03-13-2023 BPU RPT 08 - Laserfiche WebLink

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W A T E R E N E R G Y L I F E RIVERSIDE PUBLIC UTILITIES P UB LIC UTILITIES Board Memorandum BOARD OF PUBLIC UTILITIES DATE: MARCH 13, 2023 SUBJECT: VEHICLE PURCHASE AGREEMENTS WITH MULTIPLE VENDORS FOR 18 REPLACEMENT VEHICLES IN THE ESTIMATED AMOUNT OF $4,814,000, PLUS INTEREST, IN COMPLIANCE WITH PURCHASING RESOLUTION NO. 23914, SECTIONS 602(F) & 602(P) ISSUES: Consider approval of vehicle purchase agreements with multiple vendors for 18 replacement vehicles, through Sourcewell Cooperative Purchasing, in the estimated amount of $4,814,000, plus interest, in compliance with Purchasing Resolution No. 23914, Sections 602(f) & (p). RECOMMENDATIONS: That the Board of Public Utilities recommend that the City Council: 1. Approve vehicle purchases in compliance with Purchasing Resolution No. 23914, Sections 602 (f) & (p), Sourcewell Cooperative Purchasing for the Water Field and Operations divisions for an estimated amount of $4,814,000, plus interest, with various vendors, subject to the availability of budgeted funds; and 2. Authorize the City Manager, or designee, to execute the individual purchase agreements, purchase orders, and all necessary documents as needed for these individual purchases with all authority for such, including approval of minor and/or non -substantial changes, expiring on September 30, 2023. BACKGROUND: On June 21, 2022, the City Council approved the Fiscal Year 2022-2024 Biennial Budget, which included $862,063 for the Water Field Division to replace 23 vehicles, utilizing competitive loan financing. Since adopting the biennial budget, the department has received updated price quotes indicating that pricing has increased. As a result, the current budget authorization will only provide for 18 vehicles and large equipment items. The Water Field Division uses these vehicles and equipment daily to provide its customers with safe and reliable water service. The existing vehicles are approaching the end of their service life; some are over 30 years old. Vehicles and equipment must be safe, in good operable condition, and compliant with state and local emissions regulations. To ensure operating efficiency, employee productivity, and public safety, RPU must replace equipment operating