Title
Resolution to Approve the Rental of Heavy Equipment from Bell Equipment Company (MiDeal and Omnia - NTE $217,200.00)
Memorandum
The attached resolution approves the rental of heavy equipment, including refuse trucks and street sweepers, at a total cost not to exceed $217,200.00 from Bell Equipment Company for use by the Public Services Area, Public Works Unit.
Bell Equipment Company of Lake Orion, MI was awarded rental contracts for heavy equipment under both the MiDeal contract number 071B7700091 and Omnia Partners (formerly National IPA) contract number RH-16-045 cooperative purchasing programs. The MiDeal contract expires January 12, 2023 and the Omnia Partners contract expires April 10, 2022.
The City rents refuse trucks and street sweepers each fall as part of our leaf pickup program. It is not cost effective for the City to own and maintain this additional equipment year-round so rental equipment is an excellent solution. Additionally, the City will have occasion to rent equipment to deal with short term needs related to specific events (student move-out, etc.) or that result from a vehicle being out of service for repairs for an extended period.
Public Works has requested that three street sweepers be rented for 2 months each. With the rental, pickup/delivery charges and contingency, the estimate for sweepers is $65,400.00. Five 25 yard read load refuse trucks have been requested for 3 months each. With rental, pickup/delivery charges and contingency, the estimate on the refuse trucks is $121,800.00.
An additional $30,000.00 has been added to the resolution to cover unanticipated rentals for FY22. This may include special events, unexpected breakdowns, or additional routes needed for street sweepers, refuse trucks or other needed equipment that is covered under the cooperative purchasing contracts.
Both the MiDeal and the Omnia Partners cooperative purchasing agreements are included in the resolution. The Omnia Partners contract currently offers lower pricing on street sweepers but, since it expires in April 2022, we may need to utilize the MiDeal contract to finish out the FY. The Omnia Partners contract does not include refuse trucks.
Bell Equipment Company complies with the requirements of the City’s Conflict of Interest and Non-Discrimination ordinances.
Budget/Fiscal Impact: Funding for rental equipment is available in the appropriate Public Works approved FY22 operations and maintenance budgets.
Staff
Prepared by: Matthew J. Kulhanek, Fleet & Facilities Unit Manager
Reviewed by: John Fournier, Assistant City Administrator
Approved by: Tom Crawford, City Administrator
Body
Whereas, The City utilizes rental refuse trucks and street sweepers as part of the leaf collection program each fall;
Whereas, The City also has a need to rent other heavy equipment on occasion for special events or as a result of extended equipment repairs;
Whereas, The Fleet & Facilities Unit must provide this equipment to maintain existing service levels;
Whereas, Competitive bids were received by the MiDeal and Omnia Partners (formerly National IPA) cooperative purchasing programs;
Whereas, Bell Equipment Company of Lake Orion, MI received the contracts for heavy equipment rental from MiDeal (contract number 071B7700091) and Omnia Partners (contract number RH-16-045);
Whereas, Bell Equipment Company complies with the requirements of the City’s Conflict of Interest and Non-Discrimination Ordinances;
Whereas, Adequate funds for the rental of this equipment in the amount of $217,200.00 are available in the approved FY22 Public Works operations and maintenance budget.
RESOLVED, That City Council approve the issuance of a purchase order to Bell Equipment Company in an amount not to exceed $217,200.00 for the rental of heavy equipment, including refuse trucks and street sweepers; and
RESOLVED, That the City Administrator be authorized to take the necessary actions to implement this resolution.