MEETING DATE: February 14, 2018 PREPARED BY: Bryce Wilson, Senior Analyst DEPT. DIRECTOR: Carl L. Quiram DEPARTMENT: Public Works CITY MANAGER: Karen P. Brust SUBJECT: Purchase of Fleet Vehicles due for Replacement in FY 2017-18. RECOMMENDED ACTION: (1) Authorize the purchase of the described equipment from National Joint Powers Alliance (NJPA) in accordance with the attached quotes, for an amount not-to-exceed $295,000 plus up-fit costs not to exceed $155,000 for a total amount of $450,000. (2) Authorize Fleet staff to use National Joint Powers Alliance (NJPA) procurement pricing to purchase in FY 2017-18. (3) Authorize staff to apply for any applicable rebates that the City is eligible to receive for the purchase of zero and/or low emission vehicles. STRATEGIC PLAN: This item is related to the Environment focus area of the Strategic Plan through the purchase of low emission vehicles. This item is also related to the Organizational Effectiveness focus area through the delivery of efficient and effective services. FISCAL CONSIDERATIONS: As part of the two-year budget, Council has appropriated $546,000 in Fund 622, the Vehicle Replacement Fund, in FY 2017-18. Staff is recommending the purchase of seven vehicles for an approximate amount of $295,000 (see table on next page) and an additional $155,000 for up-fitting of the Fire, Lifeguard, Parks, Recreation and Cultural Arts, and Public Works vehicles. The up-fitting cost is for ancillary items such as emergency lights and sirens, lift-gates, winches and other equipment used by staff while working in the right-of way or performing emergency services. The vehicles are in various departments including Fire, Lifeguards, Public Works, and Parks, Recreation and Cultural Arts. Specifications for up fitting individual vehicles are currently being developed and exact up-fitting costs per vehicle have not yet been determined; however, authorized expenditures will not exceed $155,000. NJPA will arrange to have the up-fitting performed prior to delivery. Fleet staff intends to send all replaced vehicles to auction, per City policy. All revenue from auction will be reimbursed to the Fund 622. 2018-02-14 Item 08C 1 of 64
VM Year Dept. Division Vehicle Fuel Type Replacement Number Type (Replaced) Cost 172 2000 Park, Rec. & Cultural Arts Sr. Center Pick-up Unleaded $24,889 199 2002 Public Works Fleet Van Hybrid $45,517 223 2002 Public Works Streets Service Truck Diesel $64,357 241 2003 Public Works Streets SUV Plug-in Hybrid $34,735 270 2007 Fire Operations Pick-up Unleaded $47,441 281 2007 Fire Marine Safety Pick-up Unleaded $38,720 282 2007 Fire Marine Safety Pick-up Unleaded $38,720 Total $294,379 The City of Encinitas Purchasing and Contracts policy allows for the use of cooperative purchasing agreements as an alternative purchasing method (Administrative Manual PC01.V). The National Joint Powers Alliance (NJPA) is a municipal national contracting agency that leverages the national purchasing power of more than 50,000 member agencies while also streamlining the required purchasing process. NJPA establishes and provides nationally leveraged and competitively solicited purchasing contracts under the guidance of the Uniform Municipal Contracting Law. Joint Powers laws enable members to legally purchase through our awarded contracts. California municipalities can also participate in fleet vehicle contracts negotiated by the State of California. NJPA pricing is comparable to State of California contracts. However, NJPA offers a wider breadth of options and models than State contract currently does. BACKGROUND: During the preparation of the last two-year budget, Fleet staff created a list of proposed vehicles that were to be replaced in each of the fiscal years. This list is compiled based on many factors. They include repair costs, age, usage, various operational costs, and safety. After completing this evaluation, Fleet Staff identified seven vehicles for replacement in FY 2017-18. ANALYSIS: The vehicles scheduled for replacement this fiscal year include four pickups, one van, one service truck, and one SUV. Fleet intends to replace VM 199 and VM 241 with low emission hybrid vehicles. VM 241 is being replaced with an electric/plug-in hybrid technology vehicle. The City has a policy to purchase low emission vehicles and equipment whenever possible. The two primary reasons that the City is not buying additional low emission vehicles in this fiscal year are due to availability and work environment. The lack of electric and hybrid vehicles in light and medium duty truck categories, as well as the City s current lack of electric vehicle charging infrastructure, makes purchasing those vehicles impractical at this time. Additionally, the corrosive marine environment that the two lifeguard vehicles would operate in on a daily basis is not conducive to the operation of electric/hybrid vehicles. The City fully intends to add electric/low emission vehicles to the fleet as those vehicles become more available in pick-up and work truck categories. A Level Two Electric Vehicle Charging Station (EVCS) is anticipated to be installed at City Hall to accommodate the two electric vehicles currently stationed there and an additional charger at the Public Works Facility for VM 241 (est. cost $800 each). 2018-02-14 Item 08C 2 of 64
