Agenda

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Finance Committee

Meeting Date:	08/13/2019
FROM:	Bill Gallardo

Subject:

Annual Vehicles and Equipment Purchase Plan for Fiscal Year 2019-20

RECOMMENDATION

Authorize the Purchasing Agent to issue purchase orders in an amount not-to-exceed $487,500 for various City vehicles described in the Annual Vehicle Purchase Plan for Fiscal Year 2019-20.

BACKGROUND/DISCUSSION

Each fiscal year, the vehicles used by various City departments are assessed to determine whether it is best to continue maintenance, retire, replace, 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. For this fiscal year, the requirements are for replacements only, no additional units are planned. 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 the need to return to City Council for approval of the individual awards. This would ensure the needed equipment is replaced in a timely fashion and without interruption in service; manufacturer production cutoff dates are met; taking advantage of incentives and discounts; and the expediting of 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 Fleet 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 2019-20 Budget has sufficient funding available for the requested not-to exceed amount for these purchases in the Public Works' Equipment Maintenance Division expenditure account in Mobile Equipment (480-51-5161-4641).

RESPECTFULLY SUBMITTED

William Gallardo, City Manager
Prepared by: Alex Escobar, Fleet Supervisor
Concurrence: Ron Krause, Superintendent and Tony Olmos, P.E., Public Works Director

Attachments
FY 2019-20 Vehicles and Equipment Purchase Plan