City of Sacramento
City Council - 2PM Report
915 I Street Sacramento, CA 95814
www.cityofsacramento.org
File ID: 2026-00429 2/10/2026
[Cooperative Agreement] Roadway Equipment Purchases [Published for 10-Day Review 01/29/2026]
File ID: 2026-00429
Location: Citywide
Recommendation: Pass a Motion: 1) approving the use of the Sourcewell cooperative purchase agreement with PB Loader Corporation (Agreement number 050625-PBL), for the purchase of roadway equipment as needed in an amount not to exceed $2,000,000; and 2) authorizing the City Manager or designee to execute the cooperative/piggybacking agreement.
Contact: Stacey Chatman, 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
Description/Analysis
Issue Detail: The Department of Public Works, Fleet Management Division is responsible for purchasing all fleet assets for City departments. To expedite purchasing and minimize cost overruns, the Fleet Management Division seeks to open contracts with vendors of standardized City fleet assets, allowing the procurement of vehicles critical to supporting mission-essential functions across City departments.
Policy Considerations: The recommendations in this report are in accordance with City Code Chapter 3.56.090 and 4.04.020. The recommendations in this report are also in accordance with Sacramento City Code Section 3.56.240 which provides for the use of cooperative purchase agreements as an exception to the requirement for competitive bidding.
Sacramento City Code Section 4.04.020 and the City Council Rules of Procedure (Chapter 7 Section E.2.d) mandate that unless waived by a 2/3 vote of the City Council, all labor agreements, and all
File ID: 2026-00429 2/10/2026
agreements greater than $1,000,000 shall be made available to the public at least 10 days prior to City Council action. This item was published for 10-day review on January 29,2026, in compliance with the City Code.
Economic Impacts: None.
Environmental Considerations:
California Environmental Quality Act Guidelines: No environmental review is necessary because the recommendations in this report involve the purchase of equipment 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 updated Fleet Sustainability Policy adopted by City Council on December 12, 2017 (Resolution No. 2017-0478) and California Air Resource Board (CARB) regulations. Purchases of zero emission models will be purchased as made available from the vendors and if they comply with operational needs.
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 PB Loader Corporation 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.
Staff is requesting that Council vest the City Manager or designee with the power to effectuate the purchase identified.
Financial Considerations: The recommended purchase, in a total amount not to exceed $2,000,000 will be made from the Department of Public Works Fiscal Year (FY) 2025/26 operating budget (Fleet
File ID: 2026-00429 2/10/2026
Fund, Fund 6501) and will be charged to the using Department upon purchase. Sufficient funding exists in the Department’s FY2025/26 operating budget to support the recommended purchase.
Local Business Enterprise (LBE): PB Loader 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.
CONTRACT #: PRC004023 PROJECT: CONTRACT NAME: ROADWAY MAINTENANCE EQUIPMENT NOT-TO-EXCEED AMOUNT: $2,000,000.00 AGREEMENT TERM: 2/10/2026-07/07/2029SOLICITATION: Sourcewell 050625AUTHORIZED RENEWALS: Three additional one year extensions (but not to exceed five years) LBE (Y/N): N DEPARTMENT/DIVISION: Public / Fleet Management CITY OF SACRAMENTO COOPERATIVE/PIGGYBACKING AGREEMENT Cooperative/Piggyback Agreement Approved by CAO 10-16-2025 The City of Sacramento ("City") and PB LODER CORPORATION ("Contractor"), hereby agreeto this Cooperative/Piggybacking as of 2/10/2026. WHEREAS, the City wishes to purchase ROADWAY MAINTENANCE EQUIPMENT, pursuant to the terms of this Agreement and Contract No. 050625-PBL, dated 07/01/2025 which is incorporated herein by this reference), with SOURCEWELL . NOW THEREFORE, Contractor and the City agree as follows: 1. The City agrees to purchase, pursuant to the terms of this Agreement and the Cooperative Contract,ROADWAY MAINTENANCE EQUIPMENT. In no way shall payment from City to Contractor under thisAgreement exceed $2,000,000.2. Scope of work. [To be completed by the City representative] [Check one or both]:[___ __.The goods and/or services shall be delivered to the City no later than . The terms of this Agreementand the Cooperative Contract shall control over any contrary terms included in Exhibit __; and/or[_X__] , including the date(s) ofdelivery, shall be as set forth in purchase order(s) issued by the City. The terms of this Agreementand the Cooperative Contract shall control over any contrary terms included in a purchase order.3. The City shall have all the same pricing, terms, conditions, rights, and obligations as the CooperativePurchasing Organization under the Cooperative Contract.4. Term. [To be completed by the City representative] [Check one]:[___] The term of this Agreement shall run through .[_X__] The term of this Agreement shall run concurrent with the term of the Cooperative Contract.If the Cooperative Purchasing Organization renews or extends the Cooperative Contract by writtenamendment, then this Agreement will automatically extend, not to go beyond a total term of fiveyears.In addition to whichever line above in this Section 4 is checked, (i) the City may terminate thisAgreement upon notice to Contractor, and (ii) at any time prior to expiration of this Agreement, theCity has the option to extend the term of this Agreement through the term of the CooperativeContract, inclusive of any renewals and extensions to the Cooperative Contract.
