City of Sacramento
City Council - 5PM Report
915 I Street Sacramento, CA 95814
www.cityofsacramento.org
File ID: 2022-01720 10/11/2022 Consent Item 12.
Cooperative Purchase Agreement: Replacement Claw Loaders File ID: 2022-01720
Location: Citywide
Recommendation: Pass a Motion: 1) approving the use of the Sourcewell cooperative purchase agreement with John Deere Construction Retail Sales (Contract No. 032119-JDC) for the purchase of two replacement claw loaders not to exceed $300,110; and 2) authorizing the City Manager or the City Manager’s designee to execute the purchase specified above.
Contact: Alison Kerstetter, Fleet Manager, (916) 808-1163, [email protected]; Department of Public Works
Presenter: None
Attachments:
1-Description/Analysis
2-Contract
Description/Analysis
Issue Detail: The Department of Public Works, Fleet Management Division, has a customer requirement to purchase two replacement John Deere Claw Loaders for the Department of Public Works, Recycling and Solid Waste Division. The loaders will be used during leaf season as well as to pick up bulk refuse.
Policy Considerations: The recommendations in this report are in accordance with City Code Chapter 3.56.
Economic Impacts: None
Environmental Considerations:
California Environmental Quality Act (CEQA): No environmental review is necessary because the recommendations in this report involve the purchase of vehicles and are not City of Sacramento Page 1 of 2
File ID: 2022-01720 10/11/2022 Consent Item 12.
considered to be a project in accordance with Section 15378(b)(2) of the C EQA guidelines.
Sustainability: The recommended purchases are consistent with the updated Fleet Sustainability Policy adopted by City Council on December 12, 2017 (Resolution No. 2017- 0478).
Commission/Committee Action: None
Rationale for Recommendation: After reviewing the available purchase options, the Fleet Management Division has determined that the Sourcewell cooperative purchase agreement with John Deere Construction Retail Sales represents the most advantageous purchasing strategy. The contract was competitively bid nationally, and Sourcewell receives greater discounts from the manufacturer due to a higher purchase volume than the City would receive if issuing its own bid.
In an ongoing effort to maximize cost savings and staff resources, many government agencies share contracting efforts through cooperative purchasing. This procurement method increases pricing competitiveness and lowers operating costs through volume buying. When comparing the administrative costs of procurement, staff considers product research, source selection, specifications, advertising, staff reports, awarding, protest, and administration of the contract.
The City has used both regional and national cooperative purchase agreements to complement its own contracting initiatives. Cooperative purchasing enables City departments to evaluate a broader range of contracting opportunities and to share resources with other jurisdictions. Cooperative purchasing also leverages internal and external resources to maximize cost savings opportunities for the City.
Financial Considerations: The recommended purchase, in a total amount not to exceed $300,110 will be made from the Department of Public Works Fiscal Year (FY) 2022/23 operating budget (Fleet Fund, Fund 6501) and will be charged to the Department of Public Works Recycling and Solid Waste Fleet Project (I06147000, Fund 6007). Sufficient funding exists in the Department of Public Works FY2022/23 operating budget and the Public Works Fleet Project (I06147000) to support the recommended purchase.
Local Business Enterprise (LBE): John Deere Construction Retail Services is not an LBE. The minimum LBE participation requirement is waived for the City’s use of cooperative purchase agreements that have been competitively bid, evaluated, and awarded by other governmental agencies that may or may not have similar LBE programs.
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