HomeMy WebLinkAbout03-06-2018 Item 07 Streets Maintenance Medium Duty Truck with Hook Lift Bed - Spec #91600
Meeting Date: 3/6/2018
FROM: Daryl R. Grigsby, Director of Public Works
Prepared By: Isaac Shuck, Fleet Maintenance Supervisor
SUBJECT: STREETS MAINTENANCE MEDIUM DUTY TRUCK WITH HOOK LIFT
BED, SPECIFICATION NO. 91600
RECOMMENDATION
1. Authorize the Finance Director to execute a purchase order to Perry Ford of San Luis Obispo
in the amount of $101,780.65 for the purchase of one 2018 Ford F-550 outfitted with a
custom hook lift bed system; and
2. Authorize the surplus designation of Fleet Asset No. 0234 by sale, auction, trade -in or other
method in accordance with the City’s policies and procedures as prescribed in the Financial
Management Manual Section 405-L and 480.
DISCUSSION
Background
The replacement of asset no. 0234, a 2002 Ford F-550 medium duty truck was approved for
replacement in the 2017-19 Financial Plan (FY 2017-18). This truck is outfitted with a custom
hook lift bed system that allows a quick change of different beds that are arranged in different
configurations. The truck is used daily for streets maintenance and paving operations utilizing a
bed that is configured for this type of work. On Thursday evenings this truck is used to close the
streets for the Farmers Market. The hook lift system allows the operators to quickly change to a
bed that is configured to hold delineation used for street closures.
Cooperative Purchase versus Local Purchase
Staff recommends a purchase to Perry Ford of San Luis Obispo in the amount of $101,780.65 for
a 2018 Ford F-550 outfitted with a custom hook lift bed system.
Pursuant to City purchasing guidelines, staff explored use of a multi-year cooperative purchasing
agreement with the State of California Contract No. 1-16-23-20A, to purchase a medium duty truck
with a hook lift bed system. This resulted in a quote in the amount of $105,214.04 through its
approved dealer, Downtown Ford Sales, for a medium duty truck that met City specifications. Per
City purchasing guidelines, staff contacted local dealer, Perry Ford of San Luis Obispo, for
comparison pricing and received a quote in the amount of $101,780.65; difference and savings of
$3,433.39.
CONCURRENCES
The Streets Maintenance Division concurs with the vehicle recommendation made in this report.
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FISCAL IMPACT
The replacement of vehicle no. 0234 was approved in the 2017-19 Financial Capital Improvement
Plan for FY 2017-18 (pg. E2-66). Pursuant to City purchasing guidelines, purchases with
cumulative costs of more than $100,000 require City Council approval. The truck purchase costs
have remained within the adopted budget which is funded by the local revenue measure.
Project Detail Adopted Budget Purchase Cost Budget Balance
Spec No. 91600 – 2018 Ford F-550
w/Hook Lift Bed System $120,000 $101,780.65 $18,219.35
ALTERNATIVES
Deny Funding and Purchase. The City Council could choose to deny or defer the above
vehicle replacement purchase. Staff does not recommend this option as the replacement was
approved as part of the 2017-19 Financial Plan. Denying or deferring the purchase could result in
costly maintenance and repairs due to the age of this vehicle and equipment it is outfitted with.
