DEPARTMENT: Finance
DEPARTMENT HEAD: Troy Elliott
COUNCIL DISTRICTS IMPACTED: City Wide
SUBJECT:
Purchase of Trailers
SUMMARY:
This ordinance authorizes the acceptance of a contract with Cooper Equipment Co. to provide the Transportation and Capital Improvements Department with twenty Heavy Duty Trailers for a total cost of $1,345,182.00 and will be funded through the Equipment Renewal and Replacement Fund (ERRF).
BACKGROUND INFORMATION:
Submitted for City Council consideration and action is the attached tabulation of four bids to provide the Transportation and Capital Improvements Department with twenty Heavy Duty Trailers for a total cost of $1,345,182.00. These units will be purchased from Cooper Equipment Co. on the basis of low competitive bid.
This purchase will provide a total of twenty replacement trailers, consisting of two tri-axle low boy trailers and eighteen live bottom trailers for the Transportation and Capital Improvements Department. The trailers will be used to transport heavy equipment, asphalt mix and paving materials throughout the City. Item 1 was deleted due to submitted bid not meeting the minimum specifications and will be rebid a later time. The life expectancy of all equipment is 120 months.
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 at auction.
ISSUE:
This contract will provide the Transportation and Capital Improvements Department with twenty replacement heavy duty trailers consisting of two tri-axle low boy trailers and eighteen live bottom trailers. The replacement of these units is consistent with the City's ERRF. All trailers are covered by one year standard warranty.
Due to the lack of small, minority, and/or women businesses available to provide these goods, the SBEDA Program did not apply to this solicitation.
The recommended award is to the lowest responsive bidder, who is a local business. Therefore application of the Local Preference Program was not required.
The Veteran-Owned Small Business Program does not apply to goods/supplies contracts, so no preference was applied to this contract.
ALTERNATIVES:
The current trailers scheduled for replacement have met or will meet their age and or mileage requirement cycles before they are replaced. The replacement date is considered the optimum time for replacement in that delay of the acquisition could result in the vehicles incurring higher maintenance cost as a result of age or high mileage. This could impact the City's ability to provide essential services to the residents of San Antonio.
FISCAL IMPACT:
The purchase of twenty Heavy Duty Trailers is for a total cost of $1,345,182.00 which will be funded through the City's ERRF.
RECOMMENDATION:
Staff recommends approval of a contract to purchase twenty Heavy Duty Trailers from Cooper Equipment Co. for a total cost of $1,345,182.00.
These contracts are procured on the basis of low bid and a Contracts Disclosure form is not required.