City of Long Beach - File #: 23-1125

• File #: 23-1125
• Version: 1
• Name: FM - Contract w/HERC Rentals for as-needed heavy-duty equipment
• Type: Agenda Item
• Status: Approved
• File created: 9/14/2023
• In control: City Council
• On agenda: 10/3/2023
• Final action: 10/3/2023
• Title: Recommendation to authorize City Manager, or designee, to execute all documents necessary to amend Contract No. 36535 with HERC Rentals, Inc., of Bonita Springs, FL, and Contract No. 36536 with United Rentals (North America), Inc., of Stamford, CT, for the rental of as-needed heavy-duty equipment, to increase the annual aggregate amount by $862,500, and authorize a 15 percent contingency in the amount of $256,875, for a revised total annual aggregate amount not to exceed $1,969,375; and Increase appropriation in the Fleet Services Fund Group in the Financial Management Department by $1,369,375, offset by funds available generated by revenue collected from user departments through the Fleet Memorandum of Understanding (MOU). (Citywide)
• Sponsors: Financial Management
• Related files: 36535_001, 36536_001

Date	Ver.	Action By	Action	Result
10/3/2023	1	City Council	approve recommendation	Pass

TITLE
Recommendation to authorize City Manager, or designee, to execute all documents necessary to amend Contract No. 36535 with HERC Rentals, Inc., of Bonita Springs, FL, and Contract No. 36536 with United Rentals (North America), Inc., of Stamford, CT, for the rental of as-needed heavy-duty equipment, to increase the annual aggregate amount by $862,500, and authorize a 15 percent contingency in the amount of $256,875, for a revised total annual aggregate amount not to exceed $1,969,375; and

Increase appropriation in the Fleet Services Fund Group in the Financial Management Department by $1,369,375, offset by funds available generated by revenue collected from user departments through the Fleet Memorandum of Understanding (MOU). (Citywide)

DISCUSSION
City Council approval is requested to amend Contract No. 36535 with HERC Rentals, Inc., and Contact No. 36536 United Rentals (North America), Inc., to increase annual aggregate contract amount to $1,969,375, to continue the rental of as-needed heavy-duty equipment for special and seasonal operations by City of Long Beach (City) departments.

The Fleet Services Bureau (Fleet) coordinates the rental of seasonal and special needs heavy-duty equipment for departments throughout the City. Rental equipment is needed to meet citywide operational needs when equipment is not assigned, when assigned units are out-of-service, or when awaiting delivery of permanent replacements. The existing contracts were awarded by the City Council in February 2023 for two years, with the option to renew for three additional years. The City is currently in the first year of the contracts. The original annual aggregate contract amount was $850,000, plus a 15 percent contingency, for a total annual aggregate contract amount not to exceed $977,500.

Since the execution of the contracts, the Public Works (PW) Department established two new Street Division teams and one new program, Project Right-of-Way (ROW), which require renting additiona...