Report Prepared by: Cosmo Ordunez, Public Works Manager - Internal Services
Title
SUBJECT: Approve the Purchase of Parts, Equipment, and Supplies as Necessary for Public Works Fleet Maintenance and Operations Through June 30, 2025
REPORT IN BRIEF
Considers approving the purchase of various parts, equipment, and supplies for Public Works maintenance and operations for Fiscal Year 2024/2025.
RECOMMENDATION
City Council - Adopt a motion:
A. Waiving the City’s competitive bidding requirement as permitted by Merced Municipal Code Section 3.4.210 for annual supplies and services; and,
B. Approving the purchase up to $60,000 with Belkorp AG LLC through June 30, 2025; and,
C. Approving the purchase up to $75,000 with Ray Gaskin Service through June 30, 2025; and,
D. Authorizing the City Buyer to issue the Purchase Orders.
Body
ALTERNATIVES
1. Approve, as recommended by staff; or,
2. Approve, subject to conditions 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
City of Merced Charter Section 3.04.210 - Exemptions from Competitive Bidding:
Except as otherwise provided in this chapter, competitive bidding requirements for purchases in excess of twenty-five thousand dollars ($25,000.00), the "bidding threshold”, may be waived with the approval of the city council. Waivers may be authorized for, but are not limited to, cooperative purchasing in conjunction with other governmental entities, professional services, annual service or supply agreements, or purchases necessary for standardization on particular types of equipment. The bidding threshold shall be adjusted for inflation utilizing the same index and methodology as the bidding threshold in Section 3.04.080 of this code.
CITY COUNCIL PRIORITIES
As provided for in the 2024-25 Adopted Budget.
DISCUSSION
The City of Merced Public Works Department utilizes multiple vendors for the purchase of various parts, equipment, materials, supplies, and limited services. These supplies and services are essential to daily operations and may be for ongoing maintenance, unforeseen repair work, or in response to an accident that damages City infrastructure.
Listed below are typical parts, supplies, materials, and services purchase from each vendor:
• Belkorp AG LLC ($60,000)
o Tractor parts and repair/parts installation services for equipment used by the Wastewater Treatment Plant Land Application division.
• Ray Gaskin Service ($75,000)
o Vehicle parts and vehicle repair/parts installation services for heavy duty equipment, such as Refuse vehicles.
Any purchase order issued for services will include a provision on the purchase order requiring the vendor to provide a valid quote delineating costs for services and related supplies to complete the work.
The Public Works Department is requesting Council waive competitive bidding requirements to allow for the continued purchase of various parts, equipment, materials, supplies and services used in ongoing Public Works maintenance and operations.
IMPACT ON CITY RESOURCES
No appropriation of funds is needed. Funding is available within the Fiscal Year 2024-25 budget.
ATTACHMENTS
None.