BACKGROUND:
As a result of Tropical Storm Hilary and its associated mud and debris flow on August 21, 2023, the City sustained two vehicular equipment losses. Both were caught in the mud and debris movement—one along Horizon Road and the other along Vista Chino Road. The vehicles sustained extensive damage beyond repair and the insurance adjuster deemed both a total loss.
DISCUSSION:
The Police Department lost a Ford Explorer on Horizon Road with a replacement cost of $80,416.30, comprised of $54,606.00 for the vehicle and $25,810.30 for equipment and graphics outfitting (attachment 1). This vehicle will be replaced with a Chevrolet Tahoe.
For insurance purposes, we were directed to obtain two vehicle quotes. Note – the second quote has a vehicle cost of $55,837.03 (attachment 2).
The Public Works Department lost a dump truck on Vista Chino Road with a replacement cost of $81,636.89, comprised of $79,477.76 for the vehicle and $2,159.13 for equipment and graphics outfitting (attachment 3). For insurance purposes, we were directed to obtain two vehicle quotes. Note – the second quote has a vehicle cost of $89,563.83 (attachment 4).
FISCAL IMPACT:
The total cost for these two vehicles is $162,053.19.
Insurance will provide reimbursement of $112,053.19.
The deductible is $50,000, which will be paid from the Equipment Replacement Fund (611). With anticipated reimbursement from the Federal Emergency Management Agency (FEMA) and the California Office of Emergency Services (CalOES) for the deductible totaling $46,875, the net cost to the City will be $3,125.
FIVE-YEAR STRATEGIC PLAN:
GOAL C: Fiscal Stability and Sustainability
Objective: Cathedral City has economically prospered by facilitating the investment of private dollars in high quality development which benefits the community. We remain financially solvent by instituting prudent fiscal policies and transparent practices.