Title
Resolution to Amend the Fleet and Facility Unit FY 2019 Budget by Appropriating Funds and to Authorize the Purchase of Four Automated Side Loading Refuse Trucks from Fredrickson Supply, LLC. (Sourcewell - $1,351,501.28) (8 Votes Required)
Memorandum
The attached resolution authorizes the purchase of four 2020 Autocar ACX64 truck chassis with Labrie Expert 31 yard packer bodies and Long Reach Helping Hand reach arms at $337,875.32 each for a total cost of $1,351,501.28 from Fredrickson Supply, LLC for use by the Public Services Area, Public Works Unit.
Labrie Enviroquip was awarded Contract Number 112014-LEG by the Sourcewell cooperative purchasing program for refuse trucks and Fredrickson Supply, LLC of Grand Rapids, MI, is the dealer of record for Labrie in the State of Michigan. Sourcewell is the new name for the NJPA cooperative purchasing program used by the City for equipment purchases for many years.
These side loading refuse trucks have single arm units that are used for residential refuse collection. The truck has one arm that extends from the curb side of the truck with 120” of reach for grabbing and emptying carts. The arm is joystick controlled from the cab of the truck which allows for a single operator on each collection route.
A vehicle listed in this resolution will replace a 2013 Mack chassis with a Labrie packer body (#8641) with 8,922 hours of operation. Over its service life, the vehicle has averaged 3.86 work orders per month and the total repair cost of the vehicle has exceeded 89% of its original purchase price.
A vehicle listed in this resolution will replace a 2013 Mack chassis with a Labrie packer body (#8643) with 8,414 hours of operation. Over its service life, the vehicle has averaged 4.31 work orders per month and the total repair cost of the vehicle has exceeded 88% of its original purchase price.
A vehicle listed in this resolution will replace a 2013 Mack chassis with a Labrie packer body (#8644) with 8,200 hours of operation. Over its service life, the vehicle has averaged 4.30 work orders per month and the total repair cost of the vehicle has exceeded 86% of its original purchase price.
A vehicle listed in this resolution will replace a 2013 Mack chassis with a Labrie packer body (#8645) with 9,271 hours of operation. Over its service life, the vehicle has averaged 4.17 work orders per month and the total repair cost of the vehicle has exceeded 85% of its original purchase price.
These trucks have all reached the life expectancy of their engines and an engine failure would cost an estimated $15,000.00 to $20,000.00. In addition, the automated arms are near the end of their life cycles and the cost to rebuild or replace each arm is between $20,000.00 and $25,000.00. The time out of service for a major repair would also have a negative impact on the Public Works Unit’s ability to manage their collection routes. Since there is an approximately nine-month lead-time to take delivery of a refuse truck, approving an order is important to maintain the readiness of the fleet. Delivery of the trucks is expected in FY 20.
Budget/Fiscal Impact
Funding for these refuse trucks is provided by the annual replacement costs paid to the Fleet Fund. These trucks would normally be included in the FY 20 Fleet Services Operations and Maintenance Budget but they are being ordered in FY 19 because of the condition of the trucks and the long lead-time for delivery that requires the budget amendment.
Green Fleet Policy
The Green Fleet Committee met on October 24, 2018, approved the need for the replacement of these vehicles, that the proposed replacements are consistent with the Green Fleet Policy, and recommended the approval of this resolution. The Sustainability and Innovations Manager has concurred with the actions of the Committee.
Fredrickson Supply, LLC complies with the requirements of the City’s Conflict of Interest and Non-Discrimination ordinances.
Staff
Prepared by: Matthew J. Kulhanek, Fleet & Facility Unit Manager
Reviewed by: Craig Hupy, Public Services Area Administrator
Approved by: Howard S. Lazarus, City Administrator
Body
Whereas, The Fleet & Facilities Unit needs to purchase replacement refuse trucks;
Whereas, Competitive bids were received by the Sourcewell (formerly NJPA) cooperative purchasing program;
Whereas, Labrie Environquip received the contract for Refuse Trucks and Fredrickson Supply, LLC of Grand Rapids, MI, is the dealer of record for Labrie in the State of Michigan;
Whereas, Fredrickson Supply LLC complies with the requirements of the City’s Conflict of Interest and Non-Discrimination Ordinances; and
Whereas, Adequate funds for the purchase of these vehicles in the amount of $1,351,501.28 are available in the Fleet Services fund balance;
RESOLVED, That the City Council approve an appropriation of $1,351,501.28 from the Fleet Services fund balance; thereby, increasing the Fleet Services Fund revenue and expenditure budget;
RESOLVED, That City Council approve the issuance of a purchase order to Fredrickson Supply, LLC in the amount of $1,351,501.28 for the purchase of four 2020 Autocar ACX64 truck chassis with Labrie Expert 31 yard automated side loading packer bodies;
RESOLVED, That funds for the purchase of these vehicles are to be available without regard to fiscal year;
RESOLVED, That the vehicles being replaced (nos. 8641, 8643, 8644 and 8645) be sold at the next City vehicle auction after the vehicles are removed from service; and
RESOLVED, That the City Administrator be authorized to take the necessary actions to implement this resolution.