CITY COUNCIL ACTION REQUEST
Department(s)
Finance
CEQA
Not a Project, File No.
PP17-003,
Agreements/Contracts
(New or Amended)
resulting in no physical
changes to the
environment.
Coordination
City Attorney’s Office;
City Manager’s Budget
Office; Public Works
Department
Dept. Approval
/s/
Drew Corbett
Council District(s)
Citywide
CMO Approval
11/13/24
SUBJECT: Actions Related to the Purchase Orders with Owen Equipment Sales for Sewer Trucks and Equipment
RECOMMENDATION
Adopt a resolution authorizing the City Manager or her designee to:
a) Amend purchase order OP 65360 with Owen Equipment Sales (Fairfield, CA) for sewer trucks and equipment to increase the total compensation by $4,570,000, for a maximum compensation not-to-exceed $6,000,000 for the period ending June 25, 2025; and b) Exercise additional purchase orders for the purchase of sewer trucks and equipment through November 29, 2026, subject to the appropriation of funds.
BASIS FOR RECOMMENDATION
The Fleet Management Division, Department of Public Works, oversees the City’s vehicle fleet, including combination sewer trucks used by the Department of Transportation to address sewer- related discharges and infrastructure maintenance needs. The existing fleet of combination sewer trucks has reached the end of its usable life, leading to increased maintenance costs and extended periods of downtime. New sewer trucks will help to minimize operational impacts and provide the Department of Transportation with modern and advanced equipment that is essential for the delivery of public safety-related services.
The City is leveraging the solicitation and pricing from a cooperative agreement with Sourcewell, a State of Minnesota local government unit, to purchase these items. The cooperative agreement was competitively solicited, and the City’s use of this agreement is consistent with San José Municipal Code Section 4.12.225.B.3, Public Agencies Purchases. The initial purchase order for $1,430,000 with Owen Equipment Sales, Inc. was executed for the period of June 26, 2024 to June 25, 2025, under the City Manager’s authority. The Department of Transportation now requires additional funding to meet ongoing vehicle and equipment needs. Approval of this recommendation ensures the City continues to receive these essential products with minimal impact to operations.
COMMISSION RECOMMENDATION AND INPUT
No commission recommendation or input is associated with this action.
COST AND FUNDING SOURCE
The recommended action relating to this purchase order of $4,570,000 is funded by the Department of Transportation Non-Personal/Equipment Appropriation in the Sewer Service and Use Charge Fund.
FOR QUESTIONS CONTACT: Albie Udom, Deputy Director of Finance - Purchasing and Risk Management, at [email protected].
COUNCIL AGENDA: 12/3/24
FILE: 24-2255
ITEM: 2.10