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HomeMy WebLinkAboutStaff Report 3.B 12/16/2019Agenda Item #3.B DATE: December 16, 2019 TO: Honorable Mayor and Members of the City Council through City Manager - FROM: Kent Carothers, P.E. — Deputy Director of Public Works & Utilities - Operations SUBJECT: Resolution Approving Award to Henry Curtis Ford of Petaluma, California for Two Trucks with 2 -Yard Dumps, and Two Trucks with 5 -Yard Dumps for the Public Works & Utilities Department and Authorizing the City Manager to Execute all Documents Necessary to Complete the Purchase RECOMMENDATION It is recommended that the City Council adopt the attached Resolution Approving Award to Henry Curtis Ford of Petaluma, California for Two Trucks with 2 -Yard Dumps, and Two Trucks with 5 -Yard Dumps for the Public Works & Utilities Department and Authorizing the City Manager to Execute all Documents Necessary to Complete the Purchase. BACKGROUND The Public Works & Utilities Department currently has four heavy duty maintenance trucks that are 16 to 28 years old and need replacement to comply with Air Resource Board requirements, address safety issues, and reduce growing maintenance costs. These dump trucks are used by water, sewer, storm, parks, and streets crews daily for excavations, hauling spoils, hauling rock and fill, in order to repair potholes and piping, remove storm debris and haul vegetation clippings. Staff continues to seek out opportunities for greening the vehicle fleet with electrification, hybrid, and alternate fuels for all fleet vehicle's replacement. For example, funding was sought and authorized in the first quarter budget adjustment to replace aging vehicle pool cars with electric vehicles in the coming months. In researching this purchasing action, staff consulted with our fleet consortium managers and local dealers for the current status of electric vehicles of this size. At this time, both indicated there are no options for electric maintenance trucks, including the heavy-duty dump trucks addressed in this action. The dealer indicating that they are two to five years out on being able to provide even a light duty electric truck. The base truck line is currently being prototyped. The fleet consortium also does not have electric trucks meeting the required specifications and hauling capacity. Staff contacted Volvo dealers as well and found that electric trucks are not available in the United States and they could not provide a timeline for availability for sales in the U.S. Additionally, staff contacted PG&E fleet managers and found that use of hybrid trucks is limited to light duty and nothing above super duty, which is below the hauling capacity needed for the heavy-duty dump trucks in this purchasing action. Staff contacted dealerships and reviewed Hybrid Electric Hybrid /Electric "Guide to the Future of pickup Trucks" to confirm that there are no hybrid trucks available. There are also no off -market modifications for large trucks meeting Original Equipment Manufacturers warranties. Staff review California Hybrid and Zero -Emission Truck and Voucher Incentive Programs (HVIP) for eligible vehicles and no heavy work trucks are available or listed in the program. HVIP Vehicles are limited to buses, delivery vans, and boom trucks. Staff reviewed the State Directive EO N-19-19 and State Administration Management Memo dated 12-2-2019 related to the California Air Resources Board (CARB) section under the Clean Air Act. The CARB aligned Purchasing Policy for utility trucks is very specific on the engine type and priority level. The selection of Ford trucks with Internal Combustion Engines is the only Priority 1 selection. Staff verified the current list of Carb aligned Original Equipment Manufacturers to meet the State emissions mandate as of December 2019. The four vehicles recommended for replacement in this action are summarized below: Vehicle # Year Model Make Mileage 229 1991 Dump truck International 37,386 596 2000 Dump truck International 22,992 558 1996 Dump truck International 40,385 730 2003 F-450 Ford 101,341 These existing vehicles will be declared as surplus when replaced and sold at auction. DISCUSSION The Public Works and Utilities Department