Attachments:
a - Perry Ford Quote
b - Downtown Ford Quote
c - Disposing of Surplus Units - Section 405-L Procedures
d - Surplus Personal and Unclaimed Property Policy - Section 480-A
e - Auction Firm Services - Section 480-B
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Quote #11101
Name Date 1/19/2018
Address
City SLO State CA Zip 93401 Rep Pat
Phone FOB SACRAMENTO
Qty Unit Price TOTAL
1 $32,691.00 $32,691.00
1 $1,139.00 $1,139.00
1 $274.00 $274.00
1 $242.00 $242.00
1 $0.00 $0.00
1 $640.00 $640.00
1 Rear view camara & prep kit 872 $406.00 $406.00
1 Transmission PTO 62R $283.00 $283.00
1 Cruise control 3525 $238.00 $238.00
1 LED amber warning strobes 391S $663.00 $663.00
1 Running Boards 018B $375.00 $375.00
1 Scelzi flatbed body as in quote#135440 $61,929.00 $61,929.00
1 Doc Fee $80.00 $80.00
SubTotal $98,960.00
Delivery $250.00
Cash Taxes $5,993.54
Check CA Tire Tax $10.50
Credit Card TOTAL $105,214.04
Name
CC #
Expires
2018 FORD F-550 Reg Cab/Chassis Gas 169"WB 84" CA
SIGNATURE________________________________DATE_________
$500 DISCOUNT WITH PAYMENT IN 20 DAYS
BASED ON REGISTRATION ADDRESS
CLIN# 29
AM/FM Stereo/Single-CD/MP3 585
SYNC factory bluetooth 091M
STATE OF CALIFORNIA CONTRACT 1-16-23-20A
Office Use Only
City of SLO - Isaac Shuck
25 Prado Rd
Power Group 390L
Trailer Brake Controller 052B
SALES TAX CALCULATED AT 7.75% SLO County Tax
Programmable engine idle shutdown 5 min 86A
Description
THIS IS YOUR QUOTE
DOWNTOWN FORD SALES
525 N16th Street, Sacramento, CA. 95811
916-442-6931 fax 916-491-3138
QUOTE
Payment Details
Customer
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405-17
Section 405-L: Procedures
DISPOSING OF SURPLUS UNITS
1. When a unit is replaced or otherwise permanently removed from service, report to
Accounting that it is surplus and available for sale.
2. Include in each such report the following information for each unit reported:
City identification number (e.g., 9901)
Vehicle identification number (VIN)
License number
Model year (e.g.,2005), make (e.g., Ford), and model (e.g., F-350)
Description (e.g., one-ton truck)
Assigned department (e.g., Public Works)
Assigned program (e.g., Signal and Light Maintenance)
Acquisition year (e.g., 2004-05)
Estimated surplus value
Basis of estimated surplus value (e.g., blue book, previous auction proceeds)
Current odometer or hourmeter reading
Justification for replacement
Current location
Authorization to surplus (e.g., budget document that authorized replacement or
other Council authorization to replace or dispose of the unit)
3.Finance Division will dispose of surplus vehicles in accordance Section 480 of the
Finance Management manual.
ATTACHMENT C
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480-10
Section 480-B
AUCTION FIRM SERVICES
OVERVIEW
To reduce staff time in the sale and disposal of property, to reduce the amount of space being
used to store surplus and unclaimed property, to improve the process of estimating the value of
surplus property, and to maximize the value of return on surplus property, the Department of
Finance & IT is authorized to contract with an auction firm to assist staff in the sale and disposal
of personal property, consumable supplies and unclaimed property on an "as available basis"
after authorization is given by the Council or the Director of Finance & IT to sell or dispose of
City property.
The policies and procedures provided below in conjunction with the City's auction firm will
provide the staff with the opportunity to systematize the sale and disposal of this property.
AUCTION FIRM RESPONSIBILITIES
The following responsibilities will normally be assigned to the City's auction firm by Agreement
between the City and the firm selected:
A. The auction firm will be required to pickup any and all "marketable" surplus property by
consignment and deliver this property to their premises where it shall be inventoried,
sorted, identified, and catalogued. An auction will be conducted within 30 days of
receipt of property and supplies.
B. The auction firm will make the necessary arrangements for offering the property for sale
by auction to the most qualified buyers to obtain the highest return possible. The auction
firm will advertise the auction in a manner that will obtain the maximum participation by
the public in at least one newspaper of general circulation in the City of San Luis Obispo
for a minimum of five days prior to a scheduled auction.
C. The property consigned to the auction firm will remain the property of the City until sold
or disposed in accordance with these procedures.
D. Property not sold at auction will be disposed by on of the following methods:
1. Consignment to a sub-contractor specializing in unique or special equipment and
material for which there is no local market.
2. Direct sale to a buyer of unique or special equipment and material for which there
is no local market.
