CITY OF SIMI VALLEY
STAFF REPORT
Janu
ary 26, 2026
To: City
Council
From: P
ublic Works Department
Ron Fuchiwaki, Public Works Director
Subje
ct: Approval of the purchase of one vehicle for the Sanitation Division, utilizing the Sourcewell Cooperative Agreement and approval of a supplemental budget request
Staff Recommendation
It
is recommended that the City Council:
1. Approv
e issuance of a purchase order for a Sanitation Division vehicle utilizing Sourcewell Cooperative Agreement No. 082923-AGCO with Quinn Company (Quinn) for one (1) Massey Ferguson Tractor in the amount of $223,735.45;
2. Aut
horize a supplemental budget request and interfund transfer in the amount of $73,735.45 from the Sanitation Fund (700) to the Sanitation Replacement Reserve (702) for the purchase of the vehicle.
Background
On O
ctober 27, 2025, Sanitation Vehicle No. 538, a 2007 Massey Ferguson Tractor, experienced a mechanical failure in its transfer drive system, with an estimated repair cost of $60,000.00. Due to operational needs at the Water Quality Control Plant (WQCP), a rental tractor was procured on November 24, 2025, at a rate of $6, 503.89 per month.
The Sanitation Division originally planned to request the replacement of Vehicle No. 538 during the FY 2026- 27 budget process; however, due to the mechanical failure an d current rental amount, staff is requesting the replacement in the current fiscal year to avoid high repair and rental costs. Continuing to rent a tractor for a total of seven months, until FY 2026-27, would incur rental costs in the amount of $45,527.23.
Discussion
Sour
cewell is a cooperative purchasing program available to government agencies, providing competitively bid contracts that streamline procurement and reduce staff time.
The City’s Purchasing Ordinance, Section 2- 9.201(f), authorizes the use of cooperative purchasing methods such as Sourcewell, recognizing the efficiency and competitive
AGENDA I
TEM NO.
Consent (3)
pricing they offer. Based on its review, staff determined that Quinn best meets the City’s required specifications.
Sanitation Vehicle No. 538, a 2007 Massey Ferguson Tractor , will be replaced with a 2026 Massey Ferguson Tractor. The existing tractor is no longer CARB-compliant and is currently out of service due to engine failure. This equipment is used at the WQCP to till biosolids, which promotes additional dewatering. Reducing the moisture content lowers the overall weight of the material and results in reduced disposal costs when transporting biosolids to the landfill.
On December 5, 2025, Quinn provided a quote in the amount of $223,735.45 for the Massey Ferguson Tractor (Attachment A). Sourcewell Contract No. 082923- AGCO with AGCO Corporation (Attachment B) is valid through October 11, 2027. AGCO Corporation does not sell directly to municipalities so purchases are made through the local distributor, Quinn, located in Oxnard, CA . Quinn serv es as Ventura County’s contracted Massey Ferguson dealer under this agreement. Funding of $150,000 .00 is available in the Sanitation vehicle replacement budget ; however, an additional $73,735.45 is needed to complete the purchase.
Financial Impact
The total cost is $223,735.45. However, only an additional $73,735.45 is needed to complete the purchase. Adequate funds are available in the Sanitation Fund (700).
City Council Priority
This item supports the Reliable Infrastructure Pillar of Excellence.
Suggested Motion
I move to:
1. Approve issuance of a purchase order for a Sanitation Division vehicle utilizing the Sourcewell Cooperative Agreement, No. 082923- AGCO with Quinn for one (1) Massey Ferguson Tractor in the amount of $223,735.45; and,
2. Authorize a supplemental budget request and interfund transfer in the amount of $73,735.45 from the Sanitation Fund (700) to the Sanitation Replacement Reserve (702) for the purchase of vehicles.
Summary
On October 27, 2025, Sanitation Vehicle No. 538, a 2007 Massey Ferguson Tractor, suffered from a mechanical breakdown to its transfer drive system, with an estimated repair cost of $60,000.00. Due to operational needs at the WQCP, a rental tractor was procured on November 24, 2025, at a rate of $6,503.89 per month. The Sanitation 2 Division had originally planned to request the replacement of Vehicle No. 538 during the FY 2026-27 budget process; however, due to the breakdown and current rental amount, staff is requesting the replacement in the current fiscal year to avoid high repair and rental costs. Continuing to rent a tractor for a total of seven months, until FY 2026- 27, would incur rental costs in the amount of $45,527.23. Staff recommends that the City Council approve issuance of a purchase order for a Public Works vehicle utilizing the Sourcewell Cooperative Agreement, No. 082923- AGCO with Quinn for one (1) Massey F erguson Tractor in the amount of $223,735.45; and, authorize a supplemental budget request and interfund transfer in the amount of $ 73,735.45 from the Sanitation Fund (700) to the Sanitation Replacement Reserve (702) for the purchase of vehicles.
Prepared by: Matt Mckenna, Senior Management Analyst
Attachments:
Attachment A – Quinn Quote
Attachment B – Sourcewell Cooperative Agreement No. 082923-AGCO 3 Qui
nn Ag- Oxnard
80801 Del Norte
Oxnard, CA 93030
City of Simi Valley- Sanitation Dept.
