SR 10-25-2022 5E
City Council
Report
City Council Meeting: October 25, 2022
Agenda Item: 5.E
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To: Mayor and City Council
From: Edward F King, Director, Department of Transportation, Transit Maintenance
Subject: Approval of Purchase Order with Kovatch Mobile Equipment Corporation
(KME) for the Purchase of Fire Apparatus Replacement Parts and Service
Recommended Action
Staff recommends that the City Council authorize the Procurement Manager to issue a
purchase order with Kovatch Mobile Equipment Corporation (KME) for the purchase of
Original Equipment Manufacturer (OEM) repair parts, and for OEM repairs of Fire
Department heavy-duty apparatus. This recommended award is made as an exception
to the competitive bidding process pursuant to Section 2.24.250(b) and is for a five-year
term with a total amount not to exceed $581,734, which includes a $52,885
contingency, with future year funding contingent on Council budget approval.
Summary
Santa Monica’s fleet of Fire Department heavy-duty apparatus consists of 13 vehicles
manufactured by Kovatch Mobile Equipment Corporation (KME) that require routine
maintenance and repairs to keep these vehicles in a reliable and safe operating
condition. These vehicles experience normal wear and tear over their useful life and
Santa Monica Department of Transportation (DOT) staff perform repairs and
maintenance to keep these vehicles in safe and reliable operating condition.
As the Original Equipment Manufacturer (OEM) of heavy-duty fire apparatus, KME is
the sole provider of many of the parts needed to maintain and repair the vehicles. The
sole source award to KME for OEM heavy-duty fire vehicle parts would enable DOT
staff to perform routine maintenance and repairs on the Fire Department’s apparatus to
ensure these vehicles are maintained in a state of good repair.
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The first year’s purchase order for the Fire Department would be in an amount not to
exceed $116,347. The cost for this bid over its five-year term would be in an amount not
to exceed $581,734, which includes a 10% contingency.
Discussion
KME is the manufacturer of the Fire Department’s fleet of frontline apparatus including
pump and ladder trucks, and, therefore, is the only vendor that can provide the
proprietary replacement parts, hardware, and service to the City’s 13 KME fire
apparatus. These vehicles are complex with hundreds of parts and are custom built to
City specifications. Replacement parts are needed to maintain these vehicles in
accordance with OEM specifications to ensure safe, efficient, and reliable operation.
Parts that are proprietary to KME include interior and exterior body panels, pump
replacement parts, interior cabinetry components, multiplex electrical system
components and software, switch panels, engine radiators, fans, suspension parts,
electronic modules, and specialty relays.
The DOT uses genuine OEM parts to ensure proper vehicle performance and to ensure
that warranty claims can be made when components fail prematurely. The sole source
award to KME would allow DOT staff to perform routine maintenance and repairs
needed to maintain fire apparatus in good operating condition.
Vendor Selection
Exception to Competitive Bidding
Staff recommends Kovatch Mobile Equipment Corporation to furnish and deliver
replacement parts for KME heavy-duty fire apparatus for the Fire Department as
an exception to competitive bidding per Muni Code 2.24.250 (b). KME and its
parent company REV Fire Group are the sole parts distributor for KME fire
apparatus.
b. when a good or service is copyrighted, patented, or only available from
one license holder, including, proprietary goods, original equipment
manufacturers and/or exclusive distributors;
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Financial Impacts and Budget Actions
Staff seeks authority to approve available funding from the General Fund to award a
purchase order with KME for the purchase of OEM fire apparatus replacement parts.
Future year funding is contingent on Council budget approval.
Purchase Order Request
FY 2022-23 Budget Future Years’ Budget
Request Amount
Department/
CIP Account #
Total Contract
Amount Request Amount
$116,347 $465,387 01190001.529470 $581,734
Prepared By: David Nanjo, Administrative Analyst
Approved
Forwarded to Council
Attachments:
A. KME OAKS INITIATIVE FORM - 2022
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5.E.a
Packet Pg. 381 Attachment: KME OAKS INITIATIVE FORM - 2022 (5277 : Purchase of Fire Apparatus Replacement Parts and Service)