Title
Department of Transportation, Maintenance and Operations Division, recommending the Board:
1) Approve the addition of one (1) plow to the Fiscal Year 2024-25 Fixed Asset List totaling $20,000;
2) Decrease the cost of one (1) rotary blower on the Fiscal Year 2024-25 Fixed Asset list from $850,000 to $830,000;
3) Increase the cost of one (1) rotary blower on the Fiscal Year 2024-25 Fixed Asset list from $850,000 to $870,000;
4) Find the purchase of one (1) rotary blower is exempt from competitive bidding in accordance with Procurement Policy C-17 Section 3.4.4, due to the use of Sourcewell competitively-bid Contract 062222-JAL; and
5) Authorize the Purchasing Agent to sign a purchase order to SnoQuip, Inc. in the amount of $783,655 plus applicable delivery, fees, and taxes (estimated at $80,814.99), for a one time purchase following Board approval.
FUNDING: Transient Occupancy Tax - Measure S (97.5%) and Road Fund (2.5%).
Body
DISCUSSION / BACKGROUND
The Department of Transportation, Maintenance and Operations Division (Transportation) is requesting to carryover a plow from the Fiscal Year 2023-24 Fixed Asset List totaling $20,000. Transportation is also requesting authorization to increase the budget price of one (1) rotary blower by $20,000 for a new total of $870,000, while utilizing savings from one (1) rotary blower previously budgeted at $850,000 for a new total of $830,000 on the Fiscal Year 2024-25 Fixed Asset list. One (1) rotary blower was purchased and carried over during recommended budget proceedings due to a lead time of 660 days. The blower that was purchased in December of 2023 totals $830,000, however the most recent quote for the additional blower replacement is $870,000.The rotary blower will be assigned to the South Lake Tahoe Maintenance Yard and will be utilized in the Basin for snow removal purposes.
Transportation suggested during the Citizen's Oversight Committee on October 18, 2023, to replace a second rotary blower to the Fiscal Year 2024-25 Fixed Asset List, utilizing Transient Occupancy Tax - Measure S funds. All four committee members present, agreed with Transportations' suggestion and stated they would like to see a second rotary blower purchased, especially with such a long build time. It is recognized that the purchase of the second blower is a replacement for an existing piece of equipment; however, without the use of Measure S funds the Department would be unable to purchase a replacement. The blower is 49 years old and upon eminent failure, the County would be forced to reduce level of service. Therefore, purchasing the blower secures the existing level of service, and upon receipt, will improve the current level of service as the new blower will provide more reliable, effective, and efficient snow removal.
The County Procurement Policy C-17, Section 3.4.4, describes exceptions that may be made to the competitive bidding process. The purchase of the rotary blower falls under this section, which requires that the item may be procured from a vendor that has a contract with another public agency; that the contract was awarded utilizing a competitive bidding process substantially the same as the County's; and that the item and terms of the transaction are the same, or substantially the same. For these purchases, the Department is able to utilize Sourcewell competitively-bid Contract 062222-JAL with SnoQuip, Inc. of West Sacramento, California.
ALTERNATIVES
The Board could choose not to approve to carryover the plow as proposed, as well as not approve the purchase of one (1) rotary blower. Staff would then need to evaluate equipment replacement options, lengthening the time old, outdated equipment is utilized.
PRIOR BOARD ACTION
N/A
OTHER DEPARTMENT / AGENCY INVOLVEMENT
Chief Administrative Office, Community Development Finance & Administration, County Counsel
CAO RECOMMENDATION / COMMENTS
Approve as recommended.
FINANCIAL IMPACT
There is no General Fund Cost associated with this agenda item. The proposed carryover Fixed Asset totaling $20,000 is funded by Road Fund and will be included in the requested adjustments to the budget during the Fiscal Year 2024-25 Adopted Budget process. A budget transfer for the purchase of one (1) rotary blower is not required as the changes do not increase the overall expenses. The rotary blower is funded by Measure S Transient Occupancy Tax .
CLERK OF THE BOARD FOLLOW UP ACTIONS
N/A
STRATEGIC PLAN COMPONENT
N/A
CONTACT
Rafael Martinez, Director
Department of Transportation