TITLE
Recommendation to authorize City Manager to execute all documents necessary to amend Contract Agreement No. 33610 with Haaker Equipment Company, of La Verne, CA, for the purchase of Elgin and Pelican street sweeper parts, to increase the annual contract amount by $100,000, for a total aggregate annual amount not to exceed $350,000 for the period ending
October 31, 2015, with the annual allocation to remain at $250,000 for the second year, including the option to renew for two additional one-year periods, for a total four-year aggregate contract amount not to exceed $1,100,000. (Citywide)
DISCUSSION
City Council approval is requested to authorize the City Manager to execute amendments to the contract with Haaker Equipment Company for the purchase of Elgin and Pelican street sweeper parts. The contract is utilized by the Department of Financial Management's Fleet Services Bureau, as well as the Harbor Department. The Fleet Services Bureau uses the majority of the contract authority to purchase replacement parts for the City’s street sweepers.
On August 19, 2014, the City Council authorized the City Manager to execute a contract with Haaker Equipment Company, in an annual amount not to exceed $250,000 for a period of two years with the option to renew for two additional one-year periods. The current fleet is past its recommended useful life and, as such, is experiencing the breakdown of more and higher-cost system components than originally anticipated. The Fleet Services Bureau is requesting additional contract authority of $100,000 for a period of one year, taking the total aggregate annual amount not to exceed $350,000. This additional purchasing authority is required for this term only.
This matter was reviewed by Deputy City Attorney Kendra L. Carney on July 10, 2015 and by Budget Operations Officer Grace Yoon on July 14, 2015.
SUSTAINABILITY
Use of original equipment manufacturers and certified parts distributors ensures that equipment is operating properly. This reduces the emission of particulate matter and greenhouse gases into the air in Long Beach.
TIMING CONSIDERATIONS
City Council action is requested on August 11, 2015, to ensure that parts essential for the operation of street sweeper services can continue without interruption.
FISCAL IMPACT
The cost of this contract will not exceed $350,000 through October 2015, and is budgeted in the Fleet Services Fund (IS 386) in the Financial Management Department (FM), and in the Harbor Fund (HR 430) in the Harbor Department (HA). Costs are funded through charges to user departments. There is no local job impact associated with this recommendation.
SUGGESTED ACTION
Approve recommendation.
Respectfully Submitted,
JOHN GROSS
DIRECTOR OF FINANCIAL MANAGEMENT
APPROVED:
PATRICK H. WEST
CITY MANAGER