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SR 04-12-2022 3B City Council Report City Council Meeting: April 12, 2022 Agenda Item: 3.B 1 of 6 To: Mayor and City Council From: Rick Valte, Public Works Director, Public Works, Fleet Services Subject: Authorization of Purchase Orders with Tymco Equipment Company, Arata Equipment Company, National Auto Fleet Group, and Velocity Truck Centers for Vehicle Purchases for the Public Works Department's Resource Recovery & Recycling Division Recommended Action Staff recommends that the City Council: 1. Authorize the Procurement Manager to issue a purchase order with Tymco Equipment Company for the purchase of two sweeper trucks for the Public Works Department. This recommended award is made as an exception to the competitive bidding process pursuant to Section 2.24.250(c) and is for a total amount not to exceed $615,859 with future year funding contingent on Council budget approval; 2. Authorize the Procurement Manager to issue a purchase order with Arata Equipment Company for the purchase of three side loader trucks for the Public Works Department. This recommended award is made as an exception to the competitive bidding process pursuant to Section 2.24.250(c) and is for a total amount not to exceed $1,592,754, with future year funding contingent on Council budget approval; 3. Authorize the Procurement Manager to issue a purchase order with National Auto Fleet Group for the purchase of two bin trucks for the Public Works Department. This recommended award is made as an exception to the competitive bidding process pursuant to Section 2.24.250(c) and is for a total amount not to exceed $155,918 with future year funding contingent on Council budget approval; and 4. Authorize the Procurement Manager to issue a purchase order with Velocity Truck Centers for the purchase of two front loader trucks for the Public Works Department. This recommended award is made as an exception to the competitive bidding process pursuant to Section 2.24.250(c) and is for a total amount not to exceed $819,300 with future year funding contingent on Council budget approval. 3.B Packet Pg. 139 2 of 6 Summary The City’s Resource Recovery and Recycling (RRR) Division uses various collection, passenger, and other miscellaneous vehicles to provide recycling, organics, and waste collection, bulky and abandoned/illegal item pickup, and street sweeping services for residential and commercial customers. Many of these vehicles are aging and to ensure reliable operations, provide uninterrupted service to the community, and reduce downtime and maintenance costs, staff recommends purchasing nine replacement vehicles and equipment based on competitive contract pricing available to government agencies. Discussion The Fleet Management Division is responsible for ensuring the City’s diverse fleet of over 700 vehicles are dependable, meet the highest environmental standards for a sustainable fleet, and are safe to operate from acquisition through disposal. The Fleet Management Division and RRR Division have collaborated to extend the useful lives of RRR’s vehicles to the maximum extent practicable. The nine vehicles identified for replacement have reached or exceeded their asset lives. Due to their age and use, these vehicles require significant maintenance and repair costs to remain reliable, safe, and operational. Staff is requesting to purchase the following vehicles and equipment for a total amount not to exceed $3,183,832, including a 10% contingency. Vehicle Replacement Program – Vehicle and Equipment Purchases Fund Description Vendor Purchase Price Quantity Extended Price RRR Vacuum Sweeper Tymco Equipment Company $307,929.50 2 $615,859 RRR Side Loader Arata Equipment Company $530,918 3 $1,592,754 RRR Bin Truck National Auto Fleet Group $77,959 2 $155,918 RRR Front Loader Velocity Truck Centers $409,650 2 $819,300 Total 9 $3,183,832 3.B Packet Pg. 140 3 of 6 The RRR Division relies on these vehicles to carry out day-to-day operations that directly support the City’s priority of a Clean and Safe Santa Monica, including: • Collection of recycling, organics, and waste materials • Roll-out service for the City’s inventory of two-, three-, and four-yard collection bins, when requested • Street sweeping activities along the City’s approximately 253 curb lane miles, and • Responding to customer service requests for bulky and abandoned item pickup. These vehicles are used year-round and remain on standby 24 hours a day to respond to cleanup emergencies such as traffic collisions, natural disasters, and other unscheduled activities. Without functional and reliable equipment to support operations, staff anticipates delays in the day-to-day operations and slower 311 response