled the purchase order citing pandemic caused supply chain issues impacting the manufacture and could no longer fulfil the order. No funds were spent on the contract with Pape Kenworth. The award to Golden State Peterbilt replaces the order previously held with Pape Kenworth.
Attachments:
Board Resolutions
Combined Ads
Comment and Review
Evaluation
Opening Record
Peterbilt Contract
RFP