Title
Resolution to Amend the Fleet and Facilities Unit FY15 Budget by Appropriating Funds from Fleet Services Fund's Fund Balance and to Approve the Purchase of One 2015 Freightliner 108 SD Tandem Axle Truck Chassis and One 2015 Freightliner 108 SD Single Axle Truck Chassis from Wolverine Truck Sales (City of Rochester Hills RFP-RH-13-030 - $196,331.00) (8 Votes Required)
Memorandum
The attached resolution authorizes the appropriation of funds and the purchase of a 2015 Freightliner 108 SD tandem axle truck chassis and a 2015 Freightliner 108 SD single axle truck chassis from Wolverine Truck Sales, Dearborn, MI for use by the Public Services Area, Field Operations Unit.
The two truck chassis listed in this resolution are to have dump bodies installed on them. The purchase of these dump bodies is presented on a separate resolution on tonight's Council agenda.
The City of Rochester Hills in cooperation with City of Auburn Hills, City of Farmington Hills, City of Madison Heights, City of Midland, City of St. Clair Shores, City of Troy and the City of Warren issued a Request for Proposal for the purchase of Single and Tandem Axle Dump trucks, parts, and related services. The proposal was developed with the intent of procuring Single and Tandem Axle Dump Trucks for Snow and Ice Removal Services meeting all of the entities specifications, and to create a contract that would offer a comprehensive list of chassis, truck equipment, parts and related services. The comprehensive cooperative contract is available for use by all MITN entities.
Of the five responses received, Wolverine Truck Sales, Dearborn, MI was selected unanimously by all participating communities as the most responsible responder to RFP-RH-13-030 for supplying snow plow truck chassis.
The RFP and award were designed to allow each municipality the flexibility to purchase equipment and material that matches the specification of their equipment. The City of Ann Arbor's specifications are based on the nine Street Maintenance single axle dump trucks purchased in June of 2012 and included 20,000 lbs. front axles, air disc brakes, and spring less rear suspensions.
The price for the tandem axle chassis is $104,769.00 and the single axle chassis is $91,562.00 for a total cost of both chassis in the amount of $196,331.00.
The total completed price for each truck with dump bodies installed will be $183,873.00 for the tandem and $166,206.00 for the single axle unit.
These chassis, once the dump bodies have been installed, will replace a 2003 model year single axle dump truck with 6,610 hours of use which in the last five years has averaged over $20,800.00 in repair cost per year and a 2002 model year tandem axle truck with 9,825 hours of use which has averaged over $18,750.00 in repair cost per year over the last five years. The dump body of the tandem has rusted out to a point that requires it be replaced at an estimated cost of $30,000.00. Both trucks are averaging between 1.5 to 2.0 breakdowns per truck per month.
The new trucks have 20,000 lbs chassis and spring-less rear suspensions that we anticipate will extend the service life of the trucks by 50% over the units being replaced.
An adequate fund for the purchase of the tandem axle chassis is available in the Fleet Service Fund's fund balance and FY15 Major Streets Fund budget. A tandem axle dump truck with a 13' body was budgeted in FY14 but the funds were not expended and rolled into the fund balance. Funding for the purchase of the single axle chassis will come from the FY15 amended Major Street Fund budget.
Wolverine Truck Sales complies with the requirements of the City's non-discrimination ordinances.
Staff
Prepared by: Thomas A. Gibbons, Financial Analyst-Fleet and Facilities Unit
Reviewed by: Matthew J. Kulhanek, Manager Fleet and Facilities Unit and Craig Hupy, Public Services Area Administrator
Approved by: Steven D. Powers, City Administrator
Body
Whereas, The Fleet & Facilities Unit needs to purchase replacement Dump Trucks and Front Mounting Snow Plows for the City's fleet;
Whereas, Purchasing the dump truck chassis with 20,000 lbs. front axles and spring less rear suspensions we anticipate will allow us to increase their service life by 50%;
Whereas, Wolverine Truck Sales was the most responsible bidder to Rochester Hills RFP-RH-13-030 for snow plow truck chassis;
Whereas, Adequate funds for the purchase of the tandem axle truck chassis are available in the Fleet Services Fund's fund balance and FY15 Major Streets Fund budget;
Whereas, Adequate funds for the purchase of the single axle truck chassis is budgeted in the FY15 amended Major Streets Fund budget; and
Whereas, Wolverine Truck Sales complies with the requirements of the City's non-discrimination ordinances;
RESOLVED, That the City Council approves an amendment to the FY15 Fleet and Facilities Unit budget by appropriating $37,844.00 from the Fleet Services Fund Balance;
RESOLVED, That the City Council approves the issuance of a purchase order for one 2015 Freightliner 108 SD tandem axle chassis at $104,769.00 from Wolverine Truck Sales with $37,844.00 coming from FY15 amended Fleet and Facilities budget and $66,925.00 come from FY15 Major Streets budget;
RESOLVED, That the City Council approves the issuance of a purchase order to Wolverine Truck Sales for the purchase of one 2015 Freightliner 108 SD single axle chassis for $91,562.00 with funding from the FY15 amended Major Street Fund budget;
RESOLVED, That funds for these purchases be available without regard to fiscal year;
RESOLVED, That the dump trucks being replaced (#s 4578 and 4596) be sold at auction; and
RESOLVED, That the City Administrator be authorized to take the necessary actions to implement this resolution.