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HomeMy WebLinkAboutItem 5f. Authorization to issue a Letter of Intent to purchase a new Stormwater Hydro-Cleaning Truck Item 5f Department: Public Works Cost Center: 5008 For Agenda of: 9/20/2022 Placement: Consent Estimated Time: N/A FROM: Matt Horn, Public Works Director Prepared By: Greg Cruce, Deputy Director - Maintenance Operations SUBJECT: AUTHORIZATION TO ISSUE A LETTER OF INTENT FOR A NEW STORMWATER HYDRO-CLEANER TRUCK RECOMMENDATION Adopt a Draft Resolution entitled, “A Resolution of the City Council of the City of San Luis Obispo, California, authorizing staff to issue Letters of Intent for Vehicle Purchases ” for a Stormwater Hydro-Cleaning Truck with budget appropriation in the 2023-25 Financial Plan due to length of estimated manufacturing times. POLICY CONTEXT Climate Action, Open Space, and Sustainable Transportation were adopted by the City Council as a Major City Goal within the 2021-23 Financial Plan. Replacing the Stormwater Hydro Truck in a reduced timeframe will allow the City to better react to the changing climate and potential for elevated amounts of precipitation, in addition to lowering carbon emissions by use of a single engine operation as opposed to the current model which utilizes two engines that run simultaneously. Section 405-I of the City’s Financial Management Manual allows for the procurement of fleet assets through a cooperative purchase agreement . When local dealerships can deliver the same make and model at or below the cooperative purchasing net cost within the same terms and conditions, the local dealership shall be used. Unfortunately, Hydro- Cleaning Trucks are specialty equipment and cannot be purchased locally. This action is considered a purchase of goods and in compliance with the City’s Municipal Code Section 3.24, which requires Council approval for any purchase in excess of $200,000. DISCUSSION Background The Wastewater Collection Program (WWC) within the Utilities Department is responsible for maintenance and operation of the City’s storm drain system and does so us ing a Hydro Cleaning Truck that scours and vacuums storm drain lines. Page 65 of 130 Item 5f The current Stormwater Hydro Cleaning Truck is a 2008 model and is used daily by staff to ensure the storm drain system is free of debris and to maintain compliance with the City Stormwater Permit. The current unit has exceeded its useful life and needs replacement. The WWC Program has three Hydro Cleaning Trucks. One of the Hydro Cleaning Trucks is solely assigned to the stormwater work and the other two are strictly used for sewer cleaning work. Cross contamination of equipment prohibits use of a sewer specific Hydro Cleaning Truck to be used for the Stormwater Program. When the Stormwater Truck experiences a mechanical failure, the program is left without a working truck for the specific need, which can leave the City vulnerable during storm events. The current truck is scheduled to be replaced during the 2023-24 Fiscal Year, which is necessary due to the truck’s current condition. The truck is 14 years old and used daily for storm drain cleaning. The truck is often out of service for repairs, which has negatively impacted Fleet and WWC staff. Due to the pandemic, global supply chains have been severely impacted, which has resulted in unprecedented lead times for parts and equipment. Current truck builds are taking up to 12 months to deliver once a contract is signed. Staff is recommending Council authorize staff to issue a “Letter of Intent” for this vehicle purchase. Sourcewell Cooperative Purchasing Agreement Haaker Equipment Company represents the Vactor brand of Hydro Cleaners, which staff has thoroughly vetted for its ability to meet the WWC Program needs, its ease of use, its effectiveness of