City of Sacramento
City Council - 2PM Report
915 I Street Sacramento, CA 95814
www.cityofsacramento.org
File ID: 2023-00873 7/25/2023 Consent Item 24.
Contract Supplement No. 1: Replacement Aerial Truck (Two-Thirds Vote Required) File ID: 2023-00873
Location: Citywide
Recommendation: Pass a Motion: 1) suspending competitive bidding in the best interest of the City for the purchase of one replacement aerial truck; 2) authorizing the City Manager or City Manager’s designee to execute Supplement No. 1 to Contract No. 2023-0750 with Commerce Truck Equipment Sales, LLC in an amount not to exceed $209,837 for a revised total contract not to exceed amount of $419,672; and 3) authorizing the City Manager and City Manager’s designee to execute the contract specified above.
Contact: Bobbie Small, Program Specialist, (916) 808-6711, [email protected]; Alison Kerstetter, Fleet Manager, (916) 808-1163, [email protected], Department of Public Works
Presenter: None.
Attachments:
1-Description/Analysis
2-Contract Supplement No. 1
Description/Analysis
Issue Detail: The Department of Public Works, has an urgent need to purchase one aerial truck. The Transportation Division, within Public Works, has a need to replace its vehicle used to assist staff in repairing and installing traffic signs and signals. Maintenance issues, and safety issues have resulted in the current vehicle being non-operational. Due to supply chain limitations, ordering vehicles through the formal procurement processes will take years, requiring ongoing vehicle rental to maintain City traffic infrastructure. Purchasing a vehicle that is in-stock, will allow for faster replacement and thereby help reduce added costs to the City. Since this process is not considered “competitive bidding” under the City Code, it requires the City Council to approve the purchase by suspending competitive bidding to proceed with this purchase.
Policy Considerations: City Code 3.56.230.C provides that competitive bidding shall not apply to bids for supplies or nonprofessional services of $250,000 or more when, upon two-thirds vote, the
File ID: 2023-00873 7/25/2023 Consent Item 24.
City Council determines that it is in the best interest of the City to suspend competitive bidding.
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 considered to be a project in accordance with Section 15378(b)(2) of the CEQA guidelines.
Sustainability: The recommended purchases are consistent with the Fleet Sustainability Policy adopted by City Council on December 12, 2017 (Resolution No. 2017-0478).
Commission/Committee Action: None.
Rationale for Recommendation: The aerial truck is being purchased as a replacement to the current vehicle that has been taken out of service and is non-operational due to a catastrophic failure.
Purchase of an in-stock vehicle is the most advantageous option. The Transportation Division is currently renting a vehicle for $4,748 per month. Also, due to lack of current inventory for these types of vehicles, it could take anywhere between two to five years for a comparable vehicle to be delivered to the City. Purchasing an in-stock vehicle allows the Transportation Division to return the rental and resume operations using City owned equipment.
Financial Considerations: The recommended purchase, in a total amount not to exceed $209,837, will be made from the Department of Public Works Fiscal Year (FY) 2023/24 operating budget (Fleet Fund, Fund 6501) and will be charged to the Public Works Gas Tax Fleet Project (I06152100).
Sufficient funding exists in the Department of Public Works FY2023/24 operating budget and the Public Works Gas Tax Fleet Project (I06152100) to support the recommended purchase.
Local Business Enterprise (LBE): Commerce Truck Equipment Sales, LLC is not an LBE. The minimum LBE participation requirement is waived when the City suspends competitive bidding and utilizes an alternate procurement method to select a vendor.