Consideration and Approval of Cooperative Contract: Purchase of one (1) Solid Waste Truck on a City of Mesa cooperative agreement (Approve purchase of Solid Waste collection truck).

The Solid Waste Section has collection trucks which are due for replacement due to age, mileage, wear and ongoing repair and maintenance costs. Subsidiary Decisions Points: The Solid Waste collection truck offered meets or exceeds the City of Flagstaff Solid Waste Section's minimum specifications and is offered at the lowest available price, due to the volume purchasing of a cooperative purchase agreement. The truck warranty and service is supported locally in Flagstaff by Rush Trucks, Flagstaff.

The Solid Waste Section has $507,320 budgeted for the replacement of collections equipment this fiscal year. The average cost of a new side loading collection truck is $238,000- $302,000 (without tax).

11. Effective governance

None previously

Option 1. Accept City of Mesa's cooperative purchase agreement with Rush Peterbilt, Phoenix, az. as the lowest responsive bidder for the amount of $258,137.48 per the City of Mesa contract for the purchase of one (1) automated side load refuse collection truck.

Option 2. Conduct our own competitive bid process.

Option 3. Continue to use the existing solid waste collection equipment.

The Solid Waste Section has used alternative methods of acquiring new equipment as well as making fleet reductions since 2007 to reduce the immediate costs of purchasing needed equipment as well as to secure long term savings over future years. After researching cooperative purchase agreements with various other Arizona municipalities such as Scottsdale, Phoenix, Peoria, Tucson, Sierra Vista and Mesa, staff has determined that the best pricing, specifications and long term service availability was found in the City of Mesa cooperative purchasing contract.

The truck being replaced is a Residential side loading truck which has met the Fleet replacement criteria in terms of years, mileage, life to date costs and repairs needed to continue its useful life. The truck currently does not run and needs major repairs (transmission, ECM module and other components) which would cost approximately $16,000. The truck was presented to the Fleet committee and approved for replacement with funds from Solid Waste's fleet capital line item.The Solid Waste Section has utilized various methods for equipment acquisition to minimize cost, improve longevity and manage fleet reductions, saving budget dollars while improving the quality and performance of its fleet. In 2013, the Solid Waste Section was able to save over $295,385 on the purchase of three (3) trucks by purchasing new cab/ chassis with refurbished bodies and leveraging trade in values on the equipment being replaced, while reducing the fleet.

Increased costs of equipment acquisition have made intergovernmental cooperative purchase agreements a viable alternative to the bid process when the desired equipment can be obtained. Volume pricing, expedited build times and delivery provide value to the purchaser.

Community benefits include continued consistent quality customer service at the lowest possible user fees.

None

1. Purchase the truck from Rush Peterbilt, Phoenix through the cooperative purchase agreement with the City of Mesa for $258,137.48 (tax included). 2. Conduct the competitive bid process, evaluate responses and select a vendor. 3. Do not purchase a truck at this time.