TO:Andrew P. Powers, City Manager
FROM:Clifford G. Finley, Public Works Director
DATE:June 20, 2023
SUBJECT: Purchase of Stump Grinder and Utility Trucks
RECOMMENDATION:
1. Approve “piggyback” purchase of one SC552 Vermeer Stump Grinder from RDO Equipment Company (Oxnard, CA) through Sourcewell Contract #031721-VRM for replacement of asset #5630-247 for a total cost of $81,989.20.
2. Approve “piggyback” purchase of three International Trucks from Gibbs International Truck Centers (Oxnard, CA) through Sourcewell Contract #060920- NVS for replacement of assets #5630-216, #5630-224 and #5640-149 for a total cost of $410,475.45.
3. Authorize expenditure in the amount of $492,464.65 in FY 2022-23 from the following General Fund accounts: $372,476.79 from A/C #001-5630-632-8400 (Landscape Maintenance Equipment Over $5,000) and $119,987.86 from A/C #001-5640-631-8400 (Fleet Service Equipment Over $5,000).
4. Find that this action is not a project as defined under the California Environmental Quality Act.
FINANCIAL IMPACT:
No Additional Funding Requested. The total of this purchase in the amount of $492,464.65 is included in the Adopted FY 2022-23 General Fund Budget. This purchase will be partially offset by $220,683 in fixed asset replacement funds.
BACKGROUND:
The City’s Municipal Service Center (MSC) provides regular maintenance and repairs to the City’s infrastructure and requires certain essential equipment to conduct these services. Utility trucks are used to transport tools necessary for various types of operations and repairs, including routine or emergency maintenance of water or wastewater lines, streets, sidewalks, and City-maintained landscape. Additionally, the Landscape Division relies on stump grinders that play
Purchase of Stump Grinder and Utility Trucks
June 20, 2023
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5 a crucial role in preventing continued growth of infrastructure damaging roots and avoiding underground safety hazards during tree removal processes.
As part of the replacement evaluation process, staff examines vehicles and equipment of this type after 10 years of service, considering hours or miles of use, mechanical condition, continued safe operation, functionality requirements and adherence to California off-road diesel emission standards set by the California Air Resources Board (CARB). The CARB Regulation pertaining to most diesel-fueled buses and trucks that weigh over 14,000 pounds states that engines manufactured in 2009 or earlier must be replaced or repowered to remain in compliance and avoid DMV registration denial.
Staff recommends replacing the assets as listed below due to factors such as age, usage duration, mileage, and compliance to CARB regulations. As these assets play a crucial role in the operations of the Public Works Department Landscape and Fleet Divisions, it is necessary to replace them.
Department/
Division Asset Year Existing
Make/Model
Current
Hours/Miles
Replacement
Make/Model
Public Works/
Landscape 5630-247 2003 Vermeer SC652
Stump Grinder 1,529 hours Vermeer
SC552
Public Works/
Landscape 5630-216 2001
International
4700
Utility Truck
72,813 miles International
MV607
Public Works/
Landscape 5630-224 2003 Ford F650
Utility Truck
108,617
miles
International
MV607
Public Works/
Fleet 5640-149 2008 Ford F250
Utility Truck 52,665 miles International
CV515
DISCUSSION/ANALYSIS:
Pursuant to Thousand Oaks Municipal Code (TOMC) Section 3-10.203(b), the City may “piggyback” onto, or join an existing written purchase contract obtained through a competitive bidding process prepared and awarded by another local, state, or federal government agency. The City partners with Sourcewell, which provides public sector procurement services nationwide and streamlines the required purchasing process to assist local government agencies to obtain compliant competitive bids on supplies and materials. All cooperative purchasing contracts from Sourcewell were competitively solicited and publicly awarded by a government entity acting as the lead agency. Piggybacking on a larger contract generally affords better pricing based on their aggregate purchasing volume.
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5 Stump Grinder Purchase
On January 27, 2021, Sourcewell published a Request for Proposals for Tree Maintenance Equipment, Attachments, and Accessories. On May 11, 2021, Sourcewell awarded the contract to Vermeer Manufacturing Company dba Vermeer Corporation (Pella, IA) for a contract term of four years, ending on May 7, 2025 (Attachment #1). Vermeer Pacific dba RDO Equipment Company is the local authorized distributer for Vermeer Corporation. Under the Sourcewell contract, the City will purchase one (1) Vermeer stump grinder in the amount of $81,989.20, receiving a discount of $9,487.74 from the published list price (Attachment #2).
Utility Truck Purchases
On April 16, 2020, Sourcewell published a Request for Proposals (RFP) for Class 4-8 Chassis with Related Equipment, Accessories, and Services. On August 5, 2020, Sourcewell awarded the contract to Navistar, Inc. dba International Truck (Lisle, IL) for a contract term of four years, ending on August 1, 2024 (Attachment #3). Gibbs International is a local authorized distributer for International Truck.
Under the Sourcewell contract, the City will purchase three (3) International Utility Trucks in the amount of $410,475.45, receiving a combined discount of $142,494.03 from the published list prices (Attachments #4-6), referenced in detail below.
Replacement Truck Purchase Price Discount
International MV607
Landscape Utility Dump Truck $ 139,337.00 $ 48,551.68 International MV607
Utility Chipper Box Truck $ 151,150.59 $ 52,376.93
International CV515
Utility Fleet Service Truck $ 119,987.86 $ 41,565.42 Total $ 410,475.45 $ 142,494.03
The replacement International utility trucks and Vermeer stump grinder will be purchased as Original Equipment Manufacturer (OEM) renewable diesel, an alternative fuel, maintaining the City’s vehicle fleet at 68 percent alternatively fueled and will be compliant with CARB Tier 4 Regulations.
Summary
To ensure efficient service to residents and safeguarding of public infrastructure, it is imperative that the City's vehicles and equipment are well-maintained and environmentally compliant. In line with this objective, staff recommends the purchase of three International utility trucks and a Vermeer stump grinder to Purchase of Stump Grinder and Utility Trucks
June 20, 2023
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5 replace the current outmoded assets.
The existing three utility trucks and stump grinder will be listed for sale on the public auction website in accordance with the City’s Purchasing Manual, Chapter 8, Surplus Property, Section 1: “Any and all equipment purchased with public funds shall be accounted for and disposed of in the most profitable way for the government entity”.
COUNCIL GOAL COMPLIANCE:
Meets the following City Council goals:
C. Operate City government in a fiscally and managerially responsible and prudent manner to ensure that the City of Thousand Oaks remains one of California's most desirable places to live, work, visit, recreate, and raise a family.
F. Provide and enhance essential infrastructure to ensure that the goals and policies of the Thousand Oaks General Plan are carried out and the City retains its role and reputation as a leader in protecting the environment and preserving limited natural resources.
PREPARED BY: Donald Covarrubias, Fleet Services Supervisor Attachments:
Attachment #1 – Sourcewell Contract #031721-VRM
Attachment #2 – RDO Equipment Company Quote
Attachment #3 – Sourcewell Contract #060920-NVS
Attachment #4 – Gibbs International Truck Centers Quote #1 Attachment #5 – Gibbs International Truck Centers Quote #2 Attachment #6 – Gibbs International Truck Centers Quote #3 DPW: 241-20\cp\ev\H:\Council\2023\062023\Purchase one Stump Grinder and three Utility Trucks staff report.docx