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    4.    
Finance Committee
Meeting Date: 06/27/2017  
FROM: City Manager

Subject:
Annual Vehicles and Equipment Purchase Plan for Fiscal Year 2017-18
RECOMMENDATION
Authorize the Purchasing Agent to issue purchase orders in an amount not-to-exceed $855,600 (plus applicable taxes) for various City vehicles and equipment described in the Annual Vehicles and Equipment Purchase Plan for Fiscal Year 2017-18.
BACKGROUND/DISCUSSION

Each fiscal year, the vehicles and equipment (equipment) used by various City departments are assessed to determine whether it is best to continue maintenance, retire or replace them, or add new units. The determining factors include excessive mileage, unit hours, age and normal life expectancy; maintenance costs and history; and safety and environmental impacts.

The attached equipment list indicates the replacements that were approved in the new fiscal year budget. This list provides the equipment descriptions, quantities, estimated costs, and departments where they will be assigned. The requirements are for replacements only; there are no additional units planned for this fiscal year.

The Purchasing Division will solicit bids for the listed equipment per the formal bidding requirements of the Brea Municipal Code, or utilize competitively bid national cooperative agreements or piggybackable contracts, whichever provides the best available pricing and is in the best interests of the City.

Staff requests that Council authorize the Purchasing Agent to issue purchase orders immediately after completing the best available pricing analysis, without returning to City Council for approval of the individual awards, in order to help ensure the needed equipment is replaced in a timely fashion and without interruption in service; to meet manufacturer production cutoff dates; to take advantage of incentives and discounts; and to expedite the purchase of these items. Should any of the listed equipment be limited to a single source, the Purchasing Agent will verify and document the reasons for the sole source procurement prior to award.

To help facilitate operational and budgetary requirements, staff requests that Council authorize the Equipment Maintenance Supervisor and Purchasing Agent to make changes in the type and quantity of the listed equipment, subject to budget appropriations and the not-to-exceed amount requested.

SUMMARY/FISCAL IMPACT
The City Council adopted Fiscal Year 2017-18 Budget and has sufficient funding available for the requested not-to exceed amount for these purchases in the Public Works Department, Equipment Maintenance Division, Expenditure Accounts for Field and Shop Equipment and Mobile Equipment (480-51-5161-4641 and 4621).
RESPECTFULLY SUBMITTED
William Gallardo, City Manager
Prepared by: Neil Groom, Procurement and Contracts Administrator
Concurrence: Cindy Russell, Administrative Services Director
Attachments
FY 17-18 Vehicle/Equipment Replacement List

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