TITLE
Recommendation to adopt resolution authorizing City Manager, or designee, to execute a contract with Caterpillar, Inc., of Peoria, IL, for the purchase of two tractors, with related equipment and accessories, on the same terms and conditions afforded to the National Joint Powers Alliance (NJPA), of Staples, MN, in an amount not to exceed $778,195, inclusive of taxes and fees. (Citywide)
DISCUSSION
City Council approval is requested to enter into a contract with Caterpillar, Inc., for the purchase of two D6T LGP track-type tractors for use by the Parks, Recreation and Marine Department (Parks).
These units would replace two dozer tractors for beach maintenance, as authorized in the approved FY 17 replacement plan. The current units are two years past their useful life and are becoming increasingly difficult to adequately and regularly maintain due to the corrosive nature of sand and salt water conditions.
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 by purchasing under their contracts on a voluntary and selective basis when authorized by a Resolution of the City Council.
The Fleet Services Bureau and the Purchasing Division of the Department of Financial Management investigated procurement options, and the National Joint Powers Alliance’s (NJPA) agreement with Caterpillar, Inc., of Peoria, IL (not a SBE, DBE, MBE, WBE, or Local), was determined to provide the best discounted price while allowing for timely acquisition and delivery. All of NJPA’s contracts are competitively bid and offer the best available pricing. Service, parts, and warranty support will be provided by Quinn Company, Caterpillar’s local distributor.
This matter was reviewed by Deputy City Attorney Monica J. Kilaita on February 5, 2018 and by Interim Budget Bureau Manager Grace Yoon on February 13, 2018.
SUSTAINABILITY
The new tractors use certified Tier 4 diesel engines with after treatment devices to reduce particulate emissions and are compliant with all State of California and local district air quality regulations.
TIMING CONSIDERATIONS
City Council action is requested on March 13, 2018, to ensure a new contract is in place expeditiously.
FISCAL IMPACT
The total cost of this contract, including sales tax and fees, will not exceed $778,195. Purchase costs are budgeted in the Fleet Services Fund (IS 386) in the Financial Management Department (FM). Replacement costs are collected through regular capital charges to the Parks, Recreation and Marine Department (PR) through Fleet Services’ monthly billing process. There is no local job impact associated with this recommendation.
SUGGESTED ACTION
Approve recommendation.
BODY
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LONG BEACH AUTHORIZING THE CITY MANAGER TO PURCHASE TWO TRACTORS, WITH RELATED EQUIPMENT AND ACCESSORIES THROUGH THE CONTRACT BETWEEN NATIONAL JOINT POWERS ALLIANCE AND CATERPILLAR, INC.
Respectfully Submitted,
JOHN GROSS
DIRECTOR OF FINANCIAL MANAGEMENT
APPROVED:
PATRICK H. WEST
CITY MANAGER