Staff hopes to take advantage of the SDG&E Power Your Drive Program which includes installation of charging stations by SDG&E at various City-owned locations for use by the City Fleet. City staff will work with state and county entities, including the Center for Sustainable Energy, to apply for any rebates that are available for purchasing zero and low emission vehicles. ENVIRONMENTAL CONSIDERATIONS: With the purchase of electric and hybrid vehicles Fleet staff is following the City of Encinitas Administrative Manual policy, sections 4.2.10 and 4.2.11 known as The Environmentally Preferable Purchasing and Contracting Policy. This policy requires Fleet staff to purchase vehicles that use the lowest polluting and renewable fuels whenever possible. This item is related to Climate Action Plan City Action MCET-1: transition to Zero Emission Vehicle (ZEV) Municipal Fleet. The action being considered by the City Council is exempt from the California Environmental Quality Act (CEQA) because it is not a project under Section 15378(b)(5) of CEQA Guidelines. ATTACHMENTS: 1. Six year Fleet Replacement Schedule 2. NJPA Contract 3. Quote Sheets 2018-02-14 Item 08C 3 of 64
Funding Source: Vehicle Replacement (Fund 622) Six-Year Cashflow Proposed Proposed Proposed Proposed Proposed Proposed FY 16/17 FY 17/18 FY 18/19 FY 19/20 FY 20/21 FY 21/22 1 Fund Balance 880,072 703,072 280,072 243,072 276,072 359,072 Revenues Sale/Trade of Vehicle 10,000 10,000 10,000 10,000 10,000 10,000 2 Revenues Total 10,000 10,000 10,000 10,000 10,000 10,000 Operating Expenditures Estimate future year replacements 0 0 0 0 0 0 Vehicle Outfitting 0 201,000 0 40,000 0 0 Replace City Vehicles 300,000 345,000 160,000 50,000 40,000 0 Replace WasteWater Vehicles 0 0 0 0 0 0 3 Operating Expenditures Total 300,000 546,000 160,000 90,000 40,000 0 4 Transfers In from Fund 101 100,000 100,000 100,000 100,000 100,000 100,000 4a Transfers In from Fund 611 13,000 13,000 13,000 13,000 13,000 13,000 5 Transfers Out 0 0 0 0 0 0 6 Current Year Net ( 2-3+4-5) (177,000) (423,000) (37,000) 33,000 83,000 123,000 7 Fund Balance (1+6) 703,072 280,072 243,072 276,072 359,072 482,072 SUV Units: 196,198,210 101,000 Units: 241, 40,000 Units: 226 30,000 Units: 253 30,000 Units: PICKUP Units: 251,252 140,000 Units: 172,270,281,282 200,000 Units: 212,224,256 96,000 Units: 237 Units: 271 60,000 Units: 40,000 - SERV TRCK Units: - Units:223 55,000 Units: 233 34,000 Units: - SEDAN Units: Units: Units: Units: VAN Units: 156 35,000 Units: 199 50,000 ELECT VEH* Units:New 24,000 - Units: - TOTAL 300,000 345,000 160,000 90,000 40,000-2018-02-14 Item 08C 4 of 64
Funding Source: Machinery and Equipment Replacement (Fund 623) Six-Year Cashflow Proposed Proposed Proposed Proposed Proposed Proposed FY 16/17 FY 17/18 FY 18/19 FY 19/20 FY 20/21 FY 21/22 1 Fund Balance 691,067 476,067 531,067 531,067 341,067 151,067 Revenues Sale/Trade of Vehicle 10,000 10,000 10,000 10,000 10,000 10,000 2 Revenues Total 10,000 10,000 10,000 10,000 10,000 10,000 Operating Expenditures Estimate future year replacements 0 0 0 0 0 0 Vehicle Outfitting 0 0 0 0 0 0 Replace City Equipment 350,000 80,000 110,000 300,000 300,000 375,000 Replace WasteWater Equipment 0 0 0 0 0 0 3 Operating Expenditures Total 350,000 80,000 110,000 300,000 300,000 375,000 4 Transfers In from Fund 101 25,000 25,000 25,000 25,000 25,000 25,000 4a Transfers In from Fund 611 100,000 100,000 75,000 75,000 75,000 100,000 5 Transfers Out 0 0 0 0 0 0 6 Current Year Net ( 2-3+4-5) (215,000) 55,000 0 (190,000) (190,000) (240,000) 7 Fund Balance (1+6) 476,067 531,067 531,067 341,067 151,067 (88,933) RODDER - VM 297 300,000 Heavy Duty Dump - VM 268 110,000 Vac-Con - VM 267, VM 318 350,000 375,000 TV Truck -VM 213 80,000 LOADER - VM 232 300,000 TOTAL 350,000 80,000 110,000 300,000 300,000 375,000 2018-02-14 Item 08C 5 of 64
Funding Source: Fire Apparatus Replacement (Fund 624) Six-Year Cashflow Adopted Proposed Proposed Proposed Proposed Proposed Proposed FY 16/17 FY 17/18 FY 18/19 FY 19/20 FY 20/21 FY 21/22 FY 22/23 Fund Balance 213,754 215,898 144,400 (423,767) (229,103) (349,745) (70,387) Revenues Lease Proceeds 630,000 - - - - - - Sale/Trade of Vehicle - - - - - - - Revenues Total 630,000 - - - - - - Operating Expenditures Estimate future year replacements - - - - - - - Vehicle Outfitting 25,000 - - - - - - Replace Fire Apparatus 630,000-670,000-400,000 - - Lease Payments - Proposed 2017 Lease - 98,642 98,642 98,642 98,642 98,642 98,642 Lease Payments - Existing 350,856 350,856 177,525 84,694 - - - Operating Expenditures Total 1,005,856 449,498 946,167 183,336 498,642 98,642 98,642 Transfers In from Fund 101 (General Fund) 378,000 378,000 378,000 378,000 378,000 378,000 378,000 Transfers Out - - - - - - - Current Year Net ( 2-3+4-5) 2,144 (71,498) (568,167) 194,664 (120,642) 279,358 279,358 Fund Balance (1+6) 215,898 144,400 (423,767) (229,103) (349,745) (70,387) 208,971 2011 Lease - Aerial Ladder Truck (Station #5) 173,331 173,331 2012 Lease - Fire Pumper 92,831 92,831 92,831 2013 Lease - Fire Pumper 84,694 84,694 84,694 84,694 TOTAL 350,856 350,856 177,525 84,694 - - - 2018-02-14 Item 08C 6 of 64
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