It is the recommendation of Fleet Services to purchase two (2) Grapple Trucks in the amount of $369,967 from Freightliner of Austin through TIPS Contract No. 200206. Fleet Services reviewed this cooperative contract quote for units that are readily available and found it to be the best value for the City. Purchasing has researched multiple cooperative contracts and is unable to find Grapple Trucks available through any other cooperative purchasing organization or program. The rescission of an award for the purchase of two (2) Grapple Trucks to Industrial Power Truck and Equipment is requested in a companion agenda item.
One (1) unit is a scheduled replacement from Capital Outlay FY19-20 for unit 11802 Truck, Crane in Cost Center 751 Special Waste. One (1) unit is a new addition from Capital Outlay FY19-20 in Cost Center 751 Special Waste. Due to operational demands, it is necessary to purchase at this time.
The purchase of these units is necessary for the following reasons:
1. The old unit is in need of replacement. The determination for the need of replacement is based on age, usage, maintenance cost, and re-sale value. Based on these criteria, Fleet Services recommends the replacement of the above unit.
2. The new addition unit will allow Special Waste to implement modifications to its Bulky Collection Program services. These modifications include moving from one day per month unscheduled collection to up to one day per week scheduled collection. Additionally, large yard trimmings will now be collected.
3. If the replacement unit is not purchased, we will incur additional maintenance costs and the salvage value will be greatly depreciated. In addition, the older, aging unit will limit the users’ ability to perform their duties because of increased breakdowns and additional downtime for repairs. If the new addition is not purchased, Special Waste will not be able to implement modifications to its Bulky Collection Program service.
The City is authorized to purchase from a cooperative purchasing program with another local government or a local cooperative organization pursuant to Chapter 271 Subchapter F of the Texas Local Government Code and by doing so satisfies any State Law requiring local governments to seek competitive bids for items. (TIPS Contract No. 200206 / City of Plano Internal Contract No. 2020-0726-O)