Loading...
HomeMy WebLinkAbout8.1 Motion to Accept the Global bid to replace Engine 517BoardDocs® Pro Agenda Item Details Meeting Category Subject Access Type Preferred Date Absolute Date Fiscal Impact Dollar Amount Budgeted Budget Source Public Content Information Background: Page I of 2 P .W.1 Motion to accept the Global bid through the Houston -Galveston Area Council Cooperative Purchasing Program to replace Engine 517 for an amount not to exceed $682,158.00. Public Action Nov 07, 2018 Nov 07, 2018 Yes 682,15 .00 Yes The Fire Department is scheduled to replace the 2003 Pierce Quantum Pumper 517 (Reserve Engine 13) in 2018. Thi apparatus has over 108,000 miles, over 11,500 hours logged, and its current condition and maintenance records indicat replacement is warranted. Fire engines generally remain in service for 15 years; ten as frontline and five in reserve status. 51 was frontline for almost 13 of its 15 years in service. Responding to approximately 2000 calls per year, this apparatus has me its useful life expectancy and extending its use will result in increasingly higher maintenance costs. The vehicle evaluation form and life cycle cost analysis are attached for reference. Careful consideration has been given to designing a vehicle that fits the current and future needs of o Since the purchase of the current Engine 517 the department's engine inventories have increased considerably in the last 15 years. Vehicles now carry more equipment than ever before. Driven by the department's cancer prevention campaign, staff adopted the clean cab isolation policy which requires additional space for decontamination ("decon") kits. The department has also added Active Shooter protective gear and carry more EMS and Rescue equipment such as; portable extrication tools, isolation kits, Rapid Intervention Team packs, scene lights, cardiac monitors, larger fans, Rescue Jack, additional large diameter hose and associated appliances. The apparatus committee identified these needs in the last Engine purchase (516) and over the last several months, the Pierce Dash CF has performed well and has all the features recommended for today"s fire apparatus. General Bid Information and Budget Impact: This Engine would be purchased from Pierce Manufacturing through Global Emergency Products. The department's last five fire apparatus purchases (four pumpers, as well as our current tower ladder truck) have been from Pierce Manufacturing. Staff considers Pierce vehicles as well as their service to be unmatched. As members of the Houston -Galveston Area Council Cooperative (HGAC) Purchasing Program, the Village has the opportunity to participate in assured competitive pricing through volume purchasing and discounts. HGAC program pricing has been awarded through a public competitive process and has been utilized by at least seven of our surrounding communities for recent fire apparatus purchases. The budgeted amount of this vehicle is $625,000.00 however due to the new pumper design and recent tariffs imposed on steel and aluminum, the cost of replacing 517 with a similar vehicle is higher than anticipated. The total cost is $682, 158.00. With a 100% pre -payment final cost will be $662,720.00. The estimated https://www.boarddocs.com/il/vomp/Board.nsf/Private?open&login 11/9/2018 BoardDocs® Pro Page 2 of 2 re -sale value of the current Reserve Engine 13 517 is $25,000 to $50,000 and it will be sold using Govdeals.com through Public Works. Alternatives 1. Acceptance of the Global bid through the Houston- lvson Area Council Cooperative Purchasing Program for an amount not to exceed $682,158.00. 