3. By sale as salvage to a local dealer or any recycling firm.
4. By destruction at an appropriate landfill site and certification thereto.
5. Returned to the City.
E. The material and equipment not sold at auction will be disposed of by one of the methods
described above within 15 days from the date offered at auction. For the purpose of these
ATTACHMENT C
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Section 480-A
SURPLUS PERSONAL AND UNCLAIMED PROPERTY POLICY
OVERVIEW
This policy addresses the procedures for the disposal of surplus personal property, unclaimed
property, consumable supplies, and junk. The policies and procedures for the disposal or sale of
surplus real property, abandoned property and resale inventory are provided in other policy
documents.
In preparing this policy, not all issues or exceptions could be anticipated. Accordingly, the
guidance given in this policy does not relieve Staff from exercising good judgment in their
stewardship of the City's property resources. Whenever there is a question or doubt between the
guidance provided in this policy and the good judgment expected of a prudent person, good
judgment should always be the prevailing standard, with this policy as a minimum standard.
LEGISLATIVE POLICY
A. Surplus Property
Section 906 of the City Charter provides that the Council must approve the sale of
surplus property (real or personal) with an estimated value greater than $1,000.
B. Unclaimed Property
1. Chapter 3.32 of the City Municipal Code provides for the disposal of unclaimed
property by the Chief of Police. This property must be held for a minimum of
four months and notice of sale must be given at least five days prior to sale by
publication in a newspaper of general circulation. Property not sold may be
destroyed by the Police Department after public auction.
2. Sections 2080.4 and 2080.6 of the Civil Code requires any person finding
property valued at $10.00 or more to turn the property over to the Police
Department within a reasonable time, stating when and where the property was
found and providing a description of the property. If the property was saved, a
statement is required from the "finder" describing:
a.From what and how it was saved.
b. Whether the owner of the property is known to the "finder".
c.That the property has not been secreted, withheld, or partially disposed.
480-1
ATTACHMENT D
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Surplus Personal and Unclaimed Property Policy
ADMINISTRATIVE POLICY
A. The Director of Finance & Information Technology (IT) is authorized to declare as
surplus those items of personal property and consumable supplies estimated to be less
than $1,000 in value; Council approval is required to declare personal and consumable
supplies as surplus with a value of $1,000.
B. Department Heads are authorized to approve the disposal of property that is essentially
without value due to technical obsolescence or its unrepairable (or economically
unrepairable) condition. Department Heads may dispose of such junk property in the
manner they deem most appropriate, consistent with other rules, regulations, and the
City's ethics policy.
C. Generally, estimating the value of surplus property is made by the Department Head or
designated representative. In unique and unusual cases, Finance will assist Departments
in estimating the value of property by using the City's auction firm to provide a
professional estimate. However, in all cases, the Department Head must approve in
writing the estimated value of the property to be sold or otherwise disposed.
D. The Director of Finance & IT is authorized to sell, transfer, trade, or otherwise dispose of
surplus personal property, consumable supplies, or unclaimed property in the most cost
effective manner. Normally the sale of this property will be at auction with a firm
contracted to provide the following services:
1. Sell and dispose of personal property, consumable supplies and unclaimed
property at auction.
2. Provide professional estimates as to the value of personal property and
consumable supplies when required.
3. Assist in the sale of unique or special property and consumable supplies that
requires the use of a "specialty house" to sell or dispose of the property.
4. Dispose of unsaleable property, supplies and equipment at an approved disposal
site.
E. The Director of Finance & IT may dispose of surplus property and supplies by transfer to
another local government agency or non-profit organization based on the
recommendation of a Department Head. Although there may be circumstances where it
is appropriate to make such transfer without compensation, cash or in-kind services
should generally be received in an amount equal to or greater than the estimated value
provided by the City's auction firm or the Department Head. In the case of vehicles, "low
blue book value" may also be considered.
F. When it is a normal business practice, trade value should be obtained to determine the
most cost effective method of disposal and as a standard by which to evaluate the
services of the City's auction firm. There may be circumstances when trade value of
480-2
ATTACHMENT 2
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Surplus Personal and Unclaimed Property Policy
property may exceed auction value, in which case the Director of Finance & IT may
authorize the trade of surplus property versus sale at auction based on the
recommendation of the appropriate Department head.
