DEPARTMENT: Finance
DEPARTMENT HEAD: Troy Elliott
COUNCIL DISTRICTS IMPACTED: Citywide
SUBJECT:
Single Engine Turbine Helicopter
SUMMARY:
This ordinance authorizes acceptance of a contract with Airbus Helicopters, Inc. to provide the San Antonio Police Department with one replacement Airbus H125 rescue helicopter and training for a total cost of $5,574,731.50. Of this amount, $4,963,223.00 will be financed through a Tax-Exempt Lease Purchase Agreement. The remaining balance of $92,433.00 for the helicopter, $406,564.00 for training and $112,511.50 for travel costs will be funded from the City’s General Fund.
BACKGROUND INFORMATION:
Submitted for City Council consideration and action is the attached bid submitted by Airbus Helicopters, Inc. (Airbus) to provide one replacement Airbus H125 single turbine engine rescue helicopter for a total cost of $5,574,731.50. ($6,329,731.50 less trade in allowance of $755,000.00). The life expectancy of this helicopter is ten years or 6,000 flight hours.
An Invitation for Bid was issued for one single engine turbine helicopter for use by the Police Department Helicopter Patrol Unit. This is a multipurpose aircraft that will be operated in urban environments providing air support to uniformed, field and covert police units as well as search and rescue operations, firefighting support for aerial views and rescues, and SWAT insertions.
The helicopter must meet current airworthiness directives at the time of delivery and must include a standard airworthiness certificate issued by the Federal Aviation Administration (FAA). The City will conduct two scheduled plant inspections during the production of the aircraft. The contract includes Standard Pilot Training for two pilots. Also included is transition Recurrency Flight Training courses designed to familiarize twenty helicopters pilots with the operations of the new helicopter within 1-12 months after delivery of the helicopter and a second Recurrency Flight Training in 12-24 months. Two additional Mechanic’s Training Courses are included in this contract and will be scheduled by the San Antonio Police Department.
ISSUE:
This contract will provide one replacement single engine turbine helicopter to the City’s helicopter fleet. The City of San Antonio currently operates three Airbus EC120B and one Eurocopter-AS350B3 helicopters. The new helicopter will replace the 2006 Eurocopter-AS350B3 rescue helicopter, serial number 4101 which will be traded-in as part of this purchase. As a result, the SAPD’s helicopter fleet will remain at four units.
This contract consists of the purchase of one Airbus H125 rescue helicopter, progress inspections, flight training courses, mechanic training courses and associated travel costs. The City will conduct two progress inspections and acceptance inspection. The first inspection shall be a Preliminary Design Review and the second progress inspection will occur when the helicopter reaches the halfway mark of the manufacturing process. A third inspection shall occur for acceptance and delivery upon completion of production.
The Small Business Economic Development Advocacy (SBEDA) Ordinance requirements were waived due to the lack of small, minority, and/or women businesses available to provide these goods and services.
The recommended award is in accordance with LPP. There were no bids submitted from local bidders for this contract; therefore, the Local Preference Program was not applied.
The Veteran-Owned Small Business Preference Program Ordinance does not apply to goods/supplies contracts, so no preference was applied to this contract.
ALTERNATIVES:
Should this contract not be approved, the San Antonio Police Department will be unable to replace the aged 2006 Model Eurocopter-AS350B3 rescue helicopter. This will lead to added expense in overhauling the engine as well as down time for necessary maintenance.
FISCAL IMPACT:
This ordinance authorizes acceptance of a contract with Airbus Helicopters, Inc. to provide the San Antonio Police Department with one replacement Airbus H125 rescue helicopter and training for a total cost of $5,574,731.50. Of the $5,574,731.50, $5,055,656.00 is for the purchase of the Helicopter and $519,075.00 is for associated travel and training. Funding for the purchase of Helicopter is available through municipal lease in the amount of $4,964,223 and $92,433 is available in the FY 2019 Proposed Budget. This contract also provides training services and associated travel for a total of $519,075.00 over 2 years. The amount of the first year of $284,214.00 is available in the FY 2019 Proposed Budget. The remaining amount is contingent on council adoption of the FY 2020 budget.
RECOMMENDATION:
Staff recommends the award of a contract for the purchase of one single turbine engine helicopter with Airbus Helicopters, Inc. for a total net cost of $5,574,731.50.
This contract was procured on the basis of low bid and a Contracts Disclosure Form is not required.