CONTRACT #: PRC004023 PROJECT: CONTRACT NAME: ROADWAY MAINTENANCE EQUIPMENT NOT-TO-EXCEED AMOUNT: $2,000,000.00 AGREEMENT TERM: 2/10/2026-07/07/2029SOLICITATION: Sourcewell 050625AUTHORIZED RENEWALS: Three additional one year extensions (but not to exceed five years) LBE (Y/N): N DEPARTMENT/DIVISION: Public Management / Fleet Management CITY OF SACRAMENTO COOPERATIVE/PIGGYBACKING AGREEMENT Cooperative/Piggyback Agreement Approved by CAO 10-16-2025
5. Contractor shall defend, hold harmless and indemnify City, its officers and employees, and each and every one of them, from and against all actions, damages, costs, liabilities, claims, demands, losses, judgments, penalties, costs and expenses of every type and description, whether arising on or off the site of the work or services performed under this Agreement or the Cooperative Contract, any fees and expenses incurred in enforcing this provision (hereafter collectively referred to as intellectual property, damage to the environment, contractual or other economic damages, or regulatory penalties, arising out of or in any way connected with performance of or failure to perform this Agreement or the Cooperative Contract by Contractor, any subcontractor (including lower-tier subcontractors) or agent of Contractor, their respective officers and employees, and anyone else for whose acts or omissions any of them may be liable, whether or not the Liabilities (i) are caused in part by a party indemnified hereunder, or (ii) are litigated, settled or reduced to judgment; provided that the foregoing indemnity does not apply to liability for any damages for death or bodily injury to persons, injury to property, or other loss, damage, or expense, to the extent arising from the active negligence or willful misconduct of, or defects in design furnished by, City, its agents, servants, or independent contractors who are directly responsible to City, except when such agents, servants, or independent contractors are under the supervision and control of Contractor or any subcontractor (including lower-tier subcontractors) or agent of Contractor. 6. Insurance Requirements. [To be completed by the City representative]. this Agreement or any extension thereof, satisfy the following insurance requirements which shall apply to Contractors performance under this Agreement. [Check one]: [_X__] the insurance limits and obligations contained in the Cooperative Contract. The City shall have all the same rights as the Cooperative Purchasing Organization under the Cooperative Contract. Contractor shall provide the City with certificates of insurance evidencing the insurance required upon request. [___] the insurance requirements contained in Cooperative Agreement https://www.cityofsacramento.gov/finance/procurement/standard-agreements, which is incorporated herein by reference. 7. Public Work Requirements. [To be completed by the City representative]. The services provided under this Agreement include [Check any if applicable]: [___] Construction work in an amount exceeding $25,000; [___] Land surveying, material testing, or inspection services provided for a City construction project during the design, pre-construction, construction, or post-construction phases of the project; or CONTRACT #: PRC004023 PROJECT: CONTRACT NAME: ROADWAY MAINTENANCE EQUIPMENT NOT-TO-EXCEED AMOUNT: $2,000,000.00 AGREEMENT TERM: 2/10/2026-07/07/2029SOLICITATION: Sourcewell 050625AUTHORIZED RENEWALS: Three additional one year extensions (but not to exceed five years) LBE (Y/N): N DEPARTMENT/DIVISION: Public Management / Fleet Management CITY OF SACRAMENTO COOPERATIVE/PIGGYBACKING AGREEMENT Cooperative/Piggyback Agreement Approved by CAO 10-16-2025 [___] Alteration, demolition, repair, or maintenance work in an amount exceeding $15,000. If any lines above in this section 7 is checked, this Agreement California Labor Code and is subject to the additional terms and conditions specified in the document : https://www.cityofsacramento.gov/finance/procurement/standard-agreements, which is incorporated herein by reference. 8. This Agreement shall be governed, construed and enforced in accordance with the laws of the State of California, except that the rule of interpretation in California Civil Code section 1654 will not apply. Venue of any litigation arising out of this Agreement will lie exclusively in the state trial court or Federal District Court located in Sacramento County in the State of California, and the parties consent to jurisdiction over their persons and over the subject matter of any such litigation in such courts, and consent to service of process issued by such courts. 9. The Contractor shall be responsible for strict compliance with all applicable laws, regulations, court orders and other legal requirements applicable to the work to be accomplished under this Agreement, including the California Occupational Safety and Health Act and all applicable safety orders issued by the Division of Occupational Safety and Health, Department of Industrial Relations, State of California, and all applicable requirements of Underwriters Laboratories and the Federal Communication Commission. 10. Contractor warrants and represents that the person or persons executing this Agreement on behalf of Contractor has or have been duly authorized by Contractor to sign this Agreement and bind Contractor to the terms hereof. 11. Except as specifically modified herein, all terms and conditions of the Cooperative Contract shall remain in full force and effect, and Contractor shall perform all of the services, duties, obligations, and conditions of the Cooperative Contract as stipulated and modified by this Agreement. Where there is a conflict between the terms and conditions of the Cooperative Contract and this Agreement, this Agreement shall control. 050625-PBL
