REPORT TO THE CITY COUNCIL FROM: JOE VARGAS, Director Department of Transportation BY: BRIAN BARR, Assistant Director Department of Transportation SUBJECT ..Title Approve the award of a purchase contract to Pape Kenworth of Fresno, California, for the purchase of one Kenworth T370 fuel truck in the amount of $267,648 for the Department of Public Utilities ..Body RECOMMENDATION Staff recommends Council approve the award of a purchase contract to Pape Kenworth of Fresno, California, for the purchase of one Kenworth T370 fuel truck in the amount of $267,648. EXECUTIVE SUMMARY The Department of Public Utilities, Wastewater Management Division seeks to purchase one Kenworth T370 fuel truck to lubricate and fuel more than 30 pieces of heavy equipment and tractors at the Wastewater Treatment Plant. The Department of Transportation, Municipal Fleet Division recommends this purchase based on the age and hours of the truck identified for replacement. The new unit will be purchased through a competitively solicited cooperative procurement process administered by Sourcewell, formerly the National Joint Powers Alliance (NJPA). BACKGROUND The Department of Public Utilities, Wastewater Management Division is responsible for the collection and treatment of wastewater produced by the City of Fresno. This is accomplished through the operation and maintenance of 1,750 acres of percolation ponds located at the Wastewater Treatment Plant. This property requires road maintenance, pond reconstruction, and vast sections of land to be plowed and maintained. To accomplish this more than 30 pieces of equipment are operated throughout the property, all requiring fuel in regular intervals. Currently, this work is performed with one aging fuel truck struggling with maintenance issues. The new Kenworth T370 fuel truck will be built to a specification similar to the original, updated with the latest emissions technology, exceeding the US 2010 emissions standard. The new truck will also feature an enclosed cabinet for the lubrication reels, this improvement will keep the equipment cleaner and prolong the useful life of the system. The current fuel truck is on a 10 year or 5,000-hour replacement schedule which has been established by the Fleet Management Division as the optimum replacement time. Currently the unit identified for replacement is 14 years old and has collected 6,709 hours of operation. Staff recommends replacement based on the age and condition of the existing unit. The new unit will be purchased through a competitively solicited cooperative procurement process administered by Sourcewell, formerly the National Joint Powers Alliance (NJPA). The purchase price for this unit is $267,648. This price includes the Sourcewell cooperative purchasing discount applied to City purchases as well as local sales tax at 8.35%. The Purchasing Division has approved this contract and recommends Council to approve. The City Attorney has reviewed and approved to form. ENVIRONMENTAL FINDINGS 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; however, the business is located in Fresno. FISCAL IMPACT No general funds will be used to purchase these items. The funding to cover the purchase cost of the Kenworth T370 fuel truck has been included in the FY2022 adopted budget under the operations of the Department of Public Utilities, Wastewater Management Division. The source of funding for this project is the Department of Transportation, Municipal Fleet Division Replacement Fund and the Wastewater Operating Fund, generated primarily by the collection of customer user fees. Attachments: Board Resolutions Combined Ads Comment and Review Kenworth Truck Contract Prop. Eval Prop. Opening Record RFP