REPORT TO THE CITY COUNCIL FROM: BRIAN BARR, Director General Services Department BY: CLIFF TRAUGH, Administrative Manager General Services Department SUBJECT ..Title Approve the award of a purchase contract to Pape Kenworth of Fresno, California, for the purchase of two Kenworth T880 trucks in the amount of $572,026 for the Department of Public Utilities and Department of Public Works ..Body RECOMMENDATION Staff recommends Council approve the award of a purchase contract to Pape Kenworth of Fresno, California, for the purchase of two Kenworth T880 trucks in the amount of $572,026. EXECUTIVE SUMMARY The Department of Public Utilities (DPU), Water Operations Division and Department of Public Works (DPW), Street Maintenance Division seek to purchase two Kenworth T880 trucks to replace vehicles well past their useful life in both age and mileage. DPU will receive a 17-ton crane truck and DPW will recieve an 18-yard dump truck. The new units will be purchased through a competitively solicited cooperative procurement process administered by Sourcewell, formerly the National Joint Powers Alliance (NJPA). BACKGROUND DPU, Water Operations Division is responsible for delivering safe drinking water to approximately 500,000 residential, commercial, and industrial customers over a 114 square mile area. This mission is accomplished through continuous maintenance of the freshwater system, which requires the removal and installation of large pipes and junctions. These items are positioned into place using either backhoes, or in the case of very large pipes, a truck mounted crane. Repairs to the freshwater distribution system are currently done with one aging crane truck tasked with setting pipe, road plates, and well motors at various locations throughout the city. The new Kenworth T880 crane truck will be built to a specification similar to the existing unit, however, updated with the latest technology to offer superior maneuverability, visibility, and performance. The new unit will be compliant with the applicable US 2010 emissions standard, while providing improved fuel economy and power. DPW, Street Maintenance Division is responsible for maintaining 1,740 miles of City streets and boulevards. As street pavements degrade to the end of their service life, asphalt overlays are needed to restore the street back to a good and serviceable condition. This maintenance treatment is performed annually by the Street Maintenance Division utilizing heavy equipment to break up existing pavement and dump trucks to haul away the debris. Currently the material created from road demolition is transported by 15 dump trucks, all more than 18 years old. The new Kenworth T880 dump truck will be built to a specification similar to the existing units, updated with the latest technology to offer superior maneuverability, visibility, and performance. The new unit will be compliant with the applicable US 2010 emissions standard, while providing improved fuel economy and power. The heavy truck class of equipment is on a 10 year or 100,000-mile replacement schedule which has been established by the Fleet Management Division as the optimum replacement point. Currently the two units identified for replacement are more than 22 years old and have incurred significant repair costs over the last few years. The new trucks will be purchased utilizing competitively solicited cooperative procurement process administered by Sourcewell. The total purchase price is $572,026, this price includes the Sourcewell discount applied to City purchases as well as delivery and sales tax at 8.35%. The Purchasing Division has approved this contract and recommends Council to approve. ENVIRONMENTAL FINDING By the definition provided in the California Environmental Quality Act (CEQA) Guidelines Section 15378, the award of this contract does not qualify as a project as defined by CEQA. LOCAL PREFERENCE Local preference is not applicable. The City is not issuing a request for quote for this cooperative purchase agreement. FISCAL IMPACT No general funds will be used to purchase these items. The funding to cover the purchase cost of the Kenworth T880 trucks has been included in the FY2023 adopted budget. Water Operations Division, Water Enterprise Fund will be used for the crane truck costing $342,818, this fund is generated primarily by the collection of customer user fees. The Streets Maintenance Division dump truck costing $229,208 will be paid for utilizing SB1 and PROP 111 Gas Tax. Attachments: Board Resolutions Combined Ads Comment and Review Evaluation Kenworth Truck Contract Prop. Opening Record RFP