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RESOLUTION NO. 2015-071 OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA AUTHORIZING THE PURCHASE OF TWO (2) VEHICLES FROM NATIONAL AUTO FLEET GROUP IN ACCORDANCE WITH THE TERMS AND CONDITIONS OF NATIONAL JOINT POWERS AUTHORITY BID NUMBER 102811 AND ONE (1) VEHICLE FROM ALTEC, INC. IN ACCORDANCE WITH THE TERMS AND CONDITIONS OF NATIONAL JOINT POWERS AUTHORITY BID NUMBER 031014 AND APPROPRIATING $180,000 TO THE EQUIPMENT REPLACEMENT FUND (4/5 VOTE REQUIRED)
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RECOMMENDED ACTION
Recommended Action
Council adopt the resolution.
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SUMMARY
The City has an opportunity to participate in a current National Joint Powers Authority (NJPA) bid on favorable terms and pricing to purchase vehicles from National Auto Fleet Group in accordance with the terms and conditions of Bid Number 102811 and from Altec, Inc. in accordance with the terms and conditions of Bid Number 031014. The Public Works Department is recommending the purchase two (2) compact hybrid sedans from National Auto Fleet Group under NJPA Bid 102811 and an aerial man-lift truck from Altec, Inc. under NJPA Bid 031014.
ENVIRONMENTAL REVIEW
This proposed activity has been reviewed for compliance with the California Environmental Quality Act (CEQA) and it has been determined that the activity is not a "Project" as defined under Section 15378 of the State CEQA Guidelines because it will not result in a physical change in the environment; therefore, pursuant to Section 15060(c)(3) of the State CEQA Guidelines, the activity is not subject to CEQA. Thus, no environmental review is necessary
BOARD/COMMISSION RECOMMENDATION
Not Applicable
DISCUSSION
The City of Chula Vista Municipal Code Section 2.56.270 and Council Resolution No. 6132 authorize the Purchasing Agent to participate in cooperative bids with other government agencies for the purchase of materials of common usage. Fleet staff has conducted research on vehicle costs and has determined that the bids from the National Joint Powers offer favorable terms and pricing. The Public Works Departments is requesting authorization to purchase two (2) vehicles from National Auto Fleet Group under NJPA Bid 102811 and one vehicle from Altec, Inc. under NJPA Bid 031014.
The vehicle assigned to the Open Space Manager was damaged in a traffic collision, such that the vehicle was deemed a total loss. It is necessary to replace that vehicle at this time. There was an insurance recovery from the at-fault driver, as well as the revenue resulting from the sale of the vehicle for salvage value to a wrecking yard. National Auto Fleet Group is willing to sell the City a compact hybrid sedan under the terms and conditions of the National Joint Powers Authority master contract number 102811. Staff recommends combining the amount of $3,764 realized as a recovery from the at-fault driver in the traffic accident, as well as the amount of $850 realized from the sale of the vehicle for its salvage value towards the purchase of the replacement vehicle. Purchasing concurs in this recommendation.
A new position in the Construction & Repair Program of the Public Works Department was created in FY2014-15 and was recently filled. In order to provide transportation for the new employee to conduct facility work during business hours it is necessary to acquire an additional vehicle at this time. Staff recommends acquiring an intermediate-size sedan from the National Auto Fleet Group under the terms and conditions of the National Joint Powers Authority master contract number 102811, as described above.
An aerial man-lift truck assigned to the Traffic Signals & Street Lighting program in the Public Works Department has reached the point at which it has become very unreliable, due to the age and high rate of usage. Such unreliability puts an undue burden on the staff to perform its mission of maintain traffic signals and street lights. Staff recommends acquiring such a vehicle from Altec, Inc., under the terms and conditions of National Joint Powers Authority master contract 031014. Purchasing concurs in this recommendation.
Portable diesel powered equipment is regulated by the state Air Resources Board (ARB), and standards for exhaust emissions are in place. The standards relate to the average exhaust emissions for an entire fleet, and the standards grow progressively more stringent over time. The City fleet of such equipment currently meets the standard, but when the standard becomes more stringent in a couple of years, the fleet will no longer be in compliance.
One step that can be taken at this time, in order to be prepared for the next required decrease in exhaust emissions, is to replace older, more heavily polluting engines with newer, less polluting engines. Such an engine replacement will lower the City exhaust emissions average to keep the fleet in compliance with the state regulations through 2019. The specific engine is the auxiliary engine on the street striping truck.
It is estimated the auxiliary engine replacement will cost $20,000.
DECISION-MAKER CONFLICT
Staff has reviewed the decision contemplated by this action and has determined that it is not site specific and consequently, the 500-foot rule found in California Code of Regulations section 18704.2(a)(1) is not applicable to this decision. Staff is not independently aware, nor has staff been informed by any City Councilmember, of any other fact that may constitute a basis for a decision maker conflict of interest in this matter.
LINK TO STRATEGIC GOALS
The City's Strategic Plan has five major goals: Operational Excellence, Economic Vitality, Healthy Community, Strong and Secure Neighborhoods and a Connected Community. This action supports the goal of providing Healthy Communities, as having service vehicles in good working condition allows staff to maintain and operate community and neighborhood facilities.
CURRENT YEAR FISCAL IMPACT
The net total cost is $180,000 for the acquisition of the three vehicles and to replace the auxiliary engine on the street striping truck: two (2) compact hybrid sedans $60,000; aerial man-lift truck $100,000; auxiliary engine on street striping truck $20,000. Sufficient funds are available in the Equipment Replacement Fund. Staff is requesting an appropriation of $180,000 for these purchases.
ONGOING FISCAL IMPACT
The vehicle purchase for the Open Space Manager and the purchase of an aerial man-lift truck are replacing existing vehicles and maintenance costs are included in the existing budget. There is no additional ongoing fiscal impact to the General Fund.
The addition of a new vehicle to be assigned to the Construction & Repair program will require future on-going vehicle maintenance and operating costs estimated at $4,000 per year. This addition results in a net fiscal impact of $4,000 to the General Fund on annual basis. These costs will be incorporated into the Proposed Budget for fiscal year 2016 and will be considered by Council as part of the annual budget process.
ATTACHMENTS
None
Staff Contact: Steve Dorsey, Fleet Manager, Public Works