times. Delays would result in unsanitary conditions due to missed collections, street debris accumulation risking injury to cyclists, and a limited ability to pick up abandoned curbside items in a timely manner, creating unsightly areas around the city. The vacuum sweeper vehicles are used in street sweeping activities along the city’s curb and gutters to ensure debris is collected before reaching the storm drain inlets. The two vacuum sweepers scheduled for replacement have been used heavily since 2016 and have a typical useful life of five years. Side loader collection vehicles are used to service the City’s 13 residential collection routes, including black trash, blue recycling, and green organics containers. They also service City sponsored/produced events and programs such as the farmers’ markets. These vehicles will also support the roll-out of the City’s new mandatory organics recycling ordinance as the volume of collected organic materials increases. The three side loaders scheduled for replacement have been in use since 2013 and have a typical useful life of seven years. 3.B Packet Pg. 141 4 of 6 Bin trucks are used to move heavy bins, that cannot be repositioned manually, from parking structures and underground refuse enclosure to the street. These structures are inaccessible to larger vehicles that either cannot maneuver safely or are too tall to fit through entrances. The two bin trucks scheduled for replacement have been in use since 2012 and have a typical useful life of 10 years. Front loader collection vehicles are used to service the City’s 15 commercial collection routes. They are used to lift large bins that can weigh up to 1,200 pounds when full, depending on the material being collected. The two front loaders scheduled for replacement have been in use since 2013 and have a typical useful life of seven years. Vendor Selection Exceptions to Competitive Bidding Vacuum Sweeper Staff recommends Marco Equipment Company, a local dealer of Tymco equipment, to furnish and deliver two CNG vacuum sweepers and chassis as an exception to competitive bidding per Santa Monica Municipal Code Section 2.24.250 (c). On November 7, 2019, Houston-Galveston Area Council (H-GACBuy), a government agency that establishes nationally leveraged and competitively solicited purchasing contracts for education, government, and nonprofits, issued a Request for Proposals (RFP) for purpose-built and commercial cab- chassis mounted street sweeper body designs, airport sweeper bodies, and smaller riding and walk- behind styles. Under the terms of the RFP and the resulting H-GACBuy agreement with Tymco (Agreement #SW04-20 established on April 1, 2020), similarly nationally leveraged purchasing discounts are also available to other government agencies. The vacuum sweepers are offered at a discount of 6% off the list price. Tymco will also offer a $125,000 trade-in credit per vacuum sweeper ($250,000 for two). This $125,000 trade-in credit per sweeper is a better alternative given that it is above the average auction price of $86,395 the City has received for vacuum sweepers of its kind in the past. Side Loader Staff recommends Arata Equipment, a distributer of Labrie and Crane Carrier equipment, to furnish and deliver three side loaders as an exception to competitive bidding under Santa Monica Municipal Code Section 2.24.250 (c). On August 1, 2020, Sourcewell issued an RFP for Class 6, 7, and 8 Chassis with Related Equipment, 3.B Packet Pg. 142 5 of 6 Accessories, and Services. Under the terms of the RFP and the resulting Sourcewell Agreement with Crane Carrier Company (Agreement #060920-CRN established on August 1, 2020), similarly nationally leveraged purchasing discounts are also available to other government agencies. The chassis is offered at an additional 10% reduced rate through preferred customer discount pricing. On November 15, 2019, Sourcewell issued an RFP for mobile refuse collection bodies. Under the terms of the RFP and the resulting Sourcewell Agreement with Labrie Enviroquip (Agreement #060920-ATC established on November 15, 2019), similarly nationally leveraged purchasing discounts are also available to other government agencies. The body is offered at an additional 51% reduced rate through preferred customer discount pricing. Bin Truck Staff recommends National Auto Fleet Group, a distributer of Ford trucks, vehicle upfitting, chassis upfitting equipment, to furnish and deliver two front loaders as an exception to competitive bidding under Santa Monica Municipal Code Section 2.24.250 (c). This exception applies here because: “[c]ompetitive procedures were followed by a governmental agency, federal, state, county, city, joint powers agency, special district, or cooperative purchasing