G. Advertising the sale of the City's property and unclaimed property will be made by the
City's auction firm in accordance with these procedures, the Auction Services
Agreement, and legislative policy. Accordingly, the advertising must disclose that the
property for sale at auction is either the surplus property of the City of San Luis Obispo
or is unclaimed property in the possession of the City and it must state the date and time
of sale. Property sold at auction will be advertised at least five days in a newspaper of
general circulation in the City of San Luis Obispo.
H. Property determined to be unclaimed by the Chief of Police may be sold at public auction
in accordance with these policies and procedures under the following conditions:
1. It is a thing which is commonly the subject of sale.
2. The owner cannot (with reasonable diligence) be found.
3. The owner, if identified, refuses to pay the reasonable charges incurred by the
City for storing and safeguarding of the property.
PROCEDURES
A. Surplus Personal Property and Consumable Supplies
1. Department Heads will identify personal property and supplies that are surplus to
their needs and notify the Director of Finance & IT by Memorandum to sell or
dispose of property identified, in accordance with City policy and procedures.
The property to be declared surplus will be listed and include the City Asset
Number (if applicable), a descriptive name of the property, quantity, pickup
location, estimated value, and name of the contract person with their extension
number. Separate memorandums must be prepared for property estimated to
exceed $1,000 in value and for property estimated to be less than $1,000 in value.
The memorandum (or listing) must indicate why the property is no longer
required.
2. Department Heads may request that Finance assist them in estimating the value of
personal property and consumable supplies. In such instances, Finance may
request the services of the City's auction firm in estimating these values.
However, these services are limited and should not be used except for unique and
unusual property.
3. Special handling will be required for the disposal of toxic and hazardous
materials, and should be coordinated with the City's Fire Department.
480-3
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Surplus Personal and Unclaimed Property Policy
I. After receipt of a request to dispose of personal property and consumable supplies
from a Department Head, Finance will circulate the list of property to other City
Departments as an advisory memorandum. The property listed may be claimed
by other Departments on a first come first serve basis. After 10 days from the
date of the advisory memorandum, this listing will be forwarded to the Housing
Authority, San Luis Coastal Unified School District, and United Way for their
information. If none of these agencies expresses interest in the remaining
property items within 10 days of receiving the listing, then the property will be
consigned to the City's auction firm for sale or other method of disposal as
determined by the Director of Finance & IT. Except in unusual circumstances,
surplus property will generally remain on site pending its final disposition. This
means that it is the responsibility of the interested party to make arrangements
with the disposing department to view the property, discuss its condition, and
coordinate any terms of transfer such as price, timing, and transportation.
J. For property with a value of $1,000 or more, the Director of Finance & IT will
prepare an Agenda Report for Council approval to declare the property as surplus
after review by the operating departments as described above and prior to the
consignment of property to the City's auction firm.
B. Evidence
The provisions of this policy do not address the disposal of property which is classified
as evidence. Evidence is governed by the provisions of the penal code and must be dealt
with accordingly. For example, evidence may be returned to the owner, subjected to lien,
or classed as contraband and accordingly destroyed. However, evidence may also be
determined by the Chief of Police to be unclaimed property and, in that event, will be
processed in accordance with the policies and procedures provided below.
C. Unclaimed Property
Unclaimed property received by the City will be processed as follows:
1. The Police Department is required to receive, hold, and safekeep all property
valued at more than $10 that is found within the City limits and turned in to the
Police Department for safekeeping. The owner will be notified as to where the
property may be claimed if the owner's identity can reasonably be determined.
2. If the owner appears within 120 days after receipt of the property by the Police
Department, proves ownership, and pays all reasonable charges, the Police
Department will return the property to the owner.
3. If the reported value of the property is fifty dollars or more (and no owner appears
and proves ownership within 120 days), the Police Department will publish a
notice, at least once, in a newspaper of general circulation. After seven days
following the first published notice the following actions will be taken if no
owner appears and proves ownership of the property;
480-4
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Surplus Personal and Unclaimed Property Policy
G. If the property was found in the course of employment by a City employee, the
property shall be sold at public auction.