cleaning and vacuuming technology, and its durability. The City’s Fleet Maintenance supervisor believes the Vactor Hydro Cleaner to be an excellent Hydro Cleaner with responsive service support from Haaker Equipment Company. The proposal provided by Haaker Equipment Company for this equipment was quoted using the Sourcewell Cooperative Purchasing Agreement, which guarantees municipal agencies competitive bids on proposed equipment. The discount for the Sourcewell contract is listed as $12,564. Public Engagement Public comment on the item can be provided to the City Council through written correspondence prior to the meeting and through public testimony at the meeting. Robust public engagement occurred as part of the 2021-23 Financial Plan process. CONCURRENCE The Utilities Department concurs with this report. ENVIRONMENTAL REVIEW The California Environmental Quality Act does not apply to the recommended actions in this report, because the action does not constitute a “Project” under CEQA Guidelines Sec. 15378. Page 66 of 130 Item 5f FISCAL IMPACT Budgeted: Yes Budget Year: 2023-24 Funding Identified: Yes Fiscal Analysis: Funding Sources Total Budget Available Current Funding Request Remaining Balance Annual Ongoing Cost General Fund $500,000 $ $126,010.67 $ State Federal Fees Other: Total $500,000 $ $126,010.67 $ The City prepares a two-year Financial Plan and appropriates a one ‐year budget. The Capital Improvement Plan included in the Financial Plan is a five-year plan for projects and fleet replacements. The Stormwater Tuck is currently budgeted for $500,000, and the Hydro Cleaning Truck is $626,010.67 which leaves a funding gap of $126,010.67. Issuing a Letter of Intent will secure this pricing. Approving this request will obligate the City, and Council to increase the funding amount towards this need by $126,010.67 with the 2023- 25 Financial Plan. This action does not advance the funding but commits the appropriation ahead of the traditional budget appropriation schedule. Due to the unprecedented price increases for fleet vehicles and equipment, it is expected the Fleet replacement funding will need to be augmented with the 2023-25 Financial Plan. If this is not feasible, staff will have to prioritize fleet replacements and defer less critical replacements in order to support this funding need. ALTERNATIVES Do not authorize staff to submit a Letter of Intent for this purchase. Council could choose to wait for the fiscal year that the vehicles have been budgeted before ordering. Not authorizing a letter of intent will likely result the Stormwater Hydro Truck being delayed by up to a year, with subsequent inefficiencies because of vehicle age, additional maintenance, and regulatory requirements. Waiting may also result in possible higher purchase costs. ATTACHMENTS A - Sourcewell Quote for a Stormwater Hydro Truck B - Draft Resolution authorizing the issuance of a Letter of Intent for a Stormwater Hydro Truck Page 67 of 130 Page 68 of 130 2070 N White Avenue – La Verne CA 91750 (909) 598-2706 Fax: (909) 598-1427 ~ haaker.com PROPOSAL August 17, 2022 TO: CITY OF SAN LUIS OBISPO Attn: Mr. Ryan Beech 25 Prado Road 805-781-7033 San Luis Obispo CA 93401 Email: rbeech@slocity.org In accordance with your request, we are pleased to submit the following proposal for your consideration and approval based on the Sourcewell Cooperative Purchasing Agreement Contract #101221-VTR. ONE NEW VACTOR 2115 PLUS JET RODDER 2100 Plus Unit wit h S ingle Engine Dual Stage Fan, 15 Yard Debris Body and 1500 Gallo ns of Water, Mounted on a 2024 Freightliner 114SD 6x4, 370 HP Chassis with Allison Automatic Transmission. Equipped with all St andard/ Opt ional Equipment listed: Standard Equipment Included · Aluminum Fenders · Mud Flaps · Electric/Hydraulic Four Way Boom · Color Coded Sealed