agency and the goods or services are supplied to the City at the same or better price.” On November 8, 2021, Sourcewell issued an RFP for Cars, Trucks, Vans, SUVs, Cab Chassis, & Other Vehicles. Under the terms of the RFP and the resulting Sourcewell Agreement with National Auto Fleet Group (Agreement #091521-NAF established on November 8, 2021), similarly nationally leveraged purchasing discounts are also available to other government agencies. Front Loader Staff recommends Velocity Truck Centers, a distributer of Crane Carrier Company and Amrep equipment, to furnish and deliver two front loaders as an exception to competitive bidding under Santa Monica Municipal Code Section 2.24.250 (c). On August 1, 2020, Sourcewell issued an RFP for Class 6, 7, and 8 Chassis with Related Equipment, Accessories, and Services. Under the terms of the RFP and the resulting Sourcewell Agreement with Crane Carrier Company (Agreement #060920-CRN established on August 1, 2020), similarly nationally leveraged purchasing discounts are also available to other government agencies. The chassis is offered at an additional 10% reduced rate through preferred customer discount pricing. 3.B Packet Pg. 143 6 of 6 Financial Impacts and Budget Actions Staff seeks authority to approve available funding from the Vehicle Replacement Fund to award a purchase order with Tymco for purchase and delivery of two sweepers; a purchase order with Arata Equipment Company for purchase and delivery of three side loaders; a purchase order with National Auto Fleet Group for purchase and delivery of two bin trucks; and a purchase order with Velocity Truck Centers for purchase and delivery of two front loaders. Purchase Order Request FY 2021-22 Budget Request Amount Vendor CIP Account # Total Purchase Order Amount $615,859 Tymco Equipment Company C7000010.689000.90535 $615,859 $1,592,754 Arata Equipment Company C7000010.689000.90535 $1,592,754 $155,918 National Auto Fleet Group C7000010.689000.90535 $155,918 $819,300 Velocity Truck Center C7000010.689000.90535 $819,300 Total $3,183,832 Prepared By: Doris Mejia, Senior Administrative Analyst Approved Forwarded to Council Attachments: A. Tymco - Oaks Initiative B. Arata - Oaks Initiative C. Velocity - Oaks Initiative D. National Auto Fleet Group - Oaks Initiative 3.B Packet Pg. 144 II\ ·I "-••·· ..... ,., .. CITY OF SANT A MONICA OAKS INITIATIVE DISCLOSURE FORM In order to facilitate compliance with the requirements of the Oaks Initiative, the City compiles and maintains certain information. That information includes the name of any person or persons who is seeking a "public benefit." If the "public benefit" is sought by an entity, rather than an individual person, the information includes the name of every person who is: (a) trustee, (b) director, (c) partner, (d) officer, or has (e) more than a ten percent interest in the entity. Public benefits include: 1. Personal services contracts in excess of $25,000 over any 12-month period; 2. Sale of material, equipment or supplies to the City in excess of $25,000 over a 12- month period; 3. Purchase, sale or lease of real property to or from the City in excess of $25,000 over a 12-month period; 4. Non-competitive franchise awards with gross revenue of $50,000 or more in any 12-month period; 5. Land use variance, special use permit, or other exception to an established land use plan, where the decision has a value in excess of $25,000; 6. Tax "abatement, exception, or benefit" of a value in excess of $5,000 in any 12- month period; or 7. Payment of "cash or specie" of a net value to the recipient of $10,000 in any 12- month period. Name(s) of persons or entities receiving public benefit: TYMCO, Inc. Name(s) of trustees, directors, partners, and officers: Kenneth J. Young, Gary B. Young, Brent Kimbrough Name(s) of persons with more than a 10% equity, participation, or revenue interest: Kenneth J. Young and Gary B. Young Prepared by: Brent Kimbrough Signature:~ ~---- Email: brent.kimbrough@tymco.com FOR CITY USE ONLY: Bid/PO/Contract# _________ _ Title: Chief Financial Officer Date: 0112512022 Phone: 254-799-5546 Permit# ________ _ 3.B.a Packet Pg. 145 Attachment: Tymco - Oaks Initiative (4736 : Replacement Vehicles for RRR) 3.B.b Packet Pg. 146 Attachment: Arata - Oaks Initiative (4736 : Replacement Vehicles for RRR) 3.B.b Packet Pg. 147 Attachment: Arata - Oaks Initiative (4736 : Replacement Vehicles for RRR) 3.B.c Packet Pg. 148 Attachment: Velocity - Oaks Initiative [Revision 2] (4736 : Replacement Vehicles for RRR) 3.B.d Packet Pg. 149 Attachment: National Auto Fleet Group - Oaks Initiative (4736 : Replacement Vehicles for RRR) 3.B.d Packet Pg. 150 Attachment: National Auto Fleet Group - Oaks Initiative (4736 : Replacement Vehicles for RRR)