2. Action at discretion of Village Board. Staff Recommendation Staff recommends acceptance of the Global bid through the Houston -Galveston Area Council Cooperative Purchasing# Program for an amount not to exceed $682, 158.00. -ieet­C.p(Jf (25 KB) 31 E v a I Forms, A -E. 3, 1I0­-201.8.pdf (96 KB) Copy of 517 L.Jfe Cycle Cost Works[ NO -iarges.pdf (247 KB) 517 replaceme�nt memo.pdf (1.31. KB) Pierce commodity surc[ Puc [Zescue PLUmper.jpg (1,754 KB) C 1: 51.7A.,JPG (1,027 KB) Das[ ................. Administrative Content Executive Content Motion & Voting E Motion by Michael Zadel, second by Paul Hoefert. Final Resolution: Motion Carries Yea: William Grossi, Eleni Hatzis, Paul Hoefert, Richard Rogers, Colleen Saccotelli, Michael Zadel https://www.boarddocs.com/il/vomp/Board.nsf/Private?open&login 11/9/2018 EXHIBIT A Village of Mount Prospect Vehicle/Equipment Condition Evaluation Form Unit 4 517 Assigned Dept. /Div. FIRE Year: 2003 Make: Pierce Model: Quantum Mileage: 108,297 Hours: 11,508 Date of Evaluation: 9/28/18 Performed By: Breitzman/Krotky System Diagnosis Estimated Repair Cost Engine Fair -Injectors, leaks $6,000.00 Transmission Good -Replaced twice Differential Good Exhaust System Fair -Rusty $2,000.00 Cooling System Fair -Radiator Corrosion $6,000.00 Brakes Fair -30% $4,000.00 Tires Fair -50% $3,600.00 next year Steering Good Suspension Fair -Rear Springs $3,000.00 HVAC Fair -System outdated $5,000.00 Electrical Poor -Corrosion $10,000.00 -Non LED Lights Body/Frame Poor -Rusted badly, frame sag $15,000.00 Interior Fair -Seats worn, ripped $4,000.00 Other- Pump Circuit Fair -Replace valves, Pump worn $12,000.00 Total Estimated Repair Cost INEEM $70,600.00 Diagnosis Code Code Description Good Systems are functioning well and no major repairs are expected. Fair Some major repairs are needed, but unit can remain in service a little longer in current condition. Poor Major repairs are required as soon as possible to ensure unit safety and reliability. FXururrr- u Village of Mount Prospect Vehicle/Equipment Evaluation Summary Report Unit 4 517 Year: 2003 Hours: 11,508 Ratings: Unit age: 15 Assigned Dept. /Div. FIRE Make: Pierce Model: Quantum Mileage: 108,297 Date of Evaluation: 10/3/18 Performed By: Breitzman Base Policy Age: 15 Mileage/Hrs: 11,508 Base Policy Mileage/Hrs: 80,000/8,000 Maintenance Cost: Repair and Maintenance Cost: $ 147,885 - Purchase Price: $ 315,000 Repair and Maintenance Percentage of Purchase Price: 47 % Condition Evaluation: (attach Vehicle Condition Evaluation Form) Estimated Repair Cost: $ 70,600 - Current Book Value: $ 25,000 Repair Cost Percentage of Current Book Value: 282 % Total Ownership Cost Per Mile: (Lifetime Fuel + R&M + Purchase Price) $ 535,625 Less Salvage Value $ 25,000 Net Lifetime Costs $ 510,625 Divided by Mileage/Hours 11,508 Operating Cost Per Mile/Hour $ 44.37 Points: 2 Points: 4 Points: 4 Points: 4 Total Points: 14 Comments and other considerations: This Engine has operated 11,508 hours during its lifetime, which equals 345,240 engine miles. Superintendent's recommendation: This equipment has met its life expectancy and major repairs will be needed if service life is extended any longer based on condition. $550,000.00 $500,000.00 $450,000.00 $400,000.00 $350,000.00 N $300,000.00 0 U $250,000.00 $200,000.00 $150,000.00 $100,000.00 $50,000.00 $0.00 2003 EXHIBIT C Village of Mount Prospect October 2018 Vehicle/Equipment Life Cycle Cost Analysis Vehicle/Equipment Number - 517 (2003 Pirce Quantum Engine Pumper) +Total Ownership Costs Life Cycle Costs —A— Total R&M * Total Fuel - ■ -Market Value Year $535,625.00 $147,885.00 $72,740.00 $25,000.00 2018 Total Ownership Cost - Salvage Value / Hours = Cost Per Hour to Operate $535,625.00 $25,000.00 11,508 $44.37 Village of Mount Prospect Fire Department INTEROFFICE MEMORANDUM TO: FIRE CHIEF BRIAN LAMBEL FROM: DEPUTY CHIEF JOHN DOLAN DATE: OCTOBER 4, 2018 SUBJECT: ENGINE 517 REPLACEMENT Background: The Fire Department is scheduled to replace our 2003 Pierce Quantum Pumper 517 (Reserve Engine 13) in 2018. This apparatus has over 108,000 miles, over 11,500 hours logged, and its current condition and maintenance records indicate replacement is warranted. Fire engines generally remain in service for 15 years; ten as frontline and five in reserve status. 517 was frontline for almost 13 of its 15 years in service. Responding to approximately 2000 calls per year, this apparatus has met its useful life expectancy and extending its use will result in increasingly higher maintenance costs. Careful consideration has been given to designing a vehicle that fits the current and future needs of the community. 