TITLE
Recommendation to adopt resolution authorizing City Manager or designee, to execute a contract, and any necessary documents including any necessary subsequent amendments, with Ray Gaskin Service, an authorized distributor for New Way Trucks and Scranton Manufacturing Company, of Fontana, CA, for the purchase of one Ford F-550 truck, with related equipment and accessories, on the same terms and conditions afforded to Sourcewell, in a total amount not to exceed $159,903, inclusive of taxes and fees, at the discretion of the City Manager. (Citywide)
DISCUSSION
Long Beach Recovery Act
On March 16, 2021, the City Council adopted the Long Beach Recovery Act (LB Recovery Act), becoming one of the first major cities to approve COVID-19 recovery programs made possible through the federal American Rescue Plan Act (ARPA) and other federal and State funding sources. Additional funding adjustments to the LB Recovery Act were made as part of the Adopted Fiscal Year (FY) 2022 Budget and periodic adjustments have been brought to the City Council as needed. Additional information about the LB Recovery Act is available at www.longbeach.gov/recovery <http://www.longbeach.gov/recovery>. As part of the LB Recovery Act, under the Economic Recovery, Clean Cities Category, approximately $3.9 million has been allocated for the Corridor Cleanups Program to address the increase in blight across the City of Long Beach (City) due to financial hardships that have been created by COVID-19.
City Council approval is requested to enter into a contract with Ray Gaskin Service, an authorized distributor for New Way Trucks and Scranton Manufacturing Company, for the purchase of one Ford F-550 truck with a 6-yard rear body loader. The proposed unit is an approved FY 2023 enhancement and will be used by Public Works, Clean Team, for removing litter and debris in public rights-of-way. The unit will help support Clean Team daily operations and multiple City programs, such as litter abatement, illegally dumped items, and special collection services.
The Clean Team’s current refuse trucks are typically too large to adequately service special collection cleanups. The smaller body of the 6-yard F-550 is better suited to access smaller alleys, areas under bridges and other tight locations. The one-time cost for this vehicle, along with operating cost for the first two years of operation, will be funded by the LB Recovery Act. Subsequent years’ operating costs will be covered by the General Fund in the Public Works Department.
The Fleet Services Bureau of the Financial Management Department researched procurement options for New Way trucks and discovered other agencies had completed an open, fair, transparent, and competitive procurement process. The City reviewed the cooperative agreement options and determined that the contract between Sourcewell and Ray Gaskin Service provided the best value to the City.
City Charter Section 1802 provides an alternative procurement method by permitting the City to purchase or otherwise obtain services, supplies, materials, equipment, and labor with other governmental agencies. This alternative procurement method can save time and reduce costs through economies of scale by purchasing under existing contracts from other government agencies on a voluntary and selective basis, when authorized by a Resolution adopted by the City Council.
This matter was reviewed by Deputy City Attorney Anita Lakhani on March 2, 2023, Purchasing Agent Michelle Wilson on February 17, 2023, and by Recovery Budget Officer Dee Okam on March 1, 2023.
SUSTAINABILITY
The unit is compliant with the State of California and local district air quality regulations.
TIMING CONSIDERATIONS
City Council action to adopt a Resolution and award a contract concurrently is requested on March 21, 2023, to ensure that the contract is in place expeditiously.
FISCAL IMPACT
The LB Recovery Act has identified $3.9 million for the Corridor Cleanups Program. The total amount of the contract will not exceed $159,903, inclusive of taxes and fees and will be funded through the Corridor Cleanups Program of the Long Beach Recovery Act. Sufficient funding for the contract is currently budgeted in the General Fund Group in the Public Works Department. For administration efficiency and for reporting and auditing purposes, the funding source for this program is the General Fund based on funds made available as a result of the City’s approach to using the majority of federal ARPA funds to maintain existing City services in compliance with the U.S. Department of Treasury’s Final Rule, thereby freeing up General Fund monies for the LB Recovery Act programs. On-going maintenance, fuel, and replacement costs for the unit are estimated at $48,908 annually and will be billed to Public Works through the Fleet Services Bureau Memorandum of Understanding process. The first two years of operational expenses will also be funded with LB Recovery Act funds. Subsequent years’ costs will be covered by the General Fund in the Public Works Department. This recommendation has no staffing impact beyond the normal budgeted scope of duties and is consistent with City Council priorities. There is no local job impact associated with this recommendation.
SUGGESTED ACTION
Approve recommendation.
Respectfully Submitted,
KEVIN RIPER
DIRECTOR OF FINANCIAL MANAGEMENT
APPROVED:
THOMAS B. MODICA
CITY MANAGER