Electrical System · Intuitouch Electronic Package · Double Acting Dump Hoist Cylinder · Handgun Assembly w/35' x 1/2" Hose w/Quick Disconnects · 3" Y-Strainer at Water Pump Inlet · Ex-Ten Steel Cylindrical Debris Tank · Flexible Hose Guide · (3) Nozzles with Carbide Inserts w/Rack · Suction Tube Storage - 4 Pipe · 1" Nozzle Pipe · 10' Leader Hose · Flat Rear Door w/Hydraulic Locks · Dual Stainless Steel Float Shut Off · Debris Body Vacuum Relief System · Debris Deflector Plate · 60" Dump Height · Additional Water Tank Sight Gauge · Liquid Float Level Indicator · Boom Transport Post Storage · Boom Out of Position Indicator/Alarm · Body Out of Position Indicator/Alarm · 3" Y-Strainer @ Water Pump · Performance Package · 1" Water Relief Valve · Midship Handgun Coupling · Side Mounted Water Pump · Hose Wind Guide (Dual Roller) · Hose Reel Manual Hyd. Extend/Retract · Hose Reel Chain Cover (Full) · Hydraulic Extending 15", Rotating Hose Reel, 1" x 800' Capacity · Tachometer & Hourmeter/Blower · Circuit Breakers · LED Lights. Clearance, Back-Up, Stop, Tail & Turn · Tow Hooks, Front and Rear · Electronic Back-Up Alarm · Hydraulic Tank Shutoff Valves · Module Paint, Dupont Imron Elite - Sanded Primer Base Page 69 of 130 · 7" Vacuum Pipe Package · Emergency Flare Kit · Fire Extinguisher 5 Lbs. · Fixed Rear Door Pipe Rack, 7" Pipe · Subframe Mounted, 2-Pipe Rack, 7" · Low Water Alarm with Water Pump Flow Indicator · Joystick Boom Control · Rodder System Accumulator- Jack Hammer on/off control w/ manual valve · Digital Hose Footage Counter · Water Pump Hour Meter · PTO Hour Meter · Hydraulic Oil Temp Alarm · Digital Water Pressure Gauge · Vactor Standard Manual and USB Version Optional Equipment Included · Remote Pendant Control with 35’ Cord · 24" x 26" x 69" Curb Side Aluminum Toolbox with Lighting · 180 deg. 10' x 15' Rapid Deployment Boom · Heavy Duty RDB Hose · RDB Washout Coupling · 70 GPM Variable Flow Water System · 3000 PSI Water Pressure · 1" x 800' Piranha Sewer Hose, 3000 PSI · Debris Body Washout · 6" Knife Valve w/Cam-Loc, Rear Door, 3:00 Position · Additional Water, Water and Debris Tanks Joined · Centrifugal Separators (Cyclones) · Folding Pipe Rack, Curbside, 7" Pipe · Folding Pipe Rack, Street side, 7" Pipe · Rear Door Splash Shield · Lube Manifold · Plastic Lube Chart · Additional Water Tank Fill · Bellypack Wireless Controls with hose reel controls, 2- way communications, and LCD Display · Rotatable Boom Inlet Hose · Anti Splash Valve, Body Inlet · Handgun Couplers, Front and Rear · Hydro Excavation Kit - Includes Lances w/ Shield, Nozzles, Storage Tray, and Vacuum Tube · Hose Wind Guide (Dual Roller), Auto, Non -Indexing · Fan Flush out System · Rodder Hose Pinch Roller · Hose Reel Manual Rewind Tool · 2 High Pressure Hose Reels · Front Hose Reel Tool Storage · Rodder Pump Drain Valves · Wireless, Waterproof, Rechargeable, Handheld, LED Spot Light w/12V Charger · LED Mid-Ship Turn Signals · Worklights (2), LED, Boom · Worklights (2), LED, Rear Door · Worklight, LED, Operators Station · Worklight, LED, Hose Reel Manhole · Worklight, LED, Curb Side · Worklight, LED, Street Side · Toolbox, Front Bumper Mounted, 16 x 12 x 18 w/ (2) LED Side Markers · Behind Cab Toolbox with Lighting · Toolbox, Driver Side Chassis Frame, 24w x 24h x 24d, with Lighting · Toolbox, Driver Side Subframe, 36w x 20h x 12d, with Lighting · (4) Long Handle Tool Storage Locations behind Cab · Camera System, Front, Rear and Both Sides · Safety Cone Storage Rack - Post Style · Additional Safety Cone Storage Rack - Post Style · Digital Water Level Indicator · Digital Debris Body Level Indicator · Door Stripe Material, Reflective Tape, Blue · (2) 7" x 60" Vacuum Pipe Weldments · (1) 7" x 36" Higbee Catch Basin Nozzle · 1 Printed Full Vactor Manual · Vactor Standard Manual and USB Version · Whelen LED Light Package · Blue Vinyl Stripe around chassis Unit Price ......................................................................................................... $ 588,206.00 Sourcewell Discount: ....................................................................................... ($ 12,564.00) Subtotal: ............................................................................................................ $ 575,642.00 Sales Tax (8.75%) ............................................................................................. $ 50,368.67 TOTAL PRICE, FOB: San Luis Obispo, CA: ............................................. $ 626,010.67 THE PROPERTY HEREIN IS GUARANTEED BY MANUFACTURE R'S WARRANTY ONLY AND SELLER MAKES NO WARRANTY EXPRESSED OR IMPLIED, OF MERCHANTABILITY OR OTHERWISE, OR OF FITNESS FOR ANY PARTICULAR PURPOSE, THAT EXTENDS BEYOND THE ABOVE DESCRIPTION OF THE EQUIPMENT. NOTE: Price is good until 30 Days. Cost increases due to the addition of Government mandated safety or environmental devices incurr ed after the date of this pr oposal, will be charged to you at our cost. Proof of such costs, if any, will be documented. Page 70 of 130 TAXES: SALES T AX shown is subject to change. Sales tax will be calculated and charged based on current rates for the location of the sale at time of invoice. FEDERAL EXCISE TAXES, if applicable, will require payment unless a properly executed Exemption Cer tificate is submitted. DELIVERY: 270-330 Days TERMS: Net 30 We appreciate t he opport unit y to present this proposal and look forward to being o f further and continued servic e. HAAK ER EQUIPM ENT COM PANY ACCEPTED BY: BY: Bryan Fox DATE: BRYAN FOX Page 71 of 130 Page 72 of 130 R _____ RESOLUTION NO. _____ (2022 SERIES) A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SAN LUIS OBISPO, CALIFORNIA, AUTHORIZING STAFF TO ISSUE LETTERS OF INTENT FOR VEHICLE PURCHASES WHEREAS, on June 1, 2021, the Council adopted Resolution No. 11251 (2021 Series), which approved and appropriated the 2021-23 Financial Plan and the 2021-22 budget allocation including operating, debt service, and the five -year fleet and capital improvement plan; and WHEREAS, the 2023-24 fiscal year within the fleet and capital improvement plan includes funding for a new Stormwater Hydrocleaning Truck; and WHEREAS, current estimates for truck builds are approximately 12 months from initial bid acceptance; and WHEREAS, if staff waits until July 1, 2023, to order vehicles that are included in the FY 2023-24, the City will likely not receive the vehicle until the following fiscal year; and WHEREAS, maintaining the City’s fleet is essential to operating programs that ensure the City of San Luis Obispo’s residents’ health and safety. NOW, THEREFORE, BE IT RESOLVED by the Council of the City of San Luis Obispo as follows: SECTION 1. Council authorizes staff to submit letters of intent for vehicle purchases with estimated delivery times in the Fiscal Year the budget is planned to be appropriated. Page 73 of 130 Resolution No. _____ (2022 Series) Page 2 R _____ SECTION 2. Council authorizes staff to augment the 2023-24 budget allocation to address the increased cost of the new truck. Upon motion of ___________, seconded by ____________, and on the following roll call vote: AYES: NOES: ABSENT: The foregoing resolution was adopted this _____ day of ____________________ 202 2. ___________________________ Mayor Erica A. Stewart ATTEST: _________________________ Teresa Purrington City Clerk APPROVED AS TO FORM: _________________________ J. Christine Dietrick City Attorney IN WITNESS WHEREOF, I have hereunto set my hand and affixed the official seal of the City of San Luis Obispo, California, on ______________________. ___________________________ Teresa Purrington City Clerk Page 74 of 130