517 is a Quantum style pumper which hasn't changed in 15 years. Our engine inventories have increased considerably in the last 15 years, we now carry more equipment than ever before. Driven by our cancer prevention campaign, we've adopted the clean cab isolation policy and now require additional space for decon kits. We've added Active Shooter protective gear and carry more EMS and Rescue equipment such as; portable extrication tools, isolation kits, Rapid Intervention Team packs, scene lights, cardiac monitors, larger fans, Rescue Jack, additional large diameter hose and associated appliances. The apparatus committee identified these needs in the last Engine purchase (516) and over the last several months, the Pierce Dash CF has performed well and has all the features recommended for today's fire apparatus. General Bid Information and Budget Impact: This Engine would be purchased from Pierce Manufacturing through Global Emergency Products. Our last five fire apparatus purchases (four pumpers, as well as our current tower ladder truck) have been from Pierce Manufacturing. We consider Pierce vehicles as well as their service to be unmatched. As members of the Houston -Galveston Area Council Cooperative Purchasing Program, we are assured competitive pricing through volume purchasing and discounts. HGAC pricing has been awarded through a public competitive process and has been utilized by at least seven of our surrounding communities for recent fire apparatus purchases. The budgeted amount of this vehicle is $625,000.00 however due to the new pumper design and recent tariffs imposed on steel and aluminum, the cost of replacing 517 with a similar vehicle is higher than anticipated. The total cost is $682,158.00. With a 100% pre -payment final cost will be $662,720.00. The estimated re -sale value of the current 517 is $25,000 to $50,000. Recommendation: Staff recommends acceptance of the Global bid through the HGAC for an amount not to exceed $682,158.00. Attachments: PIERCE MANUFACTURING INC. . ...... . ............... AN OSHKOSH CORPORATfCN COMPANY ISO 9001 CERTIFIED 2600 AMERICAN DRIVE POST OFFICE BOX 2017 APPLETON, WISCONSIN 54912-2017 920-832-3000 • FAX 920-832-3208 www,piercemfg,com March 20, 2018 Pierce Customers: Md President Trump imposed tariffs of 25% on steel and 10% on aluminum, imported from countries outside North America. While Pierce procures all aluminum and steel from North America and Europe, the tariffs have impacted prices on all steel and aluminum, regardless of origin, resulting in significant cost headwinds for United States specialty vehicle and heavy equipment manufacturers. Over the last few months, prior to the communication of the tariffs, steel and aluminum prices have risen 25- 35% and 15-20% over 2017 prices, respectively. Pierce has absorbed these escalating raw material costs to date. Now amplified by the tariffs, this additional sharp acceleration in commodities pricing has required Pierce to implement a surcharge on all purchase orders placed on, or after, May 1, 2018, for new fire apparatus and aftermarket parts. The surcharge will also apply to stock trucks completed on or after May 1, 2018. Stock trucks completed before May 1, 2018 will not include a surcharge. As an indication of the pervasive nature of these tariffs, component suppliers have already begun contacting Pierce to discuss their own surcharges. You may recall, Pierce faced a similar situation in the early 2000's when President Bush levied tariffs on steel, and was forced to implement a surcharge at'that time. The commodity surcharges are product specific (applied as a percentage of the apparatus price), varying in proportion to the steel and aluminum content for each specific product type. Pierce will continue to monitor and evaluate the cost of steel and aluminum and re -assess the surcharge as market conditions dictate, Please feel free to reach out to your sales representative with any additional questions you may have. Sincerely, , /0�jw all le -- Mike Dufrane VP of Sales & Marketing