Date: 12/5/25
Item Invoice Price
Massey Ferguson 7S.165 $221,784.61
MFFL4327 Loader with Euro Bucket $17,646.09
Tires: F420/85R28 R480/85R42
4 Spool Valves
Rear Wheel Weights (2 Sets)
TOTAL $239,430.70
Sou
rcewell Discount (25% off invoice): ($59,857.68)
Sales Price: $179,573.02
AGCO Freight Charge: $5,750.00
AGCO Ocean Freight Surcharge: $0.00
AGCO Assembly: $0.00
Dealer Assembly and PDI: $2,500.00
Extended Warranty $0.00
Subtotal: $187,823.02
Sales Tax 7.25%: $13,617.17
Tire Fee: $7.00
TOTAL (Massey Ferguson 7S.165): $201,447.19
John Alamillo
(805)443-1723 (cell)
[email protected]
Sourcewell Contract #: 082923-AGCO
Attachment A
4 Item List Price
Gearmore TC305-CT $21,230.00
TOTAL $21,230.00
Discount: ($1,698.40) Sales Price: $19,531.60 Freight Charge: $500.00 AGCO Assembly: $0.00 Dealer Assembly and PDI: $750.00 Subtotal: $20,781.60 Sales Tax 7.25%: $1,506.66 Tire Fee: $0.00 TOTAL (Gearmore TC305-CT): $22,288.26
Grand Total $223,735.45
5 Rev. 3/2022 1
Solicitation Number: RFP #082923
CONTRACT
This Contract is between Sourcewell, 202 12th Street Northeast, P.O. Box 219, Staples, MN 56479 (Sourcewell) and AGCO Corporation, 4205 River Green Pkwy., Duluth, GA 30096 (Supplier).
Sourcewell is a State of Minnesota local government unit and service cooperative created under the laws of the State of Minnesota (Minnesota Statutes Section 123A.21) that offers cooperative procurement solutions to government entities. Participation is open to eligible federal, state/province, and municipal governmental entities, higher education, K-12 education, nonprofit, tribal government, and other public entities located in the United States and Canada.
Sourcewell issued a public solicitation for Ag Tractors with Related Attachments, Accessories, and Supplies from which Supplier was awarded a contract.
Supplier desires to contract with Sourcewell to provide equipment, products, or services to Sourcewell and the entities that access Sourcewell’s cooperative purchasing contracts (Participating Entities).
1. TERM OF CONTRACT
A. EFFECTIVE DATE. This Contract is effective upon the date of the final signature below.
EXPIRATION DATE AND EXTENSION. This Contract expires October 11, 2027, unless it is cancelled sooner pursuant to Article 22. This Contract allows up to three additional one-year extensions upon the request of Sourcewell and written agreement by Supplier. Sourcewell retains the right to consider additional extensions beyond seven years as required under exceptional circumstances.
B. S URVIVAL OF TERMS. Notwithstanding any expiration or termination of this Contract, all payment obligations incurred prior to expiration or termination will survive, as will the following: Articles 11 through 14 survive the expiration or cancellation of this Contract. All other rights will cease upon expiration or termination of this Contract.
2. EQUIPMENT, PRODUCTS, OR SERVICES
Attachment B
082923-AGCO
6 082923-AGCO
Rev. 3/2022 2
A. EQUIPMENT, PRODUCTS, OR SERVICES. Supplier will provide the Equipment, Products, or Services as stated in its Proposal submitted under the Solicitation Number listed above.
Supplier’s Equipment, Products, or Services Proposal (Proposal) is attached and incorporated into this Contract.
All Equipment and Products provided under this Contract must be new and the current model.
Supplier may offer close-out or refurbished Equipment or Products if they are clearly indicated in Supplier’s product and pricing list. Unless agreed to by the Participating Entities in advance, Equipment or Products must be delivered as operational to the Participating Entity’s site.
This Contract offers an indefinite quantity of sales, and while substantial volume is anticipated, sales and sales volume are not guaranteed.
B. WARRANTY. Supplier warrants that all Equipment, Products, and Services furnished are free from liens and encumbrances, and are free from defects in design, materials, and workmanship.
In addition, Supplier warrants the Equipment, Products, and Services are suitable for and will perform in accordance with the ordinary use for which they are intended. Supplier’s dealers and distributors must agree to assist the Participating Entity in reaching a resolution in any dispute over warranty terms with the manufacturer. Any manufacturer’s warranty that extends beyond the expiration of the Supplier’s warranty will be passed on to the Participating Entity.
C. DEALERS, DISTRIBUTORS, AND/OR RESELLERS. Upon Contract execution and throughout the Contract term, Supplier must provide to Sourcewell a current means to validate or authenticate Supplier’s authorized dealers, distributors, or resellers relative to the Equipment, Products, and Services offered under this Contract, which will be incorporated into this Contract by reference. It is the Supplier’s responsibility to ensure Sourcewell receives the most current information.
