TITLE
Recommendation to adopt resolution authorizing City Manager, or designee, to execute a contract with Haaker Equipment Company, of La Verne, CA, for the purchase of Elgin Pelican street sweeper parts, in an annual amount of $400,000, with a 10 percent contingency in the amount of $40,000, for a total annual amount not to exceed $440,000, for a period of two years, with the option to renew for three additional one-year periods, at the discretion of the City Manager. (Citywide)
DISCUSSION
City Council approval is requested to enter into a contract with Haaker Equipment Company for the purchase of Elgin Pelican street sweeper parts needed to support the Public Works Department.
The Street Sweeping Program operates 14 alternative-fueled Elgin street sweepers throughout the City and cleans over 160,000 miles of curbs and gutters annually. The Fleet Services Bureau, in the Financial Management Department (FM), maintains and repairs these units as part of the City’s fleet maintenance program. Street sweepers are maintenance-intensive and require regular service and parts to sustain street sweeping operations. Haaker Equipment Company is the sole authorized distributor for Elgin Pelican street sweeper parts in Southern California and Southern Nevada. Therefore, approval of a new contract with this vendor is being requested.
City Charter Section 1801 requires that contracts for City purchases be awarded to the lowest responsible bidder after a competitive bid process, but allows for awards without a competitive bid process if accompanied by a Resolution adopted by the City Council.
This matter was reviewed by Deputy City Attorney Monica J. Kilaita on September 25, 2018 and by Budget Management Officer Rhutu Amin Gharib on September 26, 2018.
SUSTAINABILITY
Maintenance of the City’s street sweepers, including replacement of worn parts, ensures optimal efficiency, operational performance, and safety requirements for operators and the public.
TIMING CONSIDERATIONS
City Council action is requested on October 23, 2018, to ensure a new contract is in place expeditiously.
FISCAL IMPACT
The annual cost of this contract will not exceed $440,000, including a 10 percent contingency of $40,000, and is budgeted in the Fleet Services Fund (IS 386) in the Financial Management Department (FM). Parts costs for street sweepers are charged to user departments in the Fleet Services MOU and are collected through the regular 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 EXECUTE A CONTRACT WITH HAAKER EQUIPMENT COMPANY, WITHOUT ADVERTISING FOR BIDS, FOR ELGIN PELICAN STREET SWEEPER PARTS IN AN ANNUAL AMOUNT NOT TO EXCEED $250,000, AND A CONTINGENCY OF 10% ($25,000) ANNUALLY
Respectfully Submitted,
JOHN GROSS
DIRECTOR OF FINANCIAL MANAGEMENT
APPROVED:
PATRICK H. WEST
CITY MANAGER