City of Sacramento
City Council - 2PM Report
915 I Street Sacramento, CA 95814
www.cityofsacramento.org
File ID: 2024-01370 8/20/2024 Consent Item 17.
Contract Supplement No. 1: Replacement Vac-Con Combination Sewer Cleaner [Published for 10-Day Review 08/08/2024]
File ID: 2024-01370
Location: Citywide
Recommendation: Pass a Motion authorizing the City Manager or the City Manager’s designee to execute Supplement No. 1 to Contract No. 2023-1414 with Municipal Maintenance Equipment, Inc. for the purchase of one (1) replacement Vac-Con Combination Sewer Cleaner in amount not to exceed $765,491 for a revised total contract not-to exceed amount of $1,545,110.
Contact: Alison Kerstetter, Fleet Manager, [email protected], (916) 808-1163, Department of Public Works
Presenter: None
Attachments:
1-Description/Analysis
2-Supplemental Agreement No. 1
Description/Analysis
Issue Detail: The Department of Public Works, Fleet Management Division, seeking approval to purchase a replacement Vac-Con combination sewer cleaner for the Department of Utilities, Wastewater Collection Division. This truck is crucial for maintaining the efficiency and functionality of our wastewater infrastructure. It will be utilized for cleaning and removing debris from drains and pipes, ensuring smooth operation of the wastewater collection system.
Policy Considerations: The recommendations in this report are in accordance with Sacramento City Code Chapter 3.56 and Sacramento City Council Rules of Procedure, Chapter 7, Section E.2.d, which requires additional posting time for labor agreements and agreements greater than $1 million.
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).
The Sacramento City Code Section 4.04.020 and Council Rules of Procedure (Chapter 7, Section
File ID: 2024-01370 8/20/2024 Consent Item 17.
E.2.d) mandate that unless waived by a 2/3 vote of the City Council, all labor agreements and all agreements greater than $1,000,000 shall be made available to the public at least ten (10) days prior to council action. This item was published for a 10-day review on August 08, 2024, in compliance with the City Code.
Economic Impacts: None.
Environmental Considerations:
California Environmental Quality Act: No environmental review is necessary because the recommendation in this report involve the purchase of vehicle and is 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 Sourcewell contract was previously used by Fleet Management for an amount not to exceed $779,619. Fleet Management is requesting to purchase one additional truck under this agreement.
This replacement truck is necessary as the existing truck has reached the end of its serviceable life, primarily because of high mileage and maintenance costs. The recommended acquisition of this truck aligns with the standard replacement schedule carried out by the Fleet Management Division.
After reviewing the available purchase options, the Fleet Management Division has determined that the Sourcewell cooperative purchase agreement with Municipal Maintenance Equipment, Inc., 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
File ID: 2024-01370 8/20/2024 Consent Item 17.
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: One replacement Vac-Con combination sewer cleaner will be purchased in an amount not to exceed $765,491 from the Department of Public Works Fiscal Year (FY) 2024/25 operating budget (Fleet Fund, Fund 6501) and will be charged to the Department of Utilities Fleet Project (I06146000, Fund 6006) to support the recommended purchase.
Local Business Enterprise (LBE): Municipal Maintenance Equipment, Inc. is an LBE.