3. PRICING
All Equipment, Products, or Services under this Contract will be priced at or below the price stated in Supplier’s Proposal.
When providing pricing quotes to Participating Entities, all pricing quoted must reflect a Participating Entity’s total cost of acquisition. This means that the quoted cost is for delivered Equipment, Products, and Services that are operational for their intended purpose, and includes all costs to the Participating Entity’s requested delivery location.
Regardless of the payment method chosen by the Participating Entity, the total cost associated with any purchase option of the Equipment, Products, or Services must always be disclosed in the pricing quote to the applicable Participating Entity at the time of purchase.
7 082923-AGCO
Rev. 3/2022 3
A. SHIPPING AND SHIPPING COSTS. All delivered Equipment and Products must be properly packaged. Damaged Equipment and Products may be rejected. If the damage is not readily apparent at the time of delivery, Supplier must permit the Equipment and Products to be returned within a reasonable time at no cost to Sourcewell or its Participating Entities.
Participating Entities reserve the right to inspect the Equipment and Products at a reasonable time after delivery where circumstances or conditions prevent effective inspection of the Equipment and Products at the time of delivery. In the event of the delivery of nonconforming Equipment and Products, the Participating Entity will notify the Supplier as soon as possible and the Supplier will replace nonconforming Equipment and Products with conforming Equipment and Products that are acceptable to the Participating Entity.
Supplier must arrange for and pay for the return shipment on Equipment and Products that arrive in a defective or inoperable condition.
Sourcewell may declare the Supplier in breach of this Contract if the Supplier intentionally delivers substandard or inferior Equipment or Products.
B. SALES TAX. Each Participating Entity is responsible for supplying the Supplier with valid tax- exemption certification(s). When ordering, a Participating Entity must indicate if it is a tax- exempt entity.
C. HOT LIST PRICING. At any time during this Contract, Supplier may offer a specific selection of Equipment, Products, or Services at discounts greater than those listed in the Contract.
When Supplier determines it will offer Hot List Pricing, it must be submitted electronically to Sourcewell in a line-item format. Equipment, Products, or Services may be added or removed from the Hot List at any time through a Sourcewell Price and Product Change Form as defined in Article 4 below.
Hot List program and pricing may also be used to discount and liquidate close-out and discontinued Equipment and Products as long as those close-out and discontinued items are clearly identified as such. Current ordering process and administrative fees apply. Hot List Pricing must be published and made available to all Participating Entities.
4. PRODUCT AND PRICING CHANGE REQUESTS
Supplier may request Equipment, Product, or Service changes, additions, or deletions at any time. All requests must be made in writing by submitting a signed Sourcewell Price and Product Change Request Form to the assigned Sourcewell Supplier Development Administrator. This approved form is available from the assigned Sourcewell Supplier Development Administrator.
At a minimum, the request must:
Identify the applicable Sourcewell contract number;
8 082923-AGCO
Rev. 3/2022 4
Clearly specify the requested change;
Provide sufficient detail to justify the requested change; Individually list all Equipment, Products, or Services affected by the requested change, along with the requested change (e.g., addition, deletion, price change); and Include a complete restatement of pricing documentation in Microsoft Excel with the effective date of the modified pricing, or product addition or deletion. The new pricing restatement must include all Equipment, Products, and Services offered, even for those items where pricing remains unchanged.
A fully executed Sourcewell Price and Product Change Request Form will become an amendment to this Contract and will be incorporated by reference.
5. PARTICIPATION, CONTRACT ACCESS, AND PARTICIPATING ENTITY REQUIREMENTS
A. PARTICIPATION. Sourcewell’s cooperative contracts are available and open to public and nonprofit entities across the United States and Canada; such as federal, state/province, municipal, K-12 and higher education, tribal government, and other public entities.
The benefits of this Contract should be available to all Participating Entities that can legally access the Equipment, Products, or Services under this Contract. A Participating Entity’s authority to access this Contract is determined through its cooperative purchasing, interlocal, or joint powers laws. Any entity accessing benefits of this Contract will be considered a Service Member of Sourcewell during such time of access. Supplier understands that a Participating Entity’s use of this Contract is at the Participating Entity’s sole convenience and Participating Entities reserve the right to obtain like Equipment, Products, or Services from any other source.
Supplier is responsible for familiarizing its sales and service forces with Sourcewell contract use eligibility requirements and documentation and will encourage potential participating entities to join Sourcewell. Sourcewell reserves the right to add and remove Participating Entities to its roster during the term of this Contract.
B. PUBLIC FACILITIES. Supplier’s employees may be required to perform work at government- owned facilities, including schools. Supplier’s employees and agents must conduct themselves in a professional manner while on the premises, and in accordance with Participating Entity policies and procedures, and all applicable laws.
6. PARTICIPATING ENTITY USE AND PURCHASING
A. ORDERS AND PAYMENT. To access the contracted Equipment, Products, or Services under this Contract, a Participating Entity must clearly indicate to Supplier that it intends to access this Contract; however, order flow and procedure will be developed jointly between Sourcewell and Supplier. Typically, a Participating Entity will issue an order directly to Supplier or its authorized 9