Agenda Item #13.7
For Council Meeting of: February 4, 2025
CITY OF SANTA ROSA
CITY COUNCIL
TO: MAYOR AND CITY COUNCIL
FROM: JEREMY GUNDY, DEPUTY DIRECTOR – FIELD SERVICES, TRANSPORTATION AND PUBLIC WORKS SUBJECT: APPROVAL AND ISSUANCE OF A PURCHASE ORDER FOR THE PURCHASE OF TWO (2) KENWORTH T880 CLASS 8 DUMP TRUCKS TO REPLACE CITY ASSETS 29105 AND 29703 AGENDA ACTION: RESOLUTION
RECOMMENDATION
It is recommended by the Transportation and Public Works and Finance Departments that the Council, by resolution, approve the issuance of a Purchase Order for two (2) Kenworth T880 Class 8 Dump Trucks in the amount of $640,622.72, to Papé Trucks, Inc., an Oregon corporation, dba Papé Kenworth utilizing the pricing from the Sourcewell Cooperative Agreement Number 032824-KTC with Kenworth Truck Company, a Division of PACCAR Inc.
EXECUTIVE SUMMARY
The Purchasing Division of the Finance Department has received Purchase Requisition Number R167633 from the Transportation and Public Works (TPW) Department for the purchase two (2) Kenworth T880 Class 8 Dump Trucks utilizing the pricing from the Sourcewell Cooperative Agreement Number 032824-KTC.
BACKGROUND
Under the City’s guidelines for fleet asset replacement, the TPW Fleet Maintenance Division selects an asset for replacement when it has reached the end of its cost-effective life cycle. These assets have met the replacement criteria using a 15-point replacement program, an industry standard for predicting when best to sell an asset. Repair costs, age, and utilization are considered in the point calculation performed by our Faster Fleet software system.
The purchase of this equipment will replace City Asset No. 29105 and City Asset No. 29703 used in Santa Rosa Water.
PRIOR CITY COUNCIL REVIEW
Not applicable.
ANALYSIS
The Sourcewell Cooperative Contract Number 032824-KTC is a contract between Sourcewell and Kenworth Truck Company. The price schedule provides a 36.3% discount off the MSRP list price for the Kenworth Cab and Chassis. Papé Trucks is the nearest Kenworth truck dealer authorized to execute this Sourcewell Contract purchase. Papé Trucks has agreed to the City Purchase Order Terms and Conditions.
Santa Rosa City Code Section 3-08.160 allows for cooperative purchases when advantageous to the City. Based on the pricing the City obtains under the Sourcewell solicitations and the specialized nature of the equipment for purchase, TPW and Purchasing staff consider it advantageous to the City to use the cooperative purchase.
Upon approval by Council, a Purchase Order will be issued for the equipment in the amount identified above. The Purchase Order will reference the City Purchase Order Terms and Conditions, the Sourcewell Contract, and the quote provided by Papé Trucks, all subject to the City’s Purchase Order Terms and Conditions. The total cost includes delivery of the goods.
FISCAL IMPACT
Funds for this operational expense have been allocated in the FY 2024-25 budget under the Transportation and Public Works Department - E & R Replacement - Key 300106-5584. Approval of this action does not have a direct fiscal impact on the General Fund.
ENVIRONMENTAL IMPACT
Pursuant to CEQA Guidelines Section 15378, the proposed action is not a “project” subject to the California Environmental Quality Act (CEQA) because it does not have a potential for resulting in either a direct physical change in the environment or a reasonably foreseeable indirect physical change in the environment. In the alternative, the proposed action is exempt from CEQA pursuant to CEQA Guidelines Section 15061(b)(3) because it can be seen with certainty that there is no possibility that the project may have a significant effect on the environment.
BOARD/COMMISSION/COMMITTEE REVIEW AND RECOMMENDATIONS
Not applicable.
NOTIFICATION
Not applicable.
ATTACHMENTS
Resolution
Exhibit A – Sourcewell Kenworth-Papé Trucks Member Pricing Exhibit B – Sourcewell Cooperative Agreement No. 032824-KTC
PRESENTER
Zac Brand, Fleet Maintenance Superintendent
APPROVAL AND ISSUANCE OF A PURCHASE ORDER FOR THE PURCHASE OF TWO (2) KENWORTH T880 CLASS 8 DUMP TRUCKS TO REPLACE CITY ASSETS 29105 AND 29703 PAGE 3 OF 3