Title
Staff Report for a City of San Leandro City Council Resolution to Authorize the Interim City Manager to Execute a Sole Source Purchase with Cozad Trailer Sales, LLC for an End Dump Trailer at an Amount Not to Exceed $73,791.63 and Appropriation of $73,791.63 from the Gas Tax Fund Balance to the Equipment Repair and Maintenance Operating Account 690-16-002-7510 for Fiscal Year 2020-2021
Staffreport
SUMMARY AND RECOMMENDATIONS
Staff recommends that the City Council approve and authorize the Interim City Manager to purchase an end dump trailer to haul paving grindings. The trailer will cost $73,791.63 (sales tax included).
BACKGROUND
With the enactment of SB1 in 2017, the City receives State monies (issued monthly) for maintenance projects located within the public right-of-way. The addition of modern equipment to the City’s fleet allows Public Works to increase the amount and complexity of asphalt repairs that can be accomplished in-house by staff. This enhances street maintenance, which aligns with the City Council’s goal to maintain and enhance the City’s infrastructure.
Analysis
The State Controller’s Office (SCO) estimates that the City will receive approximately $1,543,000 in SB1 funds during the current fiscal year. This is in addition to the $2,106,000 in Highway Users Tax Act (HUTA) monies that are received and shared between the Public Works and Engineering & Transportation Departments for use in road maintenance projects.
In January 2019, the City Council approved a rent-to-own agreement for a cold milling (grinder) machine, which the City now fully owns. Currently, the grindings are fed on a conveyor belt into waiting haul trucks that then transport the grindings to the batch plant in Pleasanton. The haul trucks that are in place pre-date the in-field use of a grinder and have a capacity of only 14 tons, versus the proposed end dump trailer, with a capacity of 22-25 tons. With the current haul trucks, the paving work is less efficient because when the grindings are being transported, the grinder cannot operate. The larger-capacity end dump trailer will mean shorter down-town as well as fewer truck trips.
Per the attached bid sheet, the end dump trailer will cost $73,791.63, including taxes. Previously-purchased ramp and trailer paving equipment was purchased from Cozad, which is located in Tracy. For efficiencies in in-house equipment maintenance, in addition to being within the required 30-mile radius for repairs/maintenance that are beyond our internal capabilities, a sole-source purchase finding directly from Cozad is recommended.
Budget Authority
Staff requests City Council approve a transfer out of SB1 funding (Fund 140) totaling $73,791.63 and a transfer in to the Equipment Repair and Maintenance Fund - Vehicle Purchasing Account 690-16-002-7510 for $73,791.63.
ATTACHMENTS
Attachments to Staff Report
• Equipment Quote
PREPARED BY: Debbie Pollart, Public Works Director