- Meeting Date:
- 04/16/2019
- From:
- Todd Hanson, Solid Waste Section Director
Information
TITLE:
Consideration and Approval of Cooperative Contract: Purchase of one (1) Commercial Front Load Refuse Truck and one (1) Residential Side Load Refuse Truck from Rush Truck Center Arizona through the Houston-Galveston Area Council Cooperative Purchase Agreement, Contract No. RH08-18.
STAFF RECOMMENDED ACTION:
- Approve the purchase of one (1) Commercial Front Load Refuse Truck in the amount of $278,839.67 each and one (1) Residential Side Load Refuse Truck in the amount of $301,229.85 for a total purchase amount of $580,069.52 from Rush Truck Center Arizona through the Houston-Galveston Area Council Cooperative Purchase Agreement, Contract No. RH-08-18.
- Authorize the City Manager to execute the necessary documents.
Executive Summary:
The Solid Waste Commercial and Residential Programs use these trucks daily to collect commercial and residential refuse and recyclable materials. The purchase of these trucks has been approved by the Fleet Management Committee; the trucks that are being replaced meet the City's Fleet Management replacement criteria. These will be replacing vehicles that are over 10 years old. Additionally, the manufacturer of these chassis is no longer in operation causing the parts to be extremely difficult and expensive to source. The new trucks will have far superior emission standards and fuel efficiencies making them more environmentally beneficial.
The Equipment warranty and services are supported locally in Flagstaff by Rush (Peterbilt) Truck Centers Arizona.
Financial Impact:
The Solid Waste Commercial and Residential Programs have $900,000 budgeted in the Fleet Capital line item for the replacement of collection trucks in FY 2019 in accounts 211-06-166-0641-0-4401, 211-06-166-0643-0-4401 and 211-06-166-0644-0-4401. The Section is planning on utilizing $580,069.52 of those funds for the purchase of two vehicles.
Policy Impact:
Connection to Council Goal, Regional Plan and/or Team Flagstaff Strategic Plan:
PF.2. Provide sustainable and equitable public facilities, services, and infrastructure systems in an efficient and
Has There Been Previous Council Decision on This:
No. These trucks are budgeted FY 2019 and are replacement trucks for Solid Waste Collection Operations. The trucks will be auctioned off or used for spare parts and the manufacturer of the chassis is no longer in business.
Options and Alternatives:
Option 1. Approve the Cooperative purchase agreements (#2019-94 and #2019-95) with Rush Truck Center Arizona for the purchase of one (1) Commercial Side Load Refuse Trucks and one (1) Residential Front Loader Refuse Truck.
Option 2. The City Conducts its own competitive bid process.
Option 3. Attempt to acquire used parts and service resources (in the case of American LaFrance equipment which is no longer being manufactured) from independent vendors and internal resources to keep our aging equipment in service.
Background and History:
During the annual budget process for 2018-2019, Solid Waste was approved to purchase these collection vehicles. The purchase of these proposed collection vehicles were approved in the Fiscal Year 2018-2019 equipment replacement budget and provide for the sustainable operation of Solid Waste Collection services. All of the trucks being considered for replacement meet the City's Fleet Management criteria for replacement for mileage/hours used and life to date costs. All proposed fleet purchases were approved by the Fleet Management Committee for replacement. Access to parts and diagnostic support has become more challenging for the equipment to be replaced and the Fleet Management Committee used the appropriate criteria such as life to date repair costs to score and approve these replacement requests. Solid Waste vehicles under consideration for fiscal year 2019 were appropriately planned and budgeted.
Key Considerations:
A significant portion of the Solid Waste Section's fleet is Peterbilt cab/chassis'. The City of Flagstaff and Fleet Services have had a long working relationship with Rush (Peterbilt) Truck Centers here in Flagstaff and they will be able to provide warranty and post warranty repairs, if needed. Having additional local resources to support our Sections is a direct connection to supporting Council's goal of providing "sustainable and equitable" services to our population. Fleet Services will also be authorized to perform warranty repair on these refuse bodies and be eligible for reimbursement.
Community Benefits and Considerations:
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. We are utilizing a cooperative agreement pursuant to Article 20 of the City of Flagstaff Procurement Manual.
Community Involvement:
Community benefits include continued consistent quality Commercial and Residential trash and recycle collection service at the lowest possible user fees. In addition, having modern, clean and efficient collection equipment with the most advanced emission control and fuel saving technology in our fleet portrays a positive image to the community we serve.
Expanded Options and Alternatives:
Inform
Attachments
- Rush Peterbilt HGAC Agreement
- New Way HGAC COOP Agreement
- Commercial Truck Pricing
- Residential Truck Pricing
- Side Loader Co-op Contract
- Front Loader Co-op Contract