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File ID: 2024-01372 8/20/2024 Consent Item 13.
Contract Supplement No. 2: Park Maintenance Mowers
File ID: 2024-01372
Location: Citywide
Recommendation: Pass a Motion authorizing the City Manager or the City Manager’s designee to execute Contract Supplement No. 2 to Contract No. 2023-1149 with Horizon Distributors for the purchase of four (4) Exmark 144” Yanmar Mowers and two (2) Exmark 72” Yanmar Mowers in an amount not to exceed $345,677 for a revised total contract not-to exceed amount of $547,841.
Contact: Alison Kerstetter, Fleet Manager, (916) 808-1163, [email protected], Department of Public Works
Presenter: None
Attachments:
1-Description/Analysis
2-Supplemental Agreement No. 2
Description/Analysis
Issue Detail: The Department of Public Works’ Fleet Management Division has identified a need to acquire six additional Yanmar Mowers for the Park Maintenance Division under the Department of Youth, Parks, and Community Enrichment. These new mowers will be used to maintain public areas within parks and community sites.
Policy Considerations: The recommendations in this report are in accordance with City Code Chapter 3.56 which requires City Council approval of actions of $250,000 or more and which provides for the use of cooperative purchase agreements without competitive bidding (Section
3.56.240).
Economic Impacts: None.
Environmental Considerations:
California Environmental Quality Act: No environmental review is necessary because the
File ID: 2024-01372 8/20/2024 Consent Item 13.
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 California Environmental Quality Act 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 OMNIA Partners contract was previously used by Fleet Management for an amount not to exceed $202,164. Fleet Management is requesting to purchase six additional mowers under this agreement.
After reviewing the available purchase options, the Fleet Management Division has determined that the cooperative purchase agreement with OMNIA Partners Contract 22-6640 with Exmark Manufacturing Company, Inc and local dealer Horizon Distributors, represents the most advantageous purchasing strategy. The contract was competitively bid nationally, and OMNIA Partners 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 purchases, in a total amount not to exceed $345,677 will be made from Department of Public Works Fiscal Year (FY) 2024/25 operating budget (Fleet Fund, Fund 6501) and will be charged to the Department of Youth, Parks and Community Enrichment Fleet Project (I06191100, Fund 2401) to support the recommended purchases.
Due to the forecasted budget gap, the City Manager has directed City departments to minimize costs and for all new contracts to receive an additional level of scrutiny to ensure they are necessary for the operation of the City. This contract has been reviewed and approved by the City Manager’s Office to advance to Council for approval. Funding for the proposed contract beyond FY2024/25 is subject
File ID: 2024-01372 8/20/2024 Consent Item 13.
to Council approval.
Local Business Enterprise (LBE): Horizon Distributors is an LBE.