H. The title shall vest in the person who found the property if he or she is
willing to pay the cost of the publication.
I. If the reported value of the property is less than $50 and no owner appears
and proves ownership of the property within 120 days, the title shall vest
in the person who found the property, unless the property was found in the
course of employment by a City employee, in which case the property
shall be sold at public auction.
J. Generally, the sale of unclaimed property will be made by the City's
auction firm; however, in unique circumstances, the Chief of Police may
request that Police Department staff conduct the auction. When the City's
auction firm is used, the firm must be notified in writing with a list of
property to be sold. This list does not require a statement of estimated
values. The letter will give the name of the contact person and extension
number, a short title property description, a pickup location, and a pickup
time.
K. Prior to sale, a listing of unclaimed property shall be provided to the
Director of Finance & IT, who will circulate this list as an advisory
memorandum to other City Departments. The property listed may be
claimed by other Departments on a first come first serve basis. After a 15
day period from the date of the advisory memorandum, the unclaimed
property will be available for sale at public auction according to policy.
L. The unclaimed property to be sold by the City's auction firm will be
transferred on consignment in accordance with the surplus property
policies.
M. Any property remaining unsold after being offered at public auction may
be destroyed or otherwise disposed of by the City's auction firm.
Approved by the City Manager on March 1, 1990; revised on January 14, 1994.
480-5
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Section 480-B
AUCTION FIRM SERVICES
OVERVIEW
To reduce staff time in the sale and disposal of property, to reduce the amount of space being
used to store surplus and unclaimed property, to improve the process of estimating the value of
surplus property, and to maximize the value of return on surplus property, the Department of
Finance & IT is authorized to contract with an auction firm to assist staff in the sale and disposal
of personal property, consumable supplies and unclaimed property on an "as available basis"
after authorization is given by the Council or the Director of Finance & IT to sell or dispose of
City property.
The policies and procedures provided below in conjunction with the City's auction firm will
provide the staff with the opportunity to systematize the sale and disposal of this property.
AUCTION FIRM RESPONSIBILITIES
The following responsibilities will normally be assigned to the City's auction firm by Agreement
between the City and the firm selected:
A.The auction firm will be required to pickup any and all "marketable" surplus property by
consignment and deliver this property to their premises where it shall be inventoried,
sorted, identified, and catalogued. An auction will be conducted within 30 days of
receipt of property and supplies.
B.The auction firm will make the necessary arrangements for offering the property for sale
by auction to the most qualified buyers to obtain the highest return possible. The auction
firm will advertise the auction in a manner that will obtain the maximum participation by
the public in at least one newspaper of general circulation in the City of San Luis Obispo
for a minimum of five days prior to a scheduled auction.
C.The property consigned to the auction firm will remain the property of the City until sold
or disposed in accordance with these procedures.
D.Property not sold at auction will be disposed by on of the following methods:
1. Consignment to a sub-contractor specializing in unique or special equipment and
material for which there is no local market.
2. Direct sale to a buyer of unique or special equipment and material for which there
is no local market.
3. By sale as salvage to a local dealer or any recycling firm.
4. By destruction at an appropriate landfill site and certification thereto.
5. Returned to the City.
E.The material and equipment not sold at auction will be disposed of by one of the methods
described above within 15 days from the date offered at auction. For the purpose of these
480-10
Auction Firm Services
ATTACHMENT E
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instructions, the City will give approval as to the disposal method based on the
recommendation of the auction firm and the method that is in the best interests of the
City.
F.The auction firm will provide the Department of Finance & IT with a list of consigned
property with a check for the net proceeds from the auction or specialty sale within 60
days of receipt of consigned material and equipment providing the following information:
1. City Asset number (if available)
2. Short title description of the property
3. Date of sale or disposal
4. Purchaser or the disposal site
5. Total purchase price
6. Auction fee
7. Net to City
8. Method of disposal (sale at auction, transfer to a specialty house for sale, direct
sale as salvage, transfer to an appropriate landfill or disposal site, return to City)
480-11
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