Report Prepared by: Dan McComb, Public Works Manager - Refuse
Title
SUBJECT: Authorizing the Purchase of One Stationary Compactor Unit for $98,843.76 from Wastequip, LLC for the Refuse Department Through a Cooperative Purchasing Agreement with Sourcewell
REPORT IN BRIEF
Considers authorizing the purchase of One (1)Stationary Compactor Unit for $98,843.76 from Wastequip, LLC for the Refuse Department’s use. This opportunity was identified through the government procurement program Sourcewell.
RECOMMENDATION
City Council - Adopt a motion:
A. Waiving the City’s competitive bidding requirement as permitted by Merced Municipal Code section 3.04.210 for cooperative purchasing; and,
B. Approving the purchase of one stationary compactor unit in the amount of $98,843.76 from Wastequip, LLC, through Sourcewell contract # 040621-WQI; and,
C. Authorizing the City Manager to execute any necessary documents for the purchase specified above; and,
D. Authorizing the issuance of a Purchase Order, and approval of change orders not to exceed 10% of the total purchase price.
Body
ALTERNATIVES
1. Approve, as recommended by staff; or,
2. Approve, subject to other than recommended by staff (identify specific findings and/or conditions amended to be addressed in the motion); or,
3. Deny; or,
4. Refer to staff for reconsideration of specific items; or,
5. Continue to a future meeting (date and time to be specified in the motion).
AUTHORITY
Municipal Code Section 3.04.210 - Exemptions from competitive bidding.
CITY COUNCIL PRIORITIES
As provided for in the FY 24/25 Adopted Budget.
DISCUSSION
History
Sourcewell offers an equipment/vehicle purchase program to government entities nationwide; specifications are created, and Request for Bids are sought by Sourcewell for a wide variety of equipment used by local governments. As a result of the nationwide scope of these programs, the City is able to purchase specialized equipment for much less than the more traditional method of creating specifications and soliciting bids in-house.
Over the last several years, the City has purchased a variety of equipment not provided by local vendors including, street sweepers, leaf trucks, fire trucks, refuse trucks, etc. through the Sourcewell government procurement program with great success.
The Public Works Department, Solid Waste Division, is requesting Council authorize the purchase of one currently budgeted stationary compacting unit utilizing the nationwide government procurement service Sourcewell via Wastequip, LLC.
The stationary compactor unit requested for purchase will be utilized at the City’s Bulky-item Drop-off Site. Purchasing the compactor will alleviate the need for a rear-loader refuse truck at the drop-off site. This compactor unit is fully electric, only operating as needed. With the purchase and installation of the compacting unit, the City will be CARB compliant at the Bulky-item Drop-off Site by eliminating the rear-loader refuse truck idling time. Additionally, the current rear-loader truck would need to be replaced in order to continue operating at this site; at an approximate replacement cost of $364,147, the purchase of the compacting unit is a more economical solution.
Section 3.04.210 of the Merced Municipal Code provides that the City Council can approve a waiver of the City’s competitive bidding requirements when such purchases are made pursuant to cooperative purchasing in conjunction with other governmental entities.
Staff requests waiving the bidding requirements in order to utilize the government pricing contract.
IMPACT ON CITY RESOURCES
The stationary compactor unit was approved in the FY2024/25 adopted budget, Fund 6002 - Refuse Enterprise; no additional funding is needed.
ATTACHMENT
1. Wastequip Sales Quote
2. Sourcewell Certificate of Membership