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HomeMy WebLinkAboutStaff Report 268-10TO: HONORABLE CITY COUNCIL 9 FROM: CITY MANAGER DEPARTMENT: PUBLICWORKS DATE: JUNE 21, 2010 CMR:268:10 REPORT TYPE: CONSENT SUBJECT: Approval of a Purchase Order with Pierce Manufacturing, Inc. c/o Golden State Fire Apparatus Inc. in an Antount not to Exceed $317,184 for the Purchase of one Type III Fire Engine RECOMMENDATION Staff recommends that Council: 1. Approve and authorize the City Manager or his designee to execute a purchase order with Pierce Manufacturing, Inc. c/o Golden State Fire Apparatus Inc. (Pierce) in an amount not to exceed $317,184 for the purchase of one Type III Fire Engine. BACKGROUND The vehicle and equipment replacement policy described in City Policy and Procedures 4-1 (Vehicle and Equipment Use, Maintenance, and Replacement), provides for the on-going replacement of City fleet vehicles and equipment. Replacements are scheduled using guidelines based on age, mileage accumulation, and obsolescence. The City's fleet of emergency vehicles currently includes two Type III (Wildland) fire engines. Policy 4-1 prescribes a replacement interval for Fire engines of 20 years or 85,000 miles. This interval applies generally to Type I (traditional) fire engines that are custom-built for general firefighting duty. It also includes a five-year reserve interval (i.e., Type I engines are replaced after 15 years in front-line duty, and are then assigned to the reserve fleet for an additio~ five years). Neither of these factors currently applies to the City's Type III engines, since the Type III engines are built on commercial chassis that have a shorter life expectancy than Type I engines built on custom chassis. There are no reserve Type III engines in the City's fleet and no opportunity to rotate these engines into reserve status. The City's two 1992 model Type III fire engines are scheduled to be replaced in 2012; however, both have experienced frequent mechanical failures of the fire pump system. The fire pump systems, which were "state-of-the-art" in 1992, have become increasingly unreliable and difficult to maintain. The failures occur at random intervals, and can be attributed to design flaws within the fire pump system, as well as to the age of the systems. Equipment Management staff have been able to correct fail~s as they occur, but have not been able to completely eliminate the source of the failures. Maintaining pump operations during a fire event is critical to effective fire fighting. Simpler, more reliable fire pump systems are now available. Because both Type III CMR:268:10 Page 1 of4 engines are more than 18 years old, and only two years from scheduled replacement, upgrading the existing fire pump systems is not a cost-effective option. Due to the availability ofa new, unit now at a reduced price, staff recommends that one of the Type III engines be replaced two years early. By purchasing this engine the City will avoid the estimated $100,000 cost for upgrading the pump s~tions on the existing units, an investment that is not advised given that the current engines are 18 years old. In addition, buying the available engine now, the City will avoid paying an additional $80,000 in expense for a newly constructed engine. The $80,000 cost increase for a purchase made next year can be attributed to the cost of additional equipment necessary to meet upcoming Environmental Protection Agency (EPA) and National Fire Protection Agency (NFPA) requirements, and to the lack of discounts currently being offered for the purchase of the existing demonstration unit. While it is recognized that this might not appear to be the most judicious time to be making such an expenditure given the City's objectives to effect significant reductions in the General Fund overall and the Fire Department in particular, the particular circumstances involved in this case warrant immediate action. DISCUSSION The two Type III fire engines described above are designated for off-road wildland frrefighting activity. One (Engine 8) is housed at Fire Station 8 during the peak of the wildland season when Station 8 is staffed and is kept at Fire Station 5 at night and during off-peak periods. The second (Engine 9) is housed at Fire Station 6 and cross-staffed by Truck 6 personnel. The Type III fire engines have four wheel drive; are designed with a with a shorter wheel base and higher ground clearance, and include "pump and roll" capability. The unique fire potential of the Stanford foothills and the Palo Alto Hills wildland-urban