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Recommendation to Authorize the Purchase of Two Street Sweepers and One Backhoe Consistent with Revised Vehicle Replacement Policy in Amounts Not to Exceed $597,928.28 from Tymco, Inc. and $135,996.71 from PAPE Machinery. (Public Works 701)
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To: Honorable Mayor and Members of the City Council
EXECUTIVE SUMMARY
Two street sweepers and three backhoes for the Public Works Department Maintenance Services Division (MSC) were approved for replacement in Fiscal Year (FY) 2019-20. Staff confirmed the units meet the minimum use requirements in the Fleet Replacement Policy; however, after further review and discussion with the department to right size the fleet, Fleet Services confirmed only one new backhoe is needed for operations. Staff seeks approval to purchase two replacement Tymco 600 Street Sweeper units under the contract held between Houston-Galveston Area Council (HGAC), a cooperative purchasing agency that the City of Alameda (City) is a member of, and Tymco in an amount not to exceed $597,928.28. The purchase of the John Deere 310SL Backhoe will be under the contract held between Sourcewell, a cooperative purchasing agency that the City is a member of, and Pape Machinery in an amount not to exceed $135,996.71.
BACKGROUND
On June 18, 2019, the City Council adopted the FY 2019-20 and 2020-21 budget, which included funds for replacement of fleet vehicles. Staff spent significant time evaluating the vehicle replacement program and identified vehicles meeting the City’s replacement criteria. Exhibit 2 contains the complete replacement list.
On November 5, 2019, staff brought to City Council a revised Administrative Policy and Procedure Number 48, Vehicle and Equipment Replacement Policy (Fleet Replacement Policy). The policy is included as Exhibit 1.
In accordance with City Administrative Instruction Number 5 (“Purchasing Policy”), vehicles may be purchased by piggybacking on another agency’s purchase agreement or through cooperative purchasing. The City Council must approve an award of vehicle purchases to a single vendor made through either piggybacking or cooperative purchasing in excess of a cumulative total of $75,000 in any given fiscal year.
DISCUSSION
Two street sweepers and three backhoes for the Public Works Department Maintenance Services Division (MSC) were approved for replacement in FY 2019-20. Fleet Services confirmed the units meet the minimum use requirements in the Fleet Replacement Policy; however, after further review and discussion with the department to right size the fleet, Fleet Services confirmed only one new backhoe is needed for operations.
The two sweepers and backhoe confirmed for replacement are available as Final Tier 4 Clean Diesel units. All electric street sweepers that meet the City’s specification are not yet available. Only battery electric sweepers for smaller applications without the required hopper capacity and operating range are currently available. All electric construction equipment, such as backhoes and front end loaders, are just now entering the market for limited release and by only one major equipment manufacturer. These units are not yet available for mass purchase or included in State Purchasing contracts. Staff will continue to monitor the market.
Staff seeks approval to purchase two replacement Tymco 600 Street Sweeper units under the contract held between Houston-Galveston Area Council (HGAC), a cooperative purchasing agency that the City is a member of, and Tymco in an amount not to exceed $597,928.28. The contract and price quote from Tymco are Exhibit 3 and 4, respectively. The purchase of the John Deere 310SL Backhoe will be under the contract held between Sourcewell, a cooperative purchasing agency that the City is a member of, and Pape Machinery in an amount not to exceed $135,996.71. The contract and price quote from Pape Machinery are Exhibit 5 and 6, respectively.
ALTERNATIVES
• Authorize purchase of the replacement vehicles.
• Provide further or different direction on the purchase of replacement vehicles.
• Do not authorize purchase of the replacement vehicles.
FINANCIAL IMPACT
The purchase of these vehicles is budgeted in the Fleet Replacement Internal Service Fund (Fund 701) FY 2020-21 budget. As of September 22, 2020, the Fleet Replacement Fund has an available balance of $1,414,426. With the proposed vehicle purchases that would total $733,925, the fund would have $680,501 available for other vehicle purchases in FY 2020-21.
There is no impact to the General Fund.
MUNICIPAL CODE/POLICY DOCUMENT CROSS REFERENCE
There is no impact to the Alameda Municipal Code.
ENVIRONMENTAL REVIEW
The California Environmental Quality Act (CEQA) applies only to projects that have the potential for causing a significant effect on the environment. This action is not a project pursuant to Public Resources Code section 21065 and CEQA Guidelines section 15378.
CLIMATE IMPACTS
The Fleet Replacement Policy is consistent with the City’s recently adopted Climate Action and Resiliency Plan and emphasizes greenhouse gas emission reductions. The revised policy includes a focus on right-sizing the City fleet, the purchase of electric vehicles when feasible, and lowering the fleet’s greenhouse gas emissions through acquisition of low emission vehicles.
All replacements will be equipped with “Clean Diesel Technology” and will meet or exceed all current state and federal emission requirements. These “Clean Diesel” vehicle purchases confirm the City’s commitment to a green fleet. The new vehicles will cut carbon dioxide and diesel particulate matter in emissions by nearly 50% from the vehicles they replace.
RECOMMENDATION
Authorize purchase of two street sweepers and one backhoe consistent with Revised Vehicle Replacement Policy in amounts not to exceed $597,928.28 from Tymco, Inc. and $135,996.71 from PAPE Machinery.
CITY MANAGER RECOMMENDATION
The City Manager concurs with the staff recommendation.
Respectfully submitted,
Erin Smith, Interim Public Works Director
By,
Forrest Heiderick, Fleet Supervisor
Financial Impact section reviewed,
Annie To, Finance Director
Exhibits:
1. Revised Administrative Policy 48
2. Vehicle Replacement Schedule
3. HGAC TYMCO Contract
4. TYMCO Price Quote
5. John Deere Sourcewell Contract
6. John Deere 310SL Price Quote
cc: Eric Levitt, City Manager