needs to replace high mileage and soon to be non- compliant dump trucks. An Invitation to Bid was issued on October 3, 2019 and submitted to local vendors and the local paper. Bids were due to the City Clerk's office on October 23, 2019 at 3:00 PM. Staff received one qualified bid from Henry Curtis Ford of Petaluma, CA. All the new vehicles will be 2019, or newer, models. The two new 2 -yard dump maintenance vehicles, F -550's, as well as the two new 5 -yard dump trucks, F -650's, will be equipped with the Tier 4, diesel engines meeting the latest Air Resource Board requirements. In addition to these large trucks, four additional light trucks are in need of replacement and approved in the budget. Staff will pursue hybrid or electrification, and /or alternative fuel vehicles for these lighter -duty future vehicle purchases, as well as continue to pursue electrification of our super heavy-duty vehicles. Staff prepared a formal bid for the vehicles. Henry Curtis Ford was the only bidder to respond. Henry Curtis Ford was selected as the lowest responsive bidder as shown in the table below. Company Bid Total Henry Curtis Ford $347,231.61 2 FINANCIAL IMPACTS The purchase price of the four large maintenance dump trucks is $347,232. Sufficient budget exists in the FY 19/20 Water, Sewer, and Vehicle Replacement Funds to cover this purchase. The two remaining service trucks will be purchased at a later date with the approved Parks trucks after review of the December CARB aligned purchasing policy. PUBLIC OUTREACH The Invitation to Bid was issued on October 3, 2019 and submitted to local vendors and the local newspaper. This agenda item also appeared on the City's tentative agenda document on Monday, November 18, 2019, which was a publicly -noticed meeting. ALTERNATIVES 1. Council could approve the current recommended action and direct staff to look to replace the vehicles on an accelerated schedule when hybrid or electric vehicle technology becomes available for these heavy-duty trucks. Staff s research indicates this technology is at least ten years out for these types of vehicles but would likely be before the vehicles require replacement due to age and wear in 15 to 20 years. 2. The Council could reject the purchase of the four heavy-duty, specialty trucks and subsequently the City's existing fleet will be out of compliance with the Air Resource Board requirements. Vehicles could be leased to meet the needs for maintenance and operations at a higher cost, and the purchase could be delayed for several years until such time that hybrid or electrical vehicles with the heavy-duty capacity are developed. ATTACHMENTS Resolution 2 Attachment 1 RESOLUTION APPROVING AWARD TO HENRY CURTIS FORD OF PETALUMA, CA FOR TWO TRUCKS WITH 2 -YARD DUMPS, AND TWO TRUCKS WITH 5 -YARD DUMPS FOR THE PUBLIC WORKS & UTILITIES DEPARTMENT AND AUTHORIZING THE CITY MANAGER TO EXECUTE ALL DOCUMENTS NECESSARY TO COMPLETE THE PURCHASE. WHEREAS, the City of Petaluma seeks to purchase two 2 -yard dump trucks, and two 5 - yard dump trucks; and WHEREAS, the City conducted a competitive bidding process for the trucks in compliance with Petaluma Municipal Code section 4.04.080 by preparing and soliciting bids to an Invitation to Bid for proposals to furnish the trucks; and WHEREAS, on October 23, 2019 the City Clerk opened the returned bids for the maintenance service truck and identified Henry Curtis Ford, as submitting the lowest responsive bid, in the amount of $347,231.61; and WHEREAS, staff has determined that Henry Curtis Ford, Petaluma, CA is a responsible bidder; and WHEREAS, the Public Works & Utilities Department will utilize budgeted funds from fiscal year 19/20 to purchase the vehicle; and WHEREAS, at the time of replacement, staff may declare these vehicles as surplus: 1991 Ford F-450, 2000 Ford F-450, 1996 Ford Dump, and 2003 Ford F-450. If declared surplus, the vehicles will be sold at auction. NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Petaluma hereby approves the purchase of two 2 -yard dump trucks, two 5 -yard dump trucks in the amount of $347,231.61from Henry Curtis Ford, Petaluma, CA, and authorizes the City Manager to execute all necessary documents to complete the purchase. 11