interface creates the need for the special characteristics of Type III apparatus. Traditional Type I fire apparatus are not capable of leaving the roadway; which precludes their use in remote or otherwise inaccessible locations. Due to the importance of replacing at least one of the Type III engines before the upcoming fire season, staff researched alternatives to the customary Request for Quotation (RFQ) process. The RFQ process, coupled with an typical production timeframe of six to nine months, would place delivery of the new engine just prior to the 2011 fire season. As discussed in the preceding paragraphs, staff has considered options to replacement at the present time, such as extending the life of the existing vehicles through a m,ajor repair or upgrade to the fire pump systems. After consideration, staff believes that it is necessary to move forward with this purchase as quickly as possible so that a new Type III engine can be placed into service this summer. A cooperative purchase of a Type III engine from dealer inventory would provide an opportunity to accomplish this. Staff found a current contract with the EI Dorado Hills Fire Protection District for an engine that closely meets the City's specifications. The engine has already been produced, and is available for purchase on a "first-come~ first-serve" basis The State of California's fire agency, CAL FIRE, has developed standard specifications for wildland frrefighting apparatus, which have been adopted by many other firefighting agencies throughout the state. The model proposed for purchase under this purchase is built to CAL FIRE "Model 34" specifications. The Fire Department's Apparatus Committee (which includes members from the Fire Department and CMR.:268:1O Page 2 of 4 Equipment Managem~nt) has identified CAL FIRE's Model 34· as the engine best suited for the conditions and operations of the Palo Alto Fire Department. The City's Municipal Code allows for cooperative purchases of this type under Section 2.30.360(k). The City Manager, following review by Purchasing of documents provided by EI Dorado Hills Fire, determined that this purchase qualifies for exemption from competitive solicitation requirements. This cooperative purchase opportunity has several significant advantages: • It allows the City to purchase a standardized model that is produced on a large scale, eliminating the need for a custom chassis and body. • It saves a great deal of staff time and expense associated with the RFQ process, which includes the cost of travel to the manufacturer's production facility (located in Florida) for inspections. • It Saves up to one year of time associated with the purchase and production process. This will allow for the fire engine to be delivered and in service prior to the 2010 peak wildland season. Audit of Vehicle Utilization and Replacement This purchase is being conducted with full consideration for the recent Audit of Vehicle Utilization and Replacement. The audit did not include a review of the City's inventory of emergency vehicles, and emergency vehicles are generally exempt from minimum utilization requirements. The vehicle being replaced through this purchase hasy on average, exceeded the minimum mileage accumulation of 2,500 miles annually. BIDDING AND SELECTION PROCESS This is a cooperative purchase, exempt from competitive bidding under Section 2.30.360(k) of the City's Municipal Code. After reviewing the documentation provided by Piercey staff recommends that the proposal submitted by Pierce be accepted and that a Purchase Order be awarded to Pierce. Staff has checked references supplied by the vendor for previous contracts and has received only positive responses. RESOURCE IMPACT Funding is available for this purchase in the Vehicle Replacement Fund Capital Improvement Project VR-09000. It should also be noted that upon delivery of the fire engine, Stanford will reimburse the City for 30.3% of the cost or $95,456.26. POLICY IMPLICATIONS Authorization of the contract does not represent any change to the existing policy. ENVIRONMENTAL REVIEW Purchase of this vehicle is not considered a project under the California Environmental Quality Act (CEQA). The equipment being supplied is in conformance with all applicable emissions CMR:268:10 Page 3 of4 laws and regulations, and will emit significantly fewer exhaust emissions than the equipment being replaced. ATTACHMENTS None. PREPARED BY: DEPARTMENT HEAD: CITY MANAGER APPROVAL: CMR:268:10 -. . ~. Director of Public Works ~~LO~-Gp JOYAMES KEENE . \ -City Manager Page 4 of4