DEPARTMENT: Finance
DEPARTMENT HEAD: Troy Elliott
COUNCIL DISTRICTS IMPACTED: City Wide
SUBJECT:
Brush Collection Grapplers and Roll Off Hoist Trucks
SUMMARY:
This ordinance authorizes acceptance of contracts with Freightliner of Austin, Grande Truck Center of San Antonio and Waste Systems Equipment, Inc. to provide 25 grapplers and roll off hoist trucks to the City of San Antonio for a total cost of $4,231,576.86. Funding for this purchase is available from the Equipment Renewal and Replacement Fund (ERRF) and the Solid Waste Management Department Operating Fund paid through a Municipal Lease.
BACKGROUND INFORMATION:
Submitted for City Council consideration and action is the attached tabulation of three offers submitted by Freightliner of Austin, Grande Truck Center and Waste Systems Equipment, Inc. to provide 25 turnkey grapplers and roll off hoist trucks. The offers submitted by Freightliner of Austin and Grande Truck Center utilizing BuyBoard Cooperative Agreement number 430-13 will provide 25 cab and chassis trucks for a cost of $2,525,511.00. The offer submitted by Waste Systems Equipment, Inc. utilizing BuyBoard Cooperative Agreement number 425-13 will provide 25 various grapplers and roll off hoist truck bodies for a cost of $1,706,065.86. These 25 grappler and roll off hoist truck bodies will be installed by the vendors on the 25 cab and chassis trucks. The total cost of this procurement is $4,231,576.86.
The grapplers and roll off hoist trucks will be used for curbside brush and bulky collection from City residents and at brush and bulky collection drop off locations.
Based on thorough research and knowledge of the industry, the Building and Equipment Services Department, Fleet Acquisitions Division could not identify any viable alternative fueled equipment that would be available to meet the current requirements.
Vehicles and equipment that meet their expected life cycle are usually sold at auction but are sometimes traded-in to the selling dealer. If the fleet asset is in the ERRF then the proceeds are returned to the fund. The proceeds are then used to purchase new similar vehicles and equipment for the same department that operated the sold fleet asset. The equipment being replaced will be sold.
ISSUE:
These contracts will provide the Solid Waste Management Department with 25 cab and chassis trucks with grappler equipped bodies, knuckle boom equipped loader bodies, and roll off tilt hoist equipped bodies with tarp cover systems that consist of 17 replacement units and eight additional units to the City's fleet for a total cost of $4,231,576.86.
These contracts will provide the Solid Waste Management Department with 14 grappler equipped trucks that consist of 11 replacement units and three additional units to the fleet.
The contracts will also include two roll off tilt hoists with knuckle boom equipped loader trucks that are replacement units as well as nine roll off tilt hoist equipped trucks with tarp system consisting of four replacement units and five additional units to the City's fleet.
Of the 25 cab and chassis trucks, 14 will be purchased from Freightliner of Austin and 11 will be purchased from Grande Truck Center utilizing the BuyBoard Cooperative Agreement contract number 430-13. Waste Systems Equipment, Inc., utilizing BuyBoard Cooperative Agreement contract number 425-13, made in accordance with the Interlocal Participation Agreement with the Texas Local Government Purchasing Cooperative Ordinance No. 97097, dated January 30, 2003, will provide all 25 of the truck bodies.
The Texas BuyBoard cooperative is administered by the Texas Municipal League. All products and services that are part of this cooperative have been competitively bid and awarded by the Cooperative's Board of Trustees based on the State of Texas statutes.
The life expectancy for these vehicles is 96 months. The truck's cab and chassis have a one year warranty, the engines have a two year warranty, the transmissions have a five year warranty and the grapplers and roll off hoist refuse bodies have a one year warranty.
The Small Business Economic Development Advocacy Ordinance requirements were waived due to the lack of qualified SMWBE's available to provide the goods and services.
In accordance with the Local Preference Program (LPP), Items 2A and 3A are recommended for award to Grande Truck Center, a local business that submitted offers within 3% of non-local bidder. The LPP award will result in an additional cost to the City of $25,369.00.
The Veteran-Owned Business Program does not apply to good/supplies contracts, so no preference was applied to this contract.
ALTERNATIVES:
All of the replaced equipment has met or will meet its age or mileage requirement cycles before replacement. The replacement date is considered the optimum time for replacement as delaying the acquisition could make the vehicles no longer economically feasible to repair and could lead to the Solid Waste Management Department's inability to provide timely essential services to the citizens of San Antonio.
FISCAL IMPACT:
The purchase of these grapplers and roll off hoist trucks is for a total cost of $4,231,576.86 of which $2,913,946.39 will be funded with the ERRF and the remaining $1,317,630.47 will be funded with the Solid Waste Management Department Operating Fund paid through a Municipal Lease.
The ERRF charges a monthly lease rate to each respective department/fund the entire time a department/fund has possession of a vehicle or equipment. When the vehicle or equipment reaches the end of its life-cycle or the contractually obligated period, the replacement fund provides the financial resources for its like replacement.
The replacement of these units is consistent with the City's vehicle replacement program. Moreover, these new vehicles will be placed in the ERRF upon entry into service.
RECOMMENDATION:
Staff recommends the approval of the contracts with Freightliner of Austin, Grande Truck Center of San Antonio and Waste Systems Equipment, Inc. for a total cost of $4,231,576.86. This contract is procured by means of cooperative purchasing and a Contracts Disclosure form is not required.