TITLE
Recommendation to adopt Specifications No. ITB FS20-055 and award a contract to Altec, Inc., of Dixon, CA, for furnishing and delivering a CNG-fueled Freightliner M2 112 aerial bucket truck, for a total contract amount not to exceed $317,492, inclusive of taxes and fees; and, authorize City Manager, or designee, to execute all documents necessary to enter into the contract, including any necessary amendments. (Citywide)
DISCUSSION
City Council approval is requested to enter into a contract with Altec, Inc., for the purchase of a Freightliner M2 112 aerial bucket truck, for a total contract amount not to exceed $317,492, inclusive of taxes and fees. The truck will be used for traffic signal repair and maintenance by the Traffic Operations Division in the Public Works Department. Purchase of this vehicle was approved by the City Manager in a prior-year Fleet Replacement Plan.
This new bucket truck will replace the current vehicle, which is 14 years past its useful life and is in poor condition. Older vehicles such as this routinely incur considerable downtime due to lack of available parts and increased maintenance and repair due to excessive wear.
The bid was advertised in the Long Beach Press-Telegram on July 2, 2020, and 40 potential bidders specializing in heavy duty vehicles were notified of the bid opportunity. Of those bidders, 12 downloaded the bid via the City’s electronic bid system. The bid document was made available from the Purchasing Division, located on the sixth floor of City Hall, and the Division’s website at www.longeach.gov/purchasing. A bid announcement was also included in the Purchasing Division’s weekly update of Open Bid Opportunities, which is sent to 35 local, minority-owned and women-owned business groups. Three bids were received on August 11, 2020. Of those bidders, none were Minority-owned Business Enterprises (MBEs), Woman-owned Business Enterprises (WBEs), certified Small Business Enterprises (SBEs), or Long Beach businesses (Local). Altec, Inc., of Dixon, CA (not a MBE, WBE, SBE, or Local), was the lowest responsive bidder.
Local Business Outreach
In an effort to align with the City’s outreach goal, Long Beach businesses are encouraged to submit bids for City contracts. The Purchasing Division also assists businesses with registering on the PlanetBids database to download the bid specifications. Through outreach, four Long Beach vendors were notified to submit bids, of which none downloaded or submitted a bid. The Purchasing Division is committed to continuing to perform outreach to local vendors to expand the bidder pool.
This matter was reviewed by Deputy City Attorney Taylor M. Anderson on October 27, 2020, Business Services Bureau Manager Tara Yeats on October 20, 2020, and by Budget Management Officer Rhutu Amin Gharib on October 27, 2020.
SUSTAINABILITY
The new truck is compliant with the State of California and local district air quality regulations, and uses compressed natural gas fuels to reduce air toxins and pollutant emissions.
TIMING CONSIDERATIONS
City Council action is requested on November 17, 2020, to ensure a contract is in place expeditiously. Delay in replacement may result in excessive downtime for repairs and maintenance, leading to possible operational disruptions.
FISCAL IMPACT
The total cost of the contract will not exceed $317,492, inclusive of taxes and fees, and is budgeted in the Fleet Services Fund Group in the Financial Management Department. Replacement of the unit is fully funded through regular capital replacement charges previously collected. Ongoing maintenance costs are estimated at $9,302 annually, and capital replacement charges based on an asset life of 15 years are estimated at $32,976 annually. These costs will be collected through the Fleet Services Memorandum of Understanding (MOU) regular monthly charges to the General Fund Group in the Public Works Department starting when the vehicle is delivered and in use. This recommendation has no staffing impact beyond the normal budgeted scope of duties and is consistent with existing City Council priorities. There is no local job impact associated with this recommendation.
SUGGESTED ACTION
Approve recommendation.
BODY
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Respectfully Submitted,
JOHN GROSS
DIRECTOR OF FINANCIAL MANAGEMENT
APPROVED:
THOMAS B. MODICA
CITY MANAGER