TITLE
Recommendation to authorize City Manager, or designee, to execute all documents necessary to amend Contract No. 34311 with United Rotary Brush Corporation, of Pomona, CA, for the purchase of street sweeper brooms, to increase the annual contract amount by $100,000, for a total annual amount not to exceed $275,000, for the second year of the current contract period and for the two remaining years of the contract; and
Increase appropriations in the Fleet Services Fund (IS 386) in the Financial Management Department (FM) by $100,000, offset by charges billed to user departments through the Fleet monthly MOU billing process. (Citywide)
DISCUSSION
On July 19, 2016, the City Council awarded a contract to United Rotary Brush Corporation, of Santa Ana, CA, to purchase street sweeper brooms in an annual amount of $175,000, for a period of two years with the option to renew for two additional one-year periods.
At that time, the Fleet Services Bureau and Environmental Services Bureau were testing a new vacuum sweeper for use on City streets. If the new sweepers were more effective, the annual expenditures for street sweeper brooms would gradually diminish. The vacuum sweepers have proven to be a less effective alternative, and the City is returning to the use of broom sweepers. In addition, United Rotary Brush recently notified the City that the cost of the resin used in the sweeper broom production has spiked due to a shortage in the petroleum industry after the damage caused by hurricanes Harvey, Irma and Maria. Their prices to the City have increased 6 percent as of October 11, 2017.
City Council approval is requested to authorize the City Manager, or designee, to execute an amendment to Contract No. 34311 with United Rotary Brush Corporation to increase the annual contract amount by $100,000 for the second year of the current 2-year contract. This amount will cover the purchase of street sweeper brooms and expected part purchases until the current contract renewal in July 2018. The additional funds are also needed for subsequent renewal periods.
This matter was reviewed by Deputy City Attorney Monica J. Kilaita on November 8, 2017 and by Assistant Finance Director Lea Eriksen on November 7, 2017.
SUSTAINABILITY
Installing appropriate equipment on City vehicles ensures that they will perform at top efficiency and meet all safety requirements for the operators and the public.
TIMING CONSIDERATIONS
City Council action is requested on December 5, 2017, to authorize the City Manager to amend Contract No. 34311 with United Rotary Brush Corporation to ensure that purchase of replacement street sweeper brooms can continue expeditiously.
FISCAL IMPACT
The total annual contract amount will not exceed $275,000 for the second year of the current contract period and for the last two annual renewal periods of this contract. An appropriation increase of $100,000 in the Fleet Services Fund (IS 386) in the Financial Management Department (FM) is requested to fully fund the revised contract amount and is offset by work order charges billed monthly through the Fleet monthy billing process. 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