TITLE
Recommendation to adopt resolution authorizing City Manager to execute a contract with Seagrave Fire Apparatus, LLC, dba California Seagrave, Inc., of City of Industry, CA (MBE, SBE), for the purchase of one 2011 Seagrave Fire Pumper Truck on the same terms and conditions afforded to the City of Portland, Maine, under RFP No. 5809, in a total amount not to exceed $592,010 including tax. (District 5)
DISCUSSION
City Council approval is being requested to authorize the City Manager to execute a contract for the purchase of one 2011 Seagrave Fire Pumper Truck, for the Long Beach Fire Department (LBFD).
On September 30, 2010, the crew of Fire Engine 5, a 2001 Seagrave Fire Pumper Truck; housed at 7575 E. Wardlow Road, Long Beach, was involved in a collision and the vehicle was deemed to be a complete loss. It was determined that the LBFD was not at fault for this accident. Thus the City's insurance provider, McLarens Young International, and the City's Risk Management Office have subsequently settled the claim reimbursement and are providing a settlement amount of $532,010 for a replacement unit. The City is obligated to pay an insurance deductible in the total amount of $60,000. LBFD will continue to utilize a reserve Fire Pumper Truck during the completion of this proposed replacement.
The Department of Public Works, Fleet Services Bureau, investigated procurement options and learned that the City of Portland, Maine had completed a competitive solicitation process for fire apparatus, and has a contract with Seagrave Fire Apparatus, LLC, that meets the City's needs. This cooperative purchase agreement will facilitate the timely acquisition of this replacement Fire Pumper Truck and provide cost benefits to the City.
Seagrave Fire Apparatus, LLC, has agreed to sell one 2011 Seagrave Fire Pumper Truck to the City of Long Beach under the same terms and conditions as afforded to the City of Portland, Maine, in an amount not to exceed $592,010, including tax.
The City Charter provides an alternative procurement method by permitting the City to purchase or otherwise obtain services, supplies, materials, equipment and labor with other governmental agencies by purchasing under their contracts on a voluntary and selective basis when authorized by a Resolution of the City Council.
This matter was reviewed by Deputy City Attorney Amy R. Burton on May 17, 2011 and Budget Management Officer Victoria Bell on May 20, 2011.
TIMING CONSIDERATIONS
City Council action is requested on June, 7, 2011, to secure the 2011 Seagrave Fire Pumper Truck at this pricing, as well as place the truck into service in a timely manner. If the purchase is not quickly secured, this in-stock equipment will be sold. The 2012 model is marketed at a higher cost and would require additional build time, creating significant delays. The insurance claim has been approved for this replacement unit; any changes would require the claim to be readjusted and re-approved.
FISCAL IMPACT
The total cost of this contract in the amount of $592,010 including tax, is budgeted in the Fleet Services Fund (IS 386) in the Department of Public Works (PW). These costs are primarily funded by the insurance company settlement pending receipt for reimbursement post purchase in the amount of $532,010. The remaining funds in the amount of $60,000 are funded by previous replacement contributions under the Fleet Services Fund (IS 386) in the Department of Public Works (PW). There is no impact to the General Fund (GP). There are no local jobs impacted by this action.
SUGGESTED ACTION
Approve recommendation.
BODY
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LONG BEACH AUTHORIZING THE CITY MANAGER TO PURCHASE ONE FIRE PUMPER TRUCK THROUGH THE AGREEMENT BETWEEN THE CITY OF PORTLAND, MAINE AND SEAGRAVE FIRE APPARATUS, LLC FOR AN AMOUNT NOT TO EXCEED $592,010
Respectfully Submitted,
DAVID NAKAMOTO
ACTING DIRECTOR OF FINANCIAL MANAGEMENT
ALAN PATALANO
FIRE CHIEF
MICHAEL P. CONWAY
DIRECTOR OF PUBLIC WORKS
APPROVED:
PATRICK H. WEST
CITY MANAGER