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MASTER AGREEMENT #050625 CATEGORY: Roadway Maintenance Equipment SUPPLIER: This Master Agreement (Agreement) is between Sourcewell, located at 202 12th Street Northeast, P .O. Box 219, Staples, MN 56479 (Sourcewell) and 5778 W. Barstow Ave., Fresno, CA 93722 (Supplier). Sourcewell a CPurchasing Program to eligible CPurchasing Program. General T. 1) Pursuant to Minnesota law, t Purchasing Program designed to provide Pagreementshas awarded Supplier this herein. 2) 3) CPurchasing Program Master Agreements are . CPurchasing P 4) 050625-PBL
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. 5) Time on July 7, 2029, unless it is cancelled or extended a) Sourcewell and Supplier may agree to up to three (3) -year extensions - (7) b) 6) between 7) RFP #050625 a. Asphalt recyclers and reclaimers, hot boxes; b. c. d. 8) is incorporated into this Master . 9) . 10) t 11) Suppliers may not exceed the prices listed in the current Pricing List with Sourcewell . 12) process is included within its Proposal. 13) i) Supplier represents and warrants it will provide all Included 050625-PBL
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ii)Supplier. iii) Supplier warrants that all Included in accordance with the ordinary u 14) 15) nt, or any warrants that it will p 16) -II Included i) 60, all agreements - -1.4(b), in 319, 12935, - ii) DAVIS-- ---3144, and 3146- 050625-PBL
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-decision to award a contract or subcontract must be condi--each con-must report all -Bacon Act provisions. iii) - Where applicable, all contracts awarded by the non-the purchases iv) v) -- - 050625-PBL
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- - vi) A contract department or agency. vii) BYRD ANTI- Suppliers must --- 2). viii) To the extent applicable, Supplier must comply grantees or ix) To the extent applicable, x) To the extent applicable, Supplier must xi) 050625-PBL
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xii) A non- consistent with maintaining a solid waste management services in a m xiii) The Supplier cannot use the seal(s), logos, crests, -approval. xiv) xv) The xvi) - xvii) (as xviii) The Supplier, and its subcontractors, must comply with xix) 050625-PBL
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xx) To the extent applicable, Supplier 1) 2) changes, 3) . 4) Supplier will chain issues, customer issues, and 5) provide complete and accurate 050625-PBL
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this Agreement. 6) ch calendar Supplier must submit a Account Number; collected by Supplier, the Report may include the 7) in its proposed pricing. 8) For certain categories, a may be proposed. . 9) -assigned Agreement number in the memo; and must be either mailed to Sourcewell 10) available payments 050625-PBL
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11) Pursuant to Minn. Stat. and Sourcewell. 12) and consent will not be unreasonably withheld. Sourcewell reserves the right to unilaterally assign all or Responsible Party and named in the Agreement. Any prohibited assignment is -material updates as determined 13) . 14) Failure by Sourcewell to any right under this Agreement will not be deemed a waiver right. 15) 16) -servant, or principal-agent. 17) Agreement by the Supplier 18) chapter. 050625-PBL
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19) a) i) Sourcewell grants to Supplier a royalty--exclusive Agreement with Supplier. ii) Supplier grants to Sourcewell a royalty--Sourcewell. b) sublicensees. c) i) . ii) g misuse under d) -printed 20) . 050625-PBL
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21) 22) At its own expense, Supplier must maintain valid insurance policy(ies) during - verage and a) -completed Agreement. - b) Sourcewell, 202 12th Street Northeast, P .O. Box 219, Staples, MN 56479 or provided to in an c) - Supplier provide that coverage is primary and not excess over or contributory with any other valid, - d) ble to -insured 050625-PBL
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e)- Agreement can - 23) Sourcewell or Supplier may terminate this Agreement upon 60 any 24) alendar days any . 1) thin . 2) and other relevant terms non- rements, replacement, return or exchange procedures, and associated costs. 3) -exempt status and - 4) y. 5) 050625-PBL
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account number. 6) terms may supplant or supersede this Master Agreement when necessary and as solely determined within this Master Agreement, including but not limited to tr-and other material terms as mutually agreed. 7) -beyond th . 8) Sourcewell PB Loader Corporation Jason Thompson President
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