DEPARTMENT: Finance
DEPARTMENT HEAD: Troy Elliott
COUNCIL DISTRICTS IMPACTED: Citywide
SUBJECT:
Diesel Powered, Heavy Duty, Commercial Tub Grinder
SUMMARY:
This ordinance authorizes acceptance of a contract with CW Mill Equipment Co., Inc. to provide Solid Waste Management Department (SWMD) with a replacement commercial tub grinder for a total cost of $890,000.00. Funding for this purchase is available from the FY 2019 Equipment Renewal and Replacement Fund (ERRF) Budget.
BACKGROUND INFORMATION:
Submitted for City Council consideration and action is the attached tabulation of four bids to provide a replacement heavy duty commercial tub grinder for a total cost of $890,000.00. The tub grinder will be utilized by the Solid Waste Management Department (SWMD) for the Organic Materials Collection Program. This equipment will be used for grinding brush and organic materials from curbside collections from City residents into mulch. The department currently operates a total of five grinders; four commercial tub grinders and one horizontal grinder.
The Invitation for Bid (IFB) was evaluated based on the published bid specifications. The bids submitted by Vermeer Texas-Louisiana did not meet the minimum requirements for engine model, horsepower and grinder drive system.
ISSUE:
The contract will provide a replacement commercial tub grinder to meet the needs of the Solid Waste Management Department (SWMD). The replacement of the unit is consistent with the City’s Equipment Renewal and Replacement Fund (ERRF) program.
The tub grinder is covered by a limited defective parts repair or replacement warranty for one year or one thousand two hundred fifty hours of operation, whichever comes first. The engine is covered by a five year / 6,000 hour Caterpillar Platinum Plus limited extended service coverage. The torque converter is covered by four years beyond the standard twin disc one year warranty for a total of five years/6,000 total hours of operation, whichever comes first.
The life expectancy for this equipment is 120 months.
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.
There were no bids submitted from local bidders for this contract; therefore, the Local Preference Program was not applied.
The Veteran-Owned Business Program does not apply to good/supplies contracts, so no preference was applied to this contract.
ALTERNATIVES:
Should this contract not be approved, the SWMD’s ability to provide essential services to the residents of San Antonio could be affected. The replacement date is considered the optimum time for replacement as delaying the acquisition could make the vehicles no longer economically feasible to repair. The unit is needed to accommodate the vastly growing San Antonio Metropolitan Area. The units will be utilized for the collections of curbside brush collections and organic materials collection program. The alternative is to continue to use the existing equipment, but incur increased maintenance costs and potential delays in the delivery of essential services for the City of San Antonio.
FISCAL IMPACT:
This ordinance authorizes acceptance of a contract with CW Mill Equipment Co., Inc. to provide SWMD with a replacement commercial tub grinder for a total cost of $890,000.00. Funding for this purchase is available in the FY 2019 Equipment Renewal and Replacement Fund (ERRF) Budget.
RECOMMENDATION:
Staff recommends the approval of the contract to purchase one replacement commercial tub grinder from CW Mill Equipment Co., Inc. for a total cost of $890,000.00.
This contract is procured on the basis of low bid and a Contracts Disclosure Form is not required.