SUBJECT/RECOMMENDATION:
Title
Award a contract (Purchase Order) in the amount of $ 1,284,909.00 to Pierce Manufacturing Inc. of Appleton, WI for one 2017 Heavy Duty Pierce Velocity Ascendant Tiller, per spec 626, in accordance with Sec. 2.564(1)(b), Code of Ordinances - Sole Source; and authorize the appropriate officials to execute same. (consent)
Body
SUMMARY:
The Department has one Tiller which has exceeded its recommended service life.
A Tiller type of aerial apparatus provides exceptional turning radius capability, enhanced storage capability, lower vehicle profile, and will up-grade the abilities of the unit it replaces.
The aerial apparatus will meet the current NFPA 1901 recommendations and will maintain design and operational features consistent with the department’s needs.
CFR currently operates eleven front line vehicles (8 engines, 2 trucks, a heavy duty rescue squad), and five reserve vehicles (3 engines and 2 trucks) manufactured by Pierce Manufacturing.
For standardization of equipment, repair parts, and ease of maintenance along with the complexity of the specialty unit, the department desires to purchase a new front-line tiller from the same manufacturer under the sole source exemption to purchasing requirements.
Estimated annual operating costs of $ 40,000.00 in the department’s operating budget include debt costs and garage charges for operating and maintaining the vehicle. Garage charges on the new vehicle are expected to be less than the vehicle being retired.
APPROPRIATION CODE AND AMOUNT:
The FY 2017/2018 Capital Improvement Project (CIP) project 315-91274 provides $1,300,000.00 in Penny III funding for the replacement of the tiller apparatus. The department desires to approve this purchase in order to receive placement on the Pierce Manufacturing production schedule before other fire departments receiving funding in the new fiscal year.
The Department has determined to purchase a Pierce Tiller Apparatus for the amount of $1,299,909.00 and take advantage of a partial pre-payment discount. By making a $387,914.00 prepayment the department can realize a $15,000.00 prepayment discount. The net cost of the apparatus is $1,284,909.00 after realizing a